Notes to Consolidated Financial Statements
Principal repayments on the long-term debt of the Company for the next five years are approximately as follows: 2012 – $935 million; 2013 – $903 million; 2014 – $971 million; 2015 – $1,084 million; and 2016 $1,227 million.
In the normal course of business, TransCanada and various wholly owned subsidiaries also provide guarantees on behalf of the Company or wholly owned subsidiaries for debt owed to third parties. This is to facilitate the extension of sufficient credit to accomplish their intended commercial activity.
TransCanada PipeLines Limited
In November 2011, TCPL issued $500 million and $250 million of Medium-Term Notes maturing November 15, 2021 and November 15, 2041, respectively, and bearing interest at 3.65 per cent and 4.55 per cent, respectively.
In May 2011, TCPL retired $60 million of 9.50 per cent Medium-Term Notes.
In January 2011, TCPL retired $300 million of 4.3 per cent Medium-Term Notes.
In September 2010, TCPL issued US$1.0 billion of Senior Notes maturing October 1, 2020, and bearing interest at 3.80 per cent.
In June 2010, TCPL issued US$500 million and US$750 million of Senior Notes maturing on June 1, 2015 and June 1, 2040, respectively, and bearing interest at 3.40 per cent and 6.10 per cent, respectively.
In February 2010, TCPL retired US$120 million of 6.125 per cent Medium-Term Notes and in August 2010, TCPL retired $130 million of 10.50 per cent debentures.
In October 2009, TCPL retired $250 million of 10.625 per cent debentures.
In February 2009, TCPL issued $300 million and $400 million of Medium-Term Notes maturing in February 2014 and February 2039, respectively, and bearing interest at 5.05 per cent and 8.05 per cent, respectively. Also in February 2009, TCPL retired $200 million of 4.10 per cent Medium-Term Notes.
In January 2009, TCPL issued US$750 million and US$1.25 billion of Senior Unsecured Notes maturing in January 2019 and January 2039, respectively, and bearing interest at 7.125 per cent and 7.625 per cent, respectively. Also in January 2009, TCPL retired US$227 million of 6.49 per cent Medium-Term Notes.
NOVA Gas Transmission Ltd.
Debentures issued by NOVA Gas Transmission Ltd. (NGTL) in the amount of $225 million have retraction provisions that entitle the holders to require redemption of up to eight per cent of the then outstanding principal plus accrued and unpaid interest on specified repayment dates. No redemptions were made to December 31, 2011.
TransCanada PipeLine USA Ltd.
TCPL USA has an initial US$1.0 billion committed, unsecured, syndicated credit facility, guaranteed by TransCanada which was reduced to a US$800 million credit facility through a US$200 million term loan repayment in August 2011. The facility consists of a US$500 million five-year term loan maturing in 2012 and a US$300 million revolving facility maturing in February 2013, described further in Note 10. Included in Long-Term Debt was an outstanding balance of US$500 million on the term loan at December 31, 2011 (2010 – US$700 million) which was fully repaid in January 2012.
TC PipeLines, LP
In July 2011, TC PipeLines, LP increased its senior syndicated revolving credit facility to US$500 million and extended the maturity date to July 2016. In December 2011, TC PipeLines, LP repaid a maturing US$300 million term loan with a draw under this facility, and at December 31, 2011, US$363 million (2010 – US$8 million) was outstanding on the facility.
In June 2011, TC PipeLines, LP issued US$350 million of 4.65 per cent Senior Notes due 2021. The proceeds from the issuance were used to partially repay TC PipeLines, LP's term loan and borrowings under its senior revolving credit facility, and repay its bridge loan facility described below.
In May 2011, TC PipeLines, LP made draws of US$61 million on a bridge loan facility and US$125 million on its senior revolving credit facility to partially fund the acquisition of a 25 per cent interest in each of Gas Transmission Northwest LLC (GTN LLC) and Bison Pipeline LLC (Bison LLC) as further described in Note 23.
The Company made interest payments of $926 million in 2011 (2010 – $652 million; 2009 – $916 million) on long-term debt and junior subordinated notes, net of interest capitalized on construction projects.