In 2009, interest expense was $80 million, an increase of $44 million compared to 2008. The net loss of $3,794 million in 2009 led to higher debt balances compared to 2008. This combined with the addition of long-term fixed rate debt for the first time since 2002, produced the increase in interest expense. Although the long-term debt carries higher interest rates than prevailing rates for short-term debt, the long-term obligations were issued at historically favorable rates and they represent a prudent restructuring of our debt portfolio. In 2008 and 2007, with less debt to repay and more cash on hand throughout the year, interest expense totaled $36 million and $10 million respectively.
