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FAIR VALUE DISCLOSURES
 9 Months Ended
Sep. 30, 2022
Fair Value Disclosures [Abstract]  
FAIR VALUE DISCLOSURES FAIR VALUE DISCLOSURESThe Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures.
Following is a discussion of the fair value hierarchy and the valuation methodologies used for assets and liabilities recorded at fair value on a recurring and nonrecurring basis and for estimating fair value for financial instruments not recorded at fair value.
Fair Value Hierarchy
Fair value measurements of assets and liabilities are categorized based on the following hierarchy:
Level 1 — Fair value determined based on quoted prices in active markets for identical assets or liabilities.
Level 2 — Fair value determined using significant observable inputs, such as quoted prices for similar assets or liabilities or quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data, by correlation or other means.
Level 3 — Fair value determined using significant unobservable inputs, such as pricing models, discounted cash flows, or similar techniques.
Estimation of Fair Value
The following table summarizes the fair value measurement methodologies, including significant inputs and assumptions, and classification of the Company’s assets and liabilities.
Asset/Liability Class
Valuation Methodology, Inputs and
Assumptions
Classification
Cash and cash equivalentsCarrying value is a reasonable estimate of fair value based on the short-term nature of the instruments.Level 1 estimated fair value measurement.
Restricted cashCarrying value is a reasonable estimate of fair value based on the short-term nature of the instruments.Level 1 estimated fair value measurement.
Marketable securities
Debt securitiesPrices obtained from third-party vendors that compile prices from various sources and often apply matrix pricing for similar securities when no price is observable.Level 2 recurring fair value measurement.
Mutual fundPrice is quoted given the security is traded on an exchange.Level 1 recurring fair value measurement.
Equity securitiesPrice is quoted given the securities are traded on an exchange.Level 1 recurring fair value measurement.
Mortgage loans held for sale pledged under agreements to repurchaseFair value is estimated based on observable market data including quoted market prices, deal price quotes, and sale commitments.Level 2 recurring fair value measurement.
Other current assets
Mortgage loans held for saleFair value is estimated based on observable market data including quoted market prices and deal price quotes.Level 2 recurring fair value measurement.
Non-recourse asset-backed debt
Credit facilitiesFair value is estimated using discounted cash flows based on current lending rates for similar credit facilities with similar terms and remaining time to maturity.
Carried at amortized cost.
Level 2 estimated fair value measurement.
Other secured borrowings
Loans sold under agreements to repurchaseFair value is estimated using discounted cash flows based on current lending rates for similar asset-backed financing facilities with similar terms and remaining time to maturity.
Carried at amortized cost.
Level 2 estimated fair value measurement.
Convertible senior notesFair value is estimated using broker quotes and other observable market inputs.Carried at amortized cost.
Level 2 estimated fair value measurement.
Assets and Liabilities Recorded at Fair Value on a Recurring Basis
The following tables present the levels of the fair value hierarchy for the Company’s assets measured at fair value on a recurring basis (in millions):
September 30, 2022Balance at Fair ValueLevel 1Level 2Level 3
Marketable securities:
Corporate debt securities$140 $— $140 $— 
Commercial paper15 — 15 — 
Equity securities11 11 — — 
Certificates of deposit9 — 9 — 
Asset-backed securities3 — 3 — 
Other current assets:
Mortgage loans held for sale1 — 1 — 
Total assets$179 $11 $168 $— 
December 31, 2021Balance at Fair ValueLevel 1Level 2Level 3
Marketable securities:
Corporate debt securities$207 $— $207 $— 
Mutual fund200 200 — — 
Equity securities46 46 — — 
Commercial paper15 — 15 — 
Asset-backed securities7 — 7 — 
Certificates of deposit5 — 5 — 
Sovereign bonds4 — 4 — 
Mortgage loans held for sale pledged under agreements to repurchase7 — 7 — 
Other current assets:
Mortgage loans held for sale4 — 4 — 
Total assets$495 $246 $249 $— 
Fair Value of Financial Instruments
The following presents the carrying value, estimated fair value and the levels of the fair value hierarchy for the Company’s financial instruments other than assets and liabilities measured at fair value on a recurring basis (in millions):
September 30, 2022
Carrying
Value
Fair ValueLevel 1Level 2
Assets:
Cash and cash equivalents$1,327 $1,327 $1,327 $— 
Restricted cash1,752 1,752 1,752 — 
Liabilities:
Non-recourse asset-backed debt$7,071 $7,122 $— $7,122 
Convertible senior notes957 552 — 552 
December 31, 2021
Carrying
Value
Fair ValueLevel 1Level 2
Assets:
Cash and cash equivalents$1,731 $1,731 $1,731 $— 
Restricted cash847 847 847 — 
Liabilities:
Non-recourse asset-backed debt$6,102 $6,140 $— $6,140 
Other secured borrowings7 7 — 7 
Convertible senior notes954 1,019 — 1,019