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SEC Filings
10-K
TERRAFORM POWER, INC. filed this Form 10-K on 03/07/2018
Entire Document
 

11. LONG-TERM DEBT
    
Long-term debt consists of the following:
 
 
As of December 31,
 
Interest Type
 
Interest Rate (%)1
 
 
(In thousands, except rates)
 
2017
 
2016
 
 
 
Financing Type
Corporate-level long-term debt2:
 
 
 
 
 
 
 
 
 
 
Senior Notes due 2023
 
$

 
$
950,000

 
Fixed
 
N/A
 
Senior notes
New Senior Notes due 2023
 
500,000

 

 
Fixed
 
4.25
 
Senior notes
Senior Notes due 2025
 
300,000

 
300,000

 
Fixed
 
6.63
 
Senior notes
Senior Notes due 2028
 
700,000

 

 
Fixed
 
5.00
 
Senior notes
Revolver
 

 
552,000

 
Variable
 
N/A
 
Revolving loan
New Revolver
 
60,000

 

 
Variable
 
4.38
 
Revolving loan
New Term Loan
 
350,000

 

 
Variable
 
4.15
 
Term debt
Non-recourse long-term debt3:
 
 
 
 
 
 
 
 
 
 
Permanent financing
 
1,616,729

 
2,078,009

 
Blended4
 
5.715
 
Term debt / Senior notes
Financing lease obligations
 
115,787

 
123,930

 
Imputed
 
5.615
 
Financing lease obligations
Total principal due for long-term debt and financing lease obligations
 
3,642,516

 
4,003,939

 
 
 
5.285
 
 
Unamortized discount, net
 
(19,027
)
 
(13,620
)
 
 
 
 
 
 
Deferred financing costs, net
 
(24,689
)
 
(39,405
)
 
 
 
 
 
 
Less current portion of long-term debt and financing lease obligations6
 
(403,488
)
 
(2,212,968
)
 
 
 
 
 
 
Long-term debt and financing lease obligations, less current portion7
 
$
3,195,312

 
$
1,737,946

 
 
 
 
 
 
———
(1)
As of December 31, 2017.
(2)
Outstanding corporate-level debt represents debt issued by Terra Operating LLC and guaranteed by Terra LLC and certain subsidiaries of Terra Operating LLC other than non-recourse subsidiaries as defined in the relevant debt agreements (with the exception of certain unencumbered non-recourse subsidiaries).
(3)
Non-recourse debt represents debt issued by subsidiaries with no recourse to Terra LLC, Terra Operating LLC or guarantors of the Company's corporate-level debt, other than limited or capped contingent support obligations, which in aggregate are not considered to be material to the Company's business and financial condition.
(4)
Includes fixed rate debt and variable rate debt. As of December 31, 2017, 60% of this balance had a fixed interest rate and the remaining 40% of this balance had a variable interest rate. The Company has entered into interest rate swap agreements to fix the interest rates of a majority of the variable rate permanent financing non-recourse debt (see Note 13. Derivatives).
(5)
Represents the weighted average interest rate as of December 31, 2017.
(6)
As of December 31, 2016, the Company reclassified $14.7 million from current portion of long-term debt and financing lease obligations to current liabilities related to assets held for sale in the consolidated balance sheet. There was no similar reclassification as of December 31, 2017 as the sale of the related renewable energy facilities closed in the first half of 2017 (see Note 4. Assets Held for Sale).
(7)
As of December 31, 2016, the Company reclassified $353.9 million from long-term debt and financing lease obligations, less current portion to non-current liabilities related to assets held for sale in the consolidated balance sheet. There was no similar reclassification as of December 31, 2017 as the sale of the related renewable energy facilities closed in the first half of 2017 (see Note 4. Assets Held for Sale).

Corporate-level Long-term Debt

Term Loan
    
On January 28, 2015, Terra Operating LLC repaid the remaining outstanding principal balance on its term loan facility (the “Term Loan”) of $573.5 million. The Company recognized a $12.0 million loss on extinguishment of debt during the year ended December 31, 2015 as a result of this repayment.


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