Debt (Tables)
|
12 Months Ended |
Dec. 31, 2018 |
| Debt Disclosure [Abstract] |
|
| Schedule of Short-Term Debt |
Short-term debt
|
|
|
2018 |
|
|
2017 |
|
|
Short-term bank borrowings |
|
|
- |
|
|
- |
|
|
Current portion of long-term debt (*) |
|
|
1,107 |
|
|
|
751 |
|
|
Total |
|
|
1,107 |
|
|
|
751 |
|
|
(*) |
Net of adjustment for debt issuance costs. |
|
| Summary of Outstanding Long-Term Debt |
Long-term debt
The following table summarizes the outstanding long-term debt as of December 31, 2018 and 2017:
|
|
|
|
|
2018 |
|
|
2017 |
|
|
|
|
Maturities |
|
Amount |
|
|
Effective rate |
|
|
Amount |
|
|
Effective rate |
|
|
Fixed-rate 3.75% senior unsecured notes |
|
Jun, 2018 |
|
- |
|
|
|
3.750 |
|
|
|
750 |
|
|
|
3.750 |
|
|
Fixed-rate 4.125% senior unsecured notes |
|
Jun, 2020 |
|
|
600 |
|
|
|
4.125 |
|
|
|
600 |
|
|
|
4.125 |
|
|
Fixed-rate 4.125% senior unsecured notes |
|
Jun, 2021 |
|
|
1,350 |
|
|
|
4.125 |
|
|
|
1,350 |
|
|
|
4.125 |
|
|
Fixed-rate 4.625% senior unsecured notes |
|
Jun, 2022 |
|
|
400 |
|
|
|
4.625 |
|
|
|
400 |
|
|
|
4.625 |
|
|
Fixed-rate 3.875% senior unsecured notes |
|
Sep, 2022 |
|
|
1,000 |
|
|
|
3.875 |
|
|
|
1,000 |
|
|
|
3.875 |
|
|
Fixed-rate 5.75% senior unsecured notes |
|
Mar, 2023 |
|
- |
|
|
|
5.750 |
|
|
|
500 |
|
|
|
5.750 |
|
|
Fixed-rate 4.625% senior unsecured notes |
|
Jun, 2023 |
|
|
900 |
|
|
|
4.625 |
|
|
|
900 |
|
|
|
4.625 |
|
|
Fixed-rate 4.875% senior unsecured notes |
|
Mar, 2024 |
|
|
1,000 |
|
|
|
4.875 |
|
|
- |
|
|
- |
|
|
Fixed-rate 5.35% senior unsecured notes |
|
Mar, 2026 |
|
|
500 |
|
|
|
5.350 |
|
|
- |
|
|
- |
|
|
Fixed-rate 5.55% senior unsecured notes |
|
Dec, 2028 |
|
|
500 |
|
|
|
5.550 |
|
|
- |
|
|
- |
|
|
Fixed-rate 1% cash convertible notes |
|
Dec, 2019 |
|
|
1,150 |
|
|
|
1.000 |
|
|
|
1,150 |
|
|
|
1.000 |
|
|
Floating-rate revolving credit facility |
|
Dec, 2020 |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
Total principal |
|
|
|
|
7,400 |
|
|
|
|
|
|
|
6,650 |
|
|
|
|
|
|
Liabilities arising from capital lease transactions |
|
|
|
|
27 |
|
|
|
|
|
|
|
29 |
|
|
|
|
|
|
Unamortized discounts, premiums and debt
issuance costs |
|
|
|
|
(31 |
) |
|
|
|
|
|
(28) |
|
|
|
|
|
|
Fair value of embedded cash conversion option |
|
|
|
|
(42 |
) |
|
|
|
|
|
|
(86 |
) |
|
|
|
|
|
Total debt, including unamortized discounts,
premiums, debt issuance costs and fair value
adjustments |
|
|
|
|
7,354 |
|
|
|
|
|
|
|
6,565 |
|
|
|
|
|
|
Current portion of long-term debt |
|
|
|
|
(1,107 |
) |
|
|
|
|
|
|
(751 |
) |
|
|
|
|
|
Long-term debt |
|
|
|
|
6,247 |
|
|
|
|
|
|
|
5,814 |
|
|
|
|
|
|
| Schedule of Long-Term Debt |
|
|
|
Range of interest rates |
|
|
Average rate of interest |
|
|
Principal amount outstanding
2018 |
|
|
Due in 2019 |
|
|
Due after 2019 |
|
|
Due after 2023 |
|
|
Average remaining term
(in years) |
|
|
Principal amount
outstanding
2017 |
|
|
USD notes |
|
3.9%-5.8% |
|
|
|
4.5 |
% |
|
|
6,250 |
|
|
|
- |
|
|
|
6,250 |
|
|
|
2,000 |
|
|
|
4.3 |
|
|
|
5,500 |
|
|
2019 Cash Convertible Senior Notes |
|
|
1.0 |
% |
|
|
1.0 |
% |
|
|
1,150 |
|
|
|
1,150 |
|
|
|
- |
|
|
|
- |
|
|
|
0.9 |
|
|
|
1,150 |
|
|
Revolving Credit Facility (1) |
|
- |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
Bank borrowings |
|
- |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
Liabilities arising from capital lease
transactions |
|
4.5%-13.8% |
|
|
|
4.6 |
% |
|
|
27 |
|
|
|
2 |
|
|
|
25 |
|
|
|
19 |
|
|
|
13.2 |
|
|
|
29 |
|
|
|
|
|
|
|
|
|
4.0 |
% |
|
|
7,427 |
|
|
|
1,152 |
|
|
|
6,275 |
|
|
|
2,019 |
|
|
|
3.8 |
|
|
|
6,679 |
|
|
(1) |
We do not have any borrowings under the $600 million Revolving Credit Facility as of December 31, 2018 and 2017. |
|
| Principal Amounts of Long-Term Debt |
As of December 31, 2018, the following principal amounts of long-term debt are due in the next 5 years:
|
2019 |
|
|
1,152 |
|
|
2020 |
|
|
601 |
|
|
2021 |
|
|
1,351 |
|
|
2022 |
|
|
1,402 |
|
|
2023 |
|
|
902 |
|
|
Due after 5 years |
|
|
2,019 |
|
|
|
|
|
7,427 |
|
|
| Summary of Principal Amount, Unamortized Debt Discount and Net Carrying Amount of Liability Component |
The principal amount, unamortized debt discount and net carrying amount of the liability component of the 2019 Cash Convertible Senior Notes as of December 31, 2018 and 2017 was as follows:
|
|
|
As of December 31 |
|
|
(in millions) |
|
2018 |
|
|
2017 |
|
|
Principal amount of 2019 Cash Convertible Senior Notes |
|
|
1,150 |
|
|
|
1,150 |
|
|
Unamortized debt discount of 2019 Cash Convertible Senior Notes |
|
|
45 |
|
|
|
91 |
|
|
Net liability of 2019 Cash Convertible Senior Notes |
|
|
1,105 |
|
|
|
1,059 |
|
|
| Summary of Effective Interest Rate, Contractual Interest Expense and Amortization of Debt Discount |
The effective interest rate, contractual interest expense and amortization of debt discount for the 2019 Cash Convertible Senior Notes for fiscal 2018 and 2017 were as follows:
|
(in millions, except percentage) |
|
2018 |
|
|
2017 |
|
|
Effective interest rate |
|
|
5.14 |
% |
|
|
5.14 |
% |
|
Contractual interest expense |
|
|
12 |
|
|
|
12 |
|
|
Amortization of debt discount |
|
|
44 |
|
|
|
42 |
|
|