Annual report pursuant to Section 13 and 15(d)

Borrowings

v3.23.4
Borrowings
 12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
Borrowings [Text Block]
Note 13 : Borrowings
Short-Term Debt
As of December 30, 2023, short-term debt was $2.3 billion, composed of the current portion of long-term debt. As of December 31, 2022, short-term debt was $4.4 billion, composed of $423 million of the current portion of long-term debt and $3.9 billion of commercial paper. The current portion of long-term debt includes debt classified as short-term based on time remaining until maturity.
We have an ongoing authorization from our Board of Directors to borrow up to $10.0 billion under our commercial paper program. As of December 30, 2023 we had no commercial paper outstanding ($3.9 billion as of December 31, 2022).
Long-Term Debt
Dec 30, 2023 Dec 31, 2022
(In Millions)
Effective Interest Rate
 Amount Amount
Fixed-rate senior notes:
2.88%, due May 2024 2.32% $ 1,250  $ 1,250 
2.70%, due June 2024 2.14% 600  600 
3.40%, due March 2025 3.45% 1,500  1,500 
3.70%, due July 2025 7.29% 2,250  2,250 
4.88%, due February 2026 4.96% 1,500  — 
2.60%, due May 2026 5.79% 1,000  1,000 
3.75%, due March 2027 3.79% 1,000  1,000 
3.15%, due May 2027 6.35% 1,000  1,000 
3.75%, due August 2027 3.82% 1,250  1,250 
4.88%, due February 2028 4.94% 1,750  — 
1.60%, due August 2028 1.67% 1,000  1,000 
4.00%, due August 2029 4.06% 850  850 
2.45%, due November 2029 2.39% 2,000  2,000 
5.13%, due February 2030 5.17% 1,250  — 
3.90%, due March 2030 3.93% 1,500  1,500 
2.00%, due August 2031 2.03% 1,250  1,250 
4.15%, due August 2032 4.18% 1,250  1,250 
4.00%, due December 2032 7.21% 750  750 
5.20%, due February 2033 5.25% 2,250  — 
4.60%, due March 2040 4.61% 750  750 
2.80%, due August 2041 2.81% 750  750 
4.80%, due October 2041 7.16% 802  802 
4.25%, due December 2042 7.45% 567  567 
5.63%, due February 2043 5.64% 1,000  — 
4.90%, due July 2045 7.29% 772  772 
4.10%, due May 2046 6.58% 1,250  1,250 
4.10%, due May 2047 6.53% 1,000  1,000 
4.10%, due August 2047 6.09% 640  640 
3.73%, due December 2047 6.99% 1,967  1,967 
3.25%, due November 2049 3.20% 2,000  2,000 
4.75%, due March 2050 4.74% 2,250  2,250 
3.05%, due August 2051 3.06% 1,250  1,250 
4.90%, due August 2052 4.90% 1,750  1,750 
5.70%, due February 2053 5.71% 2,000  — 
3.10%, due February 2060 3.11% 1,000  1,000 
4.95%, due March 2060 4.99% 1,000  1,000 
3.20%, due August 2061 3.21% 750  750 
5.05%, due August 2062 5.05% 900  900 
5.90%, due February 2063 5.91% 1,250  — 
Dec 30, 2023 Dec 31, 2022
(In Millions)
Effective Interest Rate
 Amount Amount
Oregon and Arizona bonds1:
2.40% - 2.70%, due December 2035 - 2040 —% —  423 
3.80% - 4.10%, due December 2035 - 2040 3.89% 423  — 
5.00%, due September 2042 3.64% 131  131 
5.00%, due June 2049 2.15% 438  438 
5.00%, due September 2052 4.26% 445  445 
Total senior notes and other borrowings 50,285  39,285 
Unamortized premium/discount and issuance costs (445) (417)
Hedge accounting fair value adjustments (574) (761)
Long-term debt 49,266  38,107 
Current portion of long-term debt (2,288) (423)
Total long-term debt $ 46,978  $ 37,684 
1 These bonds may be remarketed or tendered on a periodic basis and will be classified within the current portion of long-term debt in the twelve months before remarketing or tendering.

Senior Notes
In 2023, we issued a total of $11.0 billion aggregate principal amount of senior notes.
In 2022, we issued a total of $6.0 billion aggregate principal amount of senior notes, including our inaugural green bond issuance of $1.3 billion principal amount, and settled in cash $1.6 billion of our senior notes that matured in May 2022, $1.0 billion of our senior notes that matured in July 2022, and $1.9 billion of our senior notes that matured in December 2022. We also early cash settled $400 million of our senior notes due November 2023.
Our fixed-rate senior notes pay interest semiannually. We may redeem the fixed-rate notes prior to their maturity at our option at specified redemption prices and subject to certain restrictions. The obligations under the notes rank equally in right of payment with all of our other existing and future senior unsecured indebtedness and will effectively rank junior to all liabilities of our subsidiaries.
Oregon and Arizona Bonds
In 2023, we remarketed $423 million aggregate principal amount of bonds issued by the Industrial Development Authority of the City of Chandler, Arizona (the Arizona bonds) and the State of Oregon Business Development Commission (the Oregon bonds). The bonds are unsecured general obligations in accordance with loan agreements we entered into with each of the Industrial Development Authority of the City of Chandler, Arizona (CIDA) and the State of Oregon Business Development Commission. The bonds mature in 2035 and 2040 and have 3.8% and 4.1% coupons. Both the Arizona and Oregon bonds are subject to optional tender starting in February 2028 and mandatory tender in June 2028, at which time we may remarket the bonds for a new term period.
In 2022, we received proceeds of $600 million in the aggregate for the sale of bonds issued by CIDA. The bonds are our unsecured general obligations in accordance with the loan with the CIDA. The bonds mature in 2042 and 2052 and carry an interest rate of 5.0%. The bonds are subject to mandatory tender in September 2027, at which time we can re-market the bonds as either fixed-rate bonds for a specified period or as variable-rate bonds until another fixed-rate period is selected or until their final maturity date. We settled in cash $138 million of bonds issued by the Oregon Business Development Commission in March 2022.
Revolving Credit Facilities
In 2022, we entered into a $5.0 billion, 364-day variable-rate unsecured revolving credit facility that, if drawn, is expected to be used for general corporate purposes. In 2023, we extended the maturity date from November 2023 to March 2024. In 2022, we amended our $5.0 billion variable-rate revolving credit facility agreement that we entered into in 2021, extending the maturity date by one year to March 2027 and transitioning from LIBOR to term SOFR. In 2023, we extended the maturity date by one year to March 2028.
The revolving credit facilities had no borrowings outstanding as of December 30, 2023 and December 31, 2022.
Debt Maturities
Our aggregate debt maturities, based on outstanding principal as of December 30, 2023, by year payable, are as follows:
(In Millions) 2024 2025 2026 2027 2028 2029 and thereafter Total
$ 2,288  $ 3,750  $ 2,500  $ 3,826  $ 3,174  $ 34,747  $ 50,285