FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2024

Summary of Fair Value Measurement Assets and Liabilities Measured On Recurring Basis

The following tables summarize the fair values and levels within the fair value hierarchy in which the measurements fall for assets and liabilities measured on a recurring basis as of September 30, 2024 and December 31, 2023:


	Fair Value Measurements at September 30, 2024
Financial assets:	Level 1		Level 2		Level 3		Total
Derivatives designated as hedge instruments
Cash flow hedges - cross currency contracts	$	—	$	10	$	—	$	10
Cash flow hedges - foreign currency forward contracts	—		—		—		—
Net investment hedges - cross currency contracts	—		18		—		18
Fair value hedges - cross currency contracts	—		11		—		11
Derivatives not designated as hedge instruments
Foreign currency forward contracts	—		1		—		1
Total	$	—	$	40	$	—	$	40

Financial liabilities:
Derivatives designated as hedge instruments
Cash flow hedges - interest rate swaps	—		(4)		—		(4)
Derivatives not designated as hedge instruments
Foreign currency forward contracts	—		—		—		—
Contingent consideration obligations	—		—		(9)		(9)
Total	$	—	$	(4)	$	(9)	$	(13)


	Fair Value Measurements at December 31, 2023
Financial assets:	Level 1		Level 2		Level 3		Total
Derivatives designated as hedge instruments
Cash flow hedges - interest rate swaps	$	—	$	7	$	—	$	7
Cash flow hedges - cross currency contracts	—		10		—		10
Cash flow hedges - foreign currency forward contracts	—		—		—		—
Net investment hedges - cross currency contracts	—		20		—		20
Fair value hedges - cross currency contracts	—		17		—		17
Derivatives not designated as hedge instruments
Foreign currency forward contracts	—		—		—		—
Total	$	—	$	54	$	—	$	54

Financial liabilities:
Derivatives not designated as hedge instruments
Foreign currency forward contracts	—		—		—		—
Contingent consideration obligations	—		—		(6)		(6)
Total	$	—	$	—	$	(6)	$	(6)

Summary of Reconciliation of Fair Value of Contingent Consideration Obligations

The table below presents a reconciliation of the fair value of the Company’s contingent consideration obligations that use unobservable inputs (Level 3), as well as other information about the contingent consideration obligations:


	Nine Months Ended September 30, 2024
Balance as of December 31, 2023	$	6
Issuances	9
Settlements	(6)
Balance as of September 30, 2024	$	9
Number of open contingent consideration arrangements at the end of the period	6
Maximum potential payout at the end of the period	$	9

Summary of Carrying and Fair Value Of Non-Variable Interest Rate Debt

The following table presents the carrying amount and fair value of the Company’s variable and non-variable interest rate debt (instruments defined in Note 10 –“Debt”), including current portions and excluding unamortized debt issuance costs. Fair value is estimated by discounting future cash flows at currently available rates for borrowing arrangements with similar terms and conditions, which are considered to be Level 2 inputs under the fair value hierarchy. The interest rates of the variable interest rate long-term debt instruments are generally reset monthly. During the first quarter of 2024, the Company upsized the 2021 Term Loan by an aggregate principal amount equal to $300. During the second quarter of 2024, the Company upsized the 2021 Term Loan by an aggregate principal amount equal to $550 and repriced the 2021 Term Loan and repaid the remaining $330 of the 2019 Term Loan.


	September 30, 2024				December 31, 2023
	Carrying Value		Fair Value		Carrying Value		Fair Value
2019 Term Loan	$	—	$	—	$	330	$	331
2021 Term Loan	2,257		2,257		1,407		1,407
4.125% Senior Notes	337		316		337		305
4.750% Senior Notes	277		264		277		257