v3.26.1
Borrowings
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Borrowings
10. Borrowings

Borrowings consist of the following:
 
Carrying amount (1)
PrincipalJune 30, 2026December 31, 2025
Long-term
1.25% 10-year notes due November 9, 2026 (euro-denominated)
€600,000 681,792 706,677 
0.750% 8-year notes due November 4, 2027 (euro-denominated)
€500,000 567,305 588,082 
6.65% 30-year debentures due June 1, 2028
$200,000 199,808 199,757 
2.950% 10-year notes due November 4, 2029
$300,000 298,734 298,544 
3.50% 8-year notes due November 12, 2033 (euro-denominated)
€550,000 620,043 642,927 
5.375% 30-year debentures due October 15, 2035
$300,000 297,682 297,557 
6.60% 30-year notes due March 15, 2038
$250,000 248,675 248,618 
5.375% 30-year notes due March 1, 2041
$350,000 345,949 345,810 
Total long-term debt3,259,988 3,327,972 
Less long-term debt current portion(681,792)(706,677)
Net long-term debt
$2,578,196 $2,621,295 
(1) Carrying amount is net of unamortized debt discount and deferred debt issuance costs. Total unamortized debt discounts on total long-term debt were $7.5 million and $8.6 million as of June 30, 2026 and December 31, 2025, respectively. Total deferred debt issuance costs on total long-term debt were $8.6 million and $9.7 million as of June 30, 2026 and December 31, 2025, respectively.

The discounts are being amortized to interest expense using the effective interest method over the life of the issuances. The deferred issuance costs are amortized on a straight-line basis over the life of the debt, as this approximates the effective interest method.

On April 2, 2026, the Company entered into a new $1.5 billion five-year unsecured revolving credit facility (the "Credit Agreement") with a syndicate of banks. The previous $1.0 billion five-year unsecured revolving credit facility was terminated upon execution of the new credit facility and the previous $500.0 million 364-day unsecured revolving credit facility expired on the same day. The lenders' commitments under the five-year Credit Agreement will terminate and the loans under the Credit Agreement will mature on April 2, 2031. The Credit Agreement is designated as a liquidity back-stop for the Company's commercial paper program and also is available for general corporate purposes. At the Company's election, loans under the Credit Agreement will bear interest at a base rate plus an applicable margin. The Credit Agreement requires the Company to pay facility fees and imposes various restrictions on the Company such as, among other things, a requirement to maintain a minimum interest coverage ratio of consolidated EBITDA to consolidated net interest expense of not less than 3.0 to 1. There were no outstanding borrowings under the new Credit Agreement as of June 30, 2026 or previous five-year and 364-day credit facilities as of December 31, 2025.

The Company was in compliance with all covenants in the Credit Agreement and other long-term debt covenants at June 30, 2026 and had an interest coverage ratio of consolidated EBITDA to consolidated net interest expense of 36.9 to 1.

Letters of Credit and other Guarantees

As of June 30, 2026, the Company had approximately $230.0 million outstanding in letters of credit, surety bonds, and performance and other guarantees which primarily expire on various dates through 2035. These letters of credit and bonds are primarily issued as security for insurance, warranty and other performance obligations. In general, we would only be liable for the amount of these guarantees in the event of default in the performance of our obligations, the probability of which is believed to be remote.