Note 10

SHORT-TERM BORROWINGS AND LONG-TERM DEBT

(in millions)
	Weighted Average Interest Rates	Maturity	Feb 25, 2000	Feb 26, 1999
U.S. dollar obligations:
Revolving credit facilities (1)	6.09%	2001	$ 45.4	$
Notes payable(2)	7.00% - 7.83%	2001 - 2007	60.0
Lease receivables transfer facility(3)	7.09%	2001 - 2007	170.3
Other			2.7
			278.4
Foreign currency obligations:
Revolving credit facilities(4)	3.34%	2001 - 2005	165.8
Notes payable(5)	3.45% - 7.00%	2001 - 2012	19.9
Other			2.7
			188.4
Total short-term borrowings and long-term debt			466.8
Short-term borrowings and current portion   of long-term debt			209.0
Long-term debt			$ 257.8	$

(1) In April 1999, the Company established a 364-day unsecured committed revolving credit facility with various financial institutions under which it may borrow up to $200.0 million. Borrowings under the facility mature at various dates throughout the year depending on the borrowing terms, which range from one to six months as selected by the Company, subject to certain limitations. Interest on committed borrowings, which is due no later than the maturity of such borrowings, is based on LIBOR or a floating base rate, as selected by the Company, in each case plus a margin for the applicable borrowing term. The agreement which, subject to certain conditions, may be renewed annually for additional 364-day periods, contains certain covenants which include, among others, minimum levels of tangible net worth, interest coverage and debt ratio.

Additionally, the Company has entered into agreements with certain financial institutions which provide for borrowings on unsecured non-committed short-term credit facilities of up to $90.0 million at variable interest rates determined by agreement at the time of borrowing. These agreements expire within one year, and subject to certain conditions, may be renewed annually.

(2) Notes payable represents various amounts payable to banks and others. Certain agreements contain covenants which include, among others, minimum levels of tangible net worth, interest coverage and debt ratio. Approximately $12.1 million of notes payable are collateralized by lease receivables, including certain leased assets.

(3) In October 1999, the Company established a $200.0 million committed lease receivables transfer facility under which it has the right, subject to certain conditions, to receive advances against the transfer of certain lease receivables. The advances are funded either by a bank sponsored conduit vehicle via the issuance of commercial paper or by committed financial institutions. Borrowings under the facility are repaid from the cash flow of specified lease receivables related to the Company’s leasing portfolio. The facility may be renewed annually, and advances on the facility are due monthly over the next seven years with principal payments determined based upon the related underlying leases. Interest on the facility is based on the floating commercial paper rate or LIBOR plus a margin (an effective rate of 6.13% at February 25, 2000). Lease payments on the underlying lease receivables are based upon fixed interest rates. Therefore, to hedge the exposure to changes in interest rates, the Company entered into interest rate swaps in conjunction with each borrowing that effectively provides a 7.09% fixed rate for borrowings on the facility at February 25, 2000. For more information regarding interest rate swaps, see Note 16.

(4) In August 1999, the Company established an unsecured committed multi-currency revolving credit facility with various financial institutions under which it may borrow up to euro (“EUR”) 200.0 million or its equivalent in optional currencies. The agreement is comprised of two tranches; Tranche A is a EUR 75.0 million, 364-day revolving facility and Tranche B is a EUR 125.0 million five-year term facility. Tranche A facility borrowings amounted to $75.5 million (EUR 75.0 million) at February 25, 2000. Subject to certain conditions, the Tranche A facility may be renewed annually for additional 364-day periods. Tranche B facility borrowings, which amounted to $76.5 million (EUR 76.0 million) at February 25, 2000, effectively mature at the end of the facility term. Interest on each borrowing, which is due no later than the maturity of such borrowing, is based on EURIBOR, LIBOR or a floating base rate as selected by the Company, in each case, plus a margin for the applicable borrowing term (an effective rate of 3.59% and 3.63% at February 25, 2000 for Tranche A and Tranche B borrowings, respectively). The agreement contains certain covenants, which include, among others, minimum levels of tangible net worth, interest coverage and debt ratio. To reduce its exposure to adverse changes in interest rates on long-term borrowings, the Company has entered into interest rate swap and cap agreements in the amount of Tranche B borrowings which effectively produce a 3.06% fixed interest rate as long as the 12-month EURIBOR rate remains between 3.06% and 5.00%. When the 12-month EURIBOR is less than 3.06% or greater than 5.00%, the Company pays a floating rate based on the 12-month EURIBOR. The Company’s effective interest rate on Tranche B borrowings including the effect of swaps and caps approximated 3.06% at February 25, 2000.

Additionally, the Company has entered into agreements with certain foreign financial institutions which provide for foreign borrowings on unsecured non-committed short-term credit facilities approximating $49.4 million, with interest rates determined by agreement at the time of borrowing. Borrowings on these agreements, which mature within one year and subject to certain conditions may be renewed annually, amounted to $13.8 million at February 25, 2000.

(5) Notes payable represents foreign capitalized lease obligations, collateralized by the underlying leased assets, and various other foreign third party notes payable.

Annual maturities on short-term borrowings and long-term debt are as follows:

(in millions)
2001			$ 209.0
2002			58.0
2003			47.3
2004			35.7
2005			97.1
Thereafter			19.7
			$ 466.8

Total cash paid for interest on short-term borrowings and long-term debt amounted to $10.6 million and zero for the years ended February 25, 2000 and February 26, 1999, respectively.