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Long-Term Debt and Revolving Promissory Note | 12 Months Ended
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Dec. 31, 2013
Debt Disclosure [Abstract] |
Long-Term Debt and Revolving Promissory Note | Long-Term Debt and Revolving Promissory Note Long-term debt, including unamortized discounts and premiums, and note payable-affiliate is as follows:
|  |  |  |  | Successor
| Interest Rates |  | Maturities |  | December 31, 2013 |  | December 31, 2012
|  |  |  |  | (Dollars in millions)
Senior notes | 6.125% - 8.375% |  | 2014 - 2053 |  | $ | 7,411 |  |  | 7,386 |
Capital lease and other obligations | Various |  | Various |  | 72 |  |  | 112 |
Unamortized premiums, net |  |  |  |  | 75 |  |  | 127 |
Total long-term debt |  |  |  |  | 7,558 |  |  | 7,625 |
Less current maturities |  |  |  |  | (637 | ) |  | (804 | )
Long-term debt, excluding current maturities |  |  |  |  | $ | 6,921 |  |  | 6,821 |
Note payable-affiliate | 6.765% |  | 2022 |  | $ | 754 |  |  | 701 |
New Issuances 2013 On May 23, 2013, we issued $775 million aggregate principal amount of 6.125% Notes due 2053, including $25 million principal amount that was sold pursuant to an over-allotment option granted to the underwriters for the offering, in exchange for net proceeds, after deducting underwriting discounts and expenses, of approximately $752 million. The Notes are unsecured obligations and may be redeemed, in whole or in part, on or after June 1, 2018 at a redemption price equal to 100% of the principal amount redeemed plus accrued and unpaid interest to the redemption date. 2012 On June 25, 2012, we issued $400 million aggregate principal amount of 7.00% Notes due 2052 in exchange for net proceeds, after deducting underwriting discounts and expenses, of $387 million. The Notes are unsecured obligations and may be redeemed, in whole or in part, on or after July 1, 2017 at a redemption price equal to 100% of the principal amount redeemed plus accrued interest. In connection with consummating the April 18, 2012 tender offer described below under "Repayments", we borrowed from a CenturyLink affiliate approximately $580 million under a revolving promissory note, payable upon demand. The promissory note is unsecured and ranked equally to our senior notes. On April 2, 2012, we issued $525 million aggregate principal amount of 7.00% Notes due 2052 in exchange for net proceeds, after deducting underwriting discounts and expenses, of $508 million. The Notes are unsecured obligations and may be redeemed, in whole or in part, on or after April 1, 2017 at a redemption price equal to 100% of the principal amount redeemed plus accrued interest. Repayments 2013 On June 17, 2013, we paid at maturity the $750 million principal amount of our floating rate Notes. 2012 On July 20, 2012, we redeemed all $484 million of our 7.50% Notes due 2023, which resulted in an immaterial loss. On April 18, 2012, we completed a cash tender offer to purchase a portion of our $811 million of 8.375% Notes due 2016 and our $400 million of 7.625% Notes due 2015. With respect to our 8.375% Notes due 2016, we received and accepted tenders of approximately $575 million aggregate principal amount of these notes, or 71%, for $722 million including a premium, fees and accrued interest. With respect to our 7.625% Notes due 2015, we received and accepted tenders of approximately $308 million aggregate principal amount of these notes, or 77%, for $369 million including a premium, fees and accrued interest. The completion of this tender offer resulted in a loss of $46 million. Aggregate Maturities of Long-Term Debt Aggregate maturities of our long-term debt (excluding unamortized premiums, discounts, and other and excluding note payable-affiliate):
| (Dollars in millions)
2014 | $ | 637 |
2015 | 122 |
2016 | 237 |
2017 | 500 |
2018 | — |
2019 and thereafter | 5,987 |
Total long-term debt | $ | 7,483 |
Revolving Promissory Note We have a revolving promissory note with an affiliate of CenturyLink that provides us with a funding commitment with an aggregate principle amount available to $1.0 billion through June 30, 2022, of which $754 million was outstanding as of the successor date of December 31, 2013. As of the successor date of December 31, 2013, the weighted average interest rate was 6.765%. This revolving promissory note and accrued interest thereon is reflected on our consolidated balance sheets as a current liability under “Note payable-affiliate”. Interest Expense Interest expense includes interest on long-term debt. The following table presents the amount of gross interest expense, net of capitalized interest and interest expense (income)-affiliates:
| Successor |  |  | Predecessor
| Year Ended December 31, 2013 |  | Year Ended December 31, 2012 |  | Nine Months Ended December 31, 2011 |  |  | Three Months Ended March 31, 2011
| (Dollars in millions)
Interest expense: |  |  |  |  |  |  |  |
Gross interest expense | $ | 467 |  |  | 461 |  |  | 305 |  |  |  | 153 |
Capitalized interest | (17 | ) |  | (18 | ) |  | (5 | ) |  |  | (3 | )
Total interest expense | $ | 450 |  |  | 443 |  |  | 300 |  |  |  | 150 |
Interest expense (income)-affiliates | $ | 64 |  |  | 24 |  |  | (1 | ) |  |  | — |
Covenants The indentures governing our notes contain certain covenants including, but not limited to: (i) a prohibition on certain liens on our assets; and (ii) a limitation on mergers or sales of all, or substantially all, of our assets, which limitation requires that a successor assume the obligation with regard to these notes. These indentures do not contain any cross-default provisions. As of the successor date of December 31, 2013, we believe we were in compliance with the provisions and covenants of our debt agreements.

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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 SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 3: 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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