INDEBTEDNESS (Tables)

9 Months Ended

Sep. 30, 2023

The following table summarizes total indebtedness:


September 30, 2023
Notes Payable:	Principal Amount		Fair Value of Interest Rate Swaps (1)		Unamortized (Discount) Premium		Unamortized Debt Issuance Costs		Carrying Value
5.25% 2014 Senior Notes, due 2044	$	600	$	(46)	$	3	$	(4)	$	553
1.75% 2015 Senior Notes, due 2027	529		—		—		(1)		528

3.25% 2017 Senior Notes, due 2028	500		(37)		(2)		(2)		459
4.25% 2018 Senior Notes, due 2029	400		(49)		(2)		(2)		347
4.875% 2018 Senior Notes, due 2048	400		(48)		(6)		(3)		343
0.950% 2019 Senior Notes, due 2030	794		—		(2)		(4)		788
3.75% 2020 Senior Notes, due 2025	700		(22)		—		(2)		676
3.25% 2020 Senior Notes, due 2050	300		—		(4)		(3)		293
2.55% 2020 Senior Notes, due 2060	300		—		(2)		(3)		295
2.00% 2021 Senior Notes, due 2031	600		—		(6)		(4)		590
2.75% 2021 Senior Notes, due 2041	600		—		(13)		(5)		582
3.10% 2021 Senior Notes, due 2061	500		—		(7)		(5)		488
3.75% 2022 Senior Notes, due 2052	500		(56)		(8)		(5)		431
4.25% 2022 Senior Notes, due 2032	500		(16)		(2)		(4)		478
Total long-term debt	$	7,223	$	(274)	$	(51)	$	(47)	$	6,851


December 31, 2022
Notes Payable:	Principal Amount		Fair Value of Interest Rate Swaps (1)		Unamortized (Discount) Premium		Unamortized Debt Issuance Costs		Carrying Value
4.875% 2013 Senior Notes, due 2024	$	500	$	—	$	(1)	$	(1)	$	498
5.25% 2014 Senior Notes, due 2044	600		(42)		3		(4)		557
1.75% 2015 Senior Notes, due 2027	534		—		—		(2)		532

3.25% 2017 Senior Notes, due 2028	500		(37)		(3)		(2)		458
4.25% 2018 Senior Notes, due 2029	400		(42)		(2)		(2)		354
4.875% 2018 Senior Notes, due 2048	400		(44)		(6)		(4)		346
0.950% 2019 Senior Notes, due 2030	800		—		(2)		(4)		794
3.75% 2020 Senior Notes, due 2025	700		(27)		(1)		(3)		669
3.25% 2020 Senior Notes, due 2050	300		—		(4)		(3)		293
2.55% 2020 Senior Notes, due 2060	300		—		(2)		(3)		295
2.00% 2021 Senior Notes, due 2031	600		—		(7)		(4)		589
2.75% 2021 Senior Notes, due 2041	600		—		(13)		(5)		582
3.10% 2021 Senior Notes, due 2061	500		—		(7)		(5)		488
3.75% 2022 Senior Notes, due 2052	500		(35)		(8)		(5)		452
4.25% 2022 Senior Notes, due 2032	500		(12)		(2)		(4)		482
Total long-term debt	$	7,734	$	(239)	$	(55)	$	(51)	$	7,389

(1) The fair value of interest rate swaps in the tables above represents the cumulative amount of fair value hedging adjustments included in the carrying amount of the hedged debt.

Principal Payments Due on Long-Term Borrowings

The repayment schedule for the Company’s borrowings is as follows:


Year Ending December 31,	Year Ending Total
2023 (After September 30,)	$	—
2024	—
2025	700
2026	—
2027	529
Thereafter	5,994
Total	$	7,223

Summary of Components of Interest as Presented in Consolidated Statements of Operations

The following table summarizes the components of interest as presented in the consolidated statements of operations and the cash paid for interest:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Income	$	19	$	5	$	44	$	9
Expense on borrowings(1)	(75)		(54)		(220)		(152)
Income (expense) on UTPs and other tax related liabilities(2)	(4)		(5)		10		(11)
Net periodic pension costs - interest component	(6)		(4)		(19)		(12)
Interest expense, net	$	(66)	$	(58)	$	(185)	$	(166)
Interest paid(3)	$	87	$	77	$	230	$	167

(1) Expense on borrowings includes interest on long-term debt, as well as realized gains/losses related to interest rate swaps and cross currency swaps, which are more fully discussed in Note 8.

(2) The amount for the nine months ended September 30, 2023 reflects a $22 million reduction of tax-related interest expense primarily related to the resolutions of outstanding tax matters.

(3) Interest paid includes net settlements on interest rate swaps, which are more fully discussed in Note 8.

Fair Value and Carrying Value of Long-Term Debt

The fair value and carrying value of the Company’s debt as of September 30, 2023 and December 31, 2022 are as follows:


	September 30, 2023				December 31, 2022
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
















Total debt	$	6,851	$	5,844	$	7,389	$	6,564