v3.26.3
Long-term and Short-term Debt
 12 Months Ended
Sep. 30, 2026
Debt Disclosure [Abstract]  
Long-term and Short-term Debt Long-term and Short-term Debt
Long-term debt consists of (in millions):
September 30,
20262025
6.70% debentures, payable in January 2028
250 250 
3.50% notes, payable in March 2029
425 425 
1.75% notes, payable in August 2031
450 450 
6.25% debentures, payable in December 2037
250 250 
4.20% notes, payable in March 2049
575 575 
2.80% notes, payable in August 2061
450 450 
5.20% debentures, payable in January 2098
200 200 
Sensia loans from SLB, payable in October 2026— 42 
Unamortized discount, capitalized lease obligations and other(29)(26)
Total debt2,571 2,616 
Less: Current portion(2)(2)
Long-term debt$2,569 $2,614 
Our long-term debt and notes payable maturities in the next five years include a $250 million debt issuance that matures in fiscal year 2028, a $425 million note that matures in fiscal year 2029, and a $450 million note that matures in fiscal year 2031.
Our Short-term debt as of September 30, 2026 and 2025, included commercial paper borrowings of $707 million and $522 million, with a weighted average interest rate of 4.06 percent and 4.24 percent, and a weighted average maturity period of 19 days and 16 days, respectively.
In December 2022, Sensia entered into an unsecured $75 million line of credit. As of September 30, 2025, included in Short-term debt was $70 million borrowed against the line of credit with an interest rate of 5.18 percent. Also included in debt as of September 30, 2025, were the following interest-bearing loans from SLB to Sensia: $14 million in Short-term debt, and $42 million in Long-term debt. In December 2025, the credit line matured and was closed. The outstanding debt was settled with loans from the joint venture partners. Upon dissolution of the Sensia joint venture, interest-bearing loans from SLB to Sensia were assumed by SLB. Refer to Note 1 for additional details on the dissolution.
In November 2025, we replaced our former $1.5 billion unsecured revolving credit facility with a new five-year $1.5 billion unsecured revolving credit facility, expiring in November 2030. This credit facility uses the secured overnight financing rate (SOFR) as the primary basis for determining interest payments. We can increase the aggregate amount of this credit facility by up to $750 million, subject to the consent of the banks in the credit facility. We did not borrow against this credit facility during the quarter ended September 30, 2026, or against our prior credit facility during the quarter ended September 30, 2025. The terms of this credit facility contain covenants under which we agree to maintain an EBITDA-to-interest ratio of at least 3.0 to 1.0. The EBITDA-to-interest ratio is defined in the credit facility as the ratio of consolidated EBITDA for the preceding four quarters to consolidated interest expense for the same period.
Among other uses, we can draw on our credit facility as a standby liquidity facility to repay our outstanding commercial paper as it matures. Under our current policy, we expect to limit our other borrowings under our credit facility, if any, to amounts that would leave enough credit available under the facility so that we could borrow, if needed, to repay all of our then outstanding commercial paper as it matures.
Separate short-term unsecured credit facilities of approximately $274 million at September 30, 2026, were available to non-U.S. subsidiaries, of which approximately $33 million was committed under letters of credit. Borrowings under our non-U.S. credit facilities at September 30, 2026 and 2025, were not significant. We were in compliance with all covenants under our credit facilities at September 30, 2026, and 2025. There are no significant commitment fees or compensating balance requirements under our credit facilities.
Interest payments were $132 million during 2026, $157 million during 2025, and $153 million during 2024.
The following table presents the carrying amounts and estimated fair values of Long-term debt in the Consolidated Balance Sheet (in millions):
September 30, 2026September 30, 2025
Carrying ValueFair ValueCarrying ValueFair Value
Current portion of long-term debt$2 $2 $2 $2 
Long-term debt2,569 2,138 2,614 2,350 
We base the fair value of Long-term debt upon quoted market prices for the same or similar issues and therefore consider this a level 2 fair value measurement. The fair value of Long-term debt considers the terms of the debt excluding the impact of derivative and hedging activity. Refer to Note 1 for further information regarding levels in the fair value hierarchy. The carrying value of our Short-term debt approximates fair value.