CenterPoint Energy amends and extends credit facilities totaling $2.1 billion
2013-09-10T05:00:00Z

Houston – September 10, 2013 - 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.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and competitive natural gas sales and services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 58.3 percent limited partner interest in Enable Midstream Partners it jointly controls with OGE Energy Corp. with operations in major natural gas and liquids-rich producing areas of Oklahoma, Texas, Arkansas and Louisiana. With more than 8,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 135 years. For more information, visit the website at www.CenterPointEnergy.com.

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. The statements in this news release regarding future events and other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of the release.

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Governor Asa Hutchinson proclaims April as Arkansas Safe Digging Month

HOUSTON April 18, 2017Arkansas Governor Asa Hutchinson issued a proclamation announcing April as Arkansas Safe Digging Month. The proclamation reminds homeowners to call 811 before starting any outdoor digging projects to prevent injuries, property damage and inconvenient outages.

An underground utility line is damaged once every six minutes nationwide because someone decided to dig without first calling 811, according to data collected by Common Ground Alliance (CGA). 

"Contacting 811 at least two working days before digging prevents 99 percent of damages to vital underground utilities," said Vincent Vickers, supervisor of Damage Prevention for CenterPoint Energy.  "811 makes it very easy and convenient. You can submit your dig requests on your home computer on the website, www.arkonecall.com, or call 811 and talk to an operator."

By calling 811 before digging:

  • Homeowners are connected to Arkansas One Call, which notifies the appropriate utility companies of the intent to dig.
  • Professional locators are then sent to the requested digging site to mark the approximate locations of underground lines with flags and paint.
  • Once lines have been accurately marked, homeowners can dig carefully around marked lines.

Digging without knowing the approximate location of underground utilities can result in damage to gas, electric, communications, water and sewer lines, which can lead to service disruptions, serious injuries and costly repairs.


Examples of digging projects that require a call to 811 before starting would be installing a mailbox, putting in a fence, laying underground cable or installing water lines. Visit www.call811.com for more information about 811 and the call-before-you-dig process.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com

Gov. Greg Abbott proclaims April as Texas Safe Digging Month

HOUSTON April 18, 2017Texas Governor Greg Abbott issued a proclamation announcing April as Texas Safe Digging Month. The proclamation reminds homeowners to call 811 before starting any outdoor digging projects to prevent injuries, property damage and inconvenient outages.

An underground utility line is damaged once every six minutes nationwide because someone decided to dig without first calling 811, according to data collected by Common Ground Alliance (CGA). 

"Contacting 811 at least two working days before digging prevents 99 percent of damages to vital underground utilities," said Joseph Berry, director of Underground Locating for CenterPoint Energy.  "811 makes it very easy and convenient. You can submit your dig requests on your home computer at the website, www.lonestar811.com, or call 811 and talk to an operator."

By calling 811 before digging:

  • Homeowners are connected to Lone Star 811, which notifies the appropriate utility companies of the intent to dig.
  • Professional locators are then sent to the requested digging site to mark the approximate locations of underground lines with flags and paint.
  • Once lines have been accurately marked, homeowners can dig carefully around marked lines.


Digging without knowing the approximate location of underground utilities can result in damage to gas, electric, communications, water and sewer lines, which can lead to service disruptions, serious injuries and costly repairs.


Every digging project, no matter how large or small, necessitates a call to 811. Examples of digging projects that require a call to 811 before starting would be installing a mailbox, putting in a fence, laying underground cable or installing water lines.  Visit www.call811.com for more information about 811 and the call-before-you-dig process.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com

CenterPoint Energy reaches rate case settlement for Houston-area customers

HOUSTON, April 7, 2017 - CenterPoint Energy today filed with the Railroad Commission of Texas (RRC) a Stipulation and Agreement (the settlement) in the company's pending rate case. The settlement was entered into by all parties in the case, including the City of Houston/Houston Coalition of Cities, the Gulf Coast Coalition of Cities, the Texas Coast Utilities Coalition, and the Staff of the RRC. If approved by the RRC, the settlement will resolve all issues in that proceeding.

The settlement would increase the company's natural gas distribution base rate revenues for Houston-area customers by approximately $16.5 million per year. Additionally, if approved, the settlement will result in initial base rates that are the same for customers in the Houston Division and Texas Coast Division. It would also set a uniform rate for the cost of natural gas, which the company passes on to customers with no mark up.

The settlement would set new parameters, including a 9.6% return on equity on a 55.15% equity capital structure and updated depreciation rates, to be used in future Gas Reliability Infrastructure Program (GRIP) filings. GRIP is an interim rate adjustment allowed by Texas statute that allows utilities to recover their costs related to additional invested capital without filing a full rate case. CenterPoint Energy must file its next GRIP filing within two years of a final order in the pending rate case and a full rate case must be filed within five-and-a-half years after CenterPoint Energy's next GRIP filing.

If approved, residential customers within the Houston and Texas Coast Divisions would pay the same fixed monthly charge of $15.75 and the same usage rate of $0.07431 for each hundred cubic feet (Ccf) of natural gas used. An average residential bill with usage of 34 Ccf would be approximately $37 per month, excluding taxes. If the settlement is approved, the new rates are expected to go into effect in May or June of this year.

"This settlement is the result of collaborative work with all parties involved in the case to find common ground on a solution rather than litigating an extended rate case," said Randy Pryor, CenterPoint Energy's vice president of gas operations. "We believe this settlement benefits all parties and provides CenterPoint Energy the opportunity to earn a reasonable return on the investments we are making for safety and reliability now and in the future," added Pryor.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp.,  which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com.

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as future regulatory actions on the settlement by the RRC and the impact of such actions, and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release.

CenterPoint Energy electric transmission and distribution business files Distribution Cost Recovery Factor application

HOUSTON - April 6, 2017 - CenterPoint Energy announced today that its electric transmission and distribution business, CenterPoint Energy Houston Electric, filed an application for Distribution Cost Recovery Factor (DCRF) with the Public Utility Commission of Texas (PUC) and the cities in its service area.

DCRF is an interim rate adjustment that, if approved, permits an electric utility to implement new rates to account for changes in distribution-invested capital since its last rate case.

"Houston's economy continues to thrive and we are making significant capital investments to meet the needs of our growing customer base and load," said Kenny Mercado, senior vice president of CenterPoint Energy's Electric Operations.

This is the company's third DCRF filing and represents a $44.6 million annual increase over current rates to begin recovering approximately $479 million in distribution capital invested in 2016. The estimated residential customer impact based on a monthly usage of 1,000 kilowatt hours is an $0.80 increase billed to the consumer's Retail Electric Provider. New rates are expected to go into effect by September 1.

 

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com.

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as future regulatory actions on the DCRF application, future economic conditions and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release.

CenterPoint Energy files Formula Rate Plan adjustment with Arkansas Public Service Commission

HOUSTON – April 5, 2017 - CenterPoint Energy announced today that its natural gas distribution utility filed an application with the Arkansas Public Service Commission (APSC) for a $9.1 million Formula Rate Plan (FRP) adjustment. The FRP, a formula rate review mechanism authorized by Act 725 of 2015, is an annual streamlined review of a public utility's rates to determine if adjustments are needed to recover costs related to additional invested capital and expenses without filing a full rate case. 

"We continue to make significant investments to help ensure we have a modernized, technologically advanced natural gas system that will continue to meet the needs of our customers now and in the future," said Walter Bryant, vice president of Gas Operations in Arkansas. "The FRP helps support these investments for system safety and reliability by reducing lag in a utility's recovery of necessary investments and expenses. It also smooths out rate adjustments for customers by having smaller adjustments over time versus large adjustments from time to time."

If approved, the net impact of the new rates will increase a residential customer's bill that was $100.00 to $102.48.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com.

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as future regulatory actions on the FRP adjustment application, and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release.