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Borrowings
 9 Months Ended
Sep. 30, 2022
Debt Disclosure [Abstract]  
Borrowings

11. Borrowings

The Company’s outstanding borrowings consisted of the following (in millions):

 

 

 

September 30, 2022

 

 

December 31, 2021

 

Commercial paper (a)

 

$

175.0

 

 

$

275.0

 

Notes:

 

 

 

 

 

 

4.250% notes due 2023 (b)

 

 

300.0

 

 

 

300.0

 

2.850% notes due 2025 (b)

 

 

500.0

 

 

 

500.0

 

1.350% notes due 2026 (b)

 

 

600.0

 

 

 

600.0

 

2.750% notes due 2031 (b)

 

 

300.0

 

 

 

300.0

 

6.200% notes due 2036 (b)

 

 

500.0

 

 

 

500.0

 

6.200% notes due 2040 (b)

 

 

250.0

 

 

 

250.0

 

Term loan facility borrowing (c)

 

 

—

 

 

 

300.0

 

Total borrowings at par value

 

 

2,625.0

 

 

 

3,025.0

 

Debt issuance costs and unamortized discount, net

 

 

(14.0

)

 

 

(16.6

)

Total borrowings at carrying value (d)

 

$

2,611.0

 

 

$

3,008.4

 

 

(a)
Pursuant to the Company’s commercial paper program, the Company may issue unsecured commercial paper notes in an amount not to exceed $1.5 billion outstanding at any time, reduced to the extent of borrowings outstanding on the Company’s revolving credit facility. The commercial paper notes may have maturities of up to 397 days from date of issuance. The Company’s commercial paper borrowings as of September 30, 2022 had a weighted-average annual interest rate of approximately 3.4% and a weighted-average term of approximately 3 days.
(b)
The difference between the stated interest rate and the effective interest rate is not significant.
(c)
See Term Loan Facility section below for further discussion.
(d)
As of September 30, 2022, the Company’s weighted-average effective rate on total borrowings was approximately 3.8%.

 

Term Loan Facility

On December 18, 2018, the Company entered into an amended and restated term loan facility providing for up to $950.0 million in borrowings and extending the final maturity of the facility to January 2024 (the "Term Loan Facility"). Proceeds from the 2026 Notes and $300.0 million of aggregate principal amount of 2.750% unsecured notes due March 15, 2031 ("2031 Notes"), and cash, including cash generated from operations, were used to repay $650.0 million of the Term Loan Facility in the first quarter of 2021 and $500.0 million of the aggregate principal amount of 3.600% unsecured notes due in March 2022 in the second quarter of 2021. On January 4, 2022, the Company repaid all remaining borrowings owed under the Term Loan Facility for total consideration of $300.0 million, using proceeds from commercial paper and cash, including cash generated from operations. The Company is no longer able to borrow money under this facility.

The following summarizes the Company’s maturities of its notes at par value as of September 30, 2022 (in millions):

 

Due within 1 year

 

$

300.0

 

Due after 1 year through 2 years

 

 

—

 

Due after 2 years through 3 years

 

 

500.0

 

Due after 3 years through 4 years

 

 

600.0

 

Due after 4 years through 5 years

 

 

—

 

Due after 5 years

 

 

1,050.0

 

Total

 

$

2,450.0

 

 

The Company’s obligations with respect to its outstanding borrowings, as described above, rank equally.