v3.25.2
DEBT AND FINANCING ARRANGEMENTS
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
DEBT AND FINANCING ARRANGEMENTS DEBT AND FINANCING ARRANGEMENTS
The carrying value of our outstanding debt obligations as of June 30, 2025 and December 31, 2024 consisted of the following (in millions):
Principal
Amount		Carrying Value
Maturity20252024
Fixed-rate senior notes:
3.900% senior notes
$— 2025$— $1,000 
2.400% senior notes
500 2026500 499 
3.050% senior notes
1,000 2027997 997 
3.400% senior notes
750 2029748 748 
2.500% senior notes
400 2029398 398 
4.450% senior notes
750 2030746 746 
4.650% senior notes
500 2030498 — 
4.875% senior notes
900 2033895 895 
5.150% senior notes
900 2034894 894 
5.250% senior notes
1,250 20351,240 — 
6.200% senior notes
1,500 20381,486 1,486 
5.200% senior notes
500 2040494 495 
4.875% senior notes
500 2040492 492 
3.625% senior notes
375 2042369 369 
3.400% senior notes
500 2046492 492 
3.750% senior notes
1,150 20471,138 1,138 
4.250% senior notes
750 2049743 743 
3.400% senior notes
700 2049690 689 
5.300% senior notes
1,250 20501,232 1,232 
5.050% senior notes
1,100 20531,083 1,083 
5.500% senior notes
1,100 20541,087 1,087 
5.950% senior notes
1,250 20551,232 — 
5.600% senior notes
600 2064590 590 
6.050% senior notes
1,000 2065985 — 
Floating-rate senior notes:
Floating-rate senior notes1,944 2049-20751,921 1,755 
Debentures:
7.620% debentures
276 2030279 279 
Pound Sterling notes:
5.500% notes
91 203191 83 
5.125% notes
624 2050594 544 
Euro senior notes:
1.625% senior notes
820 2025820 731 
1.000% senior notes
586 2028584 521 
1.500% senior notes
586 2032584 521 
Finance lease obligations (see note 10)
516 2025-2118516 455 
Facility notes and bonds320 2029-2045320 320 
Other debt2 2025-20262 2 
Total debt$24,990 $24,740 $21,284 
Less: current maturities(920)(1,838)
Long-term debt$23,820 $19,446 
    
Commercial Paper
We are authorized to borrow up to $10.0 billion under a U.S. commercial paper program and €5.0 billion (in a variety of currencies) under a European commercial paper program. There was no commercial paper outstanding as of June 30, 2025 or December 31, 2024. The amount of commercial paper outstanding under these programs in the remainder of 2025 is expected to fluctuate.
Debt Classification
We have classified certain floating-rate senior notes that are redeemable at the option of the note holder as long-term debt in our consolidated balance sheets, due to our intent and ability to refinance the debt if the put option is exercised.
Debt Repayments
On April 1, 2025, our 3.900% Senior Notes with a principal balance of $1.0 billion matured and were repaid in full.
Debt Issuances
On May 14, 2025, we issued four series of notes in the principal amounts of $500 million, $1.3 billion, $1.3 billion and $1.0 billion. These notes bear interest at 4.650%, 5.250%, 5.950% and 6.050%, respectively, and mature on October 15, 2030, May 14, 2035, May 14, 2055 and May 14, 2065, respectively. Interest on the notes is payable semi-annually, beginning October 15, 2025 with respect to the 4.650% notes due October 15, 2030 and November 14, 2025 with respect to each other series of notes. Each series of notes is callable at our option at a redemption price equal to the greater of 100% of the principal amount, or the sum of the present values of scheduled payments of principal and interest, plus accrued and unpaid interest.
On May 20, 2025, we issued floating rate senior notes with a principal balance of $171 million. These notes bear interest at a rate equal to the compounded Secured Overnight Financing Rate ("SOFR") less 0.350% per year and mature on June 1, 2075. Interest on the notes is payable quarterly, beginning September 1, 2025. These notes are callable at various times after 30 years at a stated percentage of par value and are redeemable at the option of the note holders at various times after one year at a stated percentage of par value.
Other Arrangements
During the six months ended June 30, 2025, we entered into 14 new aircraft leases. The structure of this arrangement required a parent company guarantee of approximately $980 million. For additional information, see note 10 to the unaudited, consolidated financial statements.
During the six months ended June 30, 2025, we entered into a real estate transaction for the development of a facility and recognized a financing obligation included in Other Non-Current Liabilities of $54 million. The financing liability will increase as construction progresses.
Sources of Credit
We maintain two credit agreements with a consortium of banks. The first of these agreements provides revolving credit facilities of $1.0 billion, and expires on November 24, 2025. Amounts outstanding under this agreement bear interest at a periodic fixed rate equal to the term SOFR rate, plus 0.10% per annum and an applicable margin based on our then-current credit rating. The applicable margin from the credit pricing grid as of June 30, 2025 was 0.70%. Alternatively, a fluctuating rate of interest equal to the highest of (1) the rate of interest last quoted by The Wall Street Journal as the prime rate in the United States; (2) the Federal Funds effective rate plus 0.50%; or (3) the Adjusted Term SOFR Rate for a one-month interest period plus 1.00%, may be used at our discretion.
The second agreement provides revolving credit facilities of $2.0 billion, and expires on November 25, 2029. Amounts outstanding under this facility bear interest at a periodic fixed rate equal to the term SOFR rate plus 0.10% per annum and an applicable margin based on our then-current credit rating. The applicable margin from the credit pricing grid as of June 30, 2025 was 0.70%. Alternatively, a fluctuating rate of interest equal to the highest of (1) the rate of interest last quoted by The Wall Street Journal as the prime rate in the United States; (2) the Federal Funds effective rate plus 0.50%; or (3) the Adjusted Term SOFR Rate for a one-month interest period plus 1.00%, plus an applicable margin, may be used at our discretion.
If the credit ratings established by Standard & Poor's and Moody's differ, the higher rating will be used, except in cases where the lower rating is two or more levels lower. In these circumstances, the rating one step below the higher rating will be used. We are also able to request advances under these facilities based on competitive bids for the applicable interest rate.
There were no amounts outstanding under these facilities as of June 30, 2025.
Debt Covenants
Our existing debt instruments and credit facilities subject us to certain financial covenants. As of June 30, 2025, and for all prior periods presented, we have satisfied these financial covenants. These covenants limit the amount of secured indebtedness that we may incur, and limit the amount of attributable debt in sale-leaseback transactions, to 10% of net tangible assets. As of June 30, 2025, 10% of net tangible assets was equivalent to $4.8 billion and we had $39 million in covered sale-leaseback transactions and no secured indebtedness (as defined in the applicable agreements) outstanding. We do not expect these covenants to have a material impact on our liquidity.
Fair Value of Debt    
Based on the borrowing rates currently available to us for long-term debt with similar terms and maturities, the fair value of long-term debt, including current maturities, was approximately $24.0 and $20.3 billion as of June 30, 2025 and December 31, 2024, respectively. We utilized Level 2 inputs in the fair value hierarchy of valuation techniques to determine the fair value of all of our debt instruments.