ÐÇ¿Õ´«Ã½

Annual report pursuant to Section 13 and 15(d)

DEBT AND CREDIT FACILITIES (Tables)

v3.22.4
DEBT AND CREDIT FACILITIES (Tables)
12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract] Ìý
Schedule Of Long-Term Debt
The following represents a summary of our long-term debt:
(In Millions)
Debt Instrument
Issuer1
Annual Effective Interest Rate December 31, 2022 December 31, 2021
Senior Secured Notes:
9.875% 2025 Senior Secured Notes
Cliffs 10.57% $ —Ìý $ 607Ìý
6.750% 2026 Senior Secured Notes
Cliffs 6.99% 829Ìý 845Ìý
Senior Unsecured Notes:
1.500% 2025 Convertible Senior Notes
Cliffs 6.26% —Ìý 294Ìý
7.000% 2027 Senior Notes
Cliffs 9.24% 73Ìý 73Ìý
7.000% 2027 AK Senior Notes
AK Steel 9.24% 56Ìý 56Ìý
5.875% 2027 Senior Notes
Cliffs 6.49% 556Ìý 556Ìý
4.625% 2029 Senior Notes
Cliffs 4.63% 368Ìý 500Ìý
4.875% 2031 Senior Notes
Cliffs 4.88% 325Ìý 500Ìý
6.250% 2040 Senior Notes
Cliffs 6.34% 235Ìý 263Ìý
IRBs AK Steel Various —Ìý 66Ìý
ABL Facility3
Cliffs2
Variable3
1,864Ìý 1,609Ìý
Total debt 4,306Ìý 5,369Ìý
Unamortized discounts and issuance costs (57) (131)
Total long-term debt $ 4,249Ìý $ 5,238Ìý
1 Unless otherwise noted, references in this column and throughout this NOTE 8 - DEBT AND CREDIT FACILITIES to "Cliffs" are to ÐÇ¿Õ´«Ã½ Inc., and references to "AK Steel" are to AK Steel Corporation (n/k/a ÐÇ¿Õ´«Ã½ Steel Corporation).
2 Refers to ÐÇ¿Õ´«Ã½ Inc. as borrower under our ABL Facility.
3 Our ABL Facility annual effective interest rate was 5.60% and 1.87%, respectively, as of DecemberÌý31, 2022 and DecemberÌý31, 2021.
The following represents a summary of our other unsecured senior notes' maturity and interest payable due dates:
Debt Instrument Maturity Interest Payable
(until maturity)
7.000% 2027 Senior Notes March 15, 2027 March 15 and September 15
5.875% 2027 Senior Notes June 1, 2027 June 1 and December 1
4.625% 2029 Senior Notes March 1, 2029 March 1 and September 1
4.875% 2031 Senior Notes March 1, 2031 March 1 and September 1
6.250% 2040 Senior Notes October 1, 2040 April 1 and October 1
Summary of Borrowing Capacity Under the ABL Facility
The following represents a summary of our borrowing capacity under the ABL Facility:
December 31,
(In millions) 2022
Available borrowing base on ABL Facility1
$ 4,500Ìý
Borrowings (1,864)
Letter of credit obligations2
(150)
Borrowing capacity available $ 2,486Ìý
1 As of DecemberÌý31, 2022, the ABL Facility has a maximum available borrowing base of $4.5 billion. The borrowing base is determined by applying customary advance rates to eligible accounts receivable, inventory and certain mobile equipment.
2 We issued standby letters of credit with certain financial institutions in order to support business obligations including, but not limited to, workers' compensation, employee severance, insurance, operating agreements and environmental obligations.
Summary of Debt Extinguished
The following is a summary of the debt extinguished and the respective impact on extinguishment:
Year Ended December 31, 2022
(In millions) Debt Extinguished Gain (Loss) on Extinguishment
9.875% 2025 Senior Secured Notes $ 607Ìý $ (85)
6.750% 2026 Senior Secured Notes 16Ìý (1)
1.500% 2025 Convertible Senior Notes 294Ìý (16)
4.625% 2029 Senior Notes 132Ìý 9Ìý
4.875% 2024 Senior Secured Notes 175Ìý 13Ìý
6.250% 2040 Senior Notes 28Ìý 3Ìý
IRBs 66Ìý 2Ìý
Total $ 1,318Ìý $ (75)
Summary of Debt Instrument Maturities
The following represents a summary of our debt instrument maturities based on the principal amounts outstanding at DecemberÌý31, 2022 (in millions):
2023 2024 2025 2026 2027 Thereafter Total
$ —Ìý $ —Ìý $ 1,864Ìý $ 829Ìý $ 685Ìý $ 928Ìý $ 4,306Ìý