Vectren 2013 Annual Report Download - page 99

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97
At December 31,
(In millions) 2013 2012
2030, 1998 Pollution Control Series C, 5.35%, tax exempt — 22.2
2037, 2013 Series E, 1.95%, tax exempt 22.0 —
2038, 2013 Series A, 4.0%, tax exempt 22.2 —
2040, 2009 Environmental Improvement Series, 5.40%, tax exempt 22.3 22.3
2041, 2007 Pollution Control Series, 5.45%, tax exempt — 17.0
2043, 2013 Series B, 4.05%, tax exempt 39.6 —
Total SIGECO 267.5 267.5
Vectren Capital Corp.
Fixed Rate Senior Unsecured Notes
2014, 6.37% 30.0 30.0
2015, 5.31% 75.0 75.0
2016, 6.92% 60.0 60.0
2017, 3.48% 75.0 75.0
2019, 7.30% 60.0 60.0
2025, 4.53% 50.0 50.0
Variable Rate Term Loans
2015, current adjustable rate 1.17% 100.0 100.0
2016, current adjustable rate 1.17% 100.0 —
Total Vectren Capital Corp. 550.0 450.0
Other Long-Term Notes Payable — 1.4
Total long-term debt outstanding 1,808.5 1,661.5
Current maturities of long-term debt (30.0) (106.4)
Unamortized debt premium & discount - net (1.4) (1.7)
Total long-term debt-net $ 1,777.1 $ 1,553.4
Vectren Capital 2013 Term Loan
On August 6, 2013, Vectren Capital entered into a $100 million three year term loan agreement. Loans under the term loan
agreement bear interest at either a Eurodollar rate or base rate plus an additional margin which is based on the Company's
credit rating. Interest periods are variable and may range from seven days to six months. The proceeds from this debt
transaction were used to repay short-term borrowings outstanding under Vectren Capital's credit facility. The loan agreement is
guaranteed by Vectren Corporation and includes customary representations, warranties, and covenants, including a leverage
covenant consistent with leverage covenants contained in other Vectren Capital borrowing arrangements. The Company
received net proceeds of approximately $100 million in August 2013.
SIGECO 2013 Debt Refund and Reissuance
During the second quarter of 2013, approximately $111 million of SIGECO's tax-exempt long-term debt was redeemed at par
plus accrued interest. Approximately $62 million of tax-exempt long-term debt was reissued on April 26, 2013 at interest rates
that are fixed to maturity, receiving proceeds, net of issuance costs, of approximately $60 million. The terms are $22.2 million at
4.00 percent per annum due December 31, 2038, and $39.6 million at 4.05 percent per annum due December 31, 2043.
The remaining approximately $49 million of the called debt was remarketed on August 13, 2013. The remarketed tax-exempt
debt has a fixed interest rate of 1.95 percent per annum until September 13, 2017. SIGECO closed on this remarketing and
received net proceeds of $48.3 million on August 28, 2013.
Utility Holdings 2013 Debt Call and Reissuance
On April 1, 2013, VUHI exercised a call option at par on Utility Holdings' $121.6 million 6.25 percent senior unsecured notes due
in 2039. This debt was refinanced on June 5, 2013, with proceeds from a private placement note purchase agreement entered
into on December 20, 2012 with a delayed draw feature. It provides for the following tranches of notes: (i) $45 million, 3.20