Company: ADP
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000008670-25-000015
Chunk: 106

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 8
Chunk 106
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 as of March 31, 2025 and June 30, 2024, are as follows: Debt instrumentEffective Interest RateMarch 31, 2025June 30, 2024Fixed-rate 3.375% notes due September 15, 20253.47%$1,000.0 $1,000.0 Fixed-rate 1.700% notes due May 15, 20281.85%1,000.0 1,000.0 Fixed-rate 1.250% notes due September 1, 20301.83%1,000.0 1,000.0 Fixed-rate 4.450% notes due September 9, 20344.75%1,000.0 — Other3.2 4.1 4,003.2 3,004.1 Less: current portion(1,000.7)(1.1)Less: unamortized discount and debt issuance costs(20.0)(11.7)Total long-term debt$2,982.5 $2,991.3 The effective interest rates for the Notes include the interest on the Notes and amortization of the discount and debt issuance costs. As of March 31, 2025, the fair value of the Notes, based on Level 2 inputs, was $3,739.8 million. For a description of the fair value hierarchy and the Company's fair value methodologies, including the use of an independent third-party pricing service, see Note 1 “Summary of Significant Accounting Policies” in the Company's Annual Report on Form 10-K for fiscal 2024. In anticipation of the refinancing of our fixed-rate 3.375% notes due September 15, 2025, the Company entered into a series of treasury rate lock transactions from January 16, 2025 through April 24, 2025, with an aggregate notional amount totaling $400.0 million, of which $300.0 million were entered into during the third quarter ended March 31, 2025, $50.0 million entered into on April 2, 2025 and $50.0 million entered into on April 24, 2025, to hedge its exposure to changes in interest rates through the completion of the refinancing. The derivative contracts entered into during the fiscal year ended June 30, 2025 have been designated as