LONG-TERM DEBT

Long-term debt consists of the following (in millions):



	As of December 31,
	2017			2016
First Mortgage Bonds, rates range from 2.51% to 9.31%, with a weighted average rate of 5.03% in 2017 and 4.86% in 2016, due at various dates through 2048	$	2,315		$	2,090
Unsecured term bank loans, variable rates of approximately 1.87% at 11/27/2017 and 1.37% at 12/31/2016	—			150
Pollution Control Revenue Bonds, 5% rate, due 2033	142			142
Pollution Control Revenue Bonds owned by PGE	(21		)	(21		)
Total long-term debt	2,436			2,361
Less: Unamortized debt expense	(10		)	(11		)
Less: Current portion of long-term debt	—			(150		)
Long-term debt, net of current portion	$	2,426		$	2,200

First Mortgage Bonds and Unsecured term bank loans—During 2017, PGE issued a total of $225 million of FMBs and repaid long-term debt, in an aggregate amount of $150 million.

In 2017, the Company issued a total of $225 million at an interest rate of 3.98%. PGE drew $75 million in August with a maturity of 2048 and drew the remaining $150 million in November with a maturity of 2047.

The Indenture securing PGE’s outstanding FMBs constitutes a direct first mortgage lien on substantially all regulated utility property, other than expressly excepted property. Interest is payable semi-annually on FMBs.

In 2017, PGE repaid an unsecured credit agreement under which it had borrowed $150 million from certain financial institutions. PGE repaid the loan in three separate payments as follows:


•	$50 million on August 21, 2017;


•	$25 million on October 30, 2017; and


•	$75 million on November 27, 2017.

The term loan interest rates were set at the beginning of the interest period for periods of 1-month, 3-months, or 6-months, as selected by PGE and are based on the London Interbank Offered Rate (LIBOR) plus 63 basis points. The final rate was 1.87% as of November 27, 2017, with no other fees.

Pollution Control Revenue Bonds—The Company has the option to remarket through 2033 the $21 million of Pollution Control Revenue Bonds (PCBs) held by PGE as of December 31, 2017. At the time of any remarketing, the Company can choose a new interest rate period that could be daily, weekly, or a fixed term. The new interest rate would be based on market conditions at the time of remarketing. The PCBs could be backed by FMBs or a bank letter of credit depending on market conditions. Interest is payable semi-annually on PCBs.

As of December 31, 2017, the future minimum principal payments on long-term debt are as follows (in millions):



Years ending December 31:
2018	$	—
2019	300
2020	—
2021	160
2022	—
Thereafter	1,976
	$	2,436