Annual report pursuant to Section 13 and 15(d)

DEBT (Tables)

v3.22.4
DEBT (Tables)
 12 Months Ended
Dec. 31, 2022
Short-term Debt [Line Items]  
Summary of long-term debt
A summary of long-term debt was as follows:
  December 31,
In millions Interest Rate 2022 2021
Long-term debt    
Senior notes, due 2023 (1)
3.65% $ 500  $ 500 
Term loan, due 2025 Variable 1,550  — 
Senior notes, due 2025 (2)
0.75% 500  500 
Debentures, due 2027 6.75% 58  58 
Debentures, due 2028 7.125% 250  250 
Senior notes, due 2030 (2)
1.50% 850  850 
Senior notes, due 2043 4.875% 500  500 
Senior notes, due 2050 2.60% 650  650 
Debentures, due 2098 (3)
5.65% 165  165 
Other debt 121  110 
Unamortized discount and deferred issuance costs (64) (68)
Fair value adjustments due to hedge on indebtedness (122) 34 
Finance leases 113  89 
Total long-term debt 5,071  3,638 
Less: Current maturities of long-term debt 573  59 
Long-term debt $ 4,498  $ 3,579 
(1) Senior notes, due 2023, are classified as current maturities of long-term debt at December 31, 2022.
(2) In 2021 we entered into a series of interest rate swaps to effectively convert from a fixed rate to floating rate. See "Interest Rate Risk" section of NOTE 22, "DERIVATIVES," for additional information.
(3) The effective interest rate is 7.48 percent.
Principal repayments on long-term debt
Principal payments required on long-term debt during the next five years are as follows:
In millions 2023 2024 2025 2026 2027
Principal payments $ 573  $ 44  $ 2,061  $ 56  $ 64 
Fair value and carrying value of total debt
Based on borrowing rates currently available to us for bank loans with similar terms and average maturities, considering our risk premium, the fair values and carrying values of total debt, including current maturities, were as follows:
December 31,
In millions 2022 2021
Fair values of total debt (1)
$ 7,400  $ 4,461 
Carrying value of total debt 7,855  4,159 
(1) The fair value of debt is derived from Level 2 input measures.
Loans Payable  
Short-term Debt [Line Items]  
Weighted-average interest rate The weighted-average interest rate for notes payable, bank overdrafts and current maturities of long-term debt at December 31 was as follows:
2022 2021
Weighted-average interest rate 4.02  % 2.71  %
Commercial Paper  
Short-term Debt [Line Items]  
Weighted-average interest rate The weighted-average interest rate for commercial paper at December 31 was as follows:
2022 2021
Weighted-average interest rate 4.27  %
(1)
 (0.01) %
(2)
 (1) The weighted-average interest rate, inclusive of all brokerage fees, was 4.27 percent at December 31, 2022. This included $107 million of borrowings under the Europe program at a weighted-average interest rate of 1.86 percent and $2.5 billion of borrowings under the U.S. program at a weighted-average interest rate of 4.38 percent.
(2) The weighted-average interest rate, inclusive of all brokerage fees, was negative 0.01 percent at December 31, 2021. This included $113 million of borrowings under the Europe program that were at a negative weighted-average interest rate of 0.39 percent and $200 million of borrowings under the U.S. program at a weighted-average interest rate of 0.21 percent.