This note provides information about the company’s interest-bearing loans and borrowings. For more information about the company’s exposure to interest rate and foreign exposure currency risk – refer to Note 28

Risks arising from financial instruments.


Non-current liabilities
Million US dollar	31 December 2021		31 December 2020
Secured bank loans		75		46
Unsecured bond issues		85 433		93 523
Unsecured other loans		31		73
Lease liabilities		1 830		1 837

Non-current interest-bearing loans and borrowings		87 369		95 478


Current liabilities
Million US dollar	31 December 2021		31 December 2020
Secured bank loans		553		656
Commercial papers		—		1 522
Unsecured bank loans		106		294
Unsecured bond issues		293		202
Unsecured other loans		9		10
Lease liabilities		447		397

Current interest-bearing loans and borrowings		1 408		3 081

The current and

non-current

interest-bearing loans and borrowings amount to 88.8 billion US dollar as at 31 December 2021, compared to 98.6 billion US dollar as at 31 December 2020.

On 18 February 2021, the company entered into a new 10.1 billion US dollar Sustainable-Linked Loan Revolving Credit Facility (“SLL RCF”) with an initial five-year term, replacing the previous 9.0 billion US dollar of committed long-term credit facilities.

As at 31 December 2021, the company had no outstanding balance on commercial papers compared to 1.5 billion US dollar as at 31 December 2020. The commercial papers included programs in US dollar and euro with a total authorized issuance up to 5.0 billion US dollar and 3.0 billion euro, respectively.

In 2021, Anheuser-Busch InBev NV/SA (“ABISA”) announced that it and its wholly-owned subsidiary Anheuser-Busch InBev Worldwide Inc. (“ABIWW”, and together with ABISA, the “Issuers”) exercised their respective options to redeem the outstanding principal amounts for an aggregate principal amount of 6.2 billion US dollar of the following series of notes:

Date of redemption

Issuer

(abbreviated)

Title of series of notes issued

exchanged

Currency

Original principal

amount outstanding

(in million)

Principal amount

redeemed

(in million)

27 January 2021

ABIWW

3.750% Notes due 2024

AUD

650

28 January 2021

ABISA

1.500% Notes due 2025

EUR

2 147

29 June 2021

ABIWW

4.150% Notes due 2025

USD

2 500

23 July 2021

ABIFI

4.600% Notes due 2045

USD

565

Net debt is defined as

non-current

and current interest-bearing loans and borrowings and bank overdrafts minus debt securities and cash and cash equivalents. Net debt is a financial performance indicator that is used by AB InBev’s management to highlight changes in the company’s overall liquidity position.

AB InBev’s net debt decreased to 76.2 billion US dollar as at 31 December 2021, from 82.7 billion US dollar as at 31 December 2020. Aside from operating results that are net of capital expenditures, the net debt is impacted mainly by the payment of interests and taxes (6.2 billion US dollar), dividend payments to shareholders of AB InBev and Ambev (2.4 billion US dollar) and foreign exchange impact on net debt (1.6 billion US dollar decrease of net debt).

The following table provides a reconciliation of AB InBev’s net debt as at the dates indicated:


Million US dollar	31 December 2021			31 December 2020
Non-current interest-bearing loans and borrowings		87 369			95 478
Current interest-bearing loans and borrowings		1 408			3 081

Interest-bearing loans and borrowings		88 777			98 559

Bank overdrafts		53			5
Cash and cash equivalents		(12 097	)		(15 252	)
Interest bearing loans granted and other deposits (included within Trade and other receivables)		(175	)		(173	)
Debt securities (included within Investment securities)		(396	)		(418	)

Net debt		76 162			82 722

Reconciliation of liabilities arising from financing activities

The table below details changes in the company’s liabilities arising from financing activities, including both cash and

non-cash

changes. Liabilities arising from financing activities are those for which cash flows were, or future cash flows will be classified in the company’s consolidated cash flow statement from financing activities.


Million US dollar	Long-term debt, net of current portion			Short-term debt and current portion of long-term debt
Balance at 1 January 2021		95 478			3 081

Proceeds from borrowings		148			306
Payments on borrowings		(6 735	)		(2 230	)
Capitalization / (payment) of lease liabilities		697			(547	)
Amortized cost		64			—
Unrealized foreign exchange effects		(2 149	)		(88	)
Current portion of long-term debt		(875	)		875
Loss on bond redemption and other movements		741			10

Balance at 31 December 2021		87 369			1 408


Million US dollar	Long-term debt, net of current portion			Short-term debt and current portion of long-term debt
Balance at 1 January 2020		97 564			5 410

Proceeds from borrowings		11 226			3 596
Payments on borrowings		(13 596	)		(9 520	)
Capitalization / (payment) of lease liabilities		394			(484	)
Amortized cost		71			17
Unrealized foreign exchange effects		2 521			241
Current portion of long-term debt		(3 744	)		3 744
Loss on bond redemption and other movements		1 042			77

Balance at 31 December 2020		95 478			3 081


Million US dollar	Long-term debt, net of current portion			Short-term debt and current portion of long-term debt
Balance at 1 January 2019		106 997			4 584

Proceeds from borrowings		17 939			4 645
Payments on borrowings		(22 339	)		(8 253	)
Capitalization / (payment) of lease liabilities		420			(441	)
Amortized cost		75			13
Unrealized foreign exchange effects		(538	)		(39	)
Current portion of long-term debt		(4 769	)		4 769
Liabilities associated with assets held for sale		(69	)		(15	)
Other movements		(152	)		147

Balance at 31 December 2019		97 564			5 410