Notes payable and other borrowings

12 Months Ended

Dec. 31, 2024

Debt Disclosure [Abstract]

Notes payable and other borrowings

(19)Notes payable and other borrowings

Notes payable and other borrowings of our insurance and other businesses are summarized below (dollars in millions). The weighted average interest rates and maturity date ranges are based on borrowings as of December 31, 2024.

	Weighted Average			December 31,
	Interest Rate			2024		2023
Insurance and other:
Berkshire Hathaway Inc. (“Berkshire”):
U.S. Dollar denominated due 2025-2047		3.5	%	$	3,749	$	3,740
Euro denominated due 2025-2041		1.1	%		4,733		6,145
Japanese Yen denominated due 2025-2060		1.0	%		12,609		8,896
Berkshire Hathaway Finance Corporation (“BHFC”):
U.S. Dollar denominated due 2027-2052		3.6	%		14,469		14,463
Great Britain Pound denominated due 2039-2059		2.5	%		2,156		2,191
Euro denominated due 2030-2034		1.8	%		1,290		1,374
Pilot Travel Centers (“Pilot”)		—			—		5,776
Other subsidiary borrowings due 2025-2051		4.5	%		4,564		4,696
Short-term subsidiary borrowings		6.3	%		1,315		1,187
				$	44,885	$	48,468

Berkshire parent company borrowings consist of senior unsecured debt. In 2024, Berkshire repaid approximately $1.9 billion of maturing senior notes. At various dates in 2024, Berkshire borrowed approximately ¥837.4 billion (approximately $5.5 billion) under senior note issuances and term loan agreements. The borrowings have interest rates ranging from 0.974% to 2.625% and maturity dates ranging from 2027 to 2054.

Notes to Consolidated Financial Statements

(19)Notes payable and other borrowings

Borrowings of BHFC, a wholly-owned finance subsidiary of Berkshire, consist of senior unsecured notes used to fund manufactured housing loans originated or acquired and equipment held for lease of certain subsidiaries. BHFC borrowings are fully and unconditionally guaranteed by Berkshire. Berkshire also guarantees certain debt of other subsidiaries, aggregating approximately $2.7 billion at December 31, 2024. Generally, Berkshire’s guarantee of a subsidiary’s debt obligation is an absolute, unconditional and irrevocable guarantee of the full and prompt payment when due of all payment obligations.

Pilot’s borrowings at December 31, 2023 were primarily secured syndicated loans. In 2024, Pilot borrowed $5.7 billion from certain Berkshire insurance subsidiaries, which Pilot used to repay its then outstanding third-party borrowings.

The carrying values of Berkshire and BHFC non-U.S. Dollar denominated senior notes (€5.85 billion, £1.75 billion and ¥1,988 billion par at December 31, 2024) reflect the applicable exchange rates as of each balance sheet date. The effects of changes in foreign currency exchange rates during the period on our borrowings are recorded in earnings as a component of selling, general and administrative expenses. Changes in the exchange rates produced pre-tax gains of $1.5 billion in 2024, $217 million in 2023 and $1.7 billion in 2022.

Notes payable and other borrowings of our railroad, utilities and energy businesses are summarized below (dollars in millions). The weighted average interest rates and maturity date ranges are based on borrowings as of December 31, 2024.

	Weighted Average			December 31,
	Interest Rate			2024		2023
Railroad, utilities and energy:
Berkshire Hathaway Energy Company (“BHE”) and subsidiaries:
BHE senior unsecured debt due 2025-2053		4.4	%	$	13,107	$	13,101
Subsidiary and other debt due 2025-2064		4.6	%		42,150		39,072
Short-term borrowings		5.0	%		1,123		4,148
Burlington Northern Santa Fe (“BNSF”) and subsidiaries due 2025-2097		4.7	%		23,497		23,482
				$	79,877	$	79,803

BHE subsidiary debt represents amounts issued pursuant to separate financing agreements. Substantially all of the assets of certain BHE subsidiaries are, or may be, pledged or encumbered to support or otherwise secure such debt. These borrowing arrangements generally contain various covenants, including covenants which pertain to leverage ratios, interest coverage ratios and/or debt service coverage ratios. In 2024, BHE subsidiaries issued $6.4 billion of term debt with a weighted average interest rate of 5.4% and maturity dates ranging from 2029 to 2055 and BHE and its subsidiaries repaid term debt and short-term borrowings aggregating approximately $5.9 billion. In 2025, BHE subsidiaries issued term debt of $1.5 billion, with maturities ranging from 2035 to 2055 and a weighted average interest rate of 6.0%.

BNSF’s borrowings are primarily senior unsecured debentures. In 2024, BNSF issued $1.3 billion of 5.5% debentures due in 2055 and repaid $1.3 billion of debentures. As of December 31, 2024, BHE, BNSF and their subsidiaries were in compliance with all applicable debt covenants. Berkshire does not guarantee any debt, borrowings or lines of credit of BHE, BNSF or their subsidiaries.

Unused and available lines of credit and commercial paper capacity to support operations and provide additional liquidity for our subsidiaries were approximately $11.4 billion at December 31, 2024, of which approximately $10.1 billion related to BHE and its subsidiaries.

Debt principal repayments expected during each of the next five years are as follows (in millions). Amounts in 2025 include short-term borrowings.

	2025		2026		2027		2028		2029
Insurance and other	$	4,334	$	4,313	$	4,788	$	2,214	$	2,595
Railroad, utilities and energy		5,032		1,435		1,632		1,749		3,731
	$	9,366	$	5,748	$	6,420	$	3,963	$	6,326