AFFILIATED COMPUTER SERVICES, INC. AND SUBSIDIARIES 

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) 

7. Long term 

Debt 

A summary of long term debt follows (in thousands): 

June 30, 

2003  2002 

3.5% Convertible Subordinated Notes due February 2006 ("3.5% Notes") 

(a)

$ 316,990    $  316,990

Unsecured $875 million revolving credit agreement ("$875 million Credit Facility") payable 

to banks, due in December 2005 

(b)

 177,700 

Unsecured $450 million revolving credit agreement ("$450 million Credit Facility") payable 

to banks, due in December 2004 

(c) 

  15,000

Interim credit facility due December 2003 

(d)

   375,000 

Capitalized lease obligations at various interest rates, 

          payable through 2005 

5,414   

2,281

Other 

 292

500,104  

709,563

Less current portion 

     (1,764)  

   (1,330)

$ 498,340     $ 708,233

Maturities of long term debt at June 30, 2003 are as follows: 

Year ending June 30, 

2004 

$             1,764 

2005 

1,590 

2006 

495,568 

2007 

784 

2008 

            398   

Total 

$         500,104 

(a)  The 3.5% Notes are convertible by the holder at any time prior to the maturity date, unless redeemed or repurchased, into Class A common stock at a 

conversion rate of 23.0234 shares of Class A common stock for each $1,000 principal amount of 3.5% Notes (equivalent to a conversion price of 

$43.44 per share of Class A common stock), subject to adjustments in certain events. Interest on the 3.5% Notes is payable semi annually on February 

15 and August 15 of each year commencing August 15, 2001. The 3.5% Notes may be redeemed at our option on or after February 18, 2004, in whole 

or in part, at the redemption prices set forth in the 3.5% Notes, which are 101.4% and 100.7% of the principal amount for the twelve month periods 

beginning February 18, 2004 and February 15, 2005, respectively. 

(b)  Interest on the $875 million Credit Facility is payable monthly at floating rates and fees based upon LIBOR and ACS' credit rating.  As a result, rates 

will fluctuate with both changes in the overall interest rate environment as well as changes in ACS' credit rating.  Currently, borrowings bear interest 

at LIBOR (1.12% at June 30, 2003) plus .575%, a facility fee of 0.175% per annum on the committed amount of the facility and a usage fee of 0.125% 

per annum.  The usage fee is applicable only when borrowings exceed $437.5 million.  The agreement contains covenants which require that we 

comply with certain negative, affirmative and financial covenants customary in facilities of this nature, including but not limited to the maintenance of 

fixed charge ratios and minimum net worth requirements. The agreement also has provisions which would permit acceleration of the maturity of the 

borrowings after the occurrence of certain defined events of default. As of June 30, 2003 we were in compliance with the covenants of our $875 

million Credit Facility. 

(c)  During fiscal 2000, we entered into this Credit Facility, which increased the amount of availability from $200 million to $450 million. Interest on the 

Credit Facility is payable monthly at LIBOR plus a range of .625% to 1.125% depending on a defined debt to EBITDA ratio.  The Credit Facility 

contains covenants which require that we comply with certain negative, affirmative and financial covenants customary in facilities of this nature, 

including but not limited to the maintenance of fixed charge ratios, limitations on acquisitions and minimum net worth requirements. The agreement 

also has provisions which would permit acceleration of the maturity of the borrowings after the occurrence of certain defined events of default. This 

credit facility was terminated in fiscal year 2003. 

(d)  The interim credit facility was entered into to fund a portion of the AFSA Data Corporation acquisition.  Interest on the interim credit facility is 

payable monthly at LIBOR plus a range of 0.850% to 1.875% depending on our credit rating.  The interim credit facility contains covenants which 

require that we comply with certain negative, affirmative and financial covenants customary in facilities of this nature, including but not limited to the 

maintenance of fixed charge ratios, limitations on acquisitions and minimum net worth requirements.  The interim credit facility also has provisions 

that would permit acceleration of the maturity of the borrowings after the occurrence of certain defined events of default.  This credit facility was 

terminated in fiscal year 2003. 

Cash payments for interest for the years ended June 30, 2003, 2002, and 2001 were approximately $21.1 million, $27.5 

million, and $19.3 million, respectively.  

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