HA Sustainable Infrastructure Capital, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Nonrecourse Debt (Tables)

Nonrecourse Debt (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Outstanding Nonrecourse Asset-Backed Debt and Bank Loans

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


	Issue Date		Original Principal		Interest Rate			Maturity Date		Anticipated Balance at Maturity
HASI Sustainable Yield Bond 2013-1		December 2013	$	100		2.79	%		December 2019	$	57
ABS Loan Agreement		October 2014	$	115		5.74	%		September 2021	$	17
HASI Sustainable Yield Bond 2015-1		September 2015	$	101		4.28	%		October 2034	$	—
HASI SYB Loan Agreement 2015-1		December 2015	$	90		3.85	% (1)		December 2021	$	—
HASI SYB Loan Agreement 2015-2		December 2015	$	42		4.36	% (1)		December 2023	$	—
HASI SYB Loan Agreement 2015-3		December 2015	$	162		4.92	%		December 2020	$	132

(1)	Interest rate represents the initial period’s LIBOR based rate plus the spread. Also see the interest rate swap contracts shown in the table below.

Schedule of Outstanding Amounts under Each Nonrecourse Asset-Backed Debt Agreements and Bank Loans and Value of Assets Pledged as Security

Outstanding amounts under the nonrecourse asset-backed debt agreements and bank loans and the value of assets pledged as security are as follows (dollars in millions):


	Outstanding Balance as of December 31,						Value of Assets Pledged as of December 31,
	2015			2014			2015		2014		Description of Assets Pledged
HASI Sustainable Yield Bond 2013-1	$	83		$	92		$	99	$	104	Financing receivables
ABS Loan Agreement	$	102		$	116		$	117	$	144	Equity interest in Strong Upwind Holdings I, LLC
HASI Sustainable Yield Bond 2015-1	$	100		$	—		$	139	$	—	Financing receivables, real estate and real estate intangibles
HASI SYB Loan Agreement 2015-1	$	90		$	—		$	117	$	—	Equity interest in Strong Upwind Holdings II and III, LLC, related interest rate swap
HASI SYB Loan Agreement 2015-2	$	42		$	—		$	71	$	—	Equity interest in Buckeye Wind Energy Class B Holdings LLC, related interest rate swap
HASI SYB Loan Agreement 2015-3	$	162		$	—		$	175	$	—	Residential Solar Financing receivables
Debt issuance costs	$	(16	)	$	(2	)

Asset-backed nonrecourse debt	$	563		$	206

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			2015		2014		2015			2014		Term
HASI SYB Loan Agreement 2015-1		3 month Libor		1.55	%	$	81	$	—	$	(0.3	)	$	—	September 2021
HASI SYB Loan Agreement 2015-2		3 month Libor		1.52	%	$	38	$	—	$	(0.1	)	$	—	December 2015 to December 2018
HASI SYB Loan Agreement 2015-2		3 month Libor		2.55	%	$	29	$	—	$	(0.2	)	$	—	December 2018 to December 2024

Total						$	148	$	—	$	(0.6	)	$	—

Additional Information Related to Other Nonrecourse Debt by Interest Rate

Additional information related to other nonrecourse debt by interest rate is as follows:


As of December 31, 2015	Balance		Maturity
	(dollars in millions)
Fixed-rate promissory notes, interest rates from 2.26% to 5.00% per annum	$	33		2017 to 2032
Fixed-rate promissory notes, interest rates from 5.01% to 6.50% per annum		46		2017 to 2031
Fixed-rate promissory notes, interest rates from 6.51% to 8.00% per annum		22		2019 to 2031

Other nonrecourse debt	$	101


As of December 31, 2014	Balance		Maturity
	(dollars in millions)
Fixed-rate promissory notes, interest rates from 2.06% to 5.00% per annum	$	32		2015 to 2032
Fixed-rate promissory notes, interest rates from 5.01% to 6.50% per annum		58		2015 to 2031
Fixed-rate promissory notes, interest rates from 6.51% to 8.00% per annum		23		2015 to 2031

Other nonrecourse debt	$	113

Schedule of Minimum Maturities of Nonrecourse Debt

The stated minimum maturities of nonrecourse debt as of December 31, 2015, were as follows:


	Nonrecourse Debt
As of December 31,	Asset Backed Nonrecourse Notes			Other Nonrecourse Debt		Total
	*(dollars in millions)*
2016	$	30		$	18	$	48
2017		31			14		45
2018		31			7		38
2019		92			4		96
2020		168			4		172
Thereafter		227			54		281

Total minimum maturities		579			101		680
Deferred Financing Costs, net		(16	)		—		(16	)

	$	563		$	101	$	664