Debt

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

Debt

Debt

The following table sets forth our outstanding debt:

	March 31, 2022		December 31, 2021
	(In millions)
2.5% (€650 million) senior notes due 2022	$	—	$	735
3.6% senior notes due 2023	497		497
4.5% senior notes due 2024	498		498
6.25% senior notes due 2025	1,034		1,033
5.0% senior notes due 2026	746		745
0% convertible senior notes due 2026	986		986
4.625% senior notes due 2027	744		744
3.8% senior notes due 2028	994		994
3.25% senior notes due 2030	1,236		1,235
2.95% senior notes due 2031	984		983
Long-term debt(1)	7,719		8,450
Current maturities of long-term debt	—		(735)
Long-term debt, excluding current maturities	$	7,719	$	7,715

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(1)Net of applicable discounts and debt issuance costs.

Redemption of 2.5% Notes

On March 3, 2022, we early redeemed all of our €650 million registered senior unsecured notes that were due June 2022 and bore interest at 2.5% (the “2.5% Notes”). The redemption price for the 2.5% Notes was 100% of the aggregate principal amount thereof plus accrued and unpaid interest thereon through the redemption date of €12 million.

Long-term Debt

Additional information about our $1 billion aggregate principal amount of unsecured 0% convertible senior notes due 2026 (the “Convertible Notes”) and our other outstanding senior notes (collectively the “Senior Notes”), see Note 8 – Debt of the Notes to Consolidated Financial Statements in our 2021 Form 10-K.

All of our outstanding Senior Notes are senior unsecured obligations issued by Expedia Group and guaranteed by certain domestic Expedia Group subsidiaries. The Senior Notes rank equally in right of payment with all of our existing and future unsecured and unsubordinated obligations of Expedia Group and the guarantor subsidiaries. In addition, the Senior Notes include covenants that limit our ability to (i) create certain liens, (ii) enter into sale/leaseback transactions and (iii) merge or consolidate with or into another entity or transfer substantially all of our assets. The Senior Notes are redeemable in whole or in part, at the option of the holders thereof, upon the occurrence of certain change of control triggering events at a purchase price in cash equal to 101% of the principal plus accrued and unpaid interest. Accrued interest related to the Senior Notes was $57 million and $98 million as of March 31, 2022 and December 31, 2021.

Estimated Fair Value. The total estimated fair value of our Senior Notes was approximately $6.8 billion and $8.0 billion as of March 31, 2022 and December 31, 2021. Additionally, the estimated fair value of the Convertible Notes was $1.2 billion as of both March 31, 2022 and December 31, 2021. The fair value was determined based on quoted market prices in less active markets and is categorized according as Level 2 in the fair value hierarchy.

Credit Facilities

Revolving Credit Facility. As of March 31, 2022, Expedia Group maintained a $1.145 billion revolving credit facility with a group of lenders that was to expire on May 31, 2023 (the “Revolving Credit Facility”). Obligations under the Revolving Credit Facility were secured by substantially all of the assets of the Company and its subsidiaries that guarantee the facility (subject to certain exceptions, including for our headquarters located in Seattle, WA) up to the maximum amount permitted under the indentures governing the Senior Notes without securing such Senior Notes. Loans under the Revolving Credit Facility bore interest at a per annum rate equal to an index rate plus margin depending on the Company’s credit ratings (A) in the case of eurocurrency loans ranging from 1.00% to 1.75%, and (B) in the case of base rate loans, at rates ranging from 0.00% to 0.75%. The Revolving Credit Facility contained covenants including a maximum leverage ratio.

As of March 31, 2022 and December 31, 2021, we had no Revolving Credit Facility borrowings outstanding. The amount of stand-by letters of credit (“LOC”) issued under the Revolving Credit Facility reduced the credit amount available. As of March 31, 2022 and December 31, 2021, there was $36 million and $14 million of outstanding stand-by LOCs issued under the facility.

Foreign Credit Facility. As of March 31, 2022, the Company and Expedia Group International Holdings III, LLC (the “Borrower”) also maintained an $855 million credit facility with a group of lenders that was to expire on May 31, 2023 (the “Foreign Credit Facility”). Obligations under the Foreign Credit Facility were unsecured. Such obligations were guaranteed by the Company, its subsidiaries that guarantee obligations under the Revolving Credit Facility, as mentioned above, and certain of the Company’s additional subsidiaries.

Loans under the Foreign Credit Facility bore interest at a per annum rate equal to an index rate plus a margin depending on the Company’s credit ratings (A) in the case of eurocurrency loans, ranging from 1.25% to 2.00%, and (B) in the case of base rate loans, ranging from 0.25% to per 1.00%.

The covenants, events of default and other terms and conditions in the Foreign Credit Facility were substantially similar to those in the Revolving Credit Facility, but included additional limitations on the Borrower and certain other entities that are not obligors under the Revolving Credit Facility.

As of March 31, 2022 and December 31, 2021, we had no Foreign Credit Facility borrowings outstanding.