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Debt | 6 Months Ended
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Jun. 30, 2017
Debt |
Debt | Note 8—Debt Outstanding debt—The aggregate principal amounts and aggregate carrying amounts, net of debt‑related balances, including unamortized discounts, premiums and issue costs, of our debt were as follows (in millions):
|  | Principal amount |  |  | Carrying amount |
|  | June 30, |  | December 31, |  |  | June 30, |  | December 31, |
|  | 2017 |  | 2016 |  |  | 2017 |  | 2016 |
2.50% Senior Notes due October 2017 |  | $ | 152 |  | $ | 485 |  |  | $ | 152 |  | $ | 484 |
Eksportfinans Loans due January 2018 |  |  | 76 |  |  | 123 |  |  |  | 76 |  |  | 123 |
6.00% Senior Notes due March 2018 |  |  | 319 |  |  | 754 |  |  |  | 320 |  |  | 757 |
7.375% Senior Notes due April 2018 |  |  | 83 |  |  | 211 |  |  |  | 83 |  |  | 211 |
6.50% Senior Notes due November 2020 |  |  | 296 |  |  | 508 |  |  |  | 299 |  |  | 513 |
6.375% Senior Notes due December 2021 |  |  | 334 |  |  | 552 |  |  |  | 332 |  |  | 549 |
5.52% Senior Secured Notes due May 2022 |  |  | 410 |  |  | — |  |  |  | 403 |  |  | — |
3.80% Senior Notes due October 2022 |  |  | 506 |  |  | 539 |  |  |  | 501 |  |  | 534 |
9.00% Senior Notes due July 2023 |  |  | 1,250 |  |  | 1,250 |  |  |  | 1,214 |  |  | 1,211 |
7.75% Senior Secured Notes due October 2024 |  |  | 570 |  |  | 600 |  |  |  | 555 |  |  | 583 |
6.25% Senior Secured Notes due December 2024 |  |  | 594 |  |  | 625 |  |  |  | 579 |  |  | 609 |
7.45% Notes due April 2027 |  |  | 88 |  |  | 88 |  |  |  | 86 |  |  | 86 |
8.00% Debentures due April 2027 |  |  | 57 |  |  | 57 |  |  |  | 57 |  |  | 57 |
7.00% Notes due June 2028 |  |  | 300 |  |  | 300 |  |  |  | 308 |  |  | 308 |
Capital lease contract due August 2029 |  |  | 552 |  |  | 566 |  |  |  | 552 |  |  | 566 |
7.50% Notes due April 2031 |  |  | 588 |  |  | 588 |  |  |  | 585 |  |  | 585 |
6.80% Senior Notes due March 2038 |  |  | 1,000 |  |  | 1,000 |  |  |  | 991 |  |  | 991 |
7.35% Senior Notes due December 2041 |  |  | 300 |  |  | 300 |  |  |  | 297 |  |  | 297 |
Total debt |  |  | 7,475 |  |  | 8,546 |  |  |  | 7,390 |  |  | 8,464 |
Less debt due within one year |  |  |  |  |  |  |  |  |  |  |  |  |  |
2.50% Senior Notes due October 2017 |  |  | 152 |  |  | 485 |  |  |  | 152 |  |  | 484 |
Eksportfinans Loans due January 2018 |  |  | 76 |  |  | 98 |  |  |  | 76 |  |  | 98 |
6.00% Senior Notes due March 2018 |  |  | 319 |  |  | — |  |  |  | 320 |  |  | — |
7.375% Senior Notes due April 2018 |  |  | 83 |  |  | — |  |  |  | 83 |  |  | — |
6.50% Senior Notes due November 2020 |  |  | 4 |  |  | — |  |  |  | 4 |  |  | — |
6.375% Senior Notes due December 2021 |  |  | 2 |  |  | — |  |  |  | 2 |  |  | — |
5.52% Senior Secured Notes due May 2022 |  |  | 87 |  |  | — |  |  |  | 85 |  |  | — |
7.75% Senior Secured Notes due October 2024 |  |  | 60 |  |  | 60 |  |  |  | 57 |  |  | 57 |
6.25% Senior Secured Notes due December 2024 |  |  | 63 |  |  | 63 |  |  |  | 60 |  |  | 60 |
Capital lease contract due August 2029 |  |  | 26 |  |  | 25 |  |  |  | 26 |  |  | 25 |
Total debt due within one year |  |  | 872 |  |  | 731 |  |  |  | 865 |  |  | 724 |
Total long-term debt |  | $ | 6,603 |  | $ | 7,815 |  |  | $ | 6,525 |  | $ | 7,740 |
Interest rate adjustments—The interest rates for certain of our notes are subject to adjustment from time to time upon a change to our credit rating of our non‑credit enhanced senior unsecured long‑term debt (“Debt Rating”). As of June 30, 2017, based on the Debt Rating in effect on that date, the interest rate in effect for the 2.50% Senior Notes due October 2017 and the 3.80% Senior Notes due October 2022 was 4.50 percent and 5.80 percent, respectively, and the interest rate in effect for the 6.375% Senior Notes due December 2021 and the 7.35% Senior Notes due December 2041 was 8.375 percent and 9.35 percent, respectively. Five‑Year Revolving Credit Facility—In June 2014, we entered into an amended and restated bank credit agreement, which established a $3.0 billion unsecured five‑year revolving credit facility, which is scheduled to expire on June 28, 2019 (the “Five‑Year Revolving Credit Facility”). Among other things, the Five‑Year Revolving Credit Facility includes limitations on creating liens, incurring subsidiary debt, transactions with affiliates, sale/leaseback transactions, mergers and the sale of substantially all assets. The Five‑Year Revolving Credit Facility also includes a covenant imposing a maximum debt to tangible capitalization ratio of 0.6 to 1.0. Borrowings under the Five‑Year Revolving Credit Facility are subject to acceleration upon the occurrence of an event of default, borrowings are guaranteed by Transocean Ltd. and may be prepaid in whole or in part without premium or penalty. We may borrow under the Five‑Year Revolving Credit Facility at either (1) the adjusted London Interbank Offered Rate (“LIBOR”) plus a margin (the “Five‑Year Revolving Credit Facility Margin”), which ranges from 1.125 percent to 2.0 percent based on the Debt Rating, or (2) the base rate specified in the credit agreement plus the Five‑Year Revolving Credit Facility Margin, less one percent per annum. Throughout the term of the Five‑Year Revolving Credit Facility, we pay a facility fee on the daily unused amount of the underlying commitment which ranges from 0.15 percent to 0.35 percent based on our Debt Rating. At June 30, 2017, based on our Debt Rating on that date, the Five‑Year Revolving Credit Facility Margin was 2.0 percent and the facility fee was 0.35 percent. At June 30, 2017, we had no borrowings outstanding or letters of credit issued, and we had $3.0 billion of available borrowing capacity under the Five‑Year Revolving Credit Facility. Issuance—On May 5, 2017, one of our wholly owned subsidiaries completed an offering of an aggregate principal amount of $410 million of 5.52% Senior Secured Notes due May 2022 (the “5.52% Senior Secured Notes”), and our subsidiary received aggregate cash proceeds of $403 million, net of issue costs. Beginning September 29, 2017, our subsidiary will be required to make quarterly installments of principal and interest. The 5.52% Senior Secured Notes are secured by the assets and earnings associated with the ultra‑deepwater floater Deepwater Conqueror, the equity of the wholly owned subsidiaries that own and operate the collateral rig, and certain related assets. Our subsidiary may redeem all or a portion of the 5.52% Senior Secured Notes at any time on or prior to December 31, 2021 at a price equal to 100 percent of the aggregate principal amount plus, subject to certain exceptions related to the drilling contract for Deepwater Conqueror, a make‑whole amount. Our subsidiary will be required to redeem or to offer to redeem the notes at a price equal to 100 percent of the aggregate principal amount upon the occurrence of certain events related to Deepwater Conqueror and the related drilling contract, certain of which require the payment of a make‑whole amount. Additionally, our subsidiary was required to make a cash deposit of $105 million into restricted cash accounts, including $57 million for principal, $11 million for interest and $37 million for working capital, held by the collateral agent and recorded in restricted cash. Repurchases—During the six months ended June 30, 2017 and 2016, we repurchased in the open market debt securities with aggregate principal amounts as follows (in millions):
|  | Six months ended
|  | June 30,
|  |  | 2017 |  |  | 2016 |
5.05% Senior Notes due December 2016 |  | $ | — |  | $ | 36 |
2.50% Senior Notes due October 2017 |  |  | 62 |  |  | 38 |
6.00% Senior Notes due March 2018 |  |  | 35 |  |  | 20 |
7.375% Senior Notes due April 2018 |  |  | 1 |  |  | 26 |
6.50% Senior Notes due November 2020 |  |  | 9 |  |  | 13 |
6.375% Senior Notes due December 2021 |  |  | 7 |  |  | 44 |
3.80% Senior Notes due October 2022 |  |  | 33 |  |  | 38 |
7.45% Notes due April 2027 |  |  | — |  |  | 8 |
7.50% Notes due April 2031 |  |  | — |  |  | 5 |
Aggregate principal amount retired |  | $ | 147 |  | $ | 228 |
Aggregate cash payment |  | $ | 147 |  | $ | 189 |
In the three and six months ended June 30, 2017, we recognized an aggregate net loss of $1 million associated with the retirement of such repurchased debt. In the three and six months ended June 30, 2016, we recognized an aggregate net gain of $38 million associated with the retirement of such repurchased debt. Tender offers—In June 2017, we announced cash tender offers (the “2017 Tender Offers”) to purchase up to $1.5 billion aggregate principal amount of certain notes (the “2017 Tendered Notes”). As of June 26, 2017, the early tender date, we received valid tenders from holders of aggregate principal amounts of the 2017 Tendered Notes as follows (in millions):
|  | Six months |
|  | ended |
|  | June 30, |
|  | 2017 |
2.50% Senior Notes due October 2017 |  | $ | 271 |
6.00% Senior Notes due March 2018 |  |  | 400 |
7.375% Senior Notes due April 2018 |  |  | 127 |
6.50% Senior Notes due November 2020 |  |  | 203 |
6.375% Senior Notes due December 2021 |  |  | 211 |
Aggregate principal amount retired |  | $ | 1,212 |
Aggregate cash payment |  | $ | 1,261 |
In the three and six months ended June 30, 2017, we recognized an aggregate net loss of $47 million associated with the retirement of such debt, validly tendered on or before the early tender date, June 26, 2017.

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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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
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