Debt

Debt obligations



	As of
	September 30, 2018			December 31, 2017
	(In millions)
Long-term debt:
CAD 400 million 2.25% notes due 2018	$	—		$	318.2
CAD 500 million 2.75% notes due 2020	387.4			397.7
CAD 500 million 2.84% notes due 2023	387.4			397.7
CAD 500 million 3.44% notes due 2026	387.4			397.7
$500 million 1.45% notes due 2019	500.0			500.0
$500 million 1.90% notes due 2019⁽¹⁾	499.4			498.5
$500 million 2.25% notes due 2020⁽¹⁾⁽²⁾	498.8			498.2
$1.0 billion 2.10% notes due 2021	1,000.0			1,000.0
$500 million 3.5% notes due 2022⁽¹⁾	510.0			512.2
$2.0 billion 3.0% notes due 2026	2,000.0			2,000.0
$1.1 billion 5.0% notes due 2042	1,100.0			1,100.0
$1.8 billion 4.2% notes due 2046	1,800.0			1,800.0
EUR 500 million notes due 2019	580.2			600.3
EUR 800 million 1.25% notes due 2024	928.3			960.4
Other long-term debt	48.6			22.1
Less: unamortized debt discounts and debt issuance costs	(67.8		)	(75.9		)
Total long-term debt (including current portion)	10,559.7			10,927.1
Less: current portion of long-term debt	(1,589.4		)	(328.4		)
Total long-term debt	$	8,970.3		$	10,598.7

Short-term borrowings:
Commercial paper program	$	—		$	379.0
Other short-term borrowings⁽³⁾	12.6			7.4
Current portion of long-term debt	1,589.4			328.4
Current portion of long-term debt and short-term borrowings	$	1,602.0		$	714.8


(1)	The fair value hedges related to these notes have been settled and are being amortized over the life of the respective note.

(2)

During the second quarter of 2018, we entered into cross currency swaps in order to hedge a portion of the foreign currency translational impacts of our European investment. As a result of the swaps, we economically converted our $500 million 2.25% senior notes due 2020 and associated interest to EUR denominated, which will result in a EUR interest rate to be received at 0.85%. See Note 12, "Derivative Instruments and Hedging Activities" for further details.

(3)

As of September 30, 2018, we had $5.7 million in bank overdrafts and $134.7 million in bank cash related to our cross-border, cross-currency cash pool, for a net positive position of $129.0 million. As of December 31, 2017, we had $1.2 million in bank overdrafts and $37.8 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $36.6 million. We had total outstanding borrowings of $6.6 million and $3.2 million under our two JPY overdraft facilities as of September 30, 2018, and December 31, 2017, respectively. In addition, we have GBP and CAD lines of credit under which we had no borrowings as of September 30, 2018, or December 31, 2017.

Debt Fair Value Measurements

We utilize market approaches to estimate the fair value of certain outstanding borrowings by discounting anticipated future cash flows derived from the contractual terms of the obligations and observable market interest and foreign exchange rates. As of September 30, 2018, and December 31, 2017, the fair value of our outstanding long-term debt (including the current portion of long-term debt) was approximately $10.1 billion and $11.2 billion, respectively. All senior notes are valued based on significant observable inputs and classified as Level 2 in the fair value hierarchy. The carrying values of all other outstanding long-term borrowings and our short-term borrowings approximate their fair values and are also classified as Level 2 in the fair value hierarchy.

Revolving Credit Facility

We had no borrowings drawn on our $1.5 billion revolving credit facility as of September 30, 2018. The maximum leverage ratio of this facility is 5.25x debt to EBITDA, with a decline to 4.00x debt to EBITDA as of the last day of the fiscal quarter ending December 31, 2020. During the third quarter of 2018 we extended the maturity date of our revolving credit facility by one year to July 7, 2023.

Under the terms of each of our debt facilities, we must comply with certain restrictions. These include customary events of default and specified representations and warranties and covenants, including, among other things, covenants that restrict our ability to incur certain additional priority indebtedness, create or permit liens on assets, or engage in mergers or consolidations. As of September 30, 2018, we were in compliance with all of these restrictions and have met all debt payment obligations. All of our outstanding senior notes as of September 30, 2018, rank pari-passu.