Debt

12 Months Ended

Dec. 31, 2019



	2019						2018
	Principal			Carrying			Principal			Carrying
	outstanding			amount			outstanding			amount
Short-term debt	$	75		$	75		$	89		$	89

Long-term debt
Senior secured borrowings:
Term loan facilities
U.S. dollar at LIBOR plus 1.5% due 2024	1,100			1,094			815			810
U.S. dollar at LIBOR plus 2.00% due 2025	—			—			887			864
Euro at EURIBOR plus 1.5% due 2024¹	505			504			301			301
Euro at EURIBOR plus 2.375% due 2025²	—			—			855			846
Senior notes and debentures:
€650 at 4.0% due 2022	729			725			745			740
U. S. dollar at 4.50% due 2023	1,000			995			1,000			993
€335 at 2.25% due 2023	376			372			384			380
€550 at 0.75% due 2023	617			610			—			—
€600 at 2.625% due 2024	673			668			688			682
€600 at 3.375% due 2025	673			667			688			681
U.S. dollar at 4.25% due 2026	400			395			400			394
U.S. dollar at 4.75% due 2026	875			863			875			863
U.S. dollar at 7.375% due 2026	350			348			350			348
€500 at 2.875% due 2026	561			554			573			566
U.S. dollar at 7.50% due 2096	40			40			40			40
Other indebtedness in various currencies:
Fixed rate with rates in 2019 from 4.0% to 7.5% due through 2036	39			39			62			62
Variable rate with average rates in 2019 from 2.6% to 4.3% due through 2025	6			6			4			4
Total long-term debt	7,944			7,880			8,667			8,574
Less: current maturities	(62		)	(62		)	(81		)	(81		)
Total long-term debt, less current maturities	$	7,882		$	7,818		$	8,586		$	8,493

(1) €450 and €263 at December 31, 2019 and 2018

(2) €746 at December 31, 2018

The estimated fair value of the Company’s long-term borrowings, using a market approach incorporating level 2 inputs such as quoted market prices for the same or similar issues, was $8,410 at December 31, 2019 and $8,735 at December 31, 2018.

The revolving credit facilities include provisions for letters of credit up to $310 that reduce the amount of borrowing capacity otherwise available. At December 31, 2019, the Company’s available borrowing capacity under the credit facilities was $1,586, equal to the facilities’ aggregate capacity of $1,650 less $64 of outstanding letters of credit. The interest rate on the facilities can vary from LIBOR or EURIBOR, with a floor of zero, plus a margin of up to 1.55%, depending on the facility, based on the Company's leverage ratio. The revolving credit facilities and term loan facilities contain restrictions on the ability of the Company to, among other things, incur additional debt, pay dividends, repurchase capital stock and make certain restricted payments and requires the Company to maintain a leverage ratio of no greater than 5.75 times at December 31, 2019. The Company was in compliance with all covenants as of December 31, 2019.

The weighted average interest rates were as follows:



	2019		2018		2017
Short-term debt	2.6	%	1.0	%	1.4	%
Revolving credit facilities	3.8	%	3.2	%	3.3	%

Aggregate maturities of long-term debt, excluding unamortized discounts and debt issuance costs, for the five years subsequent to 2019 are $62, $44, $813, $2,076 and $2,042. Cash payments for interest during 2019, 2018 and 2017 were $362, $334 and $225.

2019 Activity

In October 2019, the Company issued €550 ($617 at December 31, 2019) principal amount 0.75% senior unsecured notes due 2023. The notes were issued at par by Crown European Holdings, S.A., a subsidiary of the Company, and are unconditionally guaranteed by the company and certain of its subsidiaries. In December 2019, the Company borrowed $1,100 Term A Loans and €450 ($505 at December 31, 2019) of Term Euro Loans, and used the proceeds, together with the proceeds from the issuance of the €550 senior notes, cash on hand and borrowings under the Revolving Credit Facilities to refinance in full the U.S. dollar Term A and Euro Term A loan facilities due in 2022 and the U.S. dollar Term B and Euro Term B loan facilities due in 2025.