Debt (Tables)

9 Months Ended

Sep. 30, 2019

Debt Disclosure [Abstract]

Components of Debt

The components of debt as of September 30, 2019 and December 31, 2018 consisted of the following:

	September 30, 2019
(in millions)	Debt Instrument		Unamortized Issuance Expense			Unamortized Debt Discount		Total
Current portion of long-term debt:
4.05% Senior Notes due January 2020 (1)	$	52	$	—		$	—	$	52
Total current portion of long-term debt	$	52	$	—		$	—	$	52
Long-term debt:
Variable rate (3.420% at September 30, 2019) 2018 revolving credit facility, due April 2023	$	—	$	—	(2)	$	—	$	—
4.10% Senior Notes due March 2022	213		(1)			—		212
4.95% Senior Notes due January 2025 (1)(3)	896		(7)			(1)		888
7.50% Senior Notes due April 2026 (3)	639		(7)			—		632
7.75% Senior Notes due October 2027 (3)	492		(5)			—		487
Total long-term debt	$	2,240	$	(20)		$	(1)	$	2,219
Total debt	$	2,292	$	(20)		$	(1)	$	2,271
	December 31, 2018
(in millions)	Debt Instrument		Unamortized Issuance Expense			Unamortized Debt Discount		Total
Long-term debt:
Variable rate (3.920% at December 31, 2018) 2018 term loan facility, due April 2023	$	—	$	—	(2)	$	—	$	—
4.05% Senior Notes due January 2020 (1)	52		—			—		52
4.10% Senior Notes due March 2022	213		(1)			—		212
4.95% Senior Notes due January 2025 (1)	927		(7)			(1)		919
7.50% Senior Notes due April 2026	650		(8)			—		642
7.75% Senior Notes due October 2027	500		(7)			—		493
Total long-term debt	$	2,342	$	(23)		$	(1)	$	2,318

(1)In February and June 2016, Moody’s and S&P downgraded certain senior notes, increasing the interest rates by 175 basis points effective July 2016.  As a result of the downgrades, interest rates increased to 5.80% for the 2020 Notes and 6.70% for the 2025 Notes.  S&P and Moody’s upgraded certain senior notes in April and May 2018, respectively.  As a result of these upgrades, interest rates decreased to 5.30% for the 2020 Notes and 6.20% for the 2025 Notes effective July 2018.  The first coupon payment to the bondholders at the lower interest rate was paid in January 2019.

(2)At September 30, 2019 and December 31, 2018, unamortized issuance expense of $9 million and $12 million, respectively, associated with the 2018 revolving credit facility is classified as other long-term assets on the consolidated balance sheets.

(3)During the third quarter of 2019, the Company purchased $31 million in 2025 Notes, $11 million in 2026 Notes and $8 million in 2027 Notes for $43 million in cash, reducing the Company’s outstanding debt by $50 million. This resulted in a gain on early extinguishment of debt of $7 million for the three and nine months ended September 30, 2019.