| Schedule of Long-Term Borrowings and Weighted Average Interest Rates |
Long-term borrowings consist of borrowings and capital leases having original maturities of one year or more. The following table provides a summary of the Company’s long-term borrowings and weighted-average interest rates on outstanding balances (dollars in millions): | | | | | | | | | | | | | | | | March 31, 2015 | | December 31, 2014 | | Maturity | | Interest
Rate | | Weighted-Average Interest Rate | | Outstanding Amount | | Outstanding Amount | Securitized Debt | | | | | | | | | | Fixed-rate asset-backed securities(1) | 2015-2019 | | 0.69-5.65% | | 1.88% | | $ | 7,950 |
| | $ | 8,950 |
| Floating-rate asset-backed securities(2)(3) | 2015-2019 | | 0.35-0.75% | | 0.52% | | 7,949 |
| | 7,000 |
| Total Discover Card Master Trust I and Discover Card Execution Note Trust | | | | | | | 15,899 |
| | 15,950 |
| | | | | | | | | | | Floating-rate asset-backed securities(4)(5)(6)(7) | 2031-2042 | | 0.42-4.25% | | 1.94% | | 1,370 |
| | 1,445 |
| Total SLC Private Student Loan Trusts | | | | | | | 1,370 |
| | 1,445 |
| Total Long-Term Borrowings - owed to securitization investors | | | | | | | 17,269 |
| | 17,395 |
| | | | | | | | | | | Discover Financial Services (Parent Company) | | | | | | | | | | Fixed-rate senior notes(1) | 2017-2025 | | 3.75-10.25% | | 4.76% | | 2,064 |
| | 1,558 |
| | | | | | | | | | | Discover Bank | | | | | | | | | | Senior bank notes | 2018-2026 | | 2.00-4.25% | | 3.38% | | 2,892 |
| | 2,892 |
| Subordinated bank notes | 2019-2020 | | 7.00-8.70% | | 7.49% | | 698 |
| | 698 |
| | | | | | | | | | | Capital lease obligations | 2016 | | 4.51% | | 4.51% | | 1 |
| | 1 |
| Total long-term borrowings | | | | | | | $ | 22,924 |
| | $ | 22,544 |
| | | | | | | | | | |
| | (1) | The Company uses interest rate swaps to hedge portions of these long-term borrowings against changes in fair value attributable to changes in London Interbank Offered Rate (“LIBOR”). Use of these interest rate swaps impacts carrying value of the debt. See Note 14: Derivatives and Hedging Activities. |
| | (2) | Discover Card Execution Note Trust floating-rate asset-backed securities include issuances with the following interest rate terms: 1-month LIBOR + 18 to 58 basis points and 3-month LIBOR + 20 basis points. |
| | (3) | The Company uses interest rate swaps to manage its exposure to changes in interest rates related to future cash flows resulting from interest payments on a portion of these long-term borrowings. There is no impact on debt carrying value from use of these interest rate swaps. See Note 14: Derivatives and Hedging Activities. |
| | (4) | SLC Private Student Loan Trusts floating-rate asset-backed securities include issuances with the following interest rate terms: 3-month LIBOR + 17 to 45 basis points, Prime rate + 75 to 100 basis points and 1-month LIBOR + 350 basis points. |
| | (5) | The Company acquired an interest rate swap related to the securitized debt assumed in the SLC transaction. The swap does not qualify for hedge accounting and has no impact on debt carrying value. See Note 14: Derivatives and Hedging Activities. |
| | (6) | Repayment of this debt is dependent upon the timing of principal and interest payments on the underlying student loans. The dates shown represent final maturity dates. |
| | (7) | Includes $339 million of senior notes maturing in 2031, $784 million of senior and subordinated notes maturing in 2036 and $247 million of senior notes maturing in 2042 as of March 31, 2015. |
|
| Schedule of Long-Term Borrowings Maturities |
Long-term borrowings had the following maturities (dollars in millions): | | | | | Year | March 31, 2015 | Due in 2015 | $ | 2,301 |
| Due in 2016 | 3,050 |
| Due in 2017 | 5,107 |
| Due in 2018 | 3,599 |
| Due in 2019 | 3,278 |
| Thereafter | 5,589 |
| Total | $ | 22,924 |
| | |
|