financing costs

12 Months Ended

Dec. 31, 2021

financing costs

financing costs

9financing costs

Years ended December 31 (millions)	Note	2021		2020
Interest expense
Interest on long-term debt, excluding lease liabilities - gross		$	683	$	676
Interest on long-term debt, excluding lease liabilities - capitalized 1			(3)		(37)
Interest on long-term debt, excluding lease liabilities			680		639
Interest on lease liabilities	19		66		70
Interest on short-term borrowings and other			15		5
Interest accretion on provisions	25		18		16
Long-term debt prepayment premium			10		18
			789		748
Employee defined benefit plans net interest	15		26		16
Foreign exchange			(3)		14
			812		778
Interest income			(16)		(7)
		$	796	$	771
Net interest cost	3	$	773	$	792
Interest on long-term debt, excluding lease liabilities - capitalized 1			(3)		(37)
Employee defined benefit plans net interest			26		16
		$	796	$	771

1 Interest on long-term debt, excluding lease liabilities, at a composite rate of 3.10% (2020 – 4.33%) was capitalized to intangible assets with indefinite lives during the period.