v3.20.1
Use of Collateral (Tables)
3 Months Ended
Mar. 31, 2020
Use of Collateral [Abstract]  
Schedule of Collateral
The table below summarizes the balances outstanding under margin deposits, natural gas and power prepayments, and exposure under letters of credit and first priority liens for commodity procurement and risk management activities as of March 31, 2020 and December 31, 2019 (in millions):
 
March 31, 2020
 
December 31, 2019
Margin deposits(1)
$
327

 
$
432

Natural gas and power prepayments
32

 
29

Total margin deposits and natural gas and power prepayments with our counterparties(2)
$
359

 
$
461

 
 
 
 
Letters of credit issued
$
949

 
$
906

First priority liens under power and natural gas agreements
29

 
42

First priority liens under interest rate hedging instruments
156

 
31

Total letters of credit and first priority liens with our counterparties
$
1,134

 
$
979

 
 
 
 
Margin deposits posted with us by our counterparties(1)(3)
$
93

 
$
127

Letters of credit posted with us by our counterparties
87

 
25

Total margin deposits and letters of credit posted with us by our counterparties
$
180

 
$
152

___________
(1)
We offset fair value amounts recognized for derivative instruments executed with the same counterparty under a master netting arrangement for financial statement presentation; therefore, amounts recognized for the right to reclaim, or the obligation to return, cash collateral are presented net with the corresponding derivative instrument fair values. See Note 6 for further discussion of our derivative instruments subject to master netting arrangements.
(2)
At March 31, 2020 and December 31, 2019, $59 million and $117 million, respectively, were included in current and long-term derivative assets and liabilities, $292 million and $336 million, respectively, were included in margin deposits and other prepaid expense and $8 million and $8 million, respectively, were included in other assets on our Consolidated Condensed Balance Sheets.
(3)
At March 31, 2020 and December 31, 2019, $16 million and $3 million, respectively, were included in current and long-term derivative assets and liabilities, $46 million and $93 million, respectively, were included in other current liabilities and $31 million and $31 million, respectively, were included in other long-term liabilities on our Consolidated Condensed Balance Sheets.