Duke Energy 2011 Annual Report Download - page 159

PART II
DUKE ENERGY CORPORATION •DUKE ENERGY CAROLINAS, LLC •DUKE ENERGY OHIO, INC. •DUKE ENERGY INDIANA, INC.
Combined Notes to Consolidated Financial Statements – (Continued)
Duke Energy Carolinas
(in millions)
Weighted-
Average
Rate Year Due
December 31,
2011 2010
Unsecured debt 6.1% 2012 –2037 $ 2,313 $2,318
Secured debt associated with accounts receivable securitization 1.1% 2013 300 300
First mortgage bonds(a) 5.1% 2013 –2041 5,913 4,413
Capital leases 14.1% 2012 –2041 34 21
Tax-exempt bonds(b) 3.4% 2012 –2040 415 415
Money pool borrowings(c) 0.5% 300 300
Fair value hedge carrying value adjustment 13 16
Unamortized debt discount and premium, net (14) (13)
Total debt 9,274 7,770
Current maturities of long-term debt (1,178) (8)
Total long-term debt, including long-term debt of VIEs $ 8,096 $7,762
(a) As of December 31, 2011, substantially all of Duke Energy Carolinas’ electric plant in service is mortgaged under the mortgage bond indenture relating to Duke Energy Carolinas.
(b) As of both December 31, 2011 and 2010, $360 million were secured by first mortgage bonds.
(c) Classified as Long-term Debt on the Consolidated Balance Sheets due to the existence of long-term credit facilities which back-stop these money pool borrowings, along with Duke Energy
Carolinas’ ability and intent to refinance these balances on a long-term basis.
Duke Energy Ohio
(in millions)
Weighted-
Average
Rate Year Due
December 31,
2011 2010
Unsecured debt 5.7% 2012 – 2036 $1,305 $1,305
First mortgage bonds(a) 4.3% 2013 – 2019 700 700
Capital leases 4.8% 2012 – 2020 44 53
Other debt(b) 0.6% 2024 – 2041 533 534
Fair value hedge carrying value adjustment 78
Unamortized debt discount and premium, net (34) (36)
Total debt 2,555 2,564
Current maturities of long-term debt (507) (7)
Total long-term debt $2,048 $2,557
(a) As of December 31, 2011, substantially all of Franchised Electric & Gas’ electric plant in service is mortgaged under the mortgage bond indenture relating to Duke Energy Ohio (excluding
Duke Energy Kentucky).
(b) Includes $525 million of Duke Energy Ohio tax-exempt bonds as of December 31, 2011 and 2010. As of December 31, 2011 and 2010, $27 million and $77 million, respectively,
was secured by a letter of credit.
Duke Energy Indiana
(in millions)
Weighted-
Average
Rate Year Due
December 31,
2011 2010
Unsecured debt 5.7% 2012 – 2035 $1,148 $1,149
First mortgage bonds(a) 5.7% 2020 – 2039 1,569 1,577
Capital leases 7.4% 2012 – 2047 27 31
Money pool borrowings(b) 0.5% 450 150
Tax-exempt bonds(c) 2.0% 2019 – 2040 574 575
Unamortized debt discount and premium, net (9) (10)
Total debt 3,759 3,472
Notes payable (300) —
Current maturities of long-term debt (6) (11)
Total long-term debt $3,453 $3,461
(a) As of December 31, 2011, substantially all of Duke Energy Indiana’s electric plant in service is mortgaged under the mortgage bond indenture relating to Duke Energy Indiana.
(b) Includes $150 million as of both December 31, 2011 and 2010, that was classified as Long-term Debt on the Consolidated Balance Sheets due to the existence of long-term credit
facilities which back-stop these money pool borrowings, along with Duke Energy Indiana’s ability and intent to refinance these balances on a long-term basis.
(c) As of December 31, 2011 and 2010, $289 million and $223 million, respectively, were secured by first mortgage bonds. As of December 31, 2011 and December 31, 2010, $204
million and $271 million, respectively, was secured by a letter of credit.
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