This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

CenterPoint Energy Amends And Extends Credit Facilities Totaling $2.1 Billion

HOUSTON, Sept. 10, 2013 /PRNewswire/ -- CenterPoint Energy, Inc. (NYSE: CNP) announced today that it amended the three revolving bank credit facilities of the parent and its wholly-owned subsidiaries, CenterPoint Energy Houston Electric, LLC (CEHE) and CenterPoint Energy Resources Corp. (CERC).


The amendments extend the maturity date of each of the facilities from Sept. 9, 2016, to Sept. 9, 2018. In addition, the debt-to-earnings before interest, taxes, depreciation and amortization financial covenant in the CenterPoint Energy facility has been replaced with a debt-to-capitalization financial covenant and the aggregate commitments under the CERC facility have been reduced from $950 million to $600 million.  The aggregate commitments under the CenterPoint Energy and CEHE facilities remain at $1.2 billion and $300 million, respectively.

"I am pleased that we have been able to lock in the short-term liquidity provided by these facilities for the next five years, and gratified that each of the banks in our facilities has agreed to the amendments and extensions we sought," said Gary L. Whitlock, executive vice president and chief financial officer of CenterPoint Energy. "These appropriately sized and competitively priced facilities allow the company to strengthen its liquidity and enhance its financial flexibility."

Based on current credit ratings, the CenterPoint Energy and CERC facilities have a drawn cost of LIBOR plus 150 basis points, and the CEHE facility has a drawn cost of LIBOR plus 125 basis points.

These revolving credit facilities may be drawn on from time to time to provide funds used for general corporate purposes of the companies and to support commercial paper. The facilities may also be utilized to obtain letters of credit.

The amendments and extensions of the three facilities were coordinated by J.P. Morgan Securities LLC, and Citigroup Global Markets, Inc., which together with RBS Securities Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Barclays Capital, Deutsche Bank Securities Inc. and Wells Fargo Securities LLC, also served as joint lead arrangers and joint bookrunners for the facilities. JPMorgan Chase Bank, N.A. serves as the administrative agent for CenterPoint Energy's and CEHE's facilities, and Citibank, N.A. serves as the administrative agent for CERC's facility.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.24 0.00%
FB $117.81 0.00%
GOOG $701.43 0.00%
TSLA $211.53 0.00%
YHOO $36.94 0.00%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs