Marketable Securities and Held-to-Maturity Debt Securities

9 Months Ended

Sep. 30, 2020

Marketable Securities and Held-to-Maturity Debt Securities

Marketable Securities and Held-to-Maturity Debt Securities

NOTE 9. Marketable Securities and Held-to-Maturity Debt Securities

The following is a summary of the types of investments and amounts recorded on the Consolidated Balance Sheet for marketable securities (current and non-current).

(Millions)	September 30, 2020		December 31, 2019
Corporate debt securities	$	7	$	—
Commercial paper		233		85
Certificates of deposit/time deposits		47		10
U.S. treasury securities		150		—
U.S. municipal securities		3		3
Current marketable securities	$	440	$	98
U.S. municipal securities	$	34	$	43
Non-current marketable securities	$	34	$	43
Total marketable securities	$	474	$	141

At September 30, 2020 and December 31, 2019, gross unrealized, gross realized, and net realized gains and/or losses (pre-tax) were not material.

The balances at September 30, 2020 for marketable securities by contractual maturity are shown below. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.

(Millions)	September 30, 2020
Due in one year or less	$	440
Due after one year through five years		14
Due after five years through ten years		20
Total marketable securities	$	474

Held-to-Maturity Debt Securities

In connection with the in-substance debt defeasance of the Third Lien Notes described in Note 10, the Company purchased a $0.5 billion U.S. Treasury security in the fourth quarter of 2019 and transferred it to a trust with irrevocable instructions to use the proceeds from its maturity to satisfy the redemption of the Third Lien Notes that occurred in May 2020. This debt security was considered held-to-maturity due to the restrictions in satisfying and discharging the Third Lien Notes, was carried at amortized cost, and was reflected in other current assets on the Company’s consolidated balance sheet. Upon the maturity of the debt security in May 2020, the Company has no held-to-maturity debt securities.