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Long-term Debt and Finance Leases
 3 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Long-term Debt and Finance Leases Long-term Debt and Finance Leases
Long-term debt and finance leases consisted of the following:
(In millions, except rates)March 31, 2025December 31, 2024Interest rate %
Recourse debt:
Senior Notes, due 2028$821 $821 5.750
Senior Notes, due 2029733 733 5.250
Senior Notes, due 2029500 500 3.375
Senior Notes, due 2029798 798 5.750
Senior Notes, due 20311,030 1,030 3.625
Senior Notes, due 2032480 480 3.875
Senior Notes, due 2033925 925 6.000
Senior Notes, due 2034950 950 6.250
Convertible Senior Notes, due 2048(a)
232 232 2.750
Senior Secured First Lien Notes, due 2025500 500 2.000
Senior Secured First Lien Notes, due 2027900 900 2.450
Senior Secured First Lien Notes, due 2029500 500 4.450
Senior Secured First Lien Notes, due 2033740 740 7.000
Term Loan B, due 20311,314 1,317 
SOFR + 1.750
Tax-exempt bonds466 466 
1.250 - 4.750
Subtotal recourse debt10,889 10,892 
Finance leases14 14 various
Subtotal long-term debt and finance leases (including current maturities)10,903 10,906 
Less current maturities(997)(996)
Less debt issuance costs(83)(86)
Discounts(11)(12)
Total long-term debt and finance leases$9,812 $9,812 
(a)As of the ex-dividend date of May 1, 2025, the Convertible Senior Notes were convertible at a price of $40.63, which is equivalent to a conversion rate of approximately 24.6144 shares of common stock per $1,000 principal amount of Convertible Senior Notes
Recourse Debt
2048 Convertible Senior Notes
Convertible Senior Notes Features — As of March 31, 2025, the Convertible Senior Notes are convertible, under certain circumstances, into cash or a combination of cash and the Company’s common stock at a price of $40.78 per common share, which is the equivalent to a conversion rate of approximately 24.5222 shares of common stock per $1,000 principal amount of Convertible Senior Notes. The settlement method is at the Company's election. The net carrying amounts of the Convertible Senior Notes as of March 31, 2025 and December 31, 2024 were both $231 million. The Convertible Senior Notes mature on June 1, 2048, unless earlier repurchased, redeemed or converted in accordance with their terms.
The Convertible Senior Notes are convertible at the option of the holders only upon the occurrence of certain events and during certain periods, including, among others, during any calendar quarter (and only during such calendar quarter) if the last reported sales price per share of the Company's common stock exceeded 130% of the conversion price for each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter (the “Common Stock Sale Price Condition”). As of April 1, 2025, the Company’s Convertible Senior Notes are convertible during the quarterly period ending June 30, 2025 due to the satisfaction of the Common Stock Sale Price Condition. In addition, the Convertible Senior Notes are also convertible during specified periods as follows:
•from December 1, 2024 until the close of business on the second scheduled trading day immediately before June 1, 2025; and
•from December 1, 2047 until the close of business on the second scheduled trading day immediately before the maturity date.
All conversions with a conversion date that occurs within the specific periods above will be settled after such period pursuant to the terms of the Convertible Senior Notes indenture.
The following table details the interest expense recorded in connection with the Convertible Senior Notes:
Three months ended March 31,
(In millions, except percentages)20252024
Contractual interest expense$2 $4 
Effective interest rate0.76 %0.78 %
Capped Call Options
During the second quarter of 2024, the Company entered into privately negotiated capped call transactions with certain counterparties (the "Capped Calls") to effectively lock in a conversion premium of $257 million on the remaining $232 million in aggregate principal amount of the Convertible Senior Notes. The option price of $257 million was incurred when the Company entered into the Capped Calls, which will be payable upon the earlier of settlement and expiration of the applicable Capped Calls. For further discussion see Note 9, Changes in Capital Structure.