DEBT AND NON-RECOURSE DEBT (Tables)

9 Months Ended

Sep. 30, 2023

Debt Disclosure [Abstract]

Schedule of Outstanding Borrowings

The following table details our outstanding debt balance and its associated interest rates:

($ in millions)	September 30, 2023		December 31, 2022
Debt(1)
Senior secured credit facility
Term loan with a rate of 8.431%, due 2028	$	1,274	$	1,284
Revolver with a rate of 7.320%, due 2026	118		40
Senior notes with a rate of 5.000%, due 2029	850		850
Senior notes with a rate of 4.875%, due 2031	500		500
Other debt	34		29
Total debt, gross	2,776		2,703
Less: unamortized deferred financing costs and discounts(2)(3)	(46)		(52)
Total debt, net	$	2,730	$	2,651

(1)As of September 30, 2023 and December 31, 2022, weighted-average interest rates were 6.666% and 6.143%, respectively.

(2)Amount includes unamortized deferred financing costs related to our term loan and senior notes of $23 million and $17 million, respectively, as of September 30, 2023 and $26 million and $19 million, respectively, as of December 31, 2022. This amount also includes unamortized original issuance discounts of $6 million and $7 million as of September 30, 2023 and December 31, 2022, respectively.

(3)Amount does not include unamortized deferred financing costs of $3 million and $4 million as of September 30, 2023 and December 31, 2022, respectively, related to our revolving facility which are included in Other assets in our condensed consolidated balance sheets.

The following table details our outstanding non-recourse debt balance and associated interest rates:

($ in millions)	September 30, 2023		December 31, 2022
Non-recourse debt(1)
Timeshare Facility with an average rate of 6.320%, due 2025(3)	$	—	$	98
HGV Securitized Debt with a weighted average rate of 2.711%, due 2028	27		42
HGV Securitized Debt with a weighted average rate of 3.602%, due 2032	72		98
HGV Securitized Debt with a weighted average rate of 2.431%, due 2033	76		101
HGV Securitized Debt with a weighted average rate of 4.304%, due 2034	128		168
HGV Securitized Debt with a weighted average rate of 4.826%, due 2037	206		251
HGV Securitized Debt with a weighted average rate of 5.937%, due 2038	284		—
HGV Securitized Debt with a weighted average rate of 3.658%, due 2039	103		134
Diamond Resorts Owner Trust 2019 with a weighted average rate of 3.255%, due 2032	59		87
Diamond Resorts Owner Trust 2021 with a weighted average rate of 2.160%, due 2033	96		134
Total non-recourse debt, gross	1,051		1,113
Less: unamortized deferred financing costs(2)	(13)		(11)
Total non-recourse debt, net	$	1,038	$	1,102

(1)As of September 30, 2023 and December 31, 2022, weighted-average interest rates were 4.304% and 3.539%, respectively.

(2)Amount relates to securitized debt only and does not include unamortized deferred financing costs of $3 million and $4 million as of September 30, 2023 and December 31, 2022, respectively, relating to our Timeshare Facility included in Other Assets in our condensed consolidated balance sheets.

(3)The revolving commitment period of the Timeshare Facility terminates in May 2024; however, the repayment maturity date extends 12 months beyond the commitment termination date to May 2025.

Schedule of Derivative Instruments Effect on Other Comprehensive Income

The following table reflects the activity, net of tax, in Accumulated other comprehensive income related to our derivative instruments during the nine months ended September 30, 2023:

	Net unrealized gain on derivative instruments
Balance as of December 31, 2022	$	48
Other comprehensive income before reclassifications, net	12
Reclassifications to net income	(13)
Balance as of September 30, 2023	$	47

Schedule of Contractual Maturities of Debt

The contractual maturities of our debt and non-recourse debt as of September 30, 2023 were as follows:

($ in millions)	Debt		Non-recourse Debt		Total
Year
2023 (remaining three months)	$	4	$	79	$	83
2024	17		273		290
2025	16		204		220
2026	133		160		293
2027	13		119		132
Thereafter	2,593		216		2,809
Total	$	2,776	$	1,051	$	3,827