Debt

Consolidated debt at December 31, 2013 and June 30, 2014 was as follows (in thousands, except as otherwise noted):



	December 31, 2013		June 30, 2014		Weighted-Average Interest Rate for Six Months Ending June 30, 2014 ⁽¹⁾
Commercial paper⁽²⁾	$	—	$	220,977	0.3%
Revolving credit facility⁽²⁾	—		—		1.3%
$250.0 million of 6.45% Notes due 2014⁽²⁾	249,971		—		6.3%
$250.0 million of 5.65% Notes due 2016	251,183		250,970		5.7%
$250.0 million of 6.40% Notes due 2018	259,346		258,313		5.4%
$550.0 million of 6.55% Notes due 2019	571,515		569,704		5.7%
$550.0 million of 4.25% Notes due 2021	557,213		556,763		4.0%
$250.0 million of 6.40% Notes due 2037	248,998		249,007		6.4%
$250.0 million of 4.20% Notes due 2042	248,377		248,391		4.2%
$550.0 million of 5.15% Notes due 2043	298,684		556,371		5.1%
Total debt	$	2,685,287	$	2,910,496	5.1%


(1)	Weighted-average interest rate includes the amortization/accretion of discounts, premiums and gains/losses realized on historical cash flow and fair value hedges in interest expense.


(2)	These borrowings were outstanding for only a portion of the six month period ending June 30, 2014. The weighted-average interest rate for these borrowings was calculated based on the number of days the borrowings were outstanding during the noted period.

All of the instruments detailed in the table above are senior indebtedness.

The face value of our debt at December 31, 2013 and June 30, 2014 was $2.7 billion and $2.9 billion, respectively. The difference between the face value and carrying value of the debt outstanding is the unamortized portion of terminated fair value hedges and the unamortized discounts and premiums on debt issuances. Realized gains and losses on fair value hedges and note discounts and premiums are being amortized or accreted to the applicable notes over the respective lives of those notes.

2014 Debt Offering

In March 2014, we issued $250.0 million of our 5.15% notes due October 15, 2043 in an underwritten public offering. The notes were issued at 103.1% of par. We used the net proceeds from this offering of approximately $255.0 million, after underwriting discounts and offering expenses of $2.7 million, to repay borrowings outstanding under our revolving credit facility and for general partnership purposes, including expansion capital.

Other Debt

Revolving Credit Facility. The total borrowing capacity under our revolving credit facility, which matures in November 2018, is $1.0 billion. Borrowings outstanding under the facility are classified as long-term debt on our consolidated balance sheets. Borrowings under the facility are unsecured and bear interest at LIBOR plus a spread ranging from 1.0% to 1.75% based on our credit ratings. Additionally, an unused commitment fee is assessed at a rate from 0.10% to 0.28%, depending on our credit ratings. The unused commitment fee was 0.125% at June 30, 2014. Borrowings under this facility may be used for general partnership purposes, including capital expenditures. As of June 30, 2014, there were no borrowings outstanding under this facility and $5.6 million was obligated for letters of credit. Amounts obligated for letters of credit are not reflected as debt on our consolidated balance sheets, but decrease our borrowing capacity under the facility.

Commercial Paper Program. In April 2014, we initiated a commercial paper program. The maturities of the commercial paper notes vary, but may not exceed 397 days from the date of issuance. The commercial paper notes are sold under customary terms in the commercial paper market and are issued at a discount from par, or alternatively, are sold at par and bear varying interest rates on a fixed or floating basis. The commercial paper we can issue is limited by the amounts available under our revolving credit facility up to an aggregate principal amount of $1.0 billion. We have the ability and intent to refinance all of our commercial paper obligations on a long-term basis; therefore, we have elected to classify our commercial paper borrowings outstanding as long-term debt on our consolidated balance sheets.

In second quarter 2014, proceeds from commercial paper borrowings were used in part to repay our 6.45% senior notes due June 1, 2014.