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DEBT
 12 Months Ended
Jun. 30, 2023
Debt Disclosure [Abstract]  
DEBT DEBT
The Company’s current and long-term debt and available financing consist of the following:
 Debt at June 30
Available financing at
June 30, 2023
(In millions)20232022CommittedUncommitted
5.150% Senior Notes, due May 15, 2053 ("2053 Senior Notes")
$590 $— $— $— 
3.125% Senior Notes, due December 1, 2049 (“2049 Senior Notes”)
636 636 — — 
4.150% Senior Notes, due March 15, 2047 (“2047 Senior Notes”)
494 494 — — 
4.375% Senior Notes, due June 15, 2045 (“2045 Senior Notes”)
454 454 — — 
3.700% Senior Notes, due August 15, 2042 (“2042 Senior Notes”)
247 247 — — 
6.000% Senior Notes, due May 15, 2037 (“2037 Senior Notes”)
295 294 — — 
5.75% Senior Notes, due October 15, 2033 (“October 2033 Senior Notes”)
198 197 — — 
4.650% Senior Notes, due May 15, 2033 ("May 2033 Senior Notes")
695 — — — 
1.950% Senior Notes, due March 15, 2031 (“2031 Senior Notes”)
550 561 — — 
2.600% Senior Notes, due April 15, 2030 ("2030 Senior Notes")
589 613 — — 
2.375% Senior Notes, due December 1, 2029 (“2029 Senior Notes”)
643 642 — — 
4.375% Senior Notes, due May 15, 2028 ("2028 Senior Notes")
696 — — — 
3.150% Senior Notes, due March 15, 2027 (“2027 Senior Notes”)
499 498 — — 
2.000% Senior Notes, due December 1, 2024 (“2024 Senior Notes”)
498 498 — — 
2.350% Senior Notes, due August 15, 2022 (“2022 Senior Notes”)
— 250 — — 
Commercial paper (1)
988 — — 1,500 
Other long-term borrowings33 10 — — 
Other current borrowings9 18 — 161 
Revolving credit facility— — 2,500 — 
 8,114 5,412 $2,500 $1,661 
Less current debt including current maturities(997)(268)
 $7,117 $5,144 
(1) Consists of $1,000 million principal and unamortized debt discount of $12 million.
As of June 30, 2023, the Company’s long-term debt consisted of the following:
Notes(10)
Issue DatePriceYieldPrincipalUnamortized
Debt (Discount)
Premium		Interest rate
swap
adjustments		Debt
Issuance
Costs		Semi-annual interest
payments
($ in millions)        
2053 Senior NotesMay 202399.455 %5.186 %$600 $(3)$— $(7)May 15/November 15
2049 Senior NotesNovember 201998.769 3.189 650 (8)— (6)June 1/December 1
2047 Senior Notes(1)
February 201799.739 4.165 500 (1)— (5)March 15/September 15
2045 Senior Notes(2)
June 201597.999 4.497 300 (5)— (3)June 15/December 15
2045 Senior Notes(2)
May 2016110.847 3.753 150 14 — (2)June 15/December 15
2042 Senior NotesAugust 201299.567 3.724 250 (1)— (2)February 15/August 15
2037 Senior Notes(3)
May 200798.722 6.093 300 (2)— (3)May 15/November 15
October 2033 Senior Notes(4)
September 200398.645 5.846 200 (1)— (1)April 15/October 15
May 2033 Senior Notes(9)
May 202399.897 4.663 700 (1)— (4)May 15/November 15
2031 Senior Notes(5),(7)
March 202199.340 2.023 600 (4)(43)(3)March 15/September 15
2030 Senior Notes(7)
April 202099.816 2.621 700 (1)(107)(3)April 15/October 15
2029 Senior Notes(8)
November 201999.046 2.483 650 (4)— (3)June 1/December 1
2028 Senior NotesMay 202399.897 4.398 700 (1)— (3)May 15/November 15
2027 Senior Notes(6)
February 201799.963 3.154 500 — — (1)March 15/September 15
2024 Senior NotesNovember 201999.421 2.122 500 (1)— (1)June 1/December 1
(1)In November 2016, in anticipation of the issuance of the 2047 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $350 million at a weighted-average all-in rate of 3.01%. The treasury lock agreements were settled upon the issuance of the new debt, and the Company recognized a gain in OCI of $3 million that is being amortized against interest expense over the life of the 2047 Senior Notes. As a result of the treasury lock agreements, the debt discount and debt issuance costs, the effective interest rate on the 2047 Senior Notes will be 4.17% over the life of the debt.
(2)In April and May 2015, in anticipation of the issuance of the 2045 Senior Notes in June 2015, the Company entered into a series of forward-starting interest rate swap agreements on a notional amount totaling $300 million at a weighted-average all-in rate of 2.38%. The forward-starting interest rate swap agreements were settled upon the issuance of the new debt and the Company recognized a gain in OCI of $18 million that will be amortized against interest expense over the life of the 2045 Senior Notes. As a result of the forward-starting interest rate swap agreements, the debt discount and debt issuance costs, the effective interest rate on the 2045 Senior Notes will be 4.216% over the life of the debt. In May 2016, the Company reopened this offering with the same terms and issued an additional $150 million for an aggregate amount outstanding of $450 million of 2045 Senior Notes.
(3)In April 2007, in anticipation of the issuance of the 2037 Senior Notes, the Company entered into a series of forward-starting interest rate swap agreements on a notional amount totaling $210 million at a weighted-average all-in rate of 5.45%. The forward-starting interest rate swap agreements were settled upon the issuance of the new debt and the Company recognized a loss in OCI of $1 million that is being amortized to interest expense over the life of the 2037 Senior Notes. As a result of the forward-starting interest rate swap agreements, the debt discount and debt issuance costs, the effective interest rate on the 2037 Senior Notes will be 6.181% over the life of the debt.
(4)In May 2003, in anticipation of the issuance of the 2033 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $195 million at a weighted-average all-in rate of 4.53%. The treasury lock agreements were settled upon the issuance of the new debt and the Company received a payment of $15 million that is being amortized against interest expense over the life of the 2033 Senior Notes. As a result of the treasury lock agreements, the debt discount and debt issuance costs, the effective interest rate on the 2033 Senior Notes will be 5.395% over the life of the debt.
(5)In March 2020, in anticipation of the issuance of the 2031 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $200 million at a weighted-average all-in rate of 0.84%. The treasury lock agreements were settled upon the issuance of the new debt, and the Company recognized a gain in OCI of $11 million that is being amortized to interest expense over the life of the 2031 Senior Notes. As a result of the treasury lock agreements, as well as the debt discount and debt issuance costs, the effective interest rate on the 2031 Senior Notes will be 1.89% over the life of the debt.
(6)In November 2016, in anticipation of the issuance of the 2027 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $450 million at a weighted-average all-in rate of 2.37%. The treasury lock agreements were settled upon the issuance of the new debt, and the Company recognized a gain in OCI of $2 million that is being amortized against interest expense over the life of the 2027 Senior Notes. As a result of the treasury lock agreements, the debt discount and debt issuance costs, the effective interest rate on the 2027 Senior Notes will be 3.18% over the life of the debt.
(7)The Company entered into interest rate swap agreements with a notional amount totaling $700 million and $300 million to effectively convert the fixed rate interest on its outstanding 2030 Senior Notes and 2031 Senior Notes to variable interest rates based on three months LIBOR plus a margin.
(8)In April and May 2019, in anticipation of the issuance of the 2029 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $500 million at a weighted-average all-in rate of 2.50%. The treasury lock agreements were settled upon the issuance of the new debt, and the Company recognized a loss in OCI of $33 million that is being amortized to interest expense over the life of the 2029 Senior Notes. As a result of the treasury lock agreements, as well as the debt discount and debt issuance costs, the effective interest rate on the 2029 Senior Notes will be 3.15% over the life of the debt.
(9)In December 2022 and March 2023, in anticipation of the issuance of the May 2033 Senior Notes, the Company entered into a series of treasury lock agreements on a notional amount totaling $575 million at a weighted-average all-in rate of 3.57%. The treasury lock agreements were settled upon the issuance of the new debt, and the Company recognized a loss in OCI of $5 million that is being amortized to interest expense over the life of the May 2033 Senior Notes. As a result of the treasury lock agreements, as well as the debt discount and debt issuance costs, the effective interest rate on the May 2033 Senior Notes will be 4.83% over the life of the debt.
(10)The Senior Notes contain certain customary covenants, including limitations on indebtedness secured by liens.


In January 2023, the Company entered into a $2,000 million senior unsecured revolving credit facility (the “364-Day Facility”) to support the Company's commercial paper program and for general corporate purposes, including to finance the Company's fiscal 2023 fourth quarter TOM FORD Acquisition. In January 2023, in connection with the 364-Day Facility, the Company increased its commercial paper program under which it may issue commercial paper in the United States from $2,500 million to $4,500 million.
In May 2023, the Company completed a public offering of $2,000 million, consisting of $700 million aggregate principal amount of its 2028 Senior Notes, $700 million aggregate principal amount of its May 2033 Senior Notes and $600 million aggregate principal amount of its 2053 Senior Notes. The Company used proceeds from this offering for general corporate purposes, including to repay outstanding commercial paper as it matured.
In June 2023, the Company decreased the size of its commercial paper program to $2,500 million and terminated the undrawn $2,000 million 364-Day Facility.
As of June 30, 2023 and August 11, 2023, the Company had $1,000 million and $785 million, respectively, outstanding under its commercial paper program, which may be refinanced on a periodic basis as it matures at the then-prevailing market interest rates. Proceeds from issuance of commercial paper with maturities greater than 90 days were $765 million during fiscal 2023. On August 14, 2023, the Company issued an additional $215 million of commercial paper under its commercial paper program.
On August 15, 2022, the Company repaid the outstanding principal balance of its $250 million 2.35% Senior Notes with cash from operations.
In October 2021, the Company replaced its $1,500 million senior unsecured revolving credit facility that was set to expire in October 2023 with a new $2,500 million senior unsecured revolving credit facility (the “New Facility”). The New Facility expires on October 22, 2026 unless extended for up to two additional years in accordance with the terms set forth in the agreement. Up to the equivalent of $750 million of the New Facility is available for multi-currency loans. Interest rates on borrowings under the New Facility will be based on prevailing market interest rates in accordance with the agreement. The costs incurred to establish the New Facility were not material. The New Facility has an annual fee of approximately $1 million, payable quarterly, based on the Company’s current credit ratings. The New Facility contains a cross-default provision whereby a failure to pay other material financial obligations in excess of $175 million (after grace periods and absent a waiver from the lenders) would result in an event of default and the acceleration of the maturity of any outstanding debt under this facility. The New Facility may be increased, at the election of the Company, by up to $500 million in accordance with the terms set forth in the agreement. At June 30, 2023, no borrowings were outstanding under the New Facility.
The Company maintains uncommitted credit facilities in various regions throughout the world. Interest rate terms for these facilities vary by region and reflect prevailing market rates for companies with strong credit ratings. During fiscal 2023 and 2022, the average amount outstanding was approximately $1 million and $8 million, respectively, and the annualized weighted-average interest rate incurred was approximately 5.4% and 10.2%, respectively.
Refer to Note 16 – Commitments and Contingencies for the Company’s projected debt service payments, as of June 30, 2023, over the next five fiscal years.