v3.23.3
Debt
 9 Months Ended
Sep. 30, 2023
Debt Disclosure [Abstract]  
Debt Debt
Debt Obligations
As of
 September 30, 2023December 31, 2022
 (In millions)
Long-term debt
CAD 500 million 2.84% notes due July 2023(1)
$— $368.9 
EUR 800 million 1.25% notes due July 2024
845.8 856.4 
CAD 500 million 3.44% notes due July 2026
368.3 368.9 
$2.0 billion 3.0% notes due July 2026
2,000.0 2,000.0 
$1.1 billion 5.0% notes due May 2042
1,100.0 1,100.0 
$1.8 billion 4.2% notes due July 2046
1,800.0 1,800.0 
Finance leases52.7 61.5 
Other23.2 25.4 
Less: unamortized debt discounts and debt issuance costs(36.5)(39.7)
Total long-term debt (including current portion)6,153.5 6,541.4 
Less: current portion of long-term debt(852.4)(376.2)
Total long-term debt$5,301.1 $6,165.2 
Short-term borrowings(2)
26.4 20.9 
Current portion of long-term debt852.4 376.2 
Current portion of long-term debt and short-term borrowings$878.8 $397.1 
(1)We repaid our CAD 500 million 2.84% notes upon maturity on July 15, 2023 using cash on hand.
(2)Our short-term borrowings include bank overdrafts, borrowings on our overdraft facilities and other items.
As of September 30, 2023, we had $21.4 million in bank overdrafts and $121.1 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $99.7 million. As of December 31, 2022, we had $15.9 million in bank overdrafts and $49.7 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $33.8 million.
In addition, we have CAD, GBP and USD overdraft facilities under which we had no outstanding borrowings as of September 30, 2023 and December 31, 2022. See further detail within Part II.—Item 8. Financial Statements, Note 13, "Commitments and Contingencies" in our Annual Report for further discussion related to letters of credit.
Debt Fair Value Measurements
We utilize market approaches to estimate the fair value of certain outstanding borrowings by discounting anticipated future cash flows derived from the contractual terms of the obligations using observable market interest and foreign exchange rates. As of September 30, 2023 and December 31, 2022, the fair value of our outstanding long-term debt (including the current portion of long-term debt) was approximately $5.4 billion and $5.9 billion, respectively. All senior notes are valued based on significant observable inputs and classified as Level 2 in the fair value hierarchy. The carrying values of our short-term borrowings approximate their fair values and are also classified as Level 2 in the fair value hierarchy.
Revolving Credit Facility and Commercial Paper
On June 26, 2023, we amended and restated our multi-currency revolving credit facility to, among other things, extend the term through June 26, 2028, and to increase the borrowing capacity to $2.0 billion. This $2.0 billion revolving credit facility amended our pre-existing $1.5 billion revolving credit facility, which was scheduled to mature on July 7, 2024. On September 28, 2023, we amended our commercial paper program, which reduces borrowing capacity under the revolving credit facility, to a maximum borrowing capacity of $2.0 billion to borrow at any time at variable interest rates. The $150.0 million sub-facility available for the issuance of letters of credit remains unchanged.
Concurrent with these transactions, in the second quarter of 2023, we incurred incremental issuance costs of $5.2 million related to the $2.0 billion revolving credit facility, which were recorded within other current assets, net, and other assets on the unaudited condensed consolidated balance sheets and are being amortized over the term of the facility. We use this facility from time to time to fund the repayment of debt upon maturity and for working capital or general purposes.
We had no borrowings drawn on the revolving credit facility and no commercial paper borrowings as of September 30, 2023 and December 31, 2022.
Debt Covenants
Under the terms of each of our debt facilities, we must comply with certain restrictions. These include customary events of default and specified representations, warranties and covenants, as well as covenants that restrict our ability to incur certain additional priority indebtedness (certain thresholds of secured consolidated net tangible assets), certain leverage threshold percentages, create or permit liens on assets, and restrictions on mergers, acquisitions and certain types of sale lease-back transactions.
Under the amended and restated $2.0 billion revolving credit facility, we may not exceed a maximum leverage ratio, calculated as net debt to EBITDA (as defined in the revolving credit facility agreement) of 4.00x, measured as of the last day of each fiscal quarter through maturity of the credit facility. As of September 30, 2023, we were in compliance with all of these restrictions and covenants, have met such financial ratios and have met all debt payment obligations. All of our outstanding senior notes as of September 30, 2023 rank pari-passu.