Rising Yields Make Refinancing a Challenge for Boeing Ford Warner Bros. Discovery

The U.S. bond market's recent shift has made refinancing more challenging for companies with maturing debt. The 10-year Treasury yield hit 5.31% on Monday, the highest since 2002, driving up borrowing costs for weaker corporate borrowers. This poses a risk for firms with manageable debt today but facing higher interest bills when refinancing.

Boeing (NYSE:BA) ended 2025 with $54.1 billion in debt, including $5.9 billion of unsecured debt at rates between 2.2% and 2.5% maturing through 2026, and $5.1 billion at rates between 2.6% and 3.2% maturing through 2030. While these rates seem attractive now, refinancing could become expensive if yields stay elevated. Boeing’s interest expenses were nearly $3 billion in 2025, highlighting the strain of its current debt burden.

Ford Motor (NYSE:F) faces an even bigger refinancing challenge through Ford Motor Credit. The company has $51.8 billion of debt maturing in 2026, followed by $30.8 billion in 2027 and $23.8 billion in 2028. Ford Credit recently issued $1.5 billion in three-year notes at a 5.431% coupon, illustrating the higher costs in today’s funding environment.

Warner Bros. Discovery (NASDAQ:WBD) had $32.8 billion in debt at the end of 2025, with $16.5 billion maturing in 2027. The company’s acquisition by Paramount Skydance has created a combined entity with roughly $80 billion in net debt. Paramount raised $52 billion in debt for the deal, with some portions carrying yields around 9%, signaling investor concerns over refinancing costs.