XML 25 R15.htm IDEA: XBRL DOCUMENT v3.23.1
FINANCING ARRANGEMENTS
 3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
FINANCING ARRANGEMENTS FINANCING ARRANGEMENTS
Short-term debt obligations include:
Dollars in millionsMarch 31,
2023		December 31,
2022
Non-U.S. short-term borrowings$155 $176 
Current portion of Long-term debt2,254 3,897 
Other343 191 
Total$2,752 $4,264 

Long-term debt and the current portion of Long-term debt include:
Dollars in millionsMarch 31,
2023		December 31,
2022
Principal value$36,622 $38,234 
Adjustments to principal value:
Fair value of interest rate swap contracts(14)(18)
Unamortized basis adjustment from swap terminations92 97 
Unamortized bond discounts and issuance costs(278)(284)
Unamortized purchase price adjustments of Celgene debt910 924 
Total$37,332 $38,953 
Current portion of Long-term debt$2,254 $3,897 
Long-term debt35,078 35,056 
Total$37,332 $38,953 

The fair value of Long-term debt was $34.5 billion as of March 31, 2023 and $34.9 billion as of December 31, 2022 valued using Level 2 inputs, which are based upon the quoted market prices for the same or similar debt instruments. The fair value of short-term borrowings approximates the carrying value due to the short maturities of the debt instruments.

During the first quarter of 2023, $1.6 billion of debt matured and was repaid including $750 million 2.750% Notes and $890 million 3.250% Notes.

During the first quarter of 2022, BMS issued an aggregate principal amount of $6.0 billion of debt, with maturity dates ranging from 2032 to 2062, with net proceeds of $5.9 billion. The notes rank equally in right of payment with all of BMS's existing and future senior unsecured indebtedness and are redeemable at any time, in whole, or in part, at varying specified redemption prices plus accrued and unpaid interest. In addition, BMS purchased an aggregate principal amount of $5.2 billion of certain of its debt securities for $5.8 billion of cash in tender offers. In connection with this transaction, a $275 million net loss on debt redemption was recognized based on the carrying value of the debt and included in Other (income)/expense, net.

Interest payments were $324 million and $377 million for the three months ended March 31, 2023 and 2022, respectively, net of amounts related to interest rate swap contracts.

Credit Facilities

As of March 31, 2023, BMS had a five-year $5.0 billion revolving credit facility expiring in January 2028, which is extendable annually by one year with the consent of the lenders. This facility provides for customary terms and conditions with no financial covenants and may be used to provide backup liquidity for our commercial paper borrowings. No borrowings were outstanding under the revolving credit facility as of March 31, 2023 and December 31, 2022.