Debt

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Debt

Debt

Debt consisted of the following (in millions):

	June 30, 2022		December 31, 2021
SHORT-TERM DEBT
Commercial paper notes, bearing a weighted-average interest rate of 2.1% (1)	$	115	$	—
Senior notes:
3.65% senior notes due June 2022 (2)	—		750
2.85% senior notes due January 2023	400		—
Other	115		72
Total short-term debt	630		822
LONG-TERM DEBT
Senior notes, net of unamortized discounts and debt issuance costs of $50 and $54, respectively	7,933		8,329
Other	53		69
Total long-term debt	7,986		8,398
Total debt (3)	$	8,616	$	9,220

(1)We classified these commercial paper notes as short-term as of June 30, 2022, as these notes were primarily designated as working capital borrowings, were required to be repaid within one year and were primarily for hedged NGL and crude oil inventory and NYMEX and ICE margin deposits.

(2)These senior notes were redeemed on March 1, 2022.

(3)Our fixed-rate senior notes had a face value of approximately $8.4 billion and $9.1 billion as of June 30, 2022 and December 31, 2021, respectively. We estimated the aggregate fair value of these notes as of June 30, 2022 and December 31, 2021 to be approximately $7.7 billion and $9.9 billion, respectively. Our fixed-rate senior notes are traded among institutions, and these trades are routinely published by a reporting service. Our determination of fair value is based on reported trading activity near the end of the reporting period. We estimate that the carrying value of outstanding borrowings under our commercial paper program approximates fair value as interest rates reflect current market rates. The fair value estimates for our senior notes and commercial paper notes are based upon observable market data and are classified in Level 2 of the fair value hierarchy.

Borrowings and Repayments

Total borrowings under our credit facilities and commercial paper program for the six months ended June 30, 2022 and 2021 were approximately $16.4 billion and $26.1 billion, respectively. Total repayments under our credit facilities and commercial paper program were approximately $16.3 billion and $26.4 billion for the six months ended June 30, 2022 and 2021, respectively. The variance in total gross borrowings and repayments is impacted by various business and financial factors including, but not limited to, the timing, average term and method of general partnership borrowing activities.

On March 1, 2022, we redeemed our 3.65%, $750 million senior notes due June 2022.

 Letters of Credit

In connection with our merchant activities, we provide certain suppliers with irrevocable standby letters of credit to secure our obligation for the purchase and transportation of crude oil and NGL. Additionally, we issue letters of credit to support insurance programs, derivative transactions, including hedging-related margin obligations, and construction activities. At June 30, 2022 and December 31, 2021, we had outstanding letters of credit of $34 million and $98 million, respectively.