Long-Term Debt

12 Months Ended

May 31, 2020

NOTE 8 — LONG-TERM DEBT

Long-term debt, net of unamortized premiums, discounts and debt issuance costs, comprises the following:



						BOOK VALUE OUTSTANDING AS OF MAY 31,
Scheduled Maturity (Dollars and Yen in millions)	ORIGINAL PRINCIPAL		INTEREST RATE		INTEREST PAYMENTS	2020		2019
Corporate Term Debt:⁽¹⁾⁽²⁾
May 1, 2023	$	500	2.25	%	Semi-Annually	$	499	$	498
March 27, 2025	1,000		2.40	%	Semi-Annually	994		—
November 1, 2026	1,000		2.38	%	Semi-Annually	995		994
March 27, 2027	1,000		2.75	%	Semi-Annually	994		—
March 27, 2030	1,500		2.85	%	Semi-Annually	1,489		—
March 27, 2040	1,000		3.25	%	Semi-Annually	985		—
May 1, 2043	500		3.63	%	Semi-Annually	495		495
November 1, 2045	1,000		3.88	%	Semi-Annually	984		983
November 1, 2046	500		3.38	%	Semi-Annually	491		491
March 27, 2050	1,500		3.38	%	Semi-Annually	1,480		—
Japanese Yen Notes:⁽³⁾
August 20, 2001 through November 20, 2020	¥	9,000	2.60	%	Quarterly	$	2	$	6
August 20, 2001 through November 20, 2020	4,000		2.00	%	Quarterly	1		3
Total						9,409		3,470
Less current maturities						3		6
TOTAL LONG-TERM DEBT						$	9,406	$	3,464


(1)	These senior unsecured obligations rank equally with the Company's other unsecured and unsubordinated indebtedness.

(2)

The bonds are redeemable at the Company's option at a price equal to the greater of (i) 100% of the aggregate principal amount of the notes to be redeemed or (ii) the sum of the present values of the remaining scheduled payments, plus in each case, accrued and unpaid interest. However, the bonds also feature a par call provision, which allows for the bonds to be redeemed at a price equal to 100% of the aggregate principal amount of the notes being redeemed, plus accrued and unpaid interest on or after the Par Call Date, as defined in the respective notes.


(3)	NIKE Logistics YK assumed a total of ¥13.0 billion in loans as part of its agreement to purchase a distribution center in Japan, which serves as collateral for the loans. These loans mature in equal quarterly installments during the period August 20, 2001 through November 20, 2020.

The scheduled maturity of Long-term debt in each of the years ending May 31, 2021 through 2025 are $3 million, $0 million, $500 million, $0 million and $1,000 million, respectively, at face value.

The Company's long-term debt is recorded at adjusted cost, net of unamortized premiums, discounts and debt issuance costs. The fair value of long-term debt is estimated based upon quoted prices for similar instruments or quoted prices for identical instruments in inactive markets (Level 2). The fair value of the Company's long-term debt, including the current portion, was approximately $10,645 million at May 31, 2020 and $3,524 million at May 31, 2019.