Annual report pursuant to Section 13 and 15(d)

Nonrecourse Debt (Tables)

v3.6.0.2
Nonrecourse Debt (Tables)
 12 Months Ended
Dec. 31, 2016
Debt Disclosure [Abstract]  
Schedule of Outstanding Nonrecourse Asset-Backed Debt and Bank Loans

We have outstanding the following asset-backed nonrecourse debt and bank loans (dollars in millions):

 

    Outstanding
Balance as of
December 31,		     Interest
Rate		     Maturity Date     Anticipated
Balance at
Maturity		     Book Value of
Assets Pledged
as of
December 31, 		   

Description of
Assets Pledged
      2016         2015               2016         2015      

HASI Sustainable Yield Bond 2013-1

   $ 75     $ 83       2.79 %      December 2019     $ 57     $ 93     $ 99     Financing receivables

ABS Loan Agreement

   $ 90     $ 102       5.74 %      September 2021     $ 17     $ 97     $ 117     Equity interest in Strong Upwind Holdings I, LLC

HASI Sustainable Yield Bond 2015-1

   $ 97     $ 100       4.28 %      October 2034     $ —       $ 138     $ 139     Financing receivables, real estate and real estate intangibles

HASI SYB Loan Agreement 2015-1

   $ 74     $ 90       4.50 % (1)      December 2021     $ —       $ 96     $ 117     Equity interest in Strong Upwind Holdings II and III, LLC, related interest rate swap

HASI SYB Loan Agreement 2015-2

   $ 41     $ 42       5.08 % (1)      December 2023     $ —       $ 70     $ 71     Equity interest in Buckeye Wind Energy Class B Holdings LLC, related interest rate swap

HASI SYB Loan Agreement 2015-3

   $ 150     $ 162       4.92 %      December 2020     $ 132     $ 175     $ 175     Residential Solar Financing receivables, related interest rate swap

HASI SYB Loan Agreement 2016-1

   $ 98     $ —         3.95 % (1)      November 2021     $ 83     $ 114     $ —       Residential Solar Financing receivables, related interest rate swap

Other nonrecourse debt (2)

   $ 84     $ 101      

 2.26

7.45

 %- 

% 

     2017 to 2032     $ —       $ 81     $ 97     Financing receivables

Debt issuance costs

   $ (17 )    $ (16 )             
 

 

 

    

 

 

              

Nonrecourse debt

   $ 692     $ 664              
 

 

 

    

 

 

              

 

(1) Interest rate represents the current period’s LIBOR based rate plus the spread. Also see the interest rate swap contracts shown in the table below, the value of which are not included in the book value of assets pledged.
(2) Other nonrecourse debt consists of various debt agreements used to finance certain of our financing receivables for the term of the financing receivables. Debt service payment requirements, in a majority of cases, are equal to or less than the cash flows received from the underlying financing receivables
Schedule of Interest Rate Swaps which are Designated as Cash Flow Hedges

In connection with several of our nonrecourse debt borrowings, we have entered into the following interest rate swaps which are designated as cash flow hedges (dollars in millions):

 


                Notional Value as of
December 31, 		    Fair Value
as of
December 31, 		       
    Base Rate     Hedged
Rate 		      2016         2015         2016         2015       Term  

HASI SYB Loan Agreement 2015-1

     3 month Libor       1.55 %    $ 67     $ 81     $ —       $ (0.3 )      September 2021  

HASI SYB Loan Agreement 2015-2

     3 month Libor       1.52 %    $ 37     $ 38     $ —       $ (0.1 )     

 December 2015 to

December 2018

  

 

HASI SYB Loan Agreement 2015-2

     3 month Libor       2.55 %    $ 29     $ 29     $ (0.2 )    $ (0.2 )     

 December 2018 to

December 2024

  

 

HASI SYB Loan Agreement 2015-3

     1 month Libor       2.34 %    $ 119     $ —       $ 1.0     $ —        

 November 2020 to

August 2028

  

 

HASI SYB Loan Agreement 2016-1

     3 month Libor       1.88 %    $ 72     $ —       $ 0.2     $ —        

 November 2016 to

November 2021

  

 

HASI SYB Loan Agreement 2016-1

     3 month Libor       2.73 %    $ 107     $ —       $ —       $ —        
 November 2021 to
October 2032		  
 
     

 

 

    

 

 

    

 

 

    

 

 

    

Total

       $ 431     $ 148     $ 1.0     $ (0.6 )   
Schedule of Minimum Maturities of Nonrecourse Debt

The stated minimum maturities of nonrecourse debt as of December 31, 2016, were as follows:

 

As of December 31,

    (dollars in millions)  

2017

    $ 52  

2018

      41  

2019

      98  

2020

      43  

2021

      313  

Thereafter

      162  
  

 

 

  

Total minimum maturities

      709  

Deferred Financing Costs, net

      (17 ) 
  

 

 

  
   $ 692