Debt

6 Months Ended

Jun. 30, 2022

The Company’s debt consisted of the following:



(In millions)	June 30, 2022		December 31, 2021
Short-term and current maturities of long-term debt:
Foreign lines of credit	$	313	$	240
Finance lease and other financing obligations	287		268
Total short-term and current maturities of long-term debt	$	600	$	508

Long-term debt:

3.500% senior notes due October 2022	$	700	$	700
0.375% senior notes due July 2023 (Euro-denominated)	526		566
3.800% senior notes due October 2023	1,000		1,000
2.750% senior notes due July 2024	2,000		2,000
3.850% senior notes due June 2025	900		900
2.250% senior notes due July 2025 (British Pound-denominated)	640		705
3.200% senior notes due July 2026	2,000		2,000
2.250% senior notes due June 2027	1,000		1,000
1.125% senior notes due July 2027 (Euro-denominated)	526		566
4.200% senior notes due October 2028	1,000		1,000
3.500% senior notes due July 2029	3,000		3,000
2.650% senior notes due June 2030	1,000		1,000
1.625% senior notes due July 2030 (Euro-denominated)	526		566
3.000% senior notes due July 2031 (British Pound-denominated)	640		705
4.400% senior notes due July 2049	2,000		2,000
U.S. dollar commercial paper notes	1,248		916
Euro commercial paper notes	1,168		905
Revolving credit facility	—		97
Receivable securitized loan	485		500
Term loan facility	200		200
Unamortized discount and deferred financing costs	(115)		(125)
Finance lease and other financing obligations	471		528
Total long-term debt	$	20,915	$	20,729

The Company was in compliance with all financial debt covenants during the first six months of 2022. At June 30, 2022, the 3.50% senior notes due in October 2022 and the receivable securitized loan due in July 2022 were classified in the consolidated

balance sheet as long-term, as the Company has the intent to refinance this debt on a long-term basis and the ability to do so under its revolving credit facility, as further discussed below.

In June 2022, the Company entered into a new senior unsecured multicurrency revolving credit facility with substantially the same syndicate of banks that were lenders under its existing amended and restated revolving credit facility, which the Company voluntarily terminated and replaced. The new credit agreement matures in June 2027 and provides for a maximum aggregate principal amount of availability of $6.0 billion. Borrowings under the new credit facility bear interest at a variable rate based on the Secured Overnight Financing Rate (“SOFR”) or a base rate in the case of U.S. dollar borrowings, in each case, plus a specified margin based on the Company’s long-term debt rating in effect from time to time. The credit facility also requires the Company to pay a facility fee based on the aggregate commitments in effect under the agreement from time to time. The new credit facility contains various restrictions and covenants that require the Company to, among other things, limit its consolidated indebtedness as of the end of each fiscal quarter to no more than 3.75 times the Company’s consolidated net income before interest, taxes, depreciation, amortization, non-cash charges and expenses and certain other adjustments (“EBITDA”) during the period of four fiscal quarters then ended, subject to certain exceptions.

The Company maintains unsecured U.S. dollar and Euro commercial paper programs. From time to time, the Company may issue under these programs U.S. dollar commercial paper with maturities of up to 397 days from the date of issuance and Euro commercial paper with maturities of up to 183 days from the date of issuance. Outstanding borrowings under the U.S. dollar program were $1.2 billion and $916 million at June 30, 2022 and December 31, 2021, respectively, with weighted average interest rates of 1.984% and 0.295%, respectively. Outstanding borrowings under the Euro program were $1.2 billion and $905 million at June 30, 2022 and December 31, 2021, respectively, with weighted average interest rates of (0.219)% and (0.420)%, respectively. The Company intends to maintain available capacity under its revolving credit facility in an amount at least equal to the aggregate outstanding borrowings under its commercial paper programs. Outstanding borrowings under the commercial paper programs are classified in the consolidated balance sheets as long-term as the Company has the intent to refinance this commercial paper on a long-term basis through the continued issuance of new commercial paper upon maturity, and the Company also has the ability to refinance such commercial paper under its revolving credit facility.

Effective July 1, 2022, the Company redeemed $700 million in aggregate principal amount of its outstanding 3.50% senior notes due in October 2022 at a redemption price equal to 100% of the aggregate principal amount of the notes being redeemed, plus accrued and unpaid interest. The Company financed the redemption of these notes using proceeds from the issuance of U.S. dollar commercial paper.