5 unchanged sentences
The maturity of our long-term debt portfolio is partially influenced by the expected lives of our operating assets.
−Removed: (See Note 12 – Debt and Banking Arrangements of Notes to Consolidated Financial Statements.)
+Added: We may utilize interest rate derivative instruments to hedge interest rate risk associated with future debt issuances (see Note 12 – Debt and Banking Arrangements).
The tables below provide information by maturity date about our interest rate risk-sensitive instruments as of December 31, 2023 and 2022.
−Removed: See Note 15 – Fair Value Measurements, Guarantees, and Concentration of Credit Risk of Notes to Consolidated Financial Statements for the methods used in determining the fair value of our long-term debt.
+Added: See Note 15 – Fair Value Measurements, Guarantees, and Concentration of Credit Risk for the methods used in determining the fair value of our long-term debt.
2024 2025 2026 2027 2028 Thereafter (1) Total Fair Value December 31, 2023
3 unchanged sentences
Commercial paper (2)
+Added: $ 725 $ — $ — $ — $ — $ — $ 725 $ 725
2023 2024 2025 2026 2027 Thereafter (1) Total Fair Value December 31, 2022
2 unchanged sentences
Weighted-average interest rate 5.0 % 5.0 % 5.1 % 5.0 % 5.0 % 5.1 %
+Added: Commercial paper (2)
$ 350 $ — $ — $ — $ — $ — $ 350 $ 350
+Added: __________________
(1) Includes unamortized discount / premium and debt issuance costs.
−Removed: (2) The weighted-average interest rate for commercial paper was 4.8 percent as of December 31, 2022.
+Added: (2) The weighted-average interest rate for commercial paper as of December 31, 2023 and 2022 was 5.6 percent and 4.8 percent, respectively.
Commodity Price Risk
3 unchanged sentences
We are also exposed to commodity prices through our upstream business and certain gathering and processing contracts.
−Removed: We use derivative instruments to lock in forward sales prices on a portion of our expected future production.
+Added: We use derivative instruments to lock in forward sales prices on a portion of our expected future production and to lock in NGL margin on a portion of our commodity-exposed gathering and processing volumes.
These economic hedges are not designated for hedge accounting treatment.
−Removed: The maturities of our derivative contracts at December 31, 2022, as well as the maturities of the derivative contracts related to the operations acquired in the Sequent Acquisition at December 31, 2021, were as follows:
+Added: The maturities of our commodity derivative contracts at December 31, 2023 and 2022 were as follows:
Value Maturity
−Removed: Fair Value Measurements Using (1) 2023 2024 - 2025 2026 - 2027+
+Added: Fair Value Measurements of Assets (Liabilities) Using (1)
Level 1 (2) $ 138 $ 110 $ 33 $ (5)
2 unchanged sentences
Fair value of contracts outstanding at December 31, 2023
+Added: $ 25 $ 126 $ (22) $ (79)
Value Maturity
−Removed: Fair Value Measurements Using (1) 2022 2023 - 2024 2025 - 2026+
+Added: Fair Value Measurements of Assets (Liabilities) Using (1)
+Added: 2023 2024 - 2025 2026 - 2027+
Level 1 (3) $ (2) $ 11 $ (9) $ (4)
3 unchanged sentences
$ (644) $ (179) $ (231) $ (234)
−Removed: (1) See Note 15 – Fair Value Measurements, Guarantees, and Concentration of Credit Risk of Notes to Consolidated Financial Statements for discussion of valuation techniques by level within the fair value hierarchy.
−Removed: See Note 16 – Derivatives of Notes to Consolidated Financial Statements for the amount of change in fair value recognized in our Consolidated Statement of Income.
−Removed: (2) Net commodity derivative assets and liabilities exclude $202 million of net cash collateral in Level 1.
−Removed: (3) Net commodity derivative assets and liabilities related to the operations acquired in the Sequent Acquisition exclude $267 million of net cash collateral in Level 1.
+Added: _______________
+Added: (1) See Note 15 – Fair Value Measurements, Guarantees, and Concentration of Credit Risk for discussion of valuation techniques by level within the fair value hierarchy.
+Added: See Note 16 – Commodity Derivatives for the amount of change in fair value recognized in our Consolidated Statement of Income.
+Added: (2) Commodity derivative assets and liabilities exclude $2 million of net cash collateral in Level 1.
+Added: (3) Commodity derivative assets and liabilities exclude $202 million of net cash collateral in Level 1.
Value at Risk (VaR)
7 unchanged sentences
Starting in the second quarter of 2022, following the further integration of our legacy trading activities with the operations acquired in the Sequent Acquisition, we now present VaR for our integrated natural gas trading operations.
−Removed: For the second half of 2021 and the first quarter of 2022, the VaR presented reflects the legacy Sequent operations only.
−Removed: At December 31, 2022, the VaR associated with this activity was $10 million.
+Added: For the first quarter of 2022, the VaR presented reflects the legacy Sequent operations only.
+Added: The VaR associated with our integrated natural gas trading operations was $9 million at December 31, 2023 and $10 million at December 31, 2022.
We had the following VaRs for the periods shown:
+Added: Twelve Months Ended
+Added: December 31, 2023
Nine Months Ended
−Removed: December 31, 2022 Three Months Ended
−Removed: March 31, 2022 Six Months Ended December 31, 2021
−Removed: Trading Sequent Only Sequent Only
+Added: December 31, 2022
+Added: Three Months Ended
+Added: March 31, 2022
+Added: Trading Trading
Average $ 6 $ 10 $ 6
1 unchanged sentence
Low $ 4 $ 4 $ 4
−Removed: Our non-trading portfolio primarily consists of derivatives that hedge our upstream business and certain gathering and processing contracts.
−Removed: At December 31, 2022, the VaR associated with these derivatives was $8 million.
+Added: Our non-trading portfolio primarily consists of commodity derivatives that hedge our upstream business and certain gathering and processing contracts.
+Added: The VaR associated with these commodity derivatives was $3 million at December 31, 2023 and $8 million at December 31, 2022.
+Added: We had the following VaRs for the periods shown:
+Added: Twelve Months Ended
+Added: December 31, 2023
+Added: Six Months Ended
+Added: December 31, 2022
+Added: Average $ 4 $ 16
+Added: High $ 8 $ 33
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.