The IT giant, Microsoft Corp said on Tuesday that it is going to restructure its debt. It will be making a judicious mixture of different means to be able to reduce the burden without affecting its profitability or financial status.

Microsoft said that it is planning to make a private offer. This would include senior notes and will also be making use of proceeds. The money thus generated shall be used to pay back short-term debts of the company.

For the long-term debts, it said that the financial position of the company is strong enough to look after them.

The Redmond-based company said that it is also considering the option of repurchasing its own shares. This will be done via common stocks that may or may not be done during the private offering.

It also said that the offering is going to represent $1.15 billion in aggregate principal amount. This will be in form of convertible senior notes which are due for 2013.

As of now, the initial buyers will have a 13-day option to purchase till $100,000 additional convertible notes. This will be the principal amount.