CenterPoint Energy 2015 Annual Report Download - page 118

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CenterPointHouston’s$300millionrevolvingcreditfacility,whichisscheduledtoterminateonSeptember9,2019,canbedrawnatLIBORplus1.125%
basedonCenterPointHouston’scurrentcreditratings.TherevolvingcreditfacilitycontainsafinancialcovenantwhichlimitsCenterPointHouston’sconsolidated
debt(excludingtransitionandsystemrestorationbonds)toanamountnottoexceed65%ofCenterPointHouston’sconsolidatedcapitalization.AsofDecember
31,2015,CenterPointHouston’sdebt(excludingtransitionandsystemrestorationbonds)tocapitalratio,asdefinedinitscreditfacilityagreement,was51.7%.
CERCCorp.’s$600millionrevolvingcreditfacility,whichisscheduledtoterminateonSeptember9,2019,canbedrawnatLIBORplus1.50%basedon
CERCCorp.’scurrentcreditratings.TherevolvingcreditfacilitycontainsafinancialcovenantwhichlimitsCERC’sconsolidateddebttoanamountnottoexceed
65%ofCERC’sconsolidatedcapitalization.AsofDecember31,2015,CERC’sdebttocapitalratio,asdefinedinitscreditfacilityagreement,was33.9%.
CenterPointEnergy,CenterPointHoustonandCERCCorp.wereincompliancewithallfinancialdebtcovenantsasofDecember31,2015.
Maturities. CenterPointEnergy’smaturitiesoflong-termdebt,capitalleasesandsinkingfundrequirements,excludingtheZENSobligation,are$716million
in2016,$911millionin2017,$1.1billionin2018,$1.6billionin2019and$231millionin2020.Thesematuritiesincludetransitionandsystemrestoration
bondprincipalrepaymentsonscheduledpaymentdatesaggregating$391millionin2016,$411millionin2017,$434millionin2018,$458millionin2019and
$231millionin2020.
Liens. AsofDecember31,2015,CenterPointHouston’sassetsweresubjecttolienssecuringapproximately$102millionoffirstmortgagebonds.Sinking
orimprovement fund and replacement fund requirements onthefirstmortgage bonds may besatisfiedbycertification ofproperty additions. Sinking fundand
replacement fund requirements for 2015,2014and2013have been satisfied by certification of property additions. The replacement fund requirement to be
satisfiedin2016isapproximately$223million, and thesinkingfundrequirementtobesatisfied in 2016isapproximately$1.6million.CenterPointEnergy
expectsCenterPointHoustontomeetthese2016obligationsbycertificationofpropertyadditions.AsofDecember31,2015,CenterPointHouston’sassetswere
alsosubjecttolienssecuringapproximately$2.1billionofgeneralmortgagebondswhicharejuniortotheliensofthefirstmortgagebonds.
(13) Income Taxes
ThecomponentsofCenterPointEnergy’sincometaxexpense(benefit)wereasfollows:
Year Ended December 31,
2015
2014
2013
(in millions)
Currentincometaxexpense(benefit):
Federal $ (37)
$ (20)
$ 91
State 12
14
23
Totalcurrentexpense(benefit) (25)
(6)
114
Deferredincometaxexpense(benefit):
Federal (359)
273
370
State (54)
7
(14)
Totaldeferredexpense(benefit) (413)
280
356
Totalincometaxexpense(benefit) $ (438)
$ 274
$ 470
112