Debt And Financing Arrangements

9 Months Ended

Sep. 30, 2021

Debt Disclosure [Abstract]

Debt And Financing Arrangements

Debt and Financing Arrangements

On September 10, 2021, the Company issued $750 million aggregate principal amount of 2.700% Notes due September 15, 2051 (the “Notes”). Net proceeds before expenses were $732 million.

In September 2021, the Company used the proceeds of the Notes to redeem $500 million aggregate principal amount of 2.750% notes due March 27, 2025 and recognized a debt extinguishment charge of $36 million in the quarter ended September 30, 2021.

On March 25, 2021, the Company issued, in a private placement transaction, €500 million aggregate principal amount of Fixed-to-Floating Rate Senior Notes due September 25, 2022.

At September 30, 2021, the fair value of the Company’s long-term debt exceeded the carrying value by $1.7 billion, as estimated using quoted market prices (a Level 2 measurement under applicable accounting standards).

At September 30, 2021, the Company had lines of credit, including the accounts receivable securitization programs described below, totaling $12.4 billion, of which $10.5 billion was unused.  Of the Company’s total lines of credit, $6.5 billion supported the combined U.S. and European commercial paper borrowing programs, against which there was no commercial paper outstanding at September 30, 2021.

The Company has accounts receivable securitization programs (the “Programs”). The Programs provide the Company with up to $2.1 billion in funding resulting from the sale of accounts receivable with $0.6 billion unused capacity as of September 30, 2021 (see Note 16 for more information about the Programs).