9. Borrowings and Lines of Credit

Borrowings consist of the following:



	December 31, 2012		December 31, 2011
Short-term
Current portion of long-term debt	$	3,266	$	1,022
Commercial paper	607,500		—
	$	610,766	$	1,022



	December 31, 2012			December 31, 2011
Long-term
4.875% 10-year notes due October 15, 2015	$	299,441		$	299,244
5.45% 10-year notes due March 15, 2018	348,268			347,938
4.30% 10-year notes due March 1, 2021	449,787			449,761
6.60% 30-year notes due March 15, 2038	247,771			247,683
5.375% 30-year notes due March 1, 2041	345,511			345,352
6.65% 30-year debentures due June 1, 2028	199,448			199,414
5.375% 30-year debentures due October 15, 2035	296,367			296,208
Other	6,023			1,652
Total long-term debt	2,192,616			2,187,252
Less current portion	(3,266		)	(1,022		)
	$	2,189,350		$	2,186,230

The Company maintains a $1 billion unsecured revolving credit facility with a syndicate of banks (the "Credit Agreement") which expires on November 10, 2016. At the Company's election, loans under the Credit Agreement will bear interest at a Eurodollar or Sterling rate based on LIBOR, plus an applicable margin ranging from 0.565% to 1.225% (subject to adjustment based on the credit rating accorded the Company's senior unsecured debt by S&P and Moody's), or at a base rate pursuant to a formula defined in the Credit Agreement. In addition, the Credit Agreement requires the Company to pay a facility fee and imposes various restrictions on the Company such as, among other things, the requirement for the Company to maintain an interest coverage ratio of EBITDA to consolidated net interest expense of not less than 3.0 to 1. The Company was in compliance with this covenant and its other long-term debt covenants at December 31, 2012 and had a coverage ratio of 13.9 to 1. The Company primarily uses this facility as liquidity back-up for its commercial paper program and has not drawn down any loans under the $1 billion facility and does not anticipate doing so. The Company generally uses commercial paper borrowings for general corporate purposes, funding of acquisitions, and the repurchases of its common stock.

In the fourth quarter of 2012, the Company issued commercial paper in the amount of $607,500, used principally to fund the Anthony acquisition.

On February 22, 2011, the Company issued $450 million of 4.30% Notes due 2021 and $350 million of 5.375% Notes due 2041. The proceeds of $788,971 from the sale of the notes, net of discounts and issuance costs, were used to repay commercial paper, including commercial paper issued to repay the Company’s $400 million of 6.50% notes, which matured February 15, 2011, and for other general corporate purposes, including the acquisition of Harbison-Fischer.

During the third quarter of 2010, the lender of a structured five-year, non-interest bearing amortizing loan originally due July 2011 called the loan, as permitted per the terms of the agreement. As a result, the Company repaid the outstanding $51,214 balance and recognized a net loss on extinguishment of $4,343, recorded in other income.

The long-term note borrowings presented above are net of unamortized discounts of $9,222 and $10,023 at December 31, 2012 and 2011, respectively. The debentures presented above include unamortized discounts of $4,185 and $4,379 at December 31, 2012 and 2011, respectively. The discounts are being amortized to interest expense using the effective interest rate method over the life of the issuances. The notes and debentures are redeemable at the option of Dover in whole or in part at any time at a redemption price that includes a make-whole premium, with accrued interest to the redemption date.

Interest expense and interest income for the years ended December 31, 2012, 2011 and 2010 were as follows:



	Years Ended December 31,
	2012			2011			2010
Interest expense	$	125,995		$	124,783		$	115,324
Interest income	(4,854		)	(9,258		)	(8,953		)
Interest expense, net	$	121,141		$	115,525		$	106,371

The weighted average interest rate for short-term commercial paper borrowings was 0.2% for both 2012 and 2011.

Scheduled maturities of long-term debt for the years ending December 31 are as follows:



2013	$	3,266
2014	2,645
2015	299,441
2016	—
2017	—
2018 and thereafter	1,887,264

As of December 31, 2012, the Company had approximately $96,725 outstanding in letters of credit and guarantees with financial institutions, which expire at various dates in 2013 through 2017. These letters of credit are primarily maintained as security for insurance, warranty and other performance obligations.