Debt And Financing Arrangements

6 Months Ended

Jun. 30, 2020

Debt Disclosure [Abstract]

Debt And Financing Arrangements

Debt and Financing Arrangements

In June 2020, the Company redeemed $495 million aggregate principal amount of 4.479% debentures and incurred $14 million in early debt repayment expenses related to the indenture agreement’s make-whole call provision.

On March 27, 2020, the Company issued $0.5 billion and $1.0 billion aggregate principal amounts of 2.75% Notes due in 2025 and 3.25% Notes due in 2030, respectively. Net proceeds before expenses for the 2.75% and 3.25% Notes were $492 million and $988 million, respectively.

At June 30, 2020, the fair value of the Company’s long-term debt exceeded the carrying value by $2.4 billion, as estimated using quoted market prices (a Level 2 measurement under applicable accounting standards).

At June 30, 2020, the Company had lines of credit, including the accounts receivable securitization programs described below, totaling $10.9 billion, of which $9.7 billion was unused.  Of the Company’s total lines of credit, $5.0 billion supported the combined U.S. and European commercial paper borrowing programs, against which there was no commercial paper outstanding at June 30, 2020.

The Company has accounts receivable securitization programs (the “Programs”). The Programs provide the Company with up to $1.8 billion in funding resulting from the sale of accounts receivable, of which $1.2 billion was unused as of June 30, 2020 (see Note 16 for more information about the Programs).