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Debt and Credit Facilities
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Debt and Credit Facilities DEBT AND CREDIT FACILITIES
The following table summarizes the carrying amount of our borrowings under various financing arrangements:
(in millions)December 31,
Type of BorrowingIssue DateDue DateInterest Rate20212020
Senior UnsecuredMarch 2011April 20214.50%$— $1,000 
Senior UnsecuredSeptember 2020September 2021
3-month LIBOR + 0.15%
— 499 
Senior UnsecuredDecember 2011December 20214.40%— 1,249 
Senior UnsecuredSeptember 2016March 20221.95%500 499 
Senior UnsecuredSeptember 2015September 20223.25%999 998 
Senior UnsecuredSeptember 2016September 20232.50%748 748 
Senior UnsecuredSeptember 2020September 2023
3-month LIBOR + 0.52%
— 498 
Senior UnsecuredSeptember 2020September 20230.75%1,496 1,992 
Term LoanOctober 2020October 2023variable— 998 
Senior UnsecuredMarch 2014April 20243.70%1,747 1,746 
Senior UnsecuredNovember 2014February 20253.50%1,747 1,746 
Senior UnsecuredSeptember 2015March 20263.65%2,739 2,737 
Senior UnsecuredSeptember 2016March 20272.95%1,247 1,246 
Senior UnsecuredSeptember 2020October 20271.20%746 745 
Senior UnsecuredSeptember 2020October 20301.65%993 992 
Senior UnsecuredSeptember 2015September 20354.60%992 991 
Senior UnsecuredSeptember 2016September 20364.00%742 741 
Senior UnsecuredSeptember 2020October 20402.60%987 986 
Senior UnsecuredDecember 2011December 20415.65%996 996 
Senior UnsecuredMarch 2014April 20444.80%1,736 1,735 
Senior UnsecuredNovember 2014February 20454.50%1,733 1,732 
Senior UnsecuredSeptember 2015March 20464.75%2,220 2,219 
Senior UnsecuredSeptember 2016March 20474.15%1,727 1,726 
Senior UnsecuredSeptember 2020October 20502.80%1,476 1,476 
Total senior unsecured notes and term loan facility25,571 30,295 
Liability related to future royalties1,124 1,107 
Total debt, net26,695 31,402 
Less: current portion of long-term debt and other obligations, net
1,516 2,757 
Total long-term debt, net$25,179 $28,645 
Senior Unsecured Notes and Term Loan Facility
In 2021, we repaid $4.75 billion of debt, consisting of $3.75 billion senior unsecured notes and $1.0 billion of our senior unsecured term loan facility. We repaid $1.0 billion of senior unsecured notes due April 2021 in the first quarter of 2021 and $1.25 billion of senior unsecured notes due December 2021 in the third quarter of 2021. Additionally, we repaid $500 million of senior unsecured floating rate notes due upon maturity in September 2021. In October 2021, we exercised our option to call $500 million of senior unsecured floating rate notes and $500 million of 0.75% senior unsecured notes, both having a final maturity date of September 2023. These two early repayments totaling $1.0 billion principal amount were made in the fourth quarter of 2021. In December 2021, we exercised our option to call $500 million of senior unsecured notes having a final maturity of March 2022. The notes were repaid in February 2022. No new debt was issued in 2021.
Our senior unsecured fixed rate notes may be redeemed at our option at a redemption price equal to the greater of (i) 100% of the principal amount of the notes to be redeemed and (ii) the sum, as determined by an independent investment banker, of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed (exclusive of interest accrued to the date of redemption) discounted to the redemption date on a semiannual basis at the Treasury Rate, plus a make-whole premium as defined in the indenture. The senior unsecured fixed rate notes also have a call feature, exercisable at our option, to redeem the notes at par in whole, or in part, on dates ranging from one month to two years prior to maturity. In each case, accrued and unpaid interest is also required to be redeemed to the date of redemption. The $1.5 billion of 0.75% senior unsecured notes due September 2023 also have a call feature, exercisable at our option, to redeem the notes at par, in whole or in part, after September 2021.
In the event of the occurrence of a change in control and a downgrade in the rating of our senior unsecured notes below investment grade by Moody’s Investors Service, Inc. and S&P Global Ratings, the holders may require us to purchase all or a portion of their notes at a price equal to 101% of the aggregate principal amount of the notes repurchased, plus accrued and unpaid interest to the date of repurchase. We are required to comply with certain covenants under our note indentures governing our senior unsecured notes. As of December 31, 2021 and 2020, we were not in violation of any covenants.
In September 2020, we entered into a commitment letter with a group of institutional lenders to provide for a three-year senior unsecured term loan facility in an aggregate principal amount of $1.0 billion. In October 2020, in connection with our acquisition of Immunomedics, we entered into a term loan credit agreement (the “Term Loan Facility”) and borrowed an aggregate principal amount of $1.0 billion. In 2021, we repaid $1.0 billion principal amount outstanding under the Term Loan Facility which was due upon maturity in October 2023.
Liability Related to Future Royalties
In connection with our acquisition of Immunomedics, we assumed a liability related to a funding arrangement, which was originally entered into by Immunomedics and RPI, prior to our acquisition of Immunomedics. The liability related to future royalties was primarily included in Long-term debt, net on our Consolidated Balance Sheets. See Note 6. Acquisitions for additional information.
Revolving Credit Facilities
In June 2020, we terminated our $2.5 billion five-year revolving credit facility maturing in May 2021 (the “2016 Revolving Credit Facility”) and entered into a new $2.5 billion five-year revolving credit facility maturing in June 2025 (the “2020 Revolving Credit Facility”). The 2020 Revolving Credit Facility can be used for working capital requirements and for general corporate purposes, including, without limitation, acquisitions. As of December 31, 2021 and 2020, there were no amounts outstanding under the 2020 Revolving Credit facility.
The 2020 Revolving Credit Facility contains customary representations, warranties, affirmative and negative covenants and events of default. As of December 31, 2021, we were in compliance with all covenants. Loans under the 2020 Revolving Credit Facility bear interest at either (i) the Eurodollar Rate plus the Applicable Percentage, or (ii) the Base Rate plus the Applicable Percentage, each as defined in the 2020 Revolving Credit Facility agreement. We may terminate or reduce the commitments, and may prepay any loans under the credit facility in whole or in part at any time without premium or penalty.
Contractual Maturities of Financing Obligations
The following table summarizes the aggregate future principal maturities of our senior unsecured notes as of December 31, 2021:
(in millions)Amount
2022$1,500 
20232,250 
20241,750 
20251,750 
20262,750 
Thereafter15,750 
Total$25,750 
Interest Expense
Interest expense on our debt and credit facilities related to the contractual coupon rates and amortization of the debt discount and issuance costs was $1.0 billion in 2021, 2020 and 2019.