COCA COLA COKO

COCA COLA CO Debt Disclosure

10-KFiled Feb 20, 20263 min read
DEBT AND BORROWING ARRANGEMENTS
Loans and Notes Payable
Loans and notes payable consist primarily of commercial paper issued in the United States. As of December 31, 2025 and 2024, we had $1,495 million and $1,139 million, respectively, in outstanding commercial paper borrowings. Our weighted-average interest rates for commercial paper outstanding were 3.9% and 5.0% as of December 31, 2025 and 2024, respectively. As of December 31, 2025 and 2024, the Company also had $56 million and $360 million, respectively, in lines of credit, short-term credit facilities and other short-term borrowings.
In addition, we had $7,227 million in unused lines of credit and other short-term credit facilities as of December 31, 2025, of which $6,150 million was in corporate backup lines of credit for general purposes. These backup lines of credit expire at various times through 2030. There were no borrowings under these corporate backup lines of credit during 2025. These credit facilities are subject to normal banking terms and conditions. Some of the financial arrangements require compensating balances, none of which was significant to our Company.
Long-Term Debt
The Company’s long-term debt consisted of the following (in millions except average rate data):
December 31, 2025December 31, 2024
Amount
Average Rate1
Amount
Average Rate1
Fixed interest rate long-term debt:
U.S. dollar notes due 2027-2093$26,945 3.6%$26,931 3.1%
U.S. dollar debentures due 2026-2098767 4.8 778 4.8 
Euro notes due 2026-205315,470 2.4 13,619 3.1 
Swiss franc notes due 2028726 5.1 635 6.7 
Other, due through 20982
651 4.9 1,845 7.1 
Fair value adjustments3
(618)      N/A(785)        N/A
Total4,5
43,941 3.3%43,023 3.4%
Less: Current portion1,822  648  
Long-term debt$42,119  $42,375  
1Rates represent the weighted-average effective interest rate on the balances outstanding as of year end, as adjusted for the effective amount of interest rate swap agreements and cross-currency swap agreements, if applicable. Refer to Note 5 for a more detailed discussion on interest rate management.
2As of December 31, 2024, the amount includes $1,249 million of debt instruments related to our bottling operations in Africa. As of December 31, 2025, the Company’s bottling operations in Africa met the criteria to be classified as held for sale. As a result, the related debt balance as of December 31, 2025 was recorded in the line item liabilities held for sale in our consolidated balance sheet. Refer to Note 2.
3Amounts represent the changes in fair values due to changes in benchmark interest rates. Refer to Note 5 for additional information about our fair value hedging strategy.
4As of December 31, 2025 and 2024, the fair value of our long-term debt, including the current portion, was $39,385 million and $38,052 million, respectively.
5The above notes and debentures include various restrictions, none of which was significant to our Company.
Total interest paid was $1,724 million, $1,669 million and $1,415 million in 2025, 2024 and 2023, respectively.
During 2024, the Company extinguished prior to maturity long-term debt of $485 million, resulting in a gain of $22 million recorded in the line item interest expense in our consolidated statement of income.
The following table summarizes the maturities of long-term debt for the five years succeeding December 31, 2025 (in millions):
Maturities of
Long-Term Debt
2026$1,822 
20274,817 
20282,923 
20292,955 
20303,411 

Historical Timeline

Fiscal YearFiled
2025Feb 20, 2026Showing above
2024Feb 20, 2025
2023Feb 20, 2024
2022Feb 21, 2023
2021Feb 22, 2022
2020Feb 25, 2021
2019Feb 24, 2020
2018Feb 21, 2019
2017Feb 23, 2018
2016Feb 24, 2017
2015Feb 25, 2016

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

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