Long-term and Short-term Debt

6 Months Ended

Mar. 31, 2019

Long-term debt consists of (in millions):



	March 31, 2019			September 30, 2018
2.050% notes, payable in March 2020	$	297.4		$	294.6
2.875% notes, payable in March 2025	295.0			281.4
6.70% debentures, payable in January 2028	250.0			250.0
3.500% notes, payable in March 2029	425.0			—
6.25% debentures, payable in December 2037	250.0			250.0
4.200% notes, payable in March 2049	575.0			—
5.20% debentures, payable in January 2098	200.0			200.0
Unamortized discount and other	(62.6		)	(50.8		)
Total	2,229.8			1,225.2
Less current portion	(297.4		)	—
Long-term debt	$	1,932.4		$	1,225.2

In March 2019, we issued $1 billion aggregate principal amount of long-term notes in a registered public offering. The offering consisted of $425.0 million of 3.500% notes due in March 2029 (2029 Notes) and $575.0 million of 4.200% notes due in March 2049 (2049 Notes), both issued at a discount. Net proceeds to the Company from the debt offering were $987.6 million. We used these net proceeds primarily to repay our outstanding commercial paper, with the remaining proceeds to be used for general corporate purposes.

We entered into treasury locks to manage the potential change in interest rates in anticipation of the issuance of $1.0 billion of fixed rate debt in March 2019. Treasury locks are accounted for as cash flow hedges. The effective differentials to be paid or received on these treasury locks were initially recorded in Accumulated Other Comprehensive Loss, net of tax effect.

6. Long-term and Short-term Debt (continued)

As a result of the changes in the interest rates on the treasury locks between the time we entered into the treasury locks and the time we priced and issued the 2029 Notes and 2049 Notes, the Company made a payment of $35.7 million to the counterparty on March 1, 2019. The $35.7 million loss on the settlement of the treasury locks was recorded in Accumulated Other Comprehensive Loss and is being amortized over the term of the 2029 Notes and 2049 Notes, respectively, and recognized as an adjustment to interest expense on the Consolidated Statement of Operations.

Our short-term debt obligations primarily consist of commercial paper borrowings. There were no commercial paper borrowings outstanding as of March 31, 2019. Commercial paper borrowings were $550.0 million at September 30, 2018. The weighted average interest rate of the commercial paper outstanding at September 30, 2018 was 2.27 percent.