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Debt
 9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Debt
Note 5. Debt
Significant Debt Transactions
Debt or equity financing may be needed to fund additional investments or development activities or to maintain an appropriate capital structure to ensure our financial flexibility.

The following tables show the significant transactions involving the senior unsecured debt securities of the Company and its subsidiaries that occurred during the three and nine months ended September 30, 2025.

Exchange Offers
(dollars in millions)
Principal Amount Exchanged
Principal Amount Issued
Three Months Ended June 30, 2025
Verizon 1.450% - 7.750% notes and floating rate notes, due 2026 - 2030
$2,207 $— 
Verizon 5.401% notes due 2037(1)
— 2,162 
Three Months Ended June 30, 2025 total2,207 2,162 
Nine Months Ended September 30, 2025 total(2)
2,207 2,162 
(1) The principal amount issued in exchange does not include either an insignificant amount of cash paid in lieu of the issuance of fractional new notes or accrued and unpaid interest paid on the old notes accepted for exchange to the date of exchange.
(2) The debt exchange offers above meet the criteria to be accounted for as a modification of debt. As a result, the excess of the principal amount of notes exchanged over the principal amount of new notes issued of $45 million was recorded as a premium to Long-term debt in the consolidated balance sheets.

Tender Offers
(dollars in millions)
Principal Amount Purchased
Cash Consideration(1)
Three Months Ended June 30, 2025
Verizon 1.450% - 7.750% notes and floating rate notes, due 2026 - 2030(2)
$503 $501 
Three Months Ended June 30, 2025 total$503 $501 
Nine Months Ended September 30, 2025 total
$503 $501 
(1) The total cash consideration includes the tender offer consideration, plus any accrued and unpaid interest to the date of purchase.
(2) The tender offer was launched concurrently with the exchange offer discussed above and made available to different holders of the same series of notes.

Repayments, Redemptions and Repurchases
(dollars in millions)
Principal Repaid/ Redeemed/ Repurchased
Amount Paid(1)
Three Months Ended March 31, 2025
Verizon 4.050% notes due 2025
A$450 $365 
Verizon 3.376% notes due 2025
$793 806 
Verizon floating rate notes due 2025
487 490 
Open market repurchases of various Verizon notes410 317 
Three Months Ended March 31, 2025 total
$1,978 
Three Months Ended June 30, 2025
Verizon 0.875% notes due 2025
€747 $840 
Verizon 2.625% notes due 2026
$985 990 
Open market repurchases of various Verizon notes438 328 
Three Months Ended June 30, 2025 total
2,158 
Three Months Ended September 30, 2025
Verizon 3.250% notes due 2026
€843 $1,032 
Open market repurchases of various Verizon notes$458 $366 
Three Months Ended September 30, 2025 total
1,398 
Nine Months Ended September 30, 2025 total
$5,534 
(1) Represents amount paid to repay, redeem or repurchase, including any accrued interest. In addition, for securities denominated in a currency other than the U.S. dollar, amount paid is shown on a U.S. dollar equivalent basis and includes the
amount payable per the derivatives entered into in connection with the transaction. See Note 7 for additional information on cross currency swap transactions related to the transaction.

Issuances
(dollars in millions)Principal Amount Issued
Net Proceeds(1)
Three Months Ended June 30, 2025
Verizon 5.250% notes due 2035(2)
$2,250 $1,676 
Three Months Ended June 30, 2025 total
$1,676 
Three Months Ended September 30, 2025
Verizon 3.250% notes due 2032
€1,000 $1,142 
Verizon 3.750% notes due 2037
€1,000 $1,134 
Three Months Ended September 30, 2025 total
$2,276 
Nine Months Ended September 30, 2025 total
$3,952 
(1) Net proceeds were net of underwriting discounts and other issuance costs. In addition, for securities denominated in a currency other than the U.S. dollar, net proceeds are shown on a U.S. dollar equivalent basis. See Note 7 for additional information on derivative activity related to the issuances.
(2) We contributed $563 million principal amount of the notes to our pension plans, as discussed below.

Commercial Paper Program
During the nine months ended September 30, 2025, we issued $11.6 billion in net proceeds and made $11.6 billion in principal repayments of commercial paper. These transactions were recorded within Other, net cash flow from financing activities in our condensed consolidated statements of cash flows on a net basis. As of September 30, 2025, we had no commercial paper outstanding.

Asset-Backed Debt
As of September 30, 2025, the carrying value of our asset-backed debt was $27.1 billion. Our asset-backed debt includes Asset-Backed Notes (ABS Notes) issued to third-party investors (Investors), loans (ABS Financing Facilities) received from banks and their conduit facilities (collectively, the Banks), and sales of residual interests under our ABS Notes and certain ABS Financing Facilities (Class R Interest) under a master repurchase agreement (master repurchase agreement) with a bank (the Counterparty). Our consolidated asset-backed debt bankruptcy remote legal entities (each, an ABS Entity, or collectively, the ABS Entities) issue the debt or are otherwise party to the transaction documentation in connection with our asset-backed debt transactions. Under the terms of our asset-backed debt for ABS Notes and ABS Financing Facilities, Cellco Partnership (Cellco), a wholly-owned subsidiary of the Company, and certain other Company affiliates (collectively, the Originators) transfer device payment plan agreement receivables and certain other receivables (collectively referred to as certain receivables) or a participation interest in certain other receivables to one of the ABS Entities, which in turn transfers such receivables and participation interest to another ABS Entity that issues the debt. Verizon entities retain the equity interests and residual interests, as applicable, in the ABS Entities and the ABS Notes and ABS Financing Facilities, as applicable, which represent the rights to all funds not needed to make required payments on such asset-backed debt and other related payments and expenses.

Our asset-backed debt is secured by the transferred receivables, participation interest and Class R Interest, future collections on such receivables, underlying receivables related to such participation interest and such Class R Interest, as applicable. These receivables and participation interest transferred to the ABS Entities, such Class R Interest and related assets, consisting primarily of restricted cash, will only be available for payment of asset-backed debt and expenses related thereto, payments to the Originators in respect of additional transfers of certain receivables and participation interest, and other obligations arising from our asset-backed debt transactions, as applicable, and will not be available to pay other obligations or claims of Verizon’s creditors until the associated asset-backed debt and other obligations are satisfied. The Investors, Banks or Counterparty, as applicable, which hold our asset-backed debt have legal recourse to the assets securing the debt, but in the case of our ABS Notes and ABS Financing Facilities, do not have any recourse to Verizon with respect to the payment of principal and interest on the debt. Under a parent support agreement, the Company has agreed to guarantee certain of the payment obligations of Cellco and the Originators to the ABS Entities in connection with our ABS Notes and ABS Financing Facilities. In connection with the master repurchase agreement, the Company has agreed to unconditionally and irrevocably guarantee payment obligations of the related ABS Entity, including to repurchase Class R Interest from the Counterparty.

Cash collections on the receivables and on the underlying receivables related to the participation interest collateralizing our ABS Notes and ABS Financing Facilities are required at certain specified times to be placed into segregated accounts. Deposits to the segregated accounts are considered restricted cash and are included in Prepaid expenses and other and Other assets in our condensed consolidated balance sheets.
Proceeds from our asset-backed debt transactions are reflected in Cash flows from financing activities in our condensed consolidated statements of cash flows. The asset-backed debt issued is included in Debt maturing within one year and Long-term debt in our condensed consolidated balance sheets.

ABS Notes
During the nine months ended September 30, 2025, we completed the following ABS Notes transactions:
(dollars in millions)Interest Rates %Expected Weighted-average Life to Maturity (in years)Principal Amount Issued
January 2025
Series 2025-1
A Senior class notes
4.7102.99$535 
B Junior class notes4.9402.9941 
C Junior class notes5.0902.9925 
Series 2025-2
A Senior class notes4.9405.00446 
B Junior class notes5.1605.0034 
C Junior class notes5.3405.0020 
January 2025 total
1,101 
March 2025
Series 2025-3
A-1a Senior class notes
4.5101.97706 
A-1b Senior class notes
Compounded SOFR + 0.550(1)
1.97185 
B Junior class notes4.7701.9768 
C Junior class notes4.9001.9741 
Series 2025-4
   A Senior class notes
4.7604.97446 
   B Junior class notes
5.0204.9734 
   C Junior class notes
5.2004.9720 
March 2025 total
1,500 
June 2025
Series 2025-5
A-1a Senior class notes
4.4002.99401 
A-1b Senior class notes
Compounded SOFR + 0.550(1)
2.99134 
B Junior class notes4.6402.99— 
C Junior class notes4.8402.9925 
Series 2025-6
   A Senior class notes
4.6204.99267 
   B Junior class notes
4.8604.99— 
   C Junior class notes
5.0604.9912 
June 2025 total
839 
September 2025
Series 2025-7
A-1a Senior class notes
3.9602.93601 
A-1b Senior class notes
Compounded SOFR + 0.520(1)
2.93200 
B Junior class notes4.2102.93— 
C Junior class notes4.4002.9337 
Series 2025-8
A Senior class notes
4.1604.93356 
B Junior class notes
4.4104.9327 
C Junior class notes
4.6004.9316 
September 2025 total
1,237 
Total$4,677 
(1) Compounded Secured Overnight Financing Rate (SOFR) is calculated using SOFR as published by the Federal Reserve Bank of New York in accordance with the terms of such notes. Compounded SOFR for the interest payment made in September 2025 was 4.38%.

Under the terms of each series of ABS Notes outstanding as of September 30, 2025, there is a revolving period of up to two years, three years, or five years, as applicable, during which we may transfer additional receivables to the ABS Entity. During the nine months ended September 30, 2025, we made aggregate principal repayments of $3.2 billion in connection with an anticipated redemption of ABS Notes.

During the three and nine months ended September 30, 2025, we sold certain of our initially offered but retained ABS Notes (collectively, the Retained Notes) for cash of $394 million and $523 million, respectively.

ABS Financing Facilities
Under the two loan agreements outstanding in connection with the ABS Financing Facility originally entered into in 2021 and most recently renewed in 2025 (2021 ABS Financing Facility), we prepaid an aggregate of $250 million in February 2025, prepaid an aggregate of $1.4 billion in March 2025, borrowed an additional $1.1 billion in April 2025, prepaid an aggregate of $200 million and borrowed an additional $100 million in June 2025 and prepaid an aggregate of $1.1 billion in September 2025. The aggregate outstanding balance under the 2021 ABS Financing Facility was $6.4 billion as of September 30, 2025.

Under the loan agreement outstanding in connection with the ABS Financing Facility originally entered into in 2022 and most recently renewed in 2024 (2022 ABS Financing Facility), we prepaid an aggregate of $163 million in February 2025, borrowed an additional $189 million in March 2025 and prepaid an aggregate of $241 million in April 2025. The aggregate outstanding balance under the 2022 ABS Financing Facility was $4.8 billion as of September 30, 2025.

Master Repurchase Agreement
In September 2025, we entered into a master repurchase agreement with the Counterparty to sell residual interests under our ABS Notes and certain ABS Financing Facilities for a maximum of $750 million with a simultaneous agreement to repurchase the Class R Interest at a later date for a specific price. Under the terms of the master repurchase agreement, which is accounted for as a secured borrowing, the Counterparty is sold certain Class R Interest for a specific period of time without the right to further sell or repledge such Class R Interest. However, we have the right and obligation to repurchase the Class R Interest, or substantially similar assets sold to the Counterparty, upon the maturity of the master repurchase agreement.

During the three and nine months ended September 30, 2025, we received $750 million under the master repurchase agreement which remained outstanding as of September 30, 2025 and is collateralized by certain Class R interest. The master repurchase agreement has a remaining maturity of less than one year and is classified as Debt maturing within one year in our condensed consolidated balance sheets. The estimated fair value of such Class R Interest was $1.1 billion as of September 30, 2025.

Variable Interest Entities
The ABS Entities meet the definition of a VIE for which we have determined that we are the primary beneficiary as we have both the power to direct the activities of the entity that most significantly impact the entity's performance and the obligation to absorb losses or the right to receive benefits of the entity. Therefore, the assets, liabilities and activities of the ABS Entities are consolidated in our financial results and are included in amounts presented on the face of our condensed consolidated balance sheets.
The assets and liabilities related to our asset-backed debt arrangements included in our condensed consolidated balance sheets were as follows:
At September 30,
At December 31,
(dollars in millions)20252024
Assets
Accounts receivable, net$18,381 $18,339 
Prepaid expenses and other305 322 
Other assets11,949 11,647 
Liabilities
Accounts payable and accrued liabilities34 37 
Debt maturing within one year15,523 17,312 
Long-term debt11,539 8,827 

The Accounts receivable, net amounts above do not include underlying receivables for which a participation interest has been transferred to the ABS Entities. See Note 6 for additional information on certain receivables and participation interest used to secure asset-backed debt.

Long-Term Credit Facilities
At September 30, 2025
(dollars in millions)MaturitiesFacility CapacityUnused Capacity Principal Amount Outstanding
Verizon revolving credit facility(1)
2028
$12,000 $11,977 $— 
Various export credit facilities(2)
2025 - 2031
10,000 — 4,588 
Total$22,000 $11,977 $4,588 
(1) The revolving credit facility does not require us to comply with financial covenants or maintain specified credit ratings, and it permits us to borrow even if our business has incurred a material adverse change. The revolving credit facility provides for the issuance of letters of credit. As of September 30, 2025, there have been no drawings against the revolving credit facility since its inception.
(2) During the nine months ended September 30, 2025 and 2024, there were no drawings from these facilities. Borrowings under certain of these facilities are repaid semi-annually in equal installments up to the applicable maturity dates. Maturities reflect maturity dates of principal amounts outstanding. Any amounts borrowed under these facilities and subsequently repaid cannot be reborrowed.

Non-Cash Transactions
During the nine months ended September 30, 2025 and 2024, we financed, primarily through alternative financing arrangements, the purchase of approximately $1.7 billion and $1.2 billion, respectively, consisting primarily of network equipment. As of September 30, 2025 and December 31, 2024, $2.9 billion and $2.5 billion, respectively, relating to these financing arrangements, including those entered into in prior years and liabilities assumed through acquisitions, remained outstanding. These purchases are non-cash financing activities and therefore are not reflected within Capital expenditures in our condensed consolidated statements of cash flows.

During the nine months ended September 30, 2025, we made a discretionary non-cash contribution to our qualified pension plans in the amount of $563 million. The contribution was made from the principal amount of aggregate notes issued of approximately $2.3 billion due 2035, with an interest rate of 5.250% per year. This contribution is a non-cash operating activity and therefore is not reflected within Other, net cash flow from operating activities in our condensed consolidated statements of cash flows.

Net Debt Extinguishment Gains
During the three months ended September 30, 2025 and 2024, we recorded net debt extinguishment gains of $94 million and $90 million, respectively. During the nine months ended September 30, 2025 and 2024, we recorded net debt extinguishment gains of $272 million and $289 million, respectively. The net gains are recorded in Other income, net in our condensed consolidated statements of income. The total non-cash debt extinguishment gains are reflected within Other, net cash flow from operating activities in our condensed consolidated statements of cash flows. The total cash payments to extinguish the debt are reflected within Other, net cash flow from financing activities in our condensed consolidated statements of cash flows.

Guarantees
We guarantee the debentures of our operating telephone company subsidiaries. As of September 30, 2025, $614 million aggregate principal amount of these obligations remained outstanding. Each guarantee will remain in place for the life of the
obligation unless terminated pursuant to its terms, including the operating telephone company no longer being a wholly-owned subsidiary of the Company.

Debt Covenants
We and our consolidated subsidiaries are in compliance with all of our restrictive covenants in our debt agreements.