FINANCIAL INSTRUMENTS

12 Months Ended

Dec. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS

    Interest Rate Derivatives – Cash Flow Hedges

    From time to time, the Company has entered into various interest rate lock agreements and forward-starting interest rate swap agreements to hedge part of the Company's interest rate exposure associated with the variability in future cash flows attributable to changes in interest rates.

    During the year ended December 31, 2024, the Company entered into forward-starting interest rate swap agreements with several financial institutions for a total notional amount of $500 million, which were accounted for as cash flow hedges. The agreements were entered into in order to hedge a portion of the Company's interest rate exposure associated with variability in future cash flows attributable to changes in interest rates over a ten-year period related to an anticipated issuance of debt. In connection with the issuance of the Senior Notes (see Note 13), these agreements were settled and the Company received $3 million. These gains are deferred in stockholders' equity, net of taxes, as a component of accumulated other comprehensive loss, and amortized as an adjustment to interest expense, net over a ten-year period.

    Interest Rate Derivatives – Fair Value Hedges

    During October 2024, the Company entered into various fixed-to-variable interest rate swap agreements which have a notional amount totaling $700 million and variable interest rates ranging from SOFR plus 1.40% to SOFR plus 1.43%. These derivative financial instruments are accounted for as fair value hedges of a portion of the Company's 2034 Senior Notes.

    As of December 31, 2024 and 2023, the following amounts were recorded on the consolidated balance sheets related to cumulative basis adjustments for fair value hedges included in the carrying amount of long-term debt:

	Carrying Amount of Hedged Long-Term Debt		Hedge Accounting Basis Adjustment (a)		Carrying Amount of Hedged Long-Term Debt		Hedge Accounting Basis Adjustment (a)
Balance Sheet Classification	December 31, 2024		December 31, 2024		December 31, 2023		December 31, 2023
Long-term debt	$	658	$	(29)	$	—	$	13

(a) The balance includes $5 million and $13 million of remaining unamortized hedging adjustments on discontinued relationships as of December 31, 2024 and 2023, respectively.

    The following table presents the effect of fair value hedge accounting on the consolidated statement of operations for the year ended December 31, 2024:

	Year ended December 31, 2024
	Interest Expense, Net
Total for line item in which the effects of fair value hedges are recorded	$	(201)
Gain (loss) on fair value hedging relationships:
Hedged items (Long-term debt)	$	34
Derivatives designated as hedging instruments	$	(34)

    

    A summary of the fair values of derivative instruments in the consolidated balance sheets was as follows:

	December 31, 2024
	Balance Sheet Classification	Fair Value
Derivatives Designated as Hedging Instruments
Fixed-to-variable interest rate swap agreements	Other liabilities	$	34