PART IV ITEM 15 Exhibits and Financial Statement Schedules Cigna Corporation and Subsidiaries Schedule II – Condensed Financial Information of Cigna Corporation (Registrant) Notes to Condensed Financial Statements Note 1 – For purposes of these condensed financial statements, Cigna Corporation’s (the Company) wholly owned and majority owned subsidiaries are recorded using the equity basis of accounting. Certain reclassifications have been made to prior years’ amounts to conform to the 2012 presentation. The accompanying condensed financial statements’ prior periods have been updated to reflect the changes resulting from the retrospective adoption of amended accounting guidance for deferred policy acquisition costs effective January 1, 2012. See Note 2 to the Consolidated Financial Statements within this Form 10-K for additional information. These statements should be read in conjunction with the Consolidated Financial Statements and the accompanying notes thereto contained in this Form 10-K. Note 2 – Short-term and long-term debt consisted of the following at December 31: (In millions) December 31, 2012 December 31, 2011 Short-term: Commercial Paper $ 200 $ 100 TOTAL SHORT-TERM DEBT $ 200 $ 100 Long-term: Uncollateralized debt: 2.75% Notes due 2016 $ 600 $ 600 5.375% Notes due 2017 250 250 6.35% Notes due 2018 131 131 8.5% Notes due 2019 251 251 4.375% Notes due 2020 249 249 5.125% Notes due 2020 299 299 4.5% Notes due 2021 299 298 4% Notes due 2022 743 743 7.65% Notes due 2023 100 100 8.3% Notes due 2023 17 17 7.875% Debentures due 2027 300 300 8.3% Step Down Notes due 2033 83 83 6.15% Notes due 2036 500 500 5.875% Notes due 2041 298 298 5.375% Notes due 2042 750 750 TOTAL LONG-TERM DEBT $ 4,870 $ 4,869 outstanding. There were letters of credit of $66 million issued as of December  31,  2012. In December 2012, the Company extended the life of its June 2011 five-year revolving credit and letter of credit agreement for $1.5 billion, that permits up to $500 million to be used for letters of credit. This agreement is diversified among 16 banks, with 3 banks each having 12% of the commitment and the remainder spread among 13 banks. The credit agreement includes options that are subject to consent by the administrative agent and the committing banks, to increase the commitment amount to $2 billion and to extend the term past December 2017. The credit agreement is available for general corporate purposes, including as a commercial paper backstop and for the issuance of letters of credit. This agreement includes certain covenants, including a financial covenant requiring the Company to maintain a total debt-to-adjusted capital ratio at or below 0.50 to 1.00. As of December 31, 2012, the Company had $5.3 billion of borrowing capacity within the maximum debt coverage covenant in the agreement in addition to the $5.2 billion of debt On November 10, 2011, the Company issued $2.1 billion of long-term debt as follows: $600 million of 5-Year Notes due November 15, 2016 at a stated interest rate of 2.75% ($600 million, net of discount, with an effective interest rate of 2.936% per year), $750 million of 10-Year Notes due February 15, 2022 at a stated interest rate of 4% ($743 million, net of discount, with an effective interest rate of 4.346% per year) and $750 million of 30-Year Notes due February 15, 2042 at a stated interest rate of 5.375% ($750 million, net of discount, with an effective interest rate of 5.542% per year). Interest is payable on May 15 and November 15 of each year beginning May 15, 2012 for the 5-Year Notes and February 15 and August 15 of each year beginning February 15, 2012 for the 10-Year and 30-Year Notes. The proceeds of this debt were used to reduce the intercompany payable balance with Cigna CIGNA CORPORATION -  2012 Form  10-K FS-7