RAYTHEON COMPANY 333 Notes to Consolidated Financial Statements (Continued) 33333333333333333333333333333333333333333333 In addition, the Company has entered into joint ventures formed specifically to facilitate a teaming arrangement between two con- tractors for the benefit of the customer, generally the U.S. govern- ment, whereby the Company receives a subcontract from the joint venture in the joint venture’s capacity as prime contractor. Accordingly, the Company records the work it performs for the joint venture as operating activity.  Certain joint ventures and equity and cost method invest- ments are not listed separately in the table above as the Company’s investment in these entities is less than $5 million. Information for these joint ventures and investments has not been separately disclosed since they are not material either individually or in the aggregate. Notes payable and long-term debt consisted of the following at December 31: The floating rate notes due in 2005 are redeemable on or after June 10, 2004 at the option of the Company at a redemption price equal to 100 percent of par. The debentures due in 2025 are redeemable at the option of the Company on or after July 15, 2005 at redemption prices no greater than 103 percent of par. The notes and debentures redeemable at any time are at redemption prices equal to the present value of remaining principal and interest pay- ments. Information about the subordinated notes payable is included in Note J, Equity Security Units. In 2003, the Company issued $425 million of long-term debt and used the proceeds to reduce the amounts outstanding under the Company’s lines of credit. Also in 2003, the Company issued $500 million of long-term debt and $200 million of floating rate notes. The proceeds were used to partially fund the repurchase of long-term debt with a par value of $924 million at a loss of $77 mil- lion pretax, which was included in other expense, $50 million after- tax, or $0.12 per diluted share. The Company has on file a shelf registration with the Securities and Exchange Commission regis- tering the issuance of up to $3.0 billion in debt securities, common or preferred stock, warrants to purchase any of the aforementioned securities, and/or stock purchase contracts, under which $1.3 bil- lion remained outstanding at December 31, 2003. In December 2003, the Company entered into various interest rate swaps that correspond to a portion of the Company’s fixed rate debt in order to effectively hedge interest rate risk. The $250 mil- lion notional value of the interest rate swaps effectively converted a portion of the Company’s total debt to variable rate debt. In 2002, the Company issued $575 million of long-term debt to reduce the amounts outstanding under the Company’s lines of credit. Also in 2002, the Company repurchased debt with a par value of $96 million at a gain of $2 million pretax, which was included in other income, or $1 million after-tax.  In 2001, the Company repurchased long-term debt with a par value of $1,375 million at a loss of $24 million pretax, which was included in other expense, $16 million after-tax, or $0.04 per diluted share. In 2001, the Company entered into various interest rate swaps that corresponded to a portion of the Company’s fixed rate debt in order to effectively hedge interest rate risk. In 2002, the Company closed out these interest rate swaps and received proceeds of $95 million which are being amortized over the remaining life of the debt as a reduction of interest expense. At December 31, 2003, the unamortized balance was $45 million.  333 NOTE I: NOTES PAYABLE AND  LONG-TERM DEBT (In millions) 2003 2002 Notes payable at a weighted-average interest rate of 6.25% for 2003 and 4.48% for 2002 $ 15 $ 1 Current portion of long-term debt — 1,152 Notes payable and current portion of long-term debt 15 1,153 Notes due 2003, 5.70%, not redeemable  prior to maturity — 377 Notes due 2003, 7.90%, not redeemable  prior to maturity — 775 Notes due 2005, 6.30%, not redeemable  prior to maturity 123 438 Notes due 2005, floating rate, 1.64% at December 31, 2003, redeemable after 2004 200 — Notes due 2005, 6.50%, not redeemable  prior to maturity 689 687 Notes due 2006, 8.20%, redeemable at any time 191 797 Notes due 2007, 4.50%, redeemable at any time 224 224 Notes due 2007, 6.75%, redeemable at any time 924 920 Notes due 2008, 6.15%, redeemable at any time 542 542 Notes due 2010, 6.00%, redeemable at any time 222 222 Notes due 2010, 6.55%, redeemable at any time 244 244 Notes due 2010, 8.30%, redeemable at any time 398 398 Notes due 2011, 4.85%, redeemable at any time 496 — Notes due 2012, 5.50%, redeemable at any time 346 345 Notes due 2013, 5.375%, redeemable at any time 419 — Debentures due 2018, 6.40%, redeemable at any time 372 371 Debentures due 2018, 6.75%, redeemable at any time 249 249 Debentures due 2025, 7.375%, redeemable after 2005  205 205 Debentures due 2027, 7.20%, redeemable at any time 359 359 Debentures due 2028, 7.00%, redeemable at any time 184 184 Other notes with varying interest rates  85 6 Interest rate swaps 45 89 Less installments due within one year — (1,152) Long-term debt 6,517 6,280 Subordinated notes payable 859 858 Total debt issued and outstanding  $7,391 $ 8,291