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Debt | 12 Months Ended
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Dec. 31, 2018
Debt Disclosure [Abstract] |
Debt | Debt Debt with a contractual term less than one year is generally classified as short-term debt and consisted of the following as of December 31 (in thousands):
|  | 2018 |  | 2017
Unsecured commercial paper |  | $ | 1,135,810 |  |  | $ | 1,273,482 |
Total short-term debt |  | $ | 1,135,810 |  |  | $ | 1,273,482 |
Debt with a contractual term greater than one year is generally classified as long-term debt and consisted of the following as of December 31 (in thousands):
|  | 2018 |  | 2017
Secured debt (Note 12) |  |  |  |
Asset-backed Canadian commercial paper conduit facility |  | $ | 155,951 |  |  | $ | 174,779 |
Asset-backed U.S. commercial paper conduit facilities |  | 582,717 |  |  | 279,457 |
Asset-backed securitization debt |  | 95,216 |  |  | 353,085 |
Less: unamortized discount and debt issuance costs |  | (49 | ) |  | (461 | )
Total secured debt |  | 833,835 |  |  | 806,860 |
Unsecured notes (at par value) |  |  |  |
6.80% Medium-term notes due in 2018, issued May 2008 |  | — |  |  | 877,488 |
2.25% Medium-term notes due in 2019, issued January 2016 |  | 600,000 |  |  | 600,000 |
Floating-rate Medium-term notes due in 2019, issued March 2017(a) |  | 150,000 |  |  | 150,000 |
2.40% Medium-term notes due in 2019, issued September 2014 |  | 600,000 |  |  | 600,000 |
2.15% Medium-term notes due in 2020, issued February 2015 |  | 600,000 |  |  | 600,000 |
Floating-rate Medium-term notes due in 2020, issued May 2018(b) |  | 450,000 |  |  | — |
2.40% Medium-term notes due in 2020, issued March 2017 |  | 350,000 |  |  | 350,000 |
2.85% Medium-term notes due in 2021, issued January 2016 |  | 600,000 |  |  | 600,000 |
Floating-rate Medium-term notes due in 2021, issued November 2018(c) |  | 450,000 |  |  | — |
3.55% Medium-term notes due in 2021, issued May 2018 |  | 350,000 |  |  | — |
2.55% Medium-term notes due in 2022, issued June 2017 |  | 400,000 |  |  | 400,000 |
3.35% Medium-term notes due in 2023, issued February 2018 |  | 350,000 |  |  | — |
3.50% Senior unsecured notes due in 2025, issued July 2015 |  | 450,000 |  |  | 450,000 |
4.625% Senior unsecured notes due in 2045, issued July 2015 |  | 300,000 |  |  | 300,000 |
Less: unamortized discount and debt issuance costs |  | (20,369 | ) |  | (19,821 | )
Gross long-term debt |  | 6,463,466 |  |  | 5,714,527 |
Less: current portion of long-term debt, net of unamortized discount and debt issuance costs |  | (1,575,799 | ) |  | (1,127,269 | )
Total long-term debt |  | $ | 4,887,667 |  |  | $ | 4,587,258 |
(a) | Floating interest rate based on LIBOR plus 35 bps.
(b) | Floating interest rate based on LIBOR plus 50 bps. The Company utilized an interest rate swap designated as a cash flow hedge to convert this from a floating rate basis to a fixed rate basis. Refer to Note 10 of the Notes to the Consolidated Financial Statements for further details.
(c) | Floating interest rate based on LIBOR plus 94 bps. The Company utilized an interest rate swap designated as a cash flow hedge to convert this from a floating rate basis to a fixed rate basis. Refer to Note 10 of the Notes to the Consolidated Financial Statements for further details.
A summary of the Company’s expected principal payments for debt obligations as of December 31, 2018 is as follows (in thousands):
2019 |  | $ | 2,717,597 |
2020 |  | 1,562,889 |
2021 |  | 1,570,815 |
2022 |  | 578,256 |
2023 |  | 440,137 |
Thereafter |  | 750,000 |
Total |  | $ | 7,619,694 |
Commercial paper maturities may range up to 365 days from the issuance date. The weighted-average interest rate of outstanding commercial paper balances was 2.79% and 1.48% at December 31, 2018 and 2017, respectively. In April 2018, the Company entered into a $780.0 million five-year credit facility to replace the $675.0 million five-year credit facility that was due to mature in April 2019 and also terminated the $100.0 million 364-day credit facility that would have matured at the end of April 2018. The new five-year credit facility matures in April 2023. The Company also has a $765.0 million five-year credit facility which matures in April 2021. The two five-year credit facilities (together, the Global Credit Facilities) bear interest at variable rates, which may be adjusted upward or downward depending on certain criteria, such as credit ratings. The Global Credit Facilities also require the Company to pay a fee based on the average daily unused portion of the aggregate commitments under the Global Credit Facilities. The Global Credit Facilities are committed facilities primarily used to support the Company's unsecured commercial paper program. In May 2018, the Company renewed its $25.0 million 364-day credit facility that was due to mature in that month. The $25.0 million credit facility bears interest at variable interest rates, and the Company pays a fee based on the unused portion of the $25.0 million commitment. This credit facility matures in May 2019. The fixed-rate Notes provide for semi-annual interest payments and the floating-rate Notes provide for quarterly interest payments. Principal on the Notes is due at maturity. During June 2018, $877.5 million of 6.80% medium-term notes matured, and the principal and accrued interest were paid in full. During March and November 2017, $400.0 million of 2.70% and $400.0 million of 1.55% medium-term notes matured, respectively, and the principal and accrued interest were paid in full. HDFS and the Company are subject to various operating and financial covenants related to the credit facilities and various operating covenants under the Notes and the U.S. and Canadian asset-backed commercial paper conduit facilities. The more significant covenants are described below. The operating covenants limit the Company’s and HDFS’ ability to:
• | Assume or incur certain liens;
• | Participate in certain mergers or consolidations; and
• | Purchase or hold margin stock.
Under the current financial covenants of the Global Credit Facilities, the ratio of HDFS's consolidated debt, excluding secured debt, to HDFS's consolidated shareholders' equity, excluding accumulated other comprehensive income (loss), cannot exceed 10.0 to 1.0 as of the end of any fiscal quarter. In addition, the ratio of the Company's consolidated debt to the Company's consolidated debt and consolidated shareholders’ equity (where the Company's consolidated debt in each case excludes that of HDFS and its subsidiaries, and the Company's consolidated shareholders’ equity excludes accumulated other comprehensive income (loss)), cannot exceed 0.7 to 1.0 as of the end of any fiscal quarter. No financial covenants are required under the Notes or the U.S. or Canadian asset-backed commercial paper conduit facilities. At December 31, 2018 and 2017, HDFS and the Company remained in compliance with all of these covenants.

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- 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
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