XML 35 R17.htm IDEA: XBRL DOCUMENT
v3.20.4

Debt and Borrowing Arrangements | 12 Months Ended
--- | ---
Dec. 31, 2020
Debt Disclosure [Abstract] |
Debt and Borrowing Arrangements | Note 9. Debt and Borrowing Arrangements Short-Term Borrowings: Our short-term borrowings and related weighted-average interest rates consisted of:
| As of December 31,
| 2020 |  | 2019
| Amount Outstanding |  | Weighted- Average Rate |  | Amount Outstanding |  | Weighted- Average Rate
| (in millions) |  |  |  | (in millions) |  |
Commercial paper | $ | — |  |  | — | % |  | $ | 2,581 |  |  | 2.0 | %
Bank loans | 29 |  |  | 4.8 | % |  | 57 |  |  | 5.2 | %
Total short-term borrowings | $ | 29 |  |  |  |  | $ | 2,638 |  |  |
We repaid all outstanding commercial paper borrowings as of December 31, 2020 using the proceeds from net issuances of long-term debt, proceeds from sales of KDP and JDEP shares and operating cash flows. Our uncommitted credit lines and committed credit lines available as of December 31, 2020 and December 31, 2019 include:
| As of December 31,
| 2020 |  | 2019
| Facility Amount |  | Borrowed Amount |  | Facility Amount |  | Borrowed Amount
| (in millions)
Uncommitted credit facilities | $ | 1,487 |  |  | $ | 29 |  |  | $ | 1,685 |  |  | $ | 57 |
Credit facility expiry(1): |  |  |  |  |  |  |
February 26, 2020 | — |  |  | — |  |  | 1,500 |  |  | — |
February 24, 2021 | 1,500 |  |  | — |  |  | — |  |  | — |
February 27, 2024 | 4,500 |  |  | — |  |  | 4,500 |  |  | — |
(1) We maintain a multi-year senior unsecured revolving credit facility for general corporate purposes, including working capital needs, and to support our commercial paper program. The revolving credit agreement includes a covenant that we maintain a minimum shareholders' equity of at least $24.6 billion, excluding accumulated other comprehensive earnings/(losses), the cumulative effects of any changes in accounting principles and earnings/(losses) recognized in connection with the ongoing application of any mark-to-market accounting for pensions and other retirement plans. At December 31, 2020, we complied with this covenant as our shareholders' equity, as defined by the covenant, was $38.3 billion. The revolving credit facility also contains customary representations, covenants and events of default. There are no credit rating triggers, provisions or other financial covenants that could require us to post collateral as security. Long-Term Debt: Our long-term debt consisted of (interest rates are as of December 31, 2020):
| As of December 31,
| 2020 |  | 2019
| (in millions)
U.S. dollar notes, 0.163% to 7.000% (weighted-average effective rate 2.564%), due through 2050 | $ | 11,917 |  |  | $ | 9,442 |
Euro notes, 0.000% to 2.375% (weighted-average effective rate 1.352%), due through 2035 | 5,842 |  |  | 3,968 |
Pound sterling notes, 3.875% to 4.500% (weighted-average effective rate 4.151%), due through 2045 | 357 |  |  | 346 |
Swiss franc notes, 0.615% to 1.125% (weighted-average effective rate 0.840%), due through 2025 | 1,175 |  |  | 1,449 |
Canadian dollar notes, 3.250% (effective rate 3.377%), due through 2025 | 470 |  |  | 460 |
Finance leases | 256 |  |  | 123 |
Total | 20,017 |  |  | 15,788 |
Less current portion of long-term debt | (2,741) |  |  | (1,581) |
Long-term debt | $ | 17,276 |  |  | $ | 14,207 |
Deferred debt issuance costs of $53 million as of December 31, 2020 and $33 million as of December 31, 2019 are netted against the related debt in the table above. Deferred financing costs related to our revolving credit facility are classified in long-term other assets and were immaterial for all periods presented. As of December 31, 2020, aggregate maturities of our debt and finance leases based on stated contractual maturities, excluding unamortized non-cash bond premiums, discounts, bank fees and mark-to-market adjustments of $(94) million and imputed interest on finance leases of $(20) million, were (in millions):
2021 |  | 2022 |  | 2023 |  | 2024 |  | 2025 |  | Thereafter |  | Total
$2,750 |  | $2,851 |  | $1,705 |  | $1,667 |  | $1,465 |  | $9,693 |  | $20,131
Tenders Offers: On October 16, 2020, we completed the tender offer in cash and redeemed $950 million of long term U.S. dollar-denominated notes for the following amounts (in millions):
Interest Rate |  | Maturity Date |  | Amount Repurchased
3.625% |  | May 2023 |  | $359
4.000% |  | February 2024 |  | 203
3.625% |  | February 2026 |  | 249
4.125% |  | May 2028 |  | 27
6.500% |  | November 2031 |  | 5
7.000% |  | August 2037 |  | 1
6.875% |  | February 2038 |  | 24
6.875% |  | January 2039 |  | 10
6.500% |  | February 2040 |  | 1
4.625% |  | May 2048 |  | 71
We recorded a loss on debt extinguishment of approximately $154 million within interest and other expense, net primarily related to the amount we paid in excess of the carrying value of the debt and from recognizing unamortized discounts, deferred financing and unamortized forward starting swaps in earnings at the time of the debt extinguishment. The cash payment related to the debt extinguishment were classified as cash outflows from financing activities in the consolidated statement of cash flows. Debt Redemptions: On December 4, 2020, we completed an early redemption of U.S. dollar denominated notes for the following amounts (in millions):
Interest Rate |  | Maturity Date |  | Amount Redeemed
3.625% |  | May 2023 |  | $391
We recorded an extinguishment loss of $31 million within interest and other expense, net primarily related to the amount we paid in excess of carrying value of the debt and from recognizing unamortized discounts and deferred financing in earnings at the time of the debt extinguishment. The cash payments related to the redemption were classified as cash outflows from financing activities in the consolidated statement of cash flows. Debt Repayments: Subsequent to 2020, we repaid €679 million of our 2.375% euro-denominated notes that matured on January 26, 2021. In 2020, we repaid the following notes or term loans (in millions):
Interest Rate |  | Maturity Date |  | Amount |  | USD Equivalent
0.625% |  | October 2020 |  | Fr.135 |  | $147
Variable |  | September 2020(1) |  | $750 |  | 750
3.000% |  | May 2020 |  | $750 |  | 750
0.050% |  | March 2020 |  | Fr.225 |  | 234
5.375% |  | February 2020 |  | $427 |  | 427
(1) We repaid the $750 million term loan early with proceeds from the issuance of notes. In 2019, we repaid the following notes or term loans (in millions):
Interest Rate |  | Maturity Date |  | Amount |  | USD Equivalent
1.625% |  | October 2019 |  | $1,750 |  | $1,750
Variable |  | October 2019 |  | 500 |  | 500
Variable |  | February 2019 |  | 400 |  | 400
Debt Issuances: In 2020, we issued the following notes:
Issuance Date |  | Interest Rate |  | Maturity Date |  | Gross Proceeds (1) |  | Gross Proceeds USD Equivalent
October 2020 |  | 1.875% |  | October 2032 |  | $625 |  | $625
October 2020 & September 2020(2) |  | 2.625% |  | September 2050 |  | $1,125 |  | $1,125
September 2020(3) |  | 0.000% |  | September 2026 |  | €500 |  | $588
September 2020(3) |  | 0.375% |  | September 2029 |  | €750 |  | $882
September 2020 |  | 1.500% |  | February 2031 |  | $500 |  | $500
July 2020 |  | 0.625% |  | July 2022 |  | $1,000 |  | $1,000
May 2020 |  | 1.500% |  | May 2025 |  | $750 |  | $750
May 2020 & April 2020(2) |  | 2.750% |  | April 2030 |  | $1,250 |  | $1,250
April 2020 |  | 2.125% |  | April 2023 |  | $500 |  | $500
In 2019, we issued the following notes:
Issuance Date |  | Interest Rate |  | Maturity Date |  | Gross Proceeds (1) |  | Gross Proceeds USD Equivalent
October 2019(3) |  | 0.875% |  | October 2031 |  | €500 |  | $548
September 2019(3)(4) |  | 2.125% |  | September 2022 |  | $500 |  | 500
September 2019(3)(4) |  | 2.250% |  | September 2024 |  | $500 |  | 500
September 2019(4)(5) |  | Variable |  | September 2022 |  | $500 |  | 500
September 2019(4)(5) |  | Variable |  | September 2024 |  | $500 |  | 500
February 2019 |  | 3.625% |  | February 2026 |  | $600 |  | 600
(1) Represents gross proceeds from the issuance of notes excluding debt issuance costs, discounts and premiums. (2) This represents a further issuance of the previously issued note and forms a single series note. (3) Notes issued by Mondelez International Holdings Netherlands B.V. (“MIHN”), a wholly owned Dutch subsidiary of Mondelez International, Inc. (4) In connection with this debt issuance, we entered into cross-currency swaps, serving as cash flow hedges, so that the U.S. dollar-denominated debt payments will effectively be paid in euros over the life of the debt. (5) MIHN entered into a term loan agreement. The amount presented is the amount issued under the term loan. Fair Value of Our Debt: The fair value of our short-term borrowings at December 31, 2020 and December 31, 2019 reflects current market interest rates and approximates the amounts we have recorded on our consolidated balance sheets. The fair value of our long-term debt was determined using quoted prices in active markets (Level 1 valuation data) for the publicly traded debt obligations.
| As of December 31,
| 2020 |  | 2019
| (in millions)
Fair Value | $ | 21,568 |  |  | $ | 19,388 |
Carrying Value | $ | 20,046 |  |  | $ | 18,426 |
Interest and Other Expense, net: Interest and other expense, net within our results of continuing operations consisted of:
| For the Years Ended December 31,
| 2020 |  | 2019 |  | 2018
| (in millions)
Interest expense, debt | $ | 423 |  |  | $ | 484 |  |  | $ | 462 |
Loss on debt extinguishment and related expenses | 185 |  |  | — |  |  | 140 |
Loss/(gain) related to interest rate swaps | 103 |  |  | 111 |  |  | (10) |
Other (income)/expense, net | (103) |  |  | (139) |  |  | (72) |
Interest and other expense, net | $ | 608 |  |  | $ | 456 |  |  | $ | 520 |
See Note 10, Financial Instruments, for information on the gain/loss related to U.S. dollar interest rate swaps no longer designated as accounting cash flow hedges and for information on amounts in other income related to our net investment hedge derivative contracts and the amounts excluded from hedge effectiveness of $117 million in 2020, $133 million in 2019 and $120 million in 2018.

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration