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BORROWINGS
 12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
BORROWINGS BORROWINGS
 December 31,
(Dollars in millions)20242023
Borrowings consisted of:  
7.25% debentures due January 2024
$— $198 
7.625% debentures due June 2024
— 43 
3.80% notes due March 2025
450 696 
1.875% notes due November 2026 (1)
518 550 
7.60% debentures due February 2027
196 196 
4.5% notes due December 2028
496 495 
5.0% notes due August 2029
495 — 
5.75% notes due March 2033 (2)
496 496 
5.625% notes due February 2034
743 — 
4.8% notes due September 2042
495 495 
4.65% notes due October 2044
878 878 
2024 Term Loan
— 300 
2027 Term Loan250 499 
Commercial paper and short-term borrowings
— — 
Total borrowings
5,017 4,846 
Less: Borrowings due within one year
450 541 
Long-term borrowings
$4,567 $4,305 

(1)The carrying value of the euro-denominated 1.875% notes due November 2026 fluctuates with changes in the euro to U.S. dollar exchange rate. The carrying value of these euro-denominated borrowings have been designated as non-derivative net investment hedges of a portion of the Company's net investments in euro functional-currency denominated subsidiaries to offset foreign currency fluctuations.
(2)Net proceeds from the bond issuance have been used to finance or refinance existing and future eligible green investment initiatives which contribute to Eastman's environmental sustainability strategy (a green bond).

In 2024, the Company issued $750 million aggregate principal amount of 5.625% notes due February 2034 (the "2034 Notes"). Proceeds from the sale of the 2034 Notes, net of original issue discounts and issuance costs, were $742 million. The Company also issued $500 million aggregate principal amount of 5.0% notes due August 2029 (the "2029 Notes"). Proceeds from the sale of the 2029 Notes, net of original issue discount and issuance costs, were $495 million. The Company repaid the $198 million 7.25% debentures due January 2024 and the $43 million 7.625% debentures due June 2024. There were no debt extinguishment costs associated with these repayments. The Company also redeemed $250 million aggregate principal amount of the 3.80% notes due March 2025 (the "2025 Notes"). Redemption of the 2025 Notes resulted in an immaterial gain on extinguishment of debt.

All proceeds from the issued notes and the redemption of the debentures are reported under financing activities on the Consolidated Statements of Cash Flows.

Credit Facility, Term Loans, and Commercial Paper Borrowings

The Company has access to a $1.50 billion revolving credit agreement (the "Credit Facility"). In February 2024, the Credit Facility was amended to extend the maturity to February 2029. All other material terms of the Credit Facility remain unchanged. Borrowings under the Credit Facility are subject to interest at varying spreads above quoted market rates and a commitment fee is paid on the total unused commitment. The Credit Facility includes sustainability-linked pricing terms, provides available liquidity for general corporate purposes, and supports commercial paper borrowings. Commercial paper borrowings are classified as short-term. At December 31, 2024 and 2023, the Company had no outstanding borrowings under the Credit Facility and no commercial paper borrowings.
In 2024, the Company repaid the $300 million delayed draw two-year term loan (the "2024 Term Loan") and $250 million of the $500 million five-year term loan (the "2027 Term Loan"). There were no extinguishment costs associated with repayments of either term loan. The outstanding balance on the 2027 Term Loan was $250 million at December 31, 2024 and $499 million at December 31, 2023, with variable interest rates of 5.58% and 6.58%, respectively. The 2027 Term Loan is subject to interest at a spread above quoted market rates.

The Credit Facility and the 2027 Term Loan contain customary covenants, including requirements to maintain certain financial ratios, that determine the events of default, amounts available, and terms of borrowings. The Company was in compliance with all applicable covenants at both December 31, 2024 and 2023.

Fair Value of Borrowings

Eastman has classified its total borrowings at December 31, 2024 and 2023 under the fair value hierarchy as defined in the accounting policies in Note 1, "Significant Accounting Policies". The fair value for fixed-rate debt securities is based on quoted market prices for the same or similar debt instruments and is classified as Level 2. The fair value for the Company's other borrowings under the Term Loan equals the carrying value and is classified as Level 2. At December 31, 2024 and 2023, the fair value of total borrowings was $4.9 billion and $4.7 billion, respectively. The Company had no borrowings classified as Level 1 or Level 3 as of December 31, 2024 and 2023.