DEBT, CREDIT FACILITIES AND LEASE COMMITMENTS

12 Months Ended

Dec. 31, 2019


DEBT AND CREDIT FACILITIES

Debt Outstanding

At December 31, 2019 and 2018, we had the following debt outstanding:


					As Restated
as of December 31 (in millions)	Effective interest rate in 2019		2019¹		2018¹
Variable-rate loan due 2020	1.0	%	$	313	$	310
1.7% notes due 2021	1.9	%	398		398
2.4% notes due 2022	2.5	%	203		202
0.40% notes due 2024	0.6	%	834		—
1.3% notes due in 2025	1.4	%	669		684
2.6% notes due 2026	2.7	%	746		745
7.65% debentures due 2027	7.7	%	5		5
6.625% debentures due 2028	6.7	%	98		98
1.3% notes due 2029	1.3	%	830		—
6.25% notes due 2037	6.3	%	265		265
3.65% notes due 2042	3.7	%	6		6
4.5% notes due 2043	4.5	%	255		255
3.5% notes due 2046	3.6	%	440		439
Finance leases and other	10.0 %		62		76
Total debt			5,124		3,483
Current portion			(315)		(2)
Long-term portion			$	4,809	$	3,481

¹Book values include any discounts, premiums and adjustments related to hedging instruments.

Significant Debt Issuances

In May 2017, we issued €600 million of 1.3% senior notes due May 2025. In May 2019, we issued €750 million of 0.40% senior notes due May 2024 and €750 million of 1.3% senior notes due May 2029. We have designated these debt instruments as net investment hedges of our European operations. Refer to Note 16 for additional information.

Credit Facilities

In December 2019, we entered into new U.S. and Euro-denominated credit facilities. Our U.S. dollar-denominated revolving credit facility has a capacity of $2.0 billion and our Euro-denominated senior revolving credit facility has a capacity of approximately €200 million. Each of the facilities matures in 2024. As of December 31, 2019, we had €200 million ($224 million) outstanding under our Euro-denominated facility at a 0.91% interest rate and no borrowings outstanding under our U.S. dollar-denominated credit facility. The facilities enable us to borrow funds on an unsecured basis at variable interest rates, and contain various covenants, including a maximum net leverage ratio. Fees under the credit facilities are 0.09% annually as of December 31, 2019 and are based on our credit ratings and the total capacity of the facility. Prior to entering into these new credit facilities, our previous U.S. dollar-denominated revolving credit facility and Euro-denominated senior revolving credit facility had a maximum capacity of $1.5 billion and €200 million, respectively. Fees under these credit facilities were 0.10% annually as of December 31, 2018 and were based on our credit ratings and the total capacity of the facility. There were no borrowings outstanding under these credit facilities as of December 31, 2018.

We also maintain other credit arrangements, which totaled approximately $200 million as of December 31, 2019 and 2018, respectively. We had $2 million outstanding under these arrangements as of December 31, 2019 and 2018, respectively.

As of December 31, 2019, we were in compliance with the financial covenants in these agreements. The non-performance of any financial institution supporting any of the credit facilities would reduce the maximum capacity of these facilities by each institution’s respective commitment.

Future Debt Maturities


as of and for the years ended December 31 (in millions)	Debt maturities
2020	$	315
2021	402
2022	207
2023	1
2024	842
Thereafter	3,393
Total obligations and commitments	5,160
Discounts, premiums, and adjustments relating to hedging instruments	(36)
Total debt	$	5,124