v3.7.0.1
Debt and Credit Facilities
 3 Months Ended
Mar. 31, 2017
Debt Disclosure [Abstract]  
Debt And Credit Facilities
DEBT AND CREDIT FACILITIES
SUMMARY OF SIGNIFICANT DEBT ISSUANCES
The following table summarizes significant debt issuances (in millions).
 
 
 
 
Three Months Ended March 31, 2017
 
 
 
 
 
 
Duke

 
Duke

 
Maturity
Interest

 
Duke

 
Energy

 
Energy

Issuance Date
Date
Rate

 
Energy

 
Florida

 
Ohio

Secured Debt
 
 
 
 
 
 
 
 
February 2017(a)
June 2034
4.120
%
 
$
587

 
$
—

 
$
—

First Mortgage Bonds
 
 
 
 
 
 
 
 
January 2017(b)
January 2020
1.850
%
 
250

 
250

 
—

January 2017(b)
January 2027
3.200
%
 
650

 
650

 
—

March 2017(c)
June 2046
3.700
%

100


—

 
100

Total issuances
 
 
 
$
1,587

 
$
900


$
100

(a)
Portfolio financing of four Texas and Oklahoma wind facilities. Secured by substantially all of the assets of these wind facilities and nonrecourse to Duke Energy. Proceeds were used to reimburse Duke Energy for a portion of previously funded construction expenditures.
(b)
Debt issued to fund capital expenditures for ongoing construction and capital maintenance, to repay at maturity a $250 million aggregate principal amount of bonds due September 2017 and for general corporate purposes.
(c)
Proceeds were used to fund capital expenditures for ongoing construction, capital maintenance and for general corporate purposes.
In April 2017, Duke Energy (Parent) issued $420 million of unsecured notes with a fixed interest rate of 3.364 percent and maturity date of April 2025. The net proceeds were used to refinance $400 million of unsecured debt at maturity and to repay outstanding commercial paper.
CURRENT MATURITIES OF LONG-TERM DEBT
The following table shows the significant components of Current Maturities of Long-Term Debt on the Condensed Consolidated Balance Sheets. The Duke Energy Registrants currently anticipate satisfying these obligations with cash on hand and proceeds from additional borrowings.
(in millions)
Maturity Date
 
Interest Rate

 
March 31, 2017

Unsecured Debt
 
 
 
 
 
Duke Energy (Parent)
August 2017
 
1.625
%
 
$
700

Piedmont
September 2017
 
8.510
%
 
35

Secured Debt
 
 
 
 
 
Duke Energy
June 2017
 
2.605
%
 
45

Duke Energy
June 2017
 
2.455
%
 
34

First Mortgage Bonds
 
 
 
 
 
Duke Energy Florida
September 2017
 
5.800
%
 
250

Duke Energy Progress
November 2017
 
1.252
%
 
200

Duke Energy Carolinas
January 2018
 
5.250
%
 
400

Other(a)
 
 
 
 
313

Current maturities of long-term debt
 
 
 
 
$
1,977


(a)    Includes capital lease obligations, amortizing debt and small bullet maturities.
AVAILABLE CREDIT FACILITIES
Master Credit Facility
In March 2017, Duke Energy amended its Master Credit Facility to increase its capacity from $7.5 billion to $8 billion, and to extend the termination date of the facility from January 30, 2020, to March 16, 2022. The amendment also added Piedmont as a borrower within the Master Credit Facility. Piedmont's separate $850 million credit facility was terminated in connection with the amendment. With the amendment, the Duke Energy Registrants, excluding Progress Energy (Parent), have borrowing capacity under the Master Credit Facility up to a specified sublimit for each borrower. Duke Energy has the unilateral ability at any time to increase or decrease the borrowing sublimits of each borrower, subject to a maximum sublimit for each borrower. The amount available under the Master Credit Facility has been reduced to backstop issuances of commercial paper, certain letters of credit and variable-rate demand tax-exempt bonds that may be put to the Duke Energy Registrants at the option of the holder. Duke Energy Carolinas and Duke Energy Progress are also required to each maintain $250 million of available capacity under the Master Credit Facility as security to meet obligations under plea agreements reached with the U.S. Department of Justice in 2015 related to violations at North Carolina facilities with ash basins. The table below includes the current borrowing sublimits and available capacity under the Master Credit Facility.
 
March 31, 2017
 
 
 


 
Duke

 
Duke

 
Duke

 
Duke

 
Duke

 
Duke

 
 
 
Duke

 
Energy

 
Energy

 
Energy

 
Energy

 
Energy

 
Energy

 
 
(in millions)
Energy

 
(Parent)

 
Carolinas

 
Progress

 
Florida

 
Ohio

 
Indiana

 
Piedmont

Facility size(a)
$
8,000

 
$
3,400

 
$
1,100

 
$
1,000

 
$
950

 
$
450

 
$
600

 
$
500

Reduction to backstop issuances
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial paper(b)
(3,134
)
 
(1,822
)
 
(469
)
 
(402
)
 
—

 
(30
)
 
(150
)
 
(261
)
Outstanding letters of credit
(71
)
 
(62
)
 
(4
)
 
(2
)
 
(1
)
 
—

 
—

 
(2
)
Tax-exempt bonds
(81
)
 
—

 
—

 
—

 
—

 
—

 
(81
)
 
—

Coal ash set-aside
(500
)
 
—

 
(250
)
 
(250
)
 
—

 
—

 
—

 
—

Available capacity
$
4,214


$
1,516


$
377


$
346


$
949


$
420


$
369

 
$
237

(a)
Represents the sublimit of each borrower. Certain sublimits were reallocated in May 2017 to provide additional liquidity to certain borrowers in light of near-term funding needs.
(b)
Duke Energy issued $625 million of commercial paper and loaned the proceeds through the money pool to Duke Energy Carolinas, Duke Energy Progress, Duke Energy Ohio and Duke Energy Indiana. The balances are classified as Long-Term Debt Payable to Affiliated Companies in the Condensed Consolidated Balance Sheets.