financing costs (Tables)

6 Months Ended

Jun. 30, 2026

financing costs

Schedule of financing costs


		Three months						Six months
Periods ended June 30 (millions)		2026			2025			2026			2025
Interest expense
From transactions that only involve the raising of finance
Long-term debt, excluding lease liabilities and other (secured)
Gross		$	327		$	306		$	655		$	590
Capitalized ¹(Notes 17, 18(a))			(3)			—			(6)			(9)
Net			324			306			649			581

Short-term borrowings and other			17			12			30			29
Long-term debt prepayment premium (Note 26(e))			51			—			51			—
			392			318			730			610
From transactions that do not only involve the raising of finance
Long-term debt – lease liabilities (Notes 19, 26(h))			41			42			84			83
Long-term debt – other (secured) (Note 26(g))			6			8			11			14
Employee defined benefit plans net interest (Note 15)			4			3			7			6
Accretion on provisions (Note 25)			5			7			13			14
			56			60			115			117
			448			378			845			727
Other
Foreign exchange			(7)			12			(44)			12
			441			390			801			739
Interest income			(21)			(17)			(46)			(22)
		$	420		$	373		$	755		$	717


Net interest cost								$	754		$	720
Interest expense on long-term debt, excluding lease liabilities and other – capitalized ¹									(6)			(9)
Employee defined benefit plans net interest									7			6
								$	755		$	717

1	Interest on long-term debt, excluding lease liabilities, at a composite rate of 5.3% (2025 – 5.3%) was capitalized to property, plant and equipment assets under construction and to intangible assets with indefinite lives during the period.