Debt (Tables)

6 Months Ended

Jun. 30, 2019

Debt Disclosure [Abstract]

Schedule of long-term debt

Our long-term debt consisted of the following as of June 30, 2019 and December 31, 2018:

	June 30, 2019					December 31, 2018
	Principal Amount		Carrying Amount			Principal Amount			Carrying Amount
	($ in millions)
Floating rate senior notes due 2019	—		—			380			380
6.625% senior notes due 2020	208		208			437			437
6.875% senior notes due 2020	93		93			227			227
6.125% senior notes due 2021	167		167			548			548
5.375% senior notes due 2021	127		127			267			267
4.875% senior notes due 2022	451		451			451			451
5.75% senior notes due 2023	338		338			338			338
7.00% senior notes due 2024	850		850			850			850
6.875% senior notes due 2025(a)	700		704			—			—
8.00% senior notes due 2025	1,300		1,292			1,300			1,291
5.5% convertible senior notes due 2026(b)	1,250		882			1,250			866
7.5% senior notes due 2026	400		400			400			400
8.00% senior notes due 2026	919		884			—			—
8.00% senior notes due 2027	1,300		1,299			1,300			1,299
2.25% contingent convertible senior notes due 2038	—		—			1			1
Chesapeake revolving credit facility	1,372		1,372			419			419
BVL revolving credit facility(a)	686		686			—			—
Debt issuance costs	—		(53		)	—			(53		)
Interest rate derivatives	—		1			—			1
Total debt, net	10,161		9,701			8,168			7,722
Less current maturities of long-term debt, net	—		—			(381		)	(381		)
Total long-term debt, net	$	10,161	$	9,701		$	7,787		$	7,341

___________________________________________

(a) On February 1, 2019, we acquired the debt of WildHorse which consisted of 6.875% Senior Notes due 2025 and a revolving credit facility. We now refer to this debt as our BVL Senior Notes and our BVL revolving credit facility, respectively. See further discussion below.

(b) We are required to account for the liability and equity components of our convertible debt instrument separately and to reflect interest expense through the first demand repurchase date, as applicable, at the interest rate of similar nonconvertible debt at the time of issuance. The applicable rate for our 5.5% Convertible Senior Notes due 2026 is 11.5%. Prior to maturity under certain circumstances and at the holder’s option, the notes are convertible. During the Current Quarter, the price of our common stock was below the threshold level for conversion and, as a result, the holders do not have the option to convert their notes in the third quarter of 2019.

Schedule of private exchange offer for outstanding senior unsecured notes

In the Current Quarter, we issued at par approximately $919 million of 8.00% Senior Notes due 2026 (“2026 notes”) pursuant to a private exchange offer for the following outstanding senior unsecured notes:

	Notes Exchanged
	($ in millions)
6.625% senior notes due 2020	$	229
6.875% senior notes due 2020	134
6.125% senior notes due 2021	381
5.375% senior notes due 2021	140
Total	$	884

Schedule of fair value of debt

Fair value is compared to the carrying value, excluding the impact of interest rate derivatives, in the table below:

	June 30, 2019				December 31, 2018
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
			($ in millions)
Short-term debt (Level 1)	$	—	$	—	$	381	$	379
Long-term debt (Level 1)	$	3,321	$	3,126	$	3,495	$	3,173
Long-term debt (Level 2)	$	6,380	$	6,060	$	3,846	$	3,644