Short-Term Borrowings and Long-Term Debt (Notes)

12 Months Ended

Dec. 31, 2020

Short-Term Borrowings and Long-Term Debt [Text Block]

Short-Term Borrowings and Long-Term Debt

Short-term borrowings and senior unsecured long-term debt consisted of the following:


	December 31, 2020						December 31, 2019
(in millions, except percentages)	Par Value		Carrying Value		Fair Value		Par Value		Carrying Value		Fair Value
Commercial paper	$	1,296	$	1,296	$	1,296	$	400	$	400	$	400
2.700% notes due July 2020	—		—		—		1,500		1,499		1,506
Floating rate notes due October 2020	—		—		—		300		300		300
3.875% notes due October 2020	—		—		—		450		450		455
1.950% notes due October 2020	—		—		—		900		899		900
4.700% notes due February 2021	400		400		401		400		403		410
2.125% notes due March 2021	750		750		753		750		749		753
Floating rate notes due June 2021	350		350		350		350		349		350
3.150% notes due June 2021	400		400		405		400		399		407
3.375% notes due November 2021	500		507		509		500		501		512
2.875% notes due December 2021	750		762		768		750		753		765
2.875% notes due March 2022	1,100		1,113		1,127		1,100		1,087		1,121
3.350% notes due July 2022	1,000		999		1,048		1,000		998		1,036
2.375% notes due October 2022	900		897		935		900		896		911
0.000% notes due November 2022	15		14		14		15		13		14
2.750% notes due February 2023	625		644		654		625		624		638
2.875% notes due March 2023	750		789		793		750		770		770
3.500% notes due June 2023	750		748		809		750		747		786
3.500% notes due February 2024	750		747		821		750		746		792
2.375% notes due August 2024	750		747		799		750		747		760
3.750% notes due July 2025	2,000		1,992		2,279		2,000		1,990		2,161
3.700% notes due December 2025	300		298		344		300		298		325
1.250% notes due January 2026	500		496		515		—		—		—
3.100% notes due March 2026	1,000		997		1,121		1,000		996		1,048
3.450% notes due January 2027	750		747		859		750		746		804
3.375% notes due April 2027	625		620		714		625		620		667
2.950% notes due October 2027	950		940		1,067		950		939		988
3.850% notes due June 2028	1,150		1,143		1,367		1,150		1,142		1,269
3.875% notes due December 2028	850		844		1,019		850		843		941
2.875% notes due August 2029	1,000		1,086		1,137		1,000		993		1,029
2.000% notes due May 2030	1,250		1,234		1,326		—		—		—
4.625% notes due July 2035	1,000		992		1,340		1,000		992		1,215
5.800% notes due March 2036	850		839		1,271		850		838		1,129
6.500% notes due June 2037	500		492		800		500		492		712
6.625% notes due November 2037	650		641		1,044		650		641		940
6.875% notes due February 2038	1,100		1,077		1,802		1,100		1,076		1,631
3.500% notes due August 2039	1,250		1,241		1,487		1,250		1,241		1,313
2.750% notes due May 2040	1,000		964		1,085		—		—		—
5.700% notes due October 2040	300		296		451		300		296		396
5.950% notes due February 2041	350		346		540		350		345		475
4.625% notes due November 2041	600		589		820		600		589		716
4.375% notes due March 2042	502		485		661		502		484		580
3.950% notes due October 2042	625		608		790		625		607		688
4.250% notes due March 2043	750		735		982		750		735		856
4.750% notes due July 2045	2,000		1,974		2,814		2,000		1,973		2,463
4.200% notes due January 2047	750		738		991		750		738		861
4.250% notes due April 2047	725		717		963		725		717		839
3.750% notes due October 2047	950		934		1,180		950		934		1,023
4.250% notes due June 2048	1,350		1,330		1,803		1,350		1,330		1,569
4.450% notes due December 2048	1,100		1,086		1,517		1,100		1,086		1,316
3.700% notes due August 2049	1,250		1,235		1,567		1,250		1,235		1,344
2.900% notes due May 2050	1,250		1,208		1,384		—		—		—
3.875% notes due August 2059	1,250		1,228		1,618		1,250		1,228		1,350
3.125% notes due May 2060	1,000		965		1,161		—		—		—
Total short-term borrowings and long-term debt	$	42,563	$	42,280	$	51,301	$	39,817	$	39,474	$	44,234

The Company’s long-term debt obligations also included $1.2 billion of other financing obligations as of both December 31, 2020 and 2019, of which $354 million and $322 million were current as of December 31, 2020 and 2019, respectively.

Maturities of short-term borrowings and long-term debt for the years ending December 31 are as follows:


(in millions)
2021	$	4,800
2022	3,180
2023	2,290
2024	1,665
2025	2,465
Thereafter	29,349

Short-Term Borrowings

Commercial paper consists of short-duration, senior unsecured debt privately placed on a discount basis through broker-dealers. As of December 31, 2020, the Company’s outstanding commercial paper had a weighted-average annual interest rate of 0.2%.

The Company has $4.4 billion five-year, $4.4 billion three-year and $3.8 billion 364-day revolving bank credit facilities with 26 banks, which mature in December 2025, December 2023 and December 2021, respectively. These facilities provide full liquidity support for the Company’s commercial paper program and are available for general corporate purposes. As of December 31, 2020, no amounts had been drawn on any of the bank credit facilities. The annual interest rates, which are variable based on term, are calculated based on the London Interbank Offered Rate (LIBOR) plus a credit spread based on the Company’s senior unsecured credit ratings. If amounts had been drawn on the bank credit facilities as of December 31, 2020, annual interest rates would have ranged from 0.8% to 1.0%.

Debt Covenants

The Company’s bank credit facilities contain various covenants, including requiring the Company to maintain a debt to debt-plus-shareholders’ equity ratio of not more than 60%. The Company was in compliance with its debt covenants as of December 31, 2020.