v3.25.2
FAIR VALUE MEASUREMENT
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENT FAIR VALUE MEASUREMENT
The estimated fair and carrying values of the Company’s total debt were $2,329 million and $2,402 million, respectively, at June 30, 2025. At December 31, 2024, the estimated fair and carrying values were $2,037 million and $2,135 million, respectively. The fair value of long-term debt is determined by discounting future cash flows using interest rates available at June 30, 2025 and December 31, 2024 and interest rates for companies with similar credit ratings for issuances with similar terms and maturities. It is considered a Level 2 fair value measurement for disclosure purposes.

Assets and liabilities measured at fair value on a recurring basis

The Company’s financial assets and liabilities set forth by level within the fair value hierarchy that were accounted for at fair value on a recurring basis were as follows:
June 30, 2025
(in millions)TotalLevel 1Level 2Level 3
Assets
Foreign exchange forward contracts$4 $— $4 $— 
Total assets$4 $— $4 $— 
Liabilities
Interest rate swaps$15 $— $15 $— 
Cross currency basis swaps11 — 11 — 
Foreign exchange forward contracts99 — 99 — 
Total liabilities$125 $— $125 $— 
December 31, 2024
(in millions)TotalLevel 1Level 2Level 3
Assets
Cross currency basis swaps$18 $— $18 $— 
Foreign exchange forward contracts18 — 18 — 
Total assets$36 $— $36 $— 
Liabilities
Interest rate swaps$21 $— $21 $— 
Foreign exchange forward contracts9 — 9 — 
Contingent consideration on acquisitions4 — — 4 
Total liabilities$34 $— $30 $4 

Derivative valuations are based on observable inputs to the valuation model including interest rates, foreign currency exchange rates, and credit risks.

There were no transfers between fair value measurement levels during the six months ended June 30, 2025.