ONEOK Inc., balance sheet: debt

US$ in thousands

	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Current maturities of long-term debt	925,000)	895,814)	7,650)	7,650)	507,650)
Short-term borrowings	—)	—)	—)	220,000)	—)
Current finance lease liability	2,954)	2,584)	2,153)	1,949)	1,765)
Long-term debt, excluding current maturities	12,695,834)	12,747,636)	14,228,421)	12,479,757)	8,873,334)
Noncurrent finance lease liability	19,299)	21,082)	22,143)	24,296)	26,244)
Total debt and finance lease liability (carrying amount)	13,643,087)	13,667,116)	14,260,367)	12,733,652)	9,408,993)

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Debt item	Description	The company
Total debt and finance lease liability (carrying amount)	Sum of the carrying values as of the balance sheet date of all debt plus capital lease obligations.	ONEOK Inc. total debt decreased from 2020 to 2021 and from 2021 to 2022.

	Dec 31, 2022
Selected Financial Data (US$ in thousands)
Short-term borrowings	—)
Long-term debt, including current maturities	12,700,000)
Current finance lease liability	2,954)
Noncurrent finance lease liability	19,299)
Total finance lease liability (fair value)	22,253)
Total debt and finance lease liability (fair value)	12,722,253)
Financial Ratio
Debt, fair value to carrying amount ratio	0.93

Weighted-average interest rate on debt and finance lease liability: 5.09%

Interest rate	Debt amount¹	Interest rate × Debt amount
5.00%	425,000)	21,250)
7.50%	500,000)	37,500)
2.75%	500,000)	13,750)
4.90%	500,000)	24,500)
2.20%	387,000)	8,514)
5.85%	600,000)	35,100)
4.00%	500,000)	20,000)
4.55%	800,000)	36,400)
6.88%	100,000)	6,875)
4.35%	700,000)	30,450)
3.40%	714,251)	24,285)
3.10%	780,093)	24,183)
6.35%	600,000)	38,100)
6.10%	750,000)	45,750)
6.00%	400,000)	24,000)
6.65%	600,000)	39,900)
6.85%	600,000)	41,100)
6.13%	650,000)	39,813)
6.20%	400,000)	24,800)
4.95%	689,006)	34,106)
5.20%	1,000,000)	52,000)
4.45%	672,530)	29,928)
4.50%	443,015)	19,936)
7.15%	300,000)	21,450)
4.06%	120,000)	4,872)
9.43%	2,954)	279)
9.43%	19,299)	1,820)
Total	13,753,148)	700,658)
5.09%

¹ US$ in thousands

² Weighted-average interest rate = 100 × 700,658 ÷ 13,753,148 = 5.09%

ONEOK Inc., interest costs incurred

US$ in thousands

12 months ended:	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Interest expense	675,946)	732,924)	712,886)	491,773)	469,620)
Capitalized interest	57,426)	25,150)	75,436)	107,275)	28,062)
Interest costs incurred	733,372)	758,074)	788,322)	599,048)	497,682)

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Debt item	Description	The company
Interest expense	Amount of the cost of borrowed funds accounted for as interest expense for debt.	ONEOK Inc. interest expense increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.
Capitalized interest	Amount of interest costs capitalized disclosed as an adjusting item to interest costs incurred.	ONEOK Inc. capitalized interest decreased from 2020 to 2021 but then increased from 2021 to 2022 not reaching 2020 level.
Interest costs incurred	Total interest costs incurred during the period and either capitalized or charged against earnings.	ONEOK Inc. interest costs incurred decreased from 2020 to 2021 and from 2021 to 2022.

	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Selected Financial Data (US$ in thousands)
Net income attributable to ONEOK	1,722,221)	1,499,706)	612,809)	1,278,577)	1,151,703)
Add: Net income attributable to noncontrolling interest	—)	—)	—)	—)	3,329)
Add: Income tax expense	527,424)	484,498)	189,507)	372,414)	362,903)
Add: Interest expense, net of capitalized interest	675,946)	732,924)	712,886)	491,773)	469,620)
Earnings before interest and tax (EBIT)	2,925,591)	2,717,128)	1,515,202)	2,142,764)	1,987,555)

Interest costs incurred	733,372)	758,074)	788,322)	599,048)	497,682)
Financial Ratio With and Without Capitalized Interest
Interest coverage ratio (without capitalized interest)¹	4.33	3.71	2.13	4.36	4.23
Adjusted interest coverage ratio (with capitalized interest)²	3.99	3.58	1.92	3.58	3.99

2022 Calculations

¹ Interest coverage ratio (without capitalized interest) = EBIT ÷ Interest expense, net of capitalized interest
= 2,925,591 ÷ 675,946 = 4.33

² Adjusted interest coverage ratio (with capitalized interest) = EBIT ÷ Interest costs incurred
= 2,925,591 ÷ 733,372 = 3.99

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Solvency ratio	Description	The company
Adjusted interest coverage ratio	A solvency ratio calculated as EBIT divided by interest payments (including capitalized interest).	ONEOK Inc. adjusted interest coverage ratio improved from 2020 to 2021 and from 2021 to 2022.

ONEOK Inc. (NYSE:OKE)

Analysis of Debt