Qwest Corp. 6.75% NT 57 (CTDD) 10-Q 5 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover	9 Months Ended
	Sep. 30, 2024 shares
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-03040
Entity Registrant Name	QWEST CORPORATION
Entity Incorporation, State or Country Code	CO
Entity Tax Identification Number	84-0273800
Entity Address, Address Line One	931 14th Street,
Entity Address, City or Town	Denver,
Entity Address, State or Province	CO
Entity Address, Postal Zip Code	80202
City Area Code	318
Local Phone Number	388-9000
Entity Information [Line Items]
Entity Registrant Name	QWEST CORPORATION
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)	0
Entity Central Index Key	0000068622
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false
6.5% Notes Due 2056
Entity Information [Line Items]
Title of 12(b) Security	6.5% Notes Due 2056
Trading Symbol(s)	CTBB
Security Exchange Name	NYSE
6.75% Notes Due 2057
Entity Information [Line Items]
Title of 12(b) Security	6.75% Notes Due 2057
Trading Symbol(s)	CTDD
Security Exchange Name	NYSE

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
OPERATING REVENUE
Total operating revenue	$ 1,363	$ 1,450	$ 4,144	$ 4,458
OPERATING EXPENSES
Cost of services and products (exclusive of depreciation and amortization)	389	416	1,132	1,207
Selling, general and administrative	111	118	357	362
Operating expenses—affiliates	182	225	575	600
Depreciation and amortization	183	207	557	607
Total operating expenses	865	966	2,621	2,776
OPERATING INCOME	498	484	1,523	1,682
OTHER (EXPENSE) INCOME
Interest expense, net	(11)	(23)	(44)	(75)
Other income, net	2	1	1	5
Total other expense, net	(1)	(17)	(29)	(63)
INCOME BEFORE INCOME TAX EXPENSE	497	467	1,494	1,619
Income tax expense	132	126	398	426
NET INCOME	365	341	1,096	1,193
Affiliated entity
OTHER (EXPENSE) INCOME
Interest income—affiliate, net	8	5	14	7
Non-affiliate services
OPERATING REVENUE
Total operating revenue	793	924	2,468	2,869
Affiliate services
OPERATING REVENUE
Total operating revenue	$ 570	$ 526	$ 1,676	$ 1,589

CONSOLIDATED BALANCE SHEETS (UN

CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
CURRENT ASSETS
Cash and cash equivalents	$ 22	$ 10
Accounts receivable, less allowance of $31 and $34	217	261
Advances to affiliates	576	0
Other	133	144
Total current assets	948	415
Property, plant and equipment, net of accumulated depreciation of $8,748 and $8,239	8,829	8,700
GOODWILL AND OTHER ASSETS
Goodwill	6,955	6,955
Other intangible assets, net	92	103
Other, net	164	164
Total goodwill and other assets	7,211	7,222
TOTAL ASSETS	16,988	16,337
CURRENT LIABILITIES
Current maturities of long-term debt	241	1
Accounts payable	239	362
Advances from affiliates	0	61
Accrued expenses and other liabilities
Salaries and benefits	131	130
Income and other taxes	108	96
Other	121	121
Current portion of deferred revenue	147	162
Total current liabilities	987	933
LONG-TERM DEBT	1,689	2,156
DEFERRED CREDITS AND OTHER LIABILITIES
Deferred income taxes, net	1,295	1,318
Other	711	679
Total deferred credits and other liabilities	2,460	2,492
COMMITMENTS AND CONTINGENCIES (Note 9)
STOCKHOLDER'S EQUITY
Common stock - one share without par value, owned by Qwest Services Corporation	10,050	10,050
Retained earnings	1,802	706
Total stockholder's equity	11,852	10,756
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY	16,988	16,337
Affiliated entity
DEFERRED CREDITS AND OTHER LIABILITIES
Affiliate obligations, net	$ 454	$ 495

CONSOLIDATED BALANCE SHEETS (_2

CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 31	$ 34
PP&E, accumulated depreciation	$ 8,748	$ 8,239
Common stock, share issued (in shares)	1	1
Common stock, share outstanding (in shares)	1	1

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
OPERATING ACTIVITIES
Net income	$ 1,096	$ 1,193
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	557	607
Deferred income taxes	(23)	(21)
Provision for uncollectible accounts	35	51
Changes in current assets and liabilities:
Accounts receivable	9	(9)
Accounts payable	(16)	11
Accrued income and other taxes	12	22
Other current assets and liabilities, net	(6)	(23)
Changes in other noncurrent assets and liabilities, net	30	33
Changes in affiliate obligations, net	(41)	(46)
Other, net	(7)	4
Net cash provided by operating activities	1,646	1,822
INVESTING ACTIVITIES
Capital expenditures	(776)	(773)
Changes in advances to affiliates	(576)	(1,057)
Proceeds from sale of property, plant and equipment and other assets	6	10
Net cash used in investing activities	(1,346)	(1,820)
FINANCING ACTIVITIES
Payments of long-term debt	(227)	(2)
Changes in advances from affiliates	(61)	0
Net cash used in financing activities	(288)	(2)
Net increase in cash, cash equivalents and restricted cash	12	0
Cash, cash equivalents and restricted cash at beginning of period	12	10
Cash, cash equivalents and restricted cash at end of period	24	10
Supplemental cash flow information:
Income taxes paid, net	(393)	(423)
Interest paid, including affiliate interest (net of capitalized interest of $60 and $37)	(47)	(79)
Repayment of long-term debt in exchange for advances from affiliates	215	0
Cash, cash equivalents and restricted cash:
Cash and cash equivalents	22	8
Restricted cash - noncurrent	2	2
Total	$ 24	$ 10

CONSOLIDATED STATEMENTS OF CA_2

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Dec. 31, 2022
Statement of Cash Flows [Abstract]
Net income	$ 365	$ 341	$ 1,096	$ 1,193
Depreciation and amortization			557	607
Deferred income taxes			(23)	(21)
Provision for uncollectible accounts			35	51
Accounts receivable			9	(9)
Accounts payable			(16)	11
Accrued income and other taxes			12	22
Other current assets and liabilities, net			(6)	(23)
Changes in other noncurrent assets and liabilities, net			30	33
Changes in affiliate obligations, net			(41)	(46)
Other, net			(7)	4
Capital expenditures			(776)	(773)
Changes in advances to affiliates			(576)	(1,057)
Proceeds from sale of property, plant and equipment and other assets			6	10
Payments of long-term debt			(227)	(2)
Changes in advances from affiliates			(61)	0
Net increase in cash, cash equivalents and restricted cash			12	0
Cash, cash equivalents and restricted cash at beginning of period	24	10	24	10	$ 12	$ 10
Income taxes paid, net			(393)	(423)
Interest paid, including affiliate interest (net of capitalized interest of $60 and $37)			(47)	(79)
Repayment of long-term debt in exchange for advances from affiliates			(215)	0
Cash and cash equivalents	22	8	22	8	$ 10
Restricted cash - noncurrent	$ 2	$ 2	2	2
Interest paid, capitalized interest			$ 60	$ 37

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDER'S EQUITY (UNAUDITED) - USD ($) $ in Millions	Total	COMMON STOCK	RETAINED EARNINGS
Balance at beginning of period at Dec. 31, 2022		$ 10,050	$ 3,517
Increase (Decrease) in Stockholder's Equity
Net income			1,193
Balance at end of period at Sep. 30, 2023	$ 14,760	10,050	4,710
Balance at beginning of period at Jun. 30, 2023		10,050	4,369
Increase (Decrease) in Stockholder's Equity
Net income			341
Balance at end of period at Sep. 30, 2023	14,760	10,050	4,710
Balance at beginning of period at Dec. 31, 2023	10,756	10,050	706
Increase (Decrease) in Stockholder's Equity
Net income			1,096
Balance at end of period at Sep. 30, 2024	11,852	10,050	1,802
Balance at beginning of period at Jun. 30, 2024		10,050	1,437
Increase (Decrease) in Stockholder's Equity
Net income			365
Balance at end of period at Sep. 30, 2024	$ 11,852	$ 10,050	$ 1,802

Background

Background	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Background	General We are a facilities-based technology and communications company that provides a broad array of integrated communications products and services to our business and mass markets customers. Our specific products and services are detailed in Note 3—Revenue Recognition of this report. We generate the majority of our total consolidated operating revenue from services provided in the 14-state region of Arizona, Colorado, Idaho, Iowa, Minnesota, Montana, Nebraska, New Mexico, North Dakota, Oregon, South Dakota, Utah, Washington and Wyoming. We refer to this region as our local service area. Basis of Presentation Our consolidated balance sheet as of December 31, 2023, which was derived from our audited consolidated financial statements, and our unaudited interim consolidated financial statements provided herein have been prepared in accordance with the instructions for Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). However, in our opinion, the disclosures made therein are adequate to make the information presented not misleading. We believe these consolidated financial statements include all normal recurring adjustments necessary to fairly present the results for the interim periods. The consolidated results of operations and cash flows for the first nine months of the year are not necessarily indicative of the consolidated results of operations and cash flows that might be expected for the entire year. These consolidated financial statements and the accompanying notes should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023. The accompanying consolidated financial statements include our accounts and the accounts of our subsidiaries. Intercompany amounts and transactions with our consolidated subsidiaries have been eliminated. Transactions with our non-consolidated affiliates (Lumen Technologies and its other subsidiaries, referred to herein as affiliates) have not been eliminated. Operating lease assets are included in Other, net under goodwill and other assets on our consolidated balance sheets. Current operating lease liabilities are included in Other under accrued expenses and other liabilities on our consolidated balance sheets. Noncurrent operating lease liabilities are included in Other under deferred credits and other liabilities on our consolidated balance sheets. We reclassified certain prior period amounts to conform to the current period presentation, including our revenue by product and service categories. See Note 3—Revenue Recognition for additional information. These changes had no impact on total operating revenue, total operating expenses or net income for any period. During 2023, we identified errors in our previously reported consolidated financial statements related to accounts receivable and accounts payable. The errors are the result of understated revenues from one of our legacy mainframe billing systems and understated network expenses for periods prior to 2021. We have recorded an increase to our retained earnings by $13 million, reflected in our January 1, 2023 and September 30, 2023 retained earnings in our consolidated statements of stockholders' equity in this report. Refer to Note 1—Background and Summary of Significant Accounting Policies to the consolidated financial statements and accompanying notes in Part II Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2023 for more information. Segments Our operations are integrated into and reported as part of Lumen Technologies. Lumen's chief operating decision maker ("CODM") is our CODM. The CODM reviews our financial information on an aggregate basis only in connection with our quarterly and annual reports that we file with the SEC. Consequently, we do not provide our discrete financial information to the CODM on a regular basis. As such, we have one reportable segment. Change in Accounting Estimates Effective January 1, 2024, we changed our method of depreciation and amortization for incumbent local exchange carriers ("ILEC") and certain competitive local exchange carriers ("CLEC") fixed assets from the group method of depreciation to straight line by individual asset method. Historically, we have used the group method of depreciation for the property, plant and equipment and amortization of certain intangible capitalized software assets of our ILECs and certain CLECs. Under the group method, all like kind assets were combined into common pools and depreciated under composite depreciation rates. Recent business divestitures by our parent company and asset sales have significantly reduced our composite asset base. We believe the straight-line depreciation method for individual assets is preferable to the group method as it will result in a more precise estimate of depreciation expense and will result in a consistent depreciation method for all our subsidiaries. This change in the method of depreciation and amortization is considered a change in accounting estimate inseparable from a change in accounting principle. The change in accounting estimate decreased depreciation and amortization expense $30 million, $23 million net of tax, and $78 million, $59 million net of tax, for the three and nine months ended September 30, 2024, respectively. Additionally, during the first quarter of 2024, we updated our analysis of economic lives of owned fiber network assets. As of January 1, 2024, we extended the estimated economic life and depreciation period of such assets from 25 years to 30 years to better reflect the physical life of the assets that we have experienced and absence of technological changes that would replace fiber. The change in accounting estimate decreased depreciation expense by approximately $6 million, $4 million net of tax, and by $18 million, $13 million net of tax, for the three and nine months ended September 30, 2024, respectively. Summary of Significant Accounting Policies Refer to the significant accounting policies described in Note 1—Background and Summary of Significant Accounting Policies to the consolidated financial statements and accompanying notes in Part II Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2023. Recently Adopted Accounting Pronouncements Supplier Finance Programs On January 1, 2023, we adopted Accounting Standards Update (“ASU”) 2022-04, “ Liabilities-Supplier Finance Program (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations ” (“ASU 2022-04”). These amendments require that a company that uses a supplier finance program in connection with the purchase of goods or services disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, program activity during the period, changes from period to period and potential magnitude of program transactions. The adoption of ASU 2022-04 did not have any impact on our consolidated financial statements. Credit Losses On January 1, 2023, we adopted ASU 2022-02, " Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings (“TDR”) and Vintage Disclosures ” (“ASU 2022-02”). The ASU eliminates the TDR recognition and measurement guidance, enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. The adoption of ASU 2022-02 did not have any impact on our consolidated financial statements. Adoption of Other ASU With No Impact On January 1, 2024, we adopted ASU 2023-01, “ Leases (Topic 842): Common Control Arrangements ”, and ASU 2022-03, “ Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions ”. The adoption of these ASUs did not have any impact on our consolidated financial statements. Recently Issued Accounting Pronouncements In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09 “ Income Taxes (Topic 740): Improvements to Income Tax Disclosures ” (“ASU 2023-09”). This ASU requires public business entities to annually (i) disclose specific categories in the rate reconciliation and (ii) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). ASU 2023-09 will become effective for us in the fiscal year 2025 and early adoption is permitted. As of September 30, 2024, we have not early adopted this ASU and are currently evaluating its impact on our consolidated financial statements, including our annual disclosure within our Income Taxes note. In November 2023, the FASB issued ASU 2023-07, “ Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures ” (“ASU 2023-07”). This ASU is intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. This ASU will become effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. As of September 30, 2024, we have not early adopted this ASU and are currently evaluating its impact on our consolidated financial statements.
Change in Accounting Estimate	Change in Accounting Estimates Effective January 1, 2024, we changed our method of depreciation and amortization for incumbent local exchange carriers ("ILEC") and certain competitive local exchange carriers ("CLEC") fixed assets from the group method of depreciation to straight line by individual asset method. Historically, we have used the group method of depreciation for the property, plant and equipment and amortization of certain intangible capitalized software assets of our ILECs and certain CLECs. Under the group method, all like kind assets were combined into common pools and depreciated under composite depreciation rates. Recent business divestitures by our parent company and asset sales have significantly reduced our composite asset base. We believe the straight-line depreciation method for individual assets is preferable to the group method as it will result in a more precise estimate of depreciation expense and will result in a consistent depreciation method for all our subsidiaries. This change in the method of depreciation and amortization is considered a change in accounting estimate inseparable from a change in accounting principle. The change in accounting estimate decreased depreciation and amortization expense $30 million, $23 million net of tax, and $78 million, $59 million net of tax, for the three and nine months ended September 30, 2024, respectively. Additionally, during the first quarter of 2024, we updated our analysis of economic lives of owned fiber network assets. As of January 1, 2024, we extended the estimated economic life and depreciation period of such assets from 25 years to 30 years to better reflect the physical life of the assets that we have experienced and absence of technological changes that would replace fiber. The change in accounting estimate decreased depreciation expense by approximately $6 million, $4 million net of tax, and by $18 million, $13 million net of tax, for the three and nine months ended September 30, 2024, respectively.

Goodwill, Customer Relationship

Goodwill, Customer Relationships and Other Intangible Assets	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill, Customer Relationships and Other Intangible Assets	Substantially all of our goodwill was derived from Lumen's acquisition of us where the purchase price exceeded the fair value of the net assets acquired. As of September 30, 2024 and December 31, 2023, the gross carrying amount of goodwill and other intangible assets was $9.0 billion. We are required to assess our goodwill for impairment annually, or under certain circumstances, more frequently, such as when events or changes in circumstances indicate there may be impairment. We are required to write down the value of goodwill only when our assessment determines the carrying value of equity of our reporting unit exceeds its fair value. Our annual impairment assessment date for goodwill is October 31, at which date we assess goodwill at our reporting unit. In reviewing the criteria for reporting units, we have determined that we are one reporting unit. Second Quarter 2023 Goodwill Impairment Analysis The sustained decline in Lumen's share price during the second quarter of 2023 was considered a triggering event requiring evaluation of goodwill impairment; as such, we estimated the fair value using only the market approach. Applying this approach, we utilized company comparisons and analyst reports within the telecommunications industry which supported a range of fair values derived from annualized revenue and Earnings Before Interest, Tax, Depreciation and Amortization ("EBITDA") multiples between 1.5x and 4.3x and 4.6x and 10.5x, respectively. We selected a revenue multiple within and an EBITDA multiple below these comparable market multiples. For the three months ended June 30, 2023, based on our assessment performed as described above, we concluded that our goodwill was not impaired. The market approach that we used in the quarter ended June 30, 2023 incorporated estimates and assumptions related to the forecasted results for the remainder of the year, including revenues, expenses, and the achievement of certain strategic initiatives. In developing the market multiples, we considered observed trends of our industry participants. Our assessment included many factors that required significant judgment. Alternative interpretations of these factors could have resulted in different conclusions.

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
Revenue Recognition	We categorize our revenue derived from our operations serving our mass markets customers, primarily within the first three categories listed below, and our revenue derived from our operations servicing our business customers, primarily in the 'Harvest', 'Nurture' and 'Grow' categories listed below: • Other Broadband , under which we provide primarily lower speed broadband services to residential and small business customers utilizing our copper-based network infrastructure; • Voice and Other, under which we derive revenues from (i) providing local and long-distance services, professional services, and other ancillary services, (ii) federal broadband and state support payments, and (iii) equipment, IT solutions and other services; • Fiber Broadband , under which we provide high speed broadband services to residential and small business customers utilizing our fiber-based network infrastructure; • Harvest , which includes our legacy services managed for cash flow, including Time Division Multiplexing ("TDM") voice and private line services; • Nurture , which includes our more mature offerings, including primarily ethernet; • Grow , which includes existing and emerging products and services in which we are significantly investing, including dark fiber and wavelengths services; and • Affiliate Services , which are (i) communications services that we provide to our affiliates and also provide to external customers and (ii) application development and support services that we provide to our affiliates, as described further in Note 8—Affiliate Transactions. Reconciliation of Total Revenue to Revenue from Contracts with Customers The following tables provide our total revenue by product and service category as well as the amount of revenue that is not subject to ASC 606, "Revenue from Contracts with Customers" ("ASC 606"), but is instead governed by other accounting standards: Three Months Ended September 30, 2024 Three Months Ended September 30, 2023 Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers (Dollars in millions) Other Broadband $ 226 (19) 207 271 (23) 248 Voice and Other 129 (2) 127 145 (4) 141 Fiber Broadband 92 (3) 89 120 (3) 117 Harvest 223 (29) 194 261 (36) 225 Nurture 90 (2) 88 96 (2) 94 Grow 33 (2) 31 31 — 31 Affiliate Services 570 (12) 558 526 (11) 515 Total revenue $ 1,363 (69) 1,294 1,450 (79) 1,371 Nine Months Ended September 30, 2024 Nine Months Ended September 30, 2023 Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers (Dollars in millions) Other Broadband $ 715 (60) 655 847 (72) 775 Voice and Other 394 (10) 384 451 (12) 439 Fiber Broadband 289 (9) 280 365 (9) 356 Harvest 702 (92) 610 803 (109) 694 Nurture 268 (6) 262 295 (6) 289 Grow 100 (4) 96 108 — 108 Affiliate Services 1,676 (36) 1,640 1,589 (33) 1,556 Total revenue $ 4,144 (217) 3,927 4,458 (241) 4,217 ____________________________________________________________ (1) Includes regulatory revenue and lease revenue not within the scope of ASC 606. Operating Lease Revenue Qwest leases various data transmission capacity, office facilities, switching facilities and other network sites to third parties under operating leases. Lease and sublease revenue are included in Operating Revenue in our consolidated statements of operations. For the three months ended September 30, 2024 and 2023, our gross rental revenue was $67 million and $76 million, respectively, which represented approximately 5% of our operating revenue for both periods. For the nine months ended September 30, 2024 and 2023, our gross rental revenue was $209 million and $234 million, respectively, which represented approximately 5% of our operating revenue for both periods. Customer Receivables and Contract Balances The following table provides balances of customer receivables, contract assets and contract liabilities as of September 30, 2024 and December 31, 2023: September 30, 2024 December 31, 2023 (Dollars in millions) Customer receivables, less allowance of $26 and $29 (1) $ 198 210 Contract assets 7 7 Contract liabilities 246 269 ______________________________________________________________________ (1) Customer receivables includes affiliate receivables. Contract liabilities consist of consideration we have received from our customers or billed in advance of providing goods or services promised in the future. We defer recognizing this consideration as revenue until we have satisfied the related performance obligation to the customer. Contract liabilities include recurring services billed one month in advance and installation and maintenance charges that are deferred and recognized over the actual or expected contract term, which typically ranges from one Performance Obligations As of September 30, 2024, we expect to recognize approximately $2.6 billion of revenue in the future related to performance obligations associated with existing customer contracts that are partially or wholly unsatisfied. As of September 30, 2024, the transaction price related to unsatisfied performance obligations that are expected to be recognized for the remainder of 2024, 2025 and thereafter was $421 million, $1.1 billion and $1.1 billion, respectively. These amounts exclude (i) the value of unsatisfied performance obligations for contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed (for example, uncommitted usage or non-recurring charges associated with professional or technical services to be completed), and (ii) contracts that are classified as leasing arrangements that are not subject to ASC 606. Contract Costs The following tables provide changes in our contract acquisition costs and fulfillment costs: Three Months Ended September 30, 2024 Three Months Ended September 30, 2023 Acquisition Costs Fulfillment Costs Acquisition Costs Fulfillment Costs (Dollars in millions) Beginning Balance $ 56 47 59 45 Cost Incurred 6 7 10 9 Amortization (9) (8) (12) (9) Ending Balances $ 53 46 57 45 Nine Months Ended September 30, 2024 Nine Months Ended September 30, 2023 Acquisition Costs Fulfillment Costs Acquisition Costs Fulfillment Costs (Dollars in millions) Beginning Balance $ 58 46 61 46 Cost incurred 25 26 32 28 Amortization (30) (26) (36) (29) Ending Balances $ 53 46 57 45 Acquisition costs include commission fees paid to employees as a result of obtaining contracts. Fulfillment costs include third party and internal costs associated with the provision, installation and activation of communications services to customers, including labor and materials consumed for these activities. Deferred acquisition and fulfillment costs are amortized based on the transfer of services on a straight-line basis over the average contract life of 50 months for mass markets customers and average contract life of 35 months for business customers. Amortized fulfillment costs are included in cost of services and products and amortized acquisition costs are included in selling, general and administrative expenses in our consolidated statements of operations. The amount of these deferred costs that are anticipated to be amortized in the next 12 months are included in Other Current Assets on our consolidated balance sheets. The amount of deferred costs expected to be amortized beyond the next 12 months is included in Other Non-Current Assets on our consolidated balance sheets. Deferred acquisition and fulfillment costs are assessed for impairment on a quarterly basis.

Credit Losses on Financial Inst

Credit Losses on Financial Instruments	9 Months Ended
	Sep. 30, 2024
Credit Loss [Abstract]
Credit Losses on Financial Instruments	To assess our expected credit losses on financial instruments, we aggregate financial assets with similar risk characteristics to monitor their credit quality or deterioration over the life of such assets. We periodically monitor certain risk characteristics within our aggregated financial assets and revise their composition accordingly, to the extent internal and external risk factors change. We separately evaluate financial assets that do not share risk characteristics with other financial assets. Our financial assets measured at amortized cost primarily consist of accounts receivable. We use a loss rate method to estimate our allowance for credit losses. Our determination of the current expected credit loss rate begins with our review of historical loss experience as a percentage of accounts receivable. We measure our historical loss period based on the average days to recognize accounts receivable as credit losses. When asset specific characteristics and current conditions change from those in the historical period, due to changes in our credit and collections strategy, certain classes of aged balances, or credit loss and recovery policies, we perform a qualitative and quantitative assessment to adjust our historical loss rate. We use regression analysis to develop an expected loss rate using historical experience and economic data over a forecast period. We measure our forecast period based on the average days to collect payment on billed accounts receivable. To determine our current allowance for credit losses, we combine the historical and expected credit loss rates and apply them to our period end accounts receivable. If there is an unexpected deterioration of a customer's financial condition or an unexpected change in economic conditions, including macroeconomic events, we assess the need to adjust the allowance for credit losses. Any such resulting adjustments would affect earnings in the period that adjustments are made. The assessment of the correlation between historical observed default rates, current conditions and forecasted economic conditions requires judgment. Alternative interpretations of these factors could have resulted in different conclusions regarding our allowance for credit losses. The amount of credit loss is sensitive to changes in circumstances and forecasted economic conditions. Our historical credit loss experience, current conditions and forecast of economic conditions may also not be representative of the customers' actual default experience in the future, and we may use methodologies that differ from those used by other companies. The following table presents the activity of our allowance for credit losses by accounts receivable portfolio for the nine months ended September 30, 2024: Business Mass Markets Total (Dollars in millions) As of December 31, 2023 $ 14 20 34 Provision for expected losses 8 27 35 Write-offs charged against the allowance (8) (32) (40) Recoveries collected — 2 2 Ending balance at September 30, 2024 $ 14 17 31

Long-Term Debt and Note Payable

Long-Term Debt and Note Payable - Affiliate	9 Months Ended
	Sep. 30, 2024
Debt Disclosure [Abstract]
Long-Term Debt and Note Payable - Affiliate	The following table reflects our consolidated long-term debt as of the dates indicated below, including unamortized discounts and premiums and unamortized debt issuance costs: Interest Rates (1) Maturities (1) September 30, 2024 December 31, 2023 (Dollars in millions) Senior notes 6.50% - 7.75% 2025-2057 $ 1,974 1,986 Term loan (2) SOFR + 2.50% 2027 — 215 Finance lease and other obligations Various Various 4 4 Unamortized premiums, net 2 4 Unamortized debt issuance costs (50) (52) Total long-term debt $ 1,930 2,157 Less current maturities (241) (1) Long-term debt, excluding current maturities $ 1,689 2,156 _______________________________________________________________________________ (1) As of September 30, 2024. (2) The Term Loan had an interest rate of 7.970% as of December 31, 2023. Long-Term Debt Maturities Set forth below is the aggregate principal amount of our long-term debt as of September 30, 2024 (excluding unamortized premiums, net and unamortized debt issuance costs) maturing during the following years: (Dollars in millions) 2024 (remaining three months) $ — 2025 239 2026 1 2027 1 2028 — 2029 and thereafter 1,737 Total long-term debt $ 1,978 Impact of Recent Debt Transactions On March 22, 2024 (the "Effective Date"), Lumen Technologies, Level 3 Financing, Qwest Corporation and a group of creditors holding a majority of our consolidated debt completed transactions contemplated under the amended and restated transaction support agreement ("TSA") that such parties entered into on January 22, 2024 (the "TSA Transactions"), including (i) the repayment of our term loan maturing 2027 and (ii) the termination, repayment or exchange of previous commitments and debt of our affiliates and the issuance of new term loan facilities, notes, and revolving credit facilities by our affiliates. During the third quarter of 2024, we repurchased approximately $12 million aggregate principal amount of our senior notes maturing in 2025. Qwest Guarantees of Lumen Debt Lumen’s obligations under its new credit agreements entered into on March 22, 2024 and its new superpriority secured senior notes issued on and after March 22, 2024 are unsecured, but Qwest Corporation and certain of its subsidiaries have provided an unconditional unsecured guarantee of payment of Lumen’s obligations under these agreements and senior notes. Senior Notes and Intercompany Debt For information about our senior notes and intercompany debt arrangement, see Note 6—Long-Term Debt and Note Payable - Affiliate to the financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2023. Compliance As of September 30, 2024, we believe we were in compliance with the financial covenants contained in our material debt agreements in all material respects.

Restructuring and Related Activ

Restructuring and Related Activities	9 Months Ended
	Sep. 30, 2024
Restructuring and Related Activities [Abstract]
Restructuring and Related Activities Disclosure	Periodically, we reduce our workforce and accrue liabilities for the related severance costs. These workforce reductions result primarily from the progression or completion of our post-acquisition integration plans, increased competitive pressures, cost reduction initiatives, process improvements through automation and reduced workloads due to reduced demand for certain services. During April 2024, we reduced our workforce by approximately 3% as a part of our efforts to change our workforce composition to reflect our ongoing transformation and cost reduction opportunities that align with our shapeshifting and focus on our strategic priorities. As a result of this plan, we incurred severance and related costs of approximately $25 million during the second quarter of 2024. We have not incurred, and do not expect to incur, material impairment or exit costs related to this workforce reduction. Changes in our accrued liabilities for severance expenses were as follows: Severance (Dollars in millions) Balance at December 31, 2023 $ 1 Accrued to expense 30 Payments, net (28) Balance at September 30, 2024 $ 3

Fair Value Disclosure

Fair Value Disclosure	9 Months Ended
	Sep. 30, 2024
Fair Value Disclosures [Abstract]
Fair Value Disclosure	Our financial instruments consist of cash and cash equivalents, restricted cash, accounts receivable, advances to and from affiliates, accounts payable and long-term debt, excluding finance lease and other obligations. Due to their short-term nature, the carrying amounts of our cash and cash equivalents, restricted cash, accounts receivable, advances to and from affiliates and accounts payable approximate their fair values. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between independent and knowledgeable parties who are willing and able to transact for an asset or liability at the measurement date. We use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs when determining fair value and then we rank the estimated values based on the reliability of the inputs using the below-described fair value hierarchy. We determined the fair values of our long-term debt, including the current portion, based on quoted market prices where available or, if not available, based on inputs other than quoted market prices in active markets that are either directly or indirectly observable such as discounted future cash flows using current market interest rates. The three input levels in the hierarchy of fair value measurements are defined by the FASB generally as follows: Input Level Description of Input Level 1 Observable inputs such as quoted market prices in active markets. Level 2 Inputs other than quoted prices in active markets that are either directly or indirectly observable. Level 3 Unobservable inputs in which little or no market data exists. The following table presents the carrying amounts and estimated fair values of our financial liabilities as of September 30, 2024 and December 31, 2023, as well as the input level used to determine the fair values indicated below: September 30, 2024 December 31, 2023 Input Carrying Fair Carrying Fair (Dollars in millions) Liabilities—Long-term debt (excluding finance lease and other obligations) 2 $ 1,926 1,373 2,153 1,162

Affiliate Transactions

Affiliate Transactions	9 Months Ended
	Sep. 30, 2024
Related Party Transactions [Abstract]
Related Party Transactions Disclosure	We provide incumbent local exchange carrier telecommunications services to our affiliates that we also provide to external customers. These services are priced at regulated rates, where applicable, or otherwise at rates we believe are consistent with non-regulated market-based rates charged to external customers. We also provide to our affiliates shared services in the form of application development and support services, as well as network support and technical services, and administrative and corporate support. In this regard, we function as a service company to other Lumen affiliates, and correspondingly recognize affiliate revenue based on the costs for the services that we provide to those affiliates. Whenever possible, costs for shared services are incurred directly by our affiliates for the services they use. When these shared costs are not directly incurred, they are allocated among all affiliates based upon what we determine to be the most reasonable method, first using cost causative measures, or, if no cost causative measure is available, using a general allocator. From time to time, we may adjust the basis for allocating the costs of a shared service among affiliates. Any such changes in allocation methodologies are applied prospectively. The following table provides details of affiliate revenue for the three and nine months ended September 30, 2024 and 2023: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 (Dollars in millions) Direct affiliate revenue $ 423 395 1,241 1,189 Allocated affiliate revenue 147 131 435 400 Total affiliate revenue $ 570 526 1,676 1,589

Commitments, Contingencies and

Commitments, Contingencies and Other Items	9 Months Ended
	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments, Contingencies and Other Items	We are subject to various claims, legal proceedings and other contingent liabilities, including the matters described below, which individually or in the aggregate could materially affect our financial condition, future results of operations or cash flows. We review our litigation accrual liabilities on a quarterly basis, but in accordance with applicable accounting guidelines only establish accrual liabilities when losses are deemed probable and reasonably estimable and only revise previously-established accrual liabilities when warranted by changes in circumstances, in each case based on then-available information. As such, as of any given date we could have exposure to losses under proceedings as to which no liability has been accrued or as to which the accrued liability is inadequate. Subject to these limitations, at September 30, 2024 and December 31, 2023 we had accrued $17 million and $15 million, respectively, in the aggregate for our litigation and non-income tax contingencies, which are included in Other under Current Liabilities or Other under Deferred Credits and Other Liabilities in our consolidated balance sheets as of such dates. We cannot at this time estimate the reasonably possible loss or range of loss, if any in excess of this $17 million accrual due to the inherent uncertainties and speculative nature of contested proceedings. The establishment of an accrual does not mean that actual funds have been set aside to satisfy a given contingency. Thus, the resolution of a particular contingency for the amount accrued could have no effect on our results of operations but nonetheless could have an adverse effect on our cash flows. In this Note, a reference to a "putative" class action means a class has been alleged, but not certified, in that matter. Principal Proceedings Environmental Litigation Parish of St. Mary. On July 9, 2024, a putative class action complaint was filed in the 16th Judicial District Court for the Parish of St. Mary, State of Louisiana, Case 138575 asserting claims on behalf of all parishes, municipalities, and citizens owning real properties in the State of Louisiana that have been affected by lead-sheathed telecommunications cables installed by AT&T and Lumen or their predecessors. The complaint seeks damages and injunctive relief under Louisiana state law. The case has been removed to the United States District Court Western District of Louisiana Lafayette Division, Case 6:24-CV-01001-RRS-DJA. Blum . On November 6, 2023, a putative class action complaint was filed in the 16th Judicial District Court for the Parish of St. Mary, State of Louisiana, Case 137935 asserting claims on behalf of all citizens owning real properties in the State of Louisiana that have been affected by lead-sheathed telecommunications cables installed by AT&T, BellSouth, Verizon, and Lumen or their predecessors. The complaint seeks damages and injunctive relief under Louisiana state law. The case has been removed to Federal Court in the United States District Court Western District of Louisiana Lafayette Division, Case 6:23-CV-01748. FCRA Litigation In November 2014, a putative class action complaint captioned Bultemeyer v. CenturyLink, Inc. was filed in the United States District Court for the District of Arizona, Case CV-14-02530-PHX-SPL, alleging violations of the Fair Credit Reporting Act (the "FCRA"). In February 2017, the case was dismissed for lack of standing. Plaintiff appealed and the 9th Circuit reversed and remanded. Class certification was contested and ultimately granted in 2023. The 9th Circuit denied Lumen’s request to appeal the class certification ruling. A jury trial was conducted in September 2024. The jury found that CenturyLink willfully violated the FCRA, and awarded each class member $500 for statutory damages and $2,000 for punitive damages. If the verdict is not set aside in connection with post-trial motion practice, Lumen will appeal to the 9th Circuit. We have not accrued a contingent liability for this matter. While liability is ultimately possible, we have not determined it to be probable, and cannot estimate any final damages exposure, if any, which remains uncertain. Billing Practices Suits In June 2017, a former employee of a Lumen Technologies subsidiary filed an employment lawsuit against Lumen Technologies (at the time named CenturyLink, Inc.) claiming that she was wrongfully terminated for alleging that Lumen charged some of its retail customers for products and services they did not authorize. Thereafter, based in part on the allegations made by the former employee, several legal proceedings were filed, including consumer class actions in federal and state courts, a series of securities investor class actions in federal courts, and several shareholder derivative actions in federal and Louisiana state courts. The derivative cases were brought on behalf of CenturyLink, Inc. against certain current and former officers and directors of the Company and seek damages for alleged breaches of fiduciary duties. We have settled the consumer and securities investor class actions, and the derivative actions. Qwest has engaged in discussions regarding related claims with a number of state attorneys general, and has entered into agreements settling certain of the consumer practices claims asserted by several state attorneys general. Huawei Network Deployment Investigations Qwest has received requests from the following federal agencies for information relating to the use of equipment manufactured by Huawei Technologies Company ("Huawei") in networks operated by Lumen and Qwest. • DOJ. Lumen has received a civil investigative demand from the U.S. Department of Justice in the course of a False Claims Act investigation alleging that Lumen Technologies, Inc. and Lumen Technologies Government Solutions, Inc. failed to comply with certain specified requirements in federal contracts concerning their use of Huawei equipment.  • FCC. The FCC’s Enforcement Bureau issued a Letter of Inquiry to Lumen Technologies, Inc. regarding its written certifications to the FCC that Lumen has complied with FCC rules governing the use of resources derived from the High Cost Program, Lifeline Program, Rural Health Care Program, E-Rate Program, Emergency Broadband Benefit Program, and the Affordable Connectivity Program. Under these programs federal, funds may not be used to facilitate the deployment or maintenance of equipment or services provided by Huawei, a company the FCC has determined poses a national security threat to the integrity of U.S. communications networks or the communications supply chain. • Team Telecom. The Committee for the Assessment of Foreign Participation in the United States Telecommunications Service Sector (comprised of the U.S. Attorney General, and the Secretaries of the Department of Homeland Security, and the Department of Defense), commonly referred to as Team Telecom, issued questions and requests for information relating to Lumen’s FCC licenses and its use of Huawei equipment. Marshall Fire Litigation. On December 30, 2021, a wildfire referred to as the Marshall Fire ignited near Boulder, Colorado. The Marshall Fire killed two people, and it burned thousands of acres, including entire neighborhoods. Approximately 300 lawsuits naming various defendants and asserting various claims for relief have been filed. To date, three of those name Qwest Corporation as being at fault: Allstate Fire and Casualty Insurance Company, et al., v. Qwest Corp., et al., Case 2023-cv-3048, and Wallace, et al. v. Qwest Corp., et al., Case 2023-cv-30488, both of which have been consolidated with Kupfner, et al., v. Public Service Company of Colorado, et al., Case 2022-cv-30195. The consolidated proceeding is pending in Colorado District Court, Boulder, Colorado, Preliminary estimates of potential damage claims $2 billion. 911 Surcharge In June 2021, the Company was served with a complaint filed in the Santa Fe County District Court by Phone Recovery Services, LLC (“PRS”), acting on behalf of the State of New Mexico. The complaint claims Qwest Corporation and CenturyTel of the Southwest have violated the New Mexico Fraud Against Taxpayers Act since 2004 by failing to bill, collect and remit certain 911 surcharges from customers. Through pre-trial proceedings, the Court has narrowed the issues to be resolved by jury. On August 21, 2024, a jury decided the remaining issues, and consequently all claims asserted, in Lumen's favor. Plaintiff has filed a Notice of Appeal and Lumen submitted a cross-appeal as to the original motion to dismiss and motion for summary judgment. Other Proceedings, Disputes and Contingencies From time to time, we are involved in other proceedings incidental to our business, including patent infringement allegations, regulatory hearings relating primarily to our rates or services, actions relating to employee claims, tax issues, or environmental law issues, grievance hearings before labor regulatory agencies, miscellaneous third-party tort actions, or commercial disputes. We are currently defending several patent infringement lawsuits asserted against us by non-practicing entities which are seeking substantial recoveries. These cases have progressed to various stages and one or more may go to trial within the next twelve months if they are not otherwise resolved. Where applicable, we are seeking full or partial indemnification from our vendors and suppliers. We are subject to various federal, state and local environmental protection and health and safety laws. From time to time, we are subject to judicial and administrative proceedings brought by various governmental authorities under these laws. Several such proceedings are currently pending, but none is reasonably expected to exceed $300,000 in fines and penalties. In addition, in the past we acquired companies that had installed lead-sheathed cables several decades earlier, or had operated certain manufacturing companies in the first part of the 1900s. Under applicable environmental laws, we could be named as a potentially responsible party for a share of the remediation of environmental conditions arising from the historical operations of our predecessors. The outcomes of these other proceedings described under this heading are not predictable. However, based on current circumstances, we do not believe that the ultimate resolution of these other proceedings, after considering available defenses and any insurance coverage or indemnification rights, will have a material adverse effect on us. The matters listed in this Note do not reflect all our contingencies. For additional information on our contingencies, see Note 14—Commitments, Contingencies and Other Items to the financial statements included in Item 8 of Part II of our Annual Report on Form 10-K for the year ended December 31, 2023. The ultimate outcome of the above-described matters may differ materially from the outcomes anticipated, estimated, projected or implied by us in certain of our statements appearing above in this Note, and proceedings we currently consider immaterial may ultimately affect us materially.

Dividends

Dividends	9 Months Ended
	Sep. 30, 2024
Dividends [Abstract]
Dividends	From time to time we may declare and pay dividends to our direct parent company, Qwest Services Corporation ("QSC"), sometimes in excess of our earnings to the extent permitted by applicable law. Our debt covenants do not currently limit the amount of dividends we can pay to QSC. During the nine months ended September 30, 2024 and September 30, 2023, we declared and paid no dividends to QSC. Dividends paid, when applicable, are reflected on our consolidated statements of cash flows as financing activities.

Other Financial Information

Other Financial Information	9 Months Ended
	Sep. 30, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Financial Information	Other Current Assets The following table presents details of other current assets on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Prepaid expenses $ 44 48 Contract acquisition costs 28 34 Contract fulfillment costs 26 28 Assets held for sale 29 29 Other 6 5 Total other current assets $ 133 144 Other Current Liabilities The following table presents details of other current liabilities on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Current affiliate obligation $ 52 52 Current operating lease liability 17 20 Other 52 49 Total other current liabilities $ 121 121 Other Noncurrent Liabilities The following table presents details of other noncurrent liabilities on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Unrecognized tax benefits $ 469 442 Deferred revenue 106 109 Noncurrent operating lease liability 50 47 Other 86 81 Total other noncurrent liabilities $ 711 679

Labor Union Contracts

Labor Union Contracts	9 Months Ended
	Sep. 30, 2024
Risks and Uncertainties [Abstract]
Labor Union Contracts	As of September 30, 2024, approximately 42% of our employees were represented by the Communications Workers of America ("CWA") or the International Brotherhood of Electrical Workers ("IBEW"). 1% of our represented employees are subject to collective bargaining agreements that are scheduled to expire within the twelve-month period ending September 30, 2025.

Background (Policies)

Background (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation Our consolidated balance sheet as of December 31, 2023, which was derived from our audited consolidated financial statements, and our unaudited interim consolidated financial statements provided herein have been prepared in accordance with the instructions for Form 10-Q. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). However, in our opinion, the disclosures made therein are adequate to make the information presented not misleading. We believe these consolidated financial statements include all normal recurring adjustments necessary to fairly present the results for the interim periods. The consolidated results of operations and cash flows for the first nine months of the year are not necessarily indicative of the consolidated results of operations and cash flows that might be expected for the entire year. These consolidated financial statements and the accompanying notes should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023. The accompanying consolidated financial statements include our accounts and the accounts of our subsidiaries. Intercompany amounts and transactions with our consolidated subsidiaries have been eliminated. Transactions with our non-consolidated affiliates (Lumen Technologies and its other subsidiaries, referred to herein as affiliates) have not been eliminated.
Segments	Segments Our operations are integrated into and reported as part of Lumen Technologies. Lumen's chief operating decision maker ("CODM") is our CODM. The CODM reviews our financial information on an aggregate basis only in connection with our quarterly and annual reports that we file with the SEC. Consequently, we do not provide our discrete financial information to the CODM on a regular basis. As such, we have one reportable segment.
Recently Adopted and Issued Accounting Pronouncements	Recently Adopted Accounting Pronouncements Supplier Finance Programs On January 1, 2023, we adopted Accounting Standards Update (“ASU”) 2022-04, “ Liabilities-Supplier Finance Program (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations ” (“ASU 2022-04”). These amendments require that a company that uses a supplier finance program in connection with the purchase of goods or services disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, program activity during the period, changes from period to period and potential magnitude of program transactions. The adoption of ASU 2022-04 did not have any impact on our consolidated financial statements. Credit Losses On January 1, 2023, we adopted ASU 2022-02, " Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings (“TDR”) and Vintage Disclosures ” (“ASU 2022-02”). The ASU eliminates the TDR recognition and measurement guidance, enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. The adoption of ASU 2022-02 did not have any impact on our consolidated financial statements. Adoption of Other ASU With No Impact On January 1, 2024, we adopted ASU 2023-01, “ Leases (Topic 842): Common Control Arrangements ”, and ASU 2022-03, “ Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions ”. The adoption of these ASUs did not have any impact on our consolidated financial statements. Recently Issued Accounting Pronouncements In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09 “ Income Taxes (Topic 740): Improvements to Income Tax Disclosures ” (“ASU 2023-09”). This ASU requires public business entities to annually (i) disclose specific categories in the rate reconciliation and (ii) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). ASU 2023-09 will become effective for us in the fiscal year 2025 and early adoption is permitted. As of September 30, 2024, we have not early adopted this ASU and are currently evaluating its impact on our consolidated financial statements, including our annual disclosure within our Income Taxes note. In November 2023, the FASB issued ASU 2023-07, “ Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures ” (“ASU 2023-07”). This ASU is intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. This ASU will become effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. As of September 30, 2024, we have not early adopted this ASU and are currently evaluating its impact on our consolidated financial statements.
Operating Lease Revenue	Operating Lease Revenue Qwest leases various data transmission capacity, office facilities, switching facilities and other network sites to third parties under operating leases. Lease and sublease revenue are included in Operating Revenue in our consolidated statements of operations.

Intangible Assets, Goodwill and

Intangible Assets, Goodwill and Other (Policies)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets, Policy	Goodwill and other intangible assets consisted of the following: September 30, 2024 December 31, 2023 (Dollars in millions) Goodwill, less accumulated impairment losses of $2,405 and $2,405 $ 6,955 6,955 Other intangible assets, less accumulated amortization of $1,964 and $1,966 $ 92 103 Substantially all of our goodwill was derived from Lumen's acquisition of us where the purchase price exceeded the fair value of the net assets acquired. As of September 30, 2024 and December 31, 2023, the gross carrying amount of goodwill and other intangible assets was $9.0 billion. We are required to assess our goodwill for impairment annually, or under certain circumstances, more frequently, such as when events or changes in circumstances indicate there may be impairment. We are required to write down the value of goodwill only when our assessment determines the carrying value of equity of our reporting unit exceeds its fair value. Our annual impairment assessment date for goodwill is October 31, at which date we assess goodwill at our reporting unit. In reviewing the criteria for reporting units, we have determined that we are one reporting unit. Second Quarter 2023 Goodwill Impairment Analysis The sustained decline in Lumen's share price during the second quarter of 2023 was considered a triggering event requiring evaluation of goodwill impairment; as such, we estimated the fair value using only the market approach. Applying this approach, we utilized company comparisons and analyst reports within the telecommunications industry which supported a range of fair values derived from annualized revenue and Earnings Before Interest, Tax, Depreciation and Amortization ("EBITDA") multiples between 1.5x and 4.3x and 4.6x and 10.5x, respectively. We selected a revenue multiple within and an EBITDA multiple below these comparable market multiples. For the three months ended June 30, 2023, based on our assessment performed as described above, we concluded that our goodwill was not impaired. The market approach that we used in the quarter ended June 30, 2023 incorporated estimates and assumptions related to the forecasted results for the remainder of the year, including revenues, expenses, and the achievement of certain strategic initiatives. In developing the market multiples, we considered observed trends of our industry participants. Our assessment included many factors that required significant judgment. Alternative interpretations of these factors could have resulted in different conclusions. The amortization expense for finite-lived intangible assets for the three months ended September 30, 2024 and 2023 totaled $4 million and $17 million, respectively, and $29 million and $50 million for the nine months ended September 30, 2024 and 2023, respectively. We estimate that future total amortization expense for finite-lived intangible assets will be as follows: (Dollars in millions) 2024 (remaining three months) $ 9 2025 28 2026 17 2027 13 2028 10 2029 and thereafter 15 Total finite-lived intangible assets future amortization expense $ 92

Goodwill, Customer Relationsh_2

Goodwill, Customer Relationships and Other Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Goodwill	Goodwill and other intangible assets consisted of the following: September 30, 2024 December 31, 2023 (Dollars in millions) Goodwill, less accumulated impairment losses of $2,405 and $2,405 $ 6,955 6,955 Other intangible assets, less accumulated amortization of $1,964 and $1,966 $ 92 103
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	We estimate that future total amortization expense for finite-lived intangible assets will be as follows: (Dollars in millions) 2024 (remaining three months) $ 9 2025 28 2026 17 2027 13 2028 10 2029 and thereafter 15 Total finite-lived intangible assets future amortization expense $ 92

Revenue Recognition (Tables)

Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
Schedule of Revenue	The following tables provide our total revenue by product and service category as well as the amount of revenue that is not subject to ASC 606, "Revenue from Contracts with Customers" ("ASC 606"), but is instead governed by other accounting standards: Three Months Ended September 30, 2024 Three Months Ended September 30, 2023 Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers (Dollars in millions) Other Broadband $ 226 (19) 207 271 (23) 248 Voice and Other 129 (2) 127 145 (4) 141 Fiber Broadband 92 (3) 89 120 (3) 117 Harvest 223 (29) 194 261 (36) 225 Nurture 90 (2) 88 96 (2) 94 Grow 33 (2) 31 31 — 31 Affiliate Services 570 (12) 558 526 (11) 515 Total revenue $ 1,363 (69) 1,294 1,450 (79) 1,371 Nine Months Ended September 30, 2024 Nine Months Ended September 30, 2023 Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers Total Revenue Adjustments for Non-ASC 606 Revenue (1) Total Revenue from Contracts with Customers (Dollars in millions) Other Broadband $ 715 (60) 655 847 (72) 775 Voice and Other 394 (10) 384 451 (12) 439 Fiber Broadband 289 (9) 280 365 (9) 356 Harvest 702 (92) 610 803 (109) 694 Nurture 268 (6) 262 295 (6) 289 Grow 100 (4) 96 108 — 108 Affiliate Services 1,676 (36) 1,640 1,589 (33) 1,556 Total revenue $ 4,144 (217) 3,927 4,458 (241) 4,217 ____________________________________________________________ (1) Includes regulatory revenue and lease revenue not within the scope of ASC 606.
Customer Receivables and Contract Balances	The following table provides balances of customer receivables, contract assets and contract liabilities as of September 30, 2024 and December 31, 2023: September 30, 2024 December 31, 2023 (Dollars in millions) Customer receivables, less allowance of $26 and $29 (1) $ 198 210 Contract assets 7 7 Contract liabilities 246 269 ______________________________________________________________________ (1) Customer receivables includes affiliate receivables.
Contract Costs	The following tables provide changes in our contract acquisition costs and fulfillment costs: Three Months Ended September 30, 2024 Three Months Ended September 30, 2023 Acquisition Costs Fulfillment Costs Acquisition Costs Fulfillment Costs (Dollars in millions) Beginning Balance $ 56 47 59 45 Cost Incurred 6 7 10 9 Amortization (9) (8) (12) (9) Ending Balances $ 53 46 57 45 Nine Months Ended September 30, 2024 Nine Months Ended September 30, 2023 Acquisition Costs Fulfillment Costs Acquisition Costs Fulfillment Costs (Dollars in millions) Beginning Balance $ 58 46 61 46 Cost incurred 25 26 32 28 Amortization (30) (26) (36) (29) Ending Balances $ 53 46 57 45

Credit Losses on Financial In_2

Credit Losses on Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2024
Credit Loss [Abstract]
Financing Receivable, Allowance for Credit Loss	The following table presents the activity of our allowance for credit losses by accounts receivable portfolio for the nine months ended September 30, 2024: Business Mass Markets Total (Dollars in millions) As of December 31, 2023 $ 14 20 34 Provision for expected losses 8 27 35 Write-offs charged against the allowance (8) (32) (40) Recoveries collected — 2 2 Ending balance at September 30, 2024 $ 14 17 31

Fair Value Disclosure (Tables)

Fair Value Disclosure (Tables)	9 Months Ended
	Sep. 30, 2024
Fair Value Disclosures [Abstract]
Schedule of Carrying Amounts and Estimated Fair Values	The following table presents the carrying amounts and estimated fair values of our financial liabilities as of September 30, 2024 and December 31, 2023, as well as the input level used to determine the fair values indicated below: September 30, 2024 December 31, 2023 Input Carrying Fair Carrying Fair (Dollars in millions) Liabilities—Long-term debt (excluding finance lease and other obligations) 2 $ 1,926 1,373 2,153 1,162

Other Financial Information (Ta

Other Financial Information (Tables)	9 Months Ended
	Sep. 30, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Current Assets	The following table presents details of other current assets on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Prepaid expenses $ 44 48 Contract acquisition costs 28 34 Contract fulfillment costs 26 28 Assets held for sale 29 29 Other 6 5 Total other current assets $ 133 144
Schedule of Other Current Liabilities	The following table presents details of other current liabilities on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Current affiliate obligation $ 52 52 Current operating lease liability 17 20 Other 52 49 Total other current liabilities $ 121 121
Schedule of Other Noncurrent Liabilities	The following table presents details of other noncurrent liabilities on our consolidated balance sheets: September 30, 2024 December 31, 2023 (Dollars in millions) Unrecognized tax benefits $ 469 442 Deferred revenue 106 109 Noncurrent operating lease liability 50 47 Other 86 81 Total other noncurrent liabilities $ 711 679

Accounting Policies - General (

Accounting Policies - General (Details)	Sep. 30, 2024 state
Accounting Policies [Abstract]
Number of states in which entity operates	14

Accounting Policies- Segments (

Accounting Policies- Segments (Details)	9 Months Ended
	Sep. 30, 2024 segment
Accounting Policies [Abstract]
Number of reportable segments	1

Background - Change in Accounti

Background - Change in Accounting Estimates and Correction of Immaterial Errors (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024	Jan. 01, 2024	Dec. 31, 2023	Jan. 01, 2023
Change in Accounting Estimate [Line Items]
Retained earnings	$ 1,802	$ 1,802		$ 706
Fiber Network Assets
Change in Accounting Estimate [Line Items]
Property, Plant and Equipment, Useful Life			30 years	25 years
Fiber Network Assets | Change in Accounting Method Accounted for as Change in Estimate
Change in Accounting Estimate [Line Items]
Depreciation	(6)	(18)
Depreciation, Net Of Tax	(4)	(13)
Competitive Local Exchange Carriers Fixed Assets | Change in Accounting Method Accounted for as Change in Estimate
Change in Accounting Estimate [Line Items]
Depreciation	(30)	(78)
Depreciation, Net Of Tax	$ (23)	$ (59)
Correction Of Error From Understatement Of Revenues And Network Expenses Prior To 2021
Change in Accounting Estimate [Line Items]
Retained earnings					$ 13

Goodwill, Customer Relationsh_3

Goodwill, Customer Relationships and Other Intangible Assets - Schedule of Goodwill (Details) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Goodwill	$ 6,955	$ 6,955
Other intangible assets, less accumulated amortization	92
Goodwill, Impaired, Accumulated Impairment Loss	(2,405)	(2,405)
Other Intangible Assets
Finite-Lived Intangible Assets [Line Items]
Other intangible assets, less accumulated amortization	92	103
Accumulated amortization	$ (1,964)	$ (1,966)

Goodwill, Customer Relationsh_4

Goodwill, Customer Relationships and Other Intangible Assets - Additional Information (Details) $ in Millions	3 Months Ended		9 Months Ended	12 Months Ended
	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($) reporting_unit	Dec. 31, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Number of reporting units | reporting_unit			1
Amortization of intangible assets	$ 4	$ 17	$ 29	$ 50
Goodwill [Line Items]
Goodwill, Gross	$ 9,000		$ 9,000	$ 9,000
Minimum | Measurement Input, Revenue Multiple
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill Impairment, Measurement Input		1.5
Goodwill [Line Items]
Goodwill Impairment, Measurement Input		1.5
Minimum | Measurement Input, EBITDA Multiple
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill Impairment, Measurement Input		4.6
Goodwill [Line Items]
Goodwill Impairment, Measurement Input		4.6
Maximum | Measurement Input, Revenue Multiple
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill Impairment, Measurement Input		4.3
Goodwill [Line Items]
Goodwill Impairment, Measurement Input		4.3
Maximum | Measurement Input, EBITDA Multiple
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill Impairment, Measurement Input		10.5
Goodwill [Line Items]
Goodwill Impairment, Measurement Input		10.5

Goodwill, Customer Relationsh_5

Goodwill, Customer Relationships and Other Intangible Assets - Schedule of Future Amortization Expense (Details) $ in Millions	Sep. 30, 2024 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2024 (remaining three months)	$ 9
2025	28
2026	17
2027	13
2028	10
2029 and thereafter	15
Total finite-lived intangible assets future amortization expense	$ 92

Revenue Recognition - Disaggreg

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Disaggregation of Revenue [Line Items]
Total Revenue	$ 1,363	$ 1,450	$ 4,144	$ 4,458
Adjustments for non-ASC 606 revenue	(69)	(79)	(217)	(241)
Total Revenue from Contracts with Customers	1,294	1,371	3,927	4,217
Other Broadband
Disaggregation of Revenue [Line Items]
Total Revenue	226	271	715	847
Adjustments for non-ASC 606 revenue	(19)	(23)	(60)	(72)
Total Revenue from Contracts with Customers	207	248	655	775
Voice and Other
Disaggregation of Revenue [Line Items]
Total Revenue	129	145	394	451
Adjustments for non-ASC 606 revenue	(2)	(4)	(10)	(12)
Total Revenue from Contracts with Customers	127	141	384	439
Fiber Broadband
Disaggregation of Revenue [Line Items]
Total Revenue	92	120	289	365
Adjustments for non-ASC 606 revenue	(3)	(3)	(9)	(9)
Total Revenue from Contracts with Customers	89	117	280	356
Harvest
Disaggregation of Revenue [Line Items]
Total Revenue	223	261	702	803
Adjustments for non-ASC 606 revenue	(29)	(36)	(92)	(109)
Total Revenue from Contracts with Customers	194	225	610	694
Nurture
Disaggregation of Revenue [Line Items]
Total Revenue	90	96	268	295
Adjustments for non-ASC 606 revenue	(2)	(2)	(6)	(6)
Total Revenue from Contracts with Customers	88	94	262	289
Grow
Disaggregation of Revenue [Line Items]
Total Revenue	33	31	100	108
Adjustments for non-ASC 606 revenue	(2)	0	(4)	0
Total Revenue from Contracts with Customers	31	31	96	108
Affiliate Services
Disaggregation of Revenue [Line Items]
Total Revenue	570	526	1,676	1,589
Adjustments for non-ASC 606 revenue	(12)	(11)	(36)	(33)
Total Revenue from Contracts with Customers	$ 558	$ 515	$ 1,640	$ 1,556

Revenue Recognition - Operating

Revenue Recognition - Operating Lease Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
Lease income	$ 67	$ 76	$ 209	$ 234
Percent of operating revenue	5%		5%

Revenue Recognition - Customer

Revenue Recognition - Customer Receivables and Contract Balances (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Jan. 01, 2024	Dec. 31, 2023	Jan. 01, 2023
Revenue from Contract with Customer [Abstract]
Customer receivables	$ 198		$ 198			$ 210
Contract assets	7		7			7
Contract liabilities	246		246		$ 269	269	$ 343
Allowance for credit losses	26		26			$ 29
Amounts included in contract liability at the beginning of the period	$ 14	$ 10	$ 162	$ 159

Revenue Recognition - Additiona

Revenue Recognition - Additional Information, Contract Costs (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Jan. 01, 2024	Dec. 31, 2023	Jan. 01, 2023
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue recognized from prior year contract liability	$ 14	$ 10	$ 162	$ 159
Contract liabilities	$ 246		$ 246		$ 269	$ 269	$ 343
Minimum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract term			1 year
Maximum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract term			5 years
Weighted Average | Mass Markets Customers, Average Contract Life
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Length of customer life			50 months
Weighted Average | Business Customer, Average Contract Life
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Length of customer life			35 months

Revenue Recognition - Additio_2

Revenue Recognition - Additional Information, Performance Obligation (Details) $ in Millions	Sep. 30, 2024 USD ($)
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 2,600
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	2,600
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-10-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 421
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction, period	3 months
Remaining performance obligation	$ 421
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 1,100
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction, period	1 year
Remaining performance obligation	$ 1,100
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 1,100
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction, period	3 years
Remaining performance obligation	$ 1,100

Revenue Recognition - Contract

Revenue Recognition - Contract Costs (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Acquisition Costs
Capitalized Contract Cost [Line Items]
Beginning Balance	$ 56	$ 59	$ 58	$ 61
Cost Incurred	6	10	25	32
Amortization	(9)	(12)	(30)	(36)
Ending Balances	53	57	53	57
Fulfillment Costs
Capitalized Contract Cost [Line Items]
Beginning Balance	47	45	46	46
Cost Incurred	7	9	26	28
Amortization	(8)	(9)	(26)	(29)
Ending Balances	$ 46	$ 45	$ 46	$ 45

Credit Losses on Financial In_3

Credit Losses on Financial Instruments (Details) $ in Millions	9 Months Ended
	Sep. 30, 2024 USD ($)
Financing Receivable, Allowance for Credit Loss
Beginning balance	$ 34
Provision for expected losses	35
Write-offs charged against the allowance	(40)
Recoveries collected	2
Ending balance	31
Business Portfolio
Financing Receivable, Allowance for Credit Loss
Beginning balance	14
Provision for expected losses	8
Write-offs charged against the allowance	(8)
Recoveries collected	0
Ending balance	14
Mass Market Portfolio
Financing Receivable, Allowance for Credit Loss
Beginning balance	20
Provision for expected losses	27
Write-offs charged against the allowance	(32)
Recoveries collected	2
Ending balance	$ 17

Long-Term Debt and Note Payab_2

Long-Term Debt and Note Payable - Affiliate - Schedule of Long Term Debt (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Long-term debt
Debt Instrument, Unamortized Discount (Premium), Net	$ 2	$ 4
Debt Issuance Costs, Net	(50)	(52)
Long-Term Debt and Lease Obligation, Including Current Maturities, Total	1,930	2,157
Long-Term Debt and Lease Obligation, Current	(241)	(1)
LONG-TERM DEBT	1,689	2,156
Senior Notes
Long-term debt
Long-term debt, gross	$ 1,974	1,986
Senior Notes | Minimum
Long-term debt
Stated interest rate	6.50%
Senior Notes | Maximum
Long-term debt
Stated interest rate	7.75%
Term loan
Long-term debt
Basis spread on variable rate	2.50%
Long-term debt, gross	$ 0	$ 215
Weighted average interest rate		7.97%
Finance Lease Obligation [Member]
Long-term debt
Long-term debt, gross	$ 4	$ 4

Long-Term Debt and Note Payab_3

Long-Term Debt and Note Payable - Affiliate - Schedule of Debt Maturity (Details) $ in Millions	Sep. 30, 2024 USD ($)
Debt Disclosure [Abstract]
2024 (remaining three months)	$ 0
2025	239
2026	1
2027	1
2028	0
2029 and thereafter	1,737
Total long-term debt	$ 1,978

Long-Term Debt and Note Payab_4

Long-Term Debt and Note Payable - Affiliate - Additional Information (Details) $ in Millions	Sep. 30, 2024 USD ($)
Senior Notes
Long-term debt
Repurchased face amount	$ 12

Restructuring and Related Act_2

Restructuring and Related Activities (Details) - Employee Severance - USD ($) $ in Millions	1 Months Ended	9 Months Ended
	Apr. 30, 2024	Sep. 30, 2024	Dec. 31, 2023
Restructuring Cost and Reserve [Line Items]
Restructuring Reserve		$ 3	$ 1
Restructuring Charges		30
Payments for Restructuring		$ (28)
Workforce Reduction
Restructuring Cost and Reserve [Line Items]
Restructuring And Related Cost, Percentage Of Positions Eliminated	3%
Restructuring Costs	$ 25

Fair Value Disclosure (Details)

Fair Value Disclosure (Details) - Fair value measurements, nonrecurring - Fair value inputs, Level 2 - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Carrying Amount
Fair Value Disclosure
Liabilities—Long-term debt (excluding finance lease and other obligations)	$ 1,926	$ 2,153
Fair Value
Fair Value Disclosure
Liabilities—Long-term debt (excluding finance lease and other obligations)	$ 1,373	$ 1,162

Related Party Disclosures (Deta

Related Party Disclosures (Details) - Affiliated entity - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 570	$ 526	$ 1,676	$ 1,589
Direct Revenue From Related Party
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	423	395	1,241	1,189
Allocated Revenue
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 147	$ 131	$ 435	$ 400

Commitments, Contingencies an_2

Commitments, Contingencies and Other Items (Details)	9 Months Ended
	Sep. 30, 2024 USD ($) patent	Dec. 31, 2023 USD ($)
Loss Contingencies [Line Items]
Estimate of possible loss	$ 17,000,000	$ 15,000,000
Number of patent infringement lawsuits expected to go to trial within the next twelve months | patent	1
Marshall Fire Litigation | Minimum | Pending Litigation
Loss Contingencies [Line Items]
Estimate of possible loss	$ 2,000,000,000
Unfavorable Regulatory Action
Loss Contingencies [Line Items]
Estimate of possible loss	300,000
Statutory Damages | FCPA Litigation | Judicial Ruling
Loss Contingencies [Line Items]
Amount awarded to other party	500
Punitive Damages | FCPA Litigation | Judicial Ruling
Loss Contingencies [Line Items]
Amount awarded to other party	$ 2,000

Other Financial Information- Ot

Other Financial Information- Other Current Assets (Details) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid expenses	$ 44	$ 48
Contract acquisition costs	28	34
Contract fulfillment costs	26	28
Assets held for sale	29	29
Other	6	5
Total other current assets	$ 133	$ 144

Other Financial Information - O

Other Financial Information - Other Current Liabilities (Details) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Current affiliate obligation	$ 52	$ 52
Current operating lease liability	17	20
Other	52	49
Total other current liabilities	$ 121	$ 121

Other Financial Information -_2

Other Financial Information - Other Noncurrent Liabilities (Details) - USD ($) $ in Millions	Sep. 30, 2024	Dec. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Unrecognized tax benefits	$ 469	$ 442
Deferred Revenue	106	109
Noncurrent operating lease liability	50	47
Other	86	81
Total other noncurrent liabilities	$ 711	$ 679

Labor Union Contracts (Details)

Labor Union Contracts (Details) - Union employees concentration risk	9 Months Ended
	Sep. 30, 2024
Employees covered under collective bargaining agreements
Labor Union Contracts
Concentration risk percentage	42%
Workforce Subject to Collective-Bargaining Arrangements Expiring within One Year
Labor Union Contracts
Concentration risk percentage	1%