v3.25.2
Short-Term and Long-Term Debt
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Short-Term and Long-Term Debt SHORT-TERM AND LONG-TERM DEBT
 
Short-term Debt
 
The table below presents the Company’s short-term debt as of the dates indicated:
 
June 30, 2025December 31, 2024
 ($ in millions)
Commercial paper:
Prudential Financial$25 $25 
Prudential Funding, LLC500 496 
Subtotal commercial paper525 521 
Current portion of long-term debt:
Senior Notes499 0 
Surplus notes348 347 
Mortgage debt1 85 
Subtotal current portion of long-term debt848 432 
Subtotal1,373 953 
Less: assets under set-off arrangements(1)0 0 
Total short-term debt(2)
$1,373 $953 
Supplemental short-term debt information:
Portion of commercial paper borrowings due overnight$125$310
Daily average commercial paper outstanding for the quarter ended$1,551$1,823
Weighted average maturity of outstanding commercial paper, in days515
Weighted average interest rate on outstanding commercial paper4.33 %4.61 %
__________
(1)The surplus notes have corresponding assets where rights to set-off exist, thereby reducing the amount of surplus notes included in short-term debt.
(2)Includes Prudential Financial debt of $524 million and $25 million at June 30, 2025 and December 31, 2024, respectively.

Prudential Financial and certain subsidiaries have access to external sources of liquidity, including membership in the FHLBNY, a funding agreement facility with the Federal Agricultural Mortgage Company (“Farmer Mac”), commercial paper programs and contingent financing facilities in the form of facility agreements. The Company also maintains syndicated, unsecured committed credit facilities as an alternative source of liquidity. At June 30, 2025, no amounts were drawn on these syndicated, unsecured committed credit facilities. For additional information regarding these sources of liquidity, see Note 18 to the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
Long-term Debt

The table below presents the Company’s long-term debt as of the dates indicated:
 
 June 30, 2025December 31, 2024
 (in millions)
Fixed-rate obligations:
Surplus notes subject to set-off arrangements(1)(2)
$15,220 $14,748 
Senior notes10,610 10,245 
Mortgage debt(3)
125 69 
Floating-rate obligations:
Line of credit255 255 
Mortgage debt(3)
66 31 
Junior subordinated notes(4)
7,595 8,587 
Subtotal33,871 33,935 
Less: assets under set-off arrangements(1)15,220 14,748 
Total long-term debt(5)
$18,651 $19,187 
__________    
(1)The surplus notes have corresponding assets where rights to set-off exist, thereby reducing the amount of surplus notes included in long-term debt.
(2)Amount includes $7.2 billion of surplus notes used to finance Guideline AXXX reserves for business reinsured to Somerset Re in March 2024. See Note 12 for additional information.
(3)Includes $158 million and $100 million of debt denominated in foreign currency at June 30, 2025 and December 31, 2024, respectively.
(4)Includes Prudential Financial debt of $7,552 million and $8,548 million at June 30, 2025, and December 31, 2024, respectively. Also includes subsidiary debt of $43 million and $39 million denominated in foreign currency at June 30, 2025, and December 31, 2024, respectively.
(5)Includes Prudential Financial debt of $18,162 million and $18,793 million at June 30, 2025 and December 31, 2024, respectively.

At June 30, 2025 and December 31, 2024, the Company was in compliance with all debt covenants related to the borrowings in the table above.

Senior Notes

In August 2024, the Company recommenced sales of InterNotes® Retail Notes under its shelf registration statement. These notes support the Company’s Institutional Retirement Strategies business through the purchase of funding agreements on which the segment will earn investment spread. As of June 30, 2025, the outstanding balance of the InterNotes® Retail Notes was $485 million of which $253 million was utilized for Institutional Retirement Strategies, as described above.

In March 2025, the Company issued $750 million in aggregate principal amount of 5.200% medium-term notes due in March 2035.

Junior Subordinated Notes

In May 2025, the Company redeemed, in full, $1.0 billion in aggregate principal amount of 5.375% junior subordinated notes due in 2045.