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Debt
 3 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
5. DEBT
5. DEBT
Debt consists of the following.
June 30, 2024March 31, 2024
in millions
Interest Rates(1)
Principal
Unamortized Carrying 
Value Adjustments(2)
Carrying ValuePrincipal
Unamortized Carrying
Value Adjustments(2)
Carrying Value
Short-term borrowings6.06 %$623 $— $623 $759 $— $759 
Floating rate Term Loans, due September 20266.98 %744 (3)741 746 (4)742 
Floating rate Term Loans, due March 20287.48 %484 (5)479 485 (5)480 
3.25% Senior Notes, due November 2026
3.25 %750 (5)745 750 (6)744 
3.375% Senior Notes, due April 2029
3.375 %536 (7)529 540 (7)533 
4.75% Senior Notes, due January 2030
4.75 %1,600 (18)1,582 1,600 (18)1,582 
3.875% Senior Notes, due August 2031
3.875 %750 (8)742 750 (8)742 
China Bank Loans, due August 20273.90 %53 — 53 53 — 53 
Finance lease obligations and other debt, due through December 20314.38 %21 — 21 23 — 23 
Total debt$5,561 $(46)$5,515 $5,706 $(48)$5,658 
Less: Short-term borrowings
(623)— (623)(759)— (759)
Less: Current portion of long-term debt
(33)— (33)(33)— (33)
Long-term debt, net of current portion$4,905 $(46)$4,859 $4,914 $(48)$4,866 
____________________
(1)Interest rates are the stated rates of interest on the debt instrument (not the effective interest rate) as of June 30, 2024, and therefore exclude the effects of related interest rate swaps and accretion and amortization of debt issuance costs related to refinancing transactions and additional borrowings. We present stated rates of interest because they reflect the rate at which cash will be paid for future debt service.
(2)Amounts include unamortized debt issuance costs, fair value adjustments, and debt discounts.
Principal repayment requirements for our total debt over the next five years and thereafter using exchange rates as of June 30, 2024, for our debt denominated in foreign currencies are as follows (in millions).
As of June 30, 2024
Amount
Short-term borrowings and current portion of long-term debt due within one year$656 
2 years31 
3 years1,506 
4 years481 
5 years536 
Thereafter2,351 
Total$5,561 
Short-Term Borrowings
As of June 30, 2024, our short-term borrowings totaled $623 million, which consisted of $375 million of borrowings on our ABL Revolver, $200 million in short-term Brazil loans, and $48 million in short-term China loans (CNY 349 million). The weighted average interest rate on the short-term borrowings was 6.06% and 5.78% as of June 30, 2024, and March 31, 2024, respectively.
Term Loan Facility
In September 2023, Novelis amended the Term Loan Facility and borrowed $750 million of term loans (the "2023 Term Loans"). The proceeds of the 2023 Term Loan were used to repay the previously issued term loans due January 2025 (the "2020 Term Loans"). The 2023 Term Loans mature on September 25, 2026, are subject to 0.25% quarterly amortization payments and accrue interest at SOFR plus 1.65%.
In April 2024, the Company amended the Term Loan facility. The amendment makes certain changes that provide the Company with additional flexibility to operate its business.
As of June 30, 2024, we were in compliance with the covenants of our Term Loan Facility.
ABL Revolver
In April 2024, the Company amended the ABL Revolver facility. The amendment makes certain changes that provide the Company with additional flexibility to operate its business, including with relation to fees on obligations denominated in foreign currencies.
As of June 30, 2024, we had $375 million in borrowings under the ABL Revolver and were in compliance with debt covenants. We utilized $63 million of the ABL Revolver for letters of credit. We had availability of $1.2 billion on the ABL Revolver, including $212 million of remaining availability that can be utilized for letters of credit.
Senior Notes
The Senior Notes are guaranteed, jointly and severally, on a senior unsecured basis, by Novelis Inc. and certain of its subsidiaries. The Senior Notes contain customary covenants and events of default that will limit our ability and, in certain instances, the ability of certain of our subsidiaries to incur additional debt and provide additional guarantees; pay dividends or return capital beyond certain amounts and make other restricted payments; create or permit certain liens; make certain asset sales; use the proceeds from the sales of assets and subsidiary stock; create or permit restrictions on the ability of certain of Novelis' subsidiaries to pay dividends or make other distributions to Novelis or certain of Novelis' subsidiaries, as applicable; engage in certain transactions with affiliates; enter into sale and leaseback transactions; designate subsidiaries as unrestricted subsidiaries; and consolidate, merge, or transfer all or substantially all of our assets and the assets of certain of our subsidiaries. During any future period in which either Standard & Poor's Ratings Group, Inc. or Moody's Investors Service, Inc. have assigned an investment grade credit rating to the Senior Notes and no default or event of default under the indenture has occurred and is continuing, certain of the covenants will be suspended. The Senior Notes include customary events of default, including a cross-acceleration event of default. The Senior Notes also contain customary call protection provisions for our bondholders that extend through November 2023 for the 3.25% Senior Notes due November 2026, through April 2024 for the 3.375% Senior Notes due April 2029, through January 2025 for the 4.75% Senior Notes due January 2030, and through August 2026 for the 3.875% Senior Notes due August 2031.
As of June 30, 2024, we were in compliance with the covenants of our Senior Notes.