Summary
Dominion Energy, Inc. (formerly Dominion Resources, Inc.) filed an 8-K on November 10, 2016, to report the entry into two material definitive agreements concerning their credit facilities. These agreements involve a $5 billion Second Amended and Restated Revolving Credit Agreement (Core Credit Facility) and a $500 million Second Amended and Restated Revolving Credit Agreement (LOC Facility). The primary purpose of these amendments is to incorporate Questar Gas Company, which was acquired by Dominion in September 2016, as a borrower under both facilities. The amendments are largely administrative, designed to add Questar Gas and make related changes without altering the core economic terms of the existing credit arrangements. The company stated that these changes are not expected to impact the annual cost or availability of funds.
Key Highlights
- 1Dominion Energy entered into a $5 billion Second Amended and Restated Revolving Credit Agreement (Core Credit Facility) and a $500 million Second Amended and Restated Revolving Credit Agreement (LOC Facility) on November 10, 2016.
- 2The key objective of these amendments is to add Questar Gas Company as a borrower, following its acquisition by Dominion in September 2016.
- 3These restated credit agreements amend and replace their predecessor agreements entirely.
- 4The facilities are available to support bank borrowings, commercial paper issuance, and letter of credit issuance.
- 5The amendments are primarily administrative and are not expected to change the economic terms or the annual cost/availability of funds for Dominion.
- 6The Amended and Restated Credit Facilities mature in April 2020, subject to potential extensions.
- 7JPMorgan Chase Bank, N.A. is the Administrative Agent for the Core Credit Facility, and Keybank National Association is the Administrative Agent for the LOC Facility.