Debt and Credit Facilities

3 Months Ended

Mar. 31, 2020

Short-term borrowings and current maturities of long-term debt consisted of the following:



In millions	March 31, 2020		December 31, 2019
Debentures with put feature	$	343.0	$	343.0
2.625% Senior notes due 2020 ⁽¹⁾	299.9		299.8
2.900% Senior notes due 2021 ⁽²⁾	299.3		—
Other current maturities of long-term debt	7.5		7.5
Total	$	949.7	$	650.3

⁽¹⁾ The 2.625% Senior notes due in May 2020 were redeemed in April 2020.

⁽²⁾ The 2.900% Senior notes are due in February 2021.

Commercial Paper Program

The Company uses borrowings under its commercial paper program for general corporate purposes. The maximum aggregate amount of unsecured commercial paper notes available to be issued, on a private placement basis, under the commercial paper program is $2.0 billion. The Company had no outstanding balance under its commercial paper program as of March 31, 2020 and December 31, 2019.

Debentures with Put Feature

At March 31, 2020 and December 31, 2019, the Company had $343.0 million of fixed rate debentures outstanding which contain a put feature that the holders may exercise on each anniversary of the issuance date. If exercised, the Company is obligated to repay in whole or in part, at the holder’s option, the outstanding principal amount of the debentures plus accrued interest. If these options are not exercised, the final contractual maturity dates would range between 2027 and 2028. Holders of these debentures had the option to exercise the put feature on $37.2 million of the outstanding debentures in February 2020, subject to the notice requirement. No exercises were made.

Long-term debt, excluding current maturities, consisted of the following:



In millions	March 31, 2020		December 31, 2019
2.900% Senior notes due 2021 ⁽¹⁾	—		299.1
9.000% Debentures due 2021	124.9		124.9
4.250% Senior notes due 2023	697.9		697.8
7.200% Debentures due 2020-2025	37.3		37.3
3.550% Senior notes due 2024	496.8		496.6
6.480% Debentures due 2025	149.7		149.7
3.500% Senior notes due 2026	396.9		396.8
3.750% Senior notes due 2028	545.2		545.1
3.800% Senior notes due 2029	743.7		743.6
5.750% Senior notes due 2043	494.6		494.5
4.650% Senior notes due 2044	296.0		295.9
4.300% Senior notes due 2048	296.0		296.0
4.500% Senior notes due 2049	345.5		345.5
Other loans and notes	0.3		0.1
Total	$	4,624.8	$	4,922.9

⁽¹⁾The 2.900% Senior notes are due in February 2021.

Issuance of Senior Notes

In March 2019, the Company issued $1.5 billion principal amount of senior notes in three tranches through Trane Technologies Luxembourg Finance S.A., an indirect, wholly-owned subsidiary. The tranches consist of $400 million aggregate principal amount of 3.500% senior notes due 2026, $750 million aggregate principal amount of 3.800% senior notes due 2029 and $350 million aggregate principal amount of 4.500% senior notes due 2049. The notes are fully and unconditionally guaranteed by each of Trane Technologies plc, Ingersoll-Rand Global Holding Company Limited, Trane Technologies Lux International Holding Company S.à.r.l, Trane Technologies Irish Holdings Unlimited Company, and Trane Technologies Company LLC. The Company has the option to redeem the notes in whole or in part at any time, prior to their stated maturity date at redemption prices set forth in the indenture agreement. The notes are subject to certain customary covenants, however, none of these covenants are considered restrictive to the Company’s operations.

Other Credit Facilities

The Company maintains two 5-year, $1.0 billion revolving credit facilities (the Facilities) through its wholly-owned subsidiaries, Ingersoll-Rand Global Holding Company Limited and Trane Technologies Luxembourg Finance S.A. (collectively, the Borrowers). Each senior unsecured credit facility, one of which matures in March 2021 and the other in April 2023, provides support for the Company's commercial paper program and can be used for working capital and other general corporate purposes. Trane Technologies plc, Trane Technologies Irish Holdings Unlimited Company, Trane Technologies Lux International Holding Company S.à.r.l. and Trane Technologies Company LLC each provide irrevocable and unconditional guarantees for these Facilities. In addition, each Borrower will guarantee the obligations under the Facilities of the other Borrower. Total commitments of $2.0 billion were unused at March 31, 2020 and December 31, 2019.

Fair Value of Debt

The carrying value of the Company's short-term borrowings is a reasonable estimate of fair value due to the short-term nature of the instruments. The fair value of the Company's debt instruments at March 31, 2020 and December 31, 2019 was $5.9 billion and $6.2 billion, respectively. The Company measures the fair value of its long-term debt instruments for disclosure purposes based upon observable market prices quoted on public exchanges for similar assets. These fair value inputs are considered Level 2 within the fair value hierarchy. The methodologies used by the Company to determine the fair value of its long-term debt instruments at March 31, 2020 are the same as those used at December 31, 2019.