Short-Term Borrowings

12 Months Ended

Dec. 31, 2016

8. Short‑Term Borrowings

Short-term borrowings consist primarily of collateralized borrowing facilities with clearing banks in multiple currencies that bear interest at variable overnight rates based on interbank funds rates prevailing in the respective currencies. In addition, the Company has available secured and unsecured overnight bank loan facilities. All short-term borrowings outstanding as of December 31, 2016 and 2015 were either repaid on the next business day or rolled forward and, accordingly, their carrying values approximated fair values.

As of December 31, 2016 and 2015, short‑term borrowings consisted of:



	December 31, 2016			December 31, 2015
			Weighted			Weighted
			Average			Average
	Principal		Rates	Principal		Rates

	(in millions)			(in millions)
Overnight borrowing facilities	$	74	1.53%	$	-	0.51%
	$	74		$	-

Interest expense on short term borrowings for each of the three years ended December 31, 2016, 2015, and 2014 was $0 million, $0 million, and $1 million, respectively.