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Debt And Lines Of Credit (Note)
 12 Months Ended
Dec. 31, 2023
Debt Instruments [Abstract]  
Debt And Lines Of Credit [Note Text Block]

Amounts related to early debt extinguishment during the years ended December 31, 2023, 2022 and 2021 were as follows: 

In millions202320222021
Early debt reductions (a)$— $503 $2,472 
Pre-tax early debt extinguishment costs (b)— 93 461 
(a)Reductions related to notes with interest rates ranging from 3.00% to 8.70% with original maturities from 2021 to 2048 for the years ended December 31, 2022 and 2021.
(b)Amounts are included in Restructuring and other charges in the accompanying consolidated statements of operations.

The Company had no early debt reductions in 2023. The Company had debt reductions of $780 million in 2023, related primarily to capital leases, commercial paper, debt maturities and international debt.

During the first quarter of 2023, the Company entered into a variable term loan agreement providing for a $600 million term loan which was fully drawn on the date of such loan agreement and matures in 2028. The $600 million debt was issued following the repayment of $410 million of commercial paper earlier in 2023. Additionally, during the first quarter of 2023, the Company issued an approximately $72 million environmental development bond ("EDB") with an interest rate of 4.00% and a maturity date of April 1, 2026. The proceeds from this issuance were used to repay an approximately $72 million outstanding EDB that matured on April 1, 2023.

During the second quarter of 2023, the Company issued approximately $24 million of debt with a variable interest rate and a maturity date of December 1, 2027. The Company had debt reductions of approximately $49 million of variable interest EDBs with current maturities. Additionally, during the second quarter of 2023, the Company issued an approximately $54 million EDB with a
variable rate and a maturity date of May 1, 2028. The proceeds of this were used to repay an approximately $54 million EDB that matured on May 1, 2023. The Company issued an approximately $25 million EDB with a variable rate and a maturity date of June 1, 2030. The proceeds of this were used to repay an approximately $25 million EDB that matured on June 1, 2023.

During the third quarter of 2023, the Company repaid an approximately $70 million EDB with an interest rate of 2.90% that matured on September 1, 2023.

During the fourth quarter of 2023, the Company repaid an approximately $87 million note with an interest rate of 6.875% that matured on November 1, 2023. Additionally, the Company issued approximately $11 million of debt with a variable interest rate and a maturity date of December 1, 2027.

The Company had debt issuances in 2022 of $354 million of term loan agreements, $410 million of commercial paper and $248 million of environmental development bonds.

The Company had debt issuances in 2021 of $1.5 billion related primarily to Sylvamo debt issuances as discussed further in Note 8 - Divestitures.

The borrowing capacity of the Company's commercial paper program is $1.0 billion supported by its $1.4 billion credit agreement. Under the terms of this program, individual maturities on borrowings may vary, but not exceed one year from the date of issue. Interest bearing notes may be issued either as fixed or floating rate notes. The Company had no borrowings outstanding as of December 31, 2023 and $410 million borrowings outstanding as of December 31, 2022 under this program.

At December 31, 2023, the Company's credit facilities totaled $1.9 billion. The credit facilities generally provide for interest rates at a floating rate index plus a pre-determined margin dependent upon International Paper's credit rating. The credit facilities previously included a $1.5 billion contractually committed bank facility with a maturity date of June 2026. In June 2023, the Company amended and restated its credit agreement to, among other things, (i) reduce the size of the contractually committed bank facility from $1.5 billion to $1.4 billion, (ii) extend the maturity date from June 2026 to June 2028, and (iii) replace the LIBOR-based rate with a SOFR-based rate. The liquidity facilities also include up to $500 million of uncommitted financings based on eligible receivables balances under a receivable securitization program that expires in June 2025. As of December 31, 2023
and December 31, 2022, the Company had no borrowings outstanding under the program.
A summary of long-term debt follows: 
In millions at December 3120232022
6.875% notes – due 2023
$— $87 
7.350% notes – due 2025
39 39 
7.750% notes – due 2025
22 22 
7.200% notes – due 2026
58 58 
6.400% notes – due 2026
5 5 
7.150% notes – due 2027
7 7 
6.875% notes – due 2029
10 10 
5.000% notes – due 2035
407 407 
6.650% notes – due 2037
3 3 
8.700% notes – due 2038
86 86 
7.300% notes – due 2039
453 453 
6.000% notes – due 2041
585 585 
4.800% notes – due 2044
686 686 
5.150% notes – due 2046
449 449 
4.400% notes – due 2047
647 647 
4.350% notes – due 2048
740 740 
Floating rate notes – due 2023 – 2027 (a)
308 732 
Environmental and industrial development bonds – due 2023 – 2028 (b)
419 489 
Floating rate term loan - due 2028
600 — 
Total principal5,524 5,505 
Capitalized leases55 59 
Premiums, discounts, and debt issuance costs(41)(42)
Terminated interest rate swaps54 55 
Other 1 2 
Total (c)5,593 5,579 
Less: current maturities138 763 
Long-term debt$5,455 $4,816 
(a)The weighted average interest rate on these notes was 5.4% in 2023 and 4.6% in 2022.
(b)The weighted average interest rate on these bonds was 2.4% in 2023 and 2.4% in 2022.
(c)The fair market value was approximately $5.5 billion at December 31, 2023 and $5.2 billion at December 31, 2022. Debt fair value measurements use Level 2 inputs.

At December 31, 2023, contractual obligations for future payments of debt maturities (including finance lease liabilities disclosed in Note 10 - Leases and excluding the timber monetization structures disclosed in Note 15 - Variable Interest Entities) by calendar year were as follows over the next five years: 2024 – $138 million; 2025 – $189 million; 2026 – $143 million; 2027 – $333 million; and 2028 – $670 million.


The Company’s financial covenants require the maintenance of a minimum net worth, as defined in our debt agreements, of $9 billion and a total debt-to-capital ratio of less than 60%. Net worth is defined as the sum of common stock, paid-in capital and retained earnings, less treasury stock plus any cumulative goodwill impairment charges. The calculation also excludes accumulated other comprehensive income/loss and both the current and long-term Nonrecourse Financial Liabilities of Variable Interest Entities. The total debt-to-capital ratio is defined as total debt divided by the sum of total debt plus net worth. As of December 31, 2023, we were in compliance with our debt covenants.