
	December 31, 2020				December 31, 2019
	Long-Term		Current (1)		Long-Term		Current (1)
	(in millions)
CenterPoint Energy:
ZENS due 2029 (2)	$	—	$	15	$	—	$	19
CenterPoint Energy senior notes 2.50% to 4.25% due 2021 to 2049 (3)	2,700		500		3,200		—
CenterPoint Energy variable rate term loan 0.865% due 2021	—		700		1,000		—
CenterPoint Energy pollution control bonds 5.125% due 2028 (5)	68		—		68		—
CenterPoint Energy commercial paper (6) (7)	1,078		—		1,633		—
VUHI senior notes 3.72% to 6.10% due 2021 to 2045	377		55		432		100
VUHI commercial paper (6) (7)	92		—		268		—
VUHI variable rate term loan	—		—		—		300
VCC variable rate term loan	—		—		—		200
IGC senior notes 6.34% to 7.08% due 2025 to 2029	96		—		96		—
SIGECO first mortgage bonds 0.875% to 6.72% due 2022 to 2055 (4)	293		—		293		—
Other debt	6		12		18		18
Unamortized debt issuance costs	(17)		—		(22)		—
Unamortized discount and premium, net	(6)		—		(7)		—
Houston Electric debt (see details below)	4,406		613		4,719		231
CERC debt (see details below)	2,428		24		2,546		—

Total CenterPoint Energy debt	$	11,521	$	1,919	$	14,244	$	868





Houston Electric:
First mortgage bonds 9.15% due 2021 (8)	$	—	$	102	$	102	$	—
General mortgage bonds 1.85% to 6.95% due 2021 to 2050	3,912		300		3,912		—
Restoration Bond Company:
System restoration bonds 4.243% due 2022	69		66		134		62


Bond Company III:
Transition bonds 5.234% due 2020	—		—		—		29
Bond Company IV:
Transition bonds 3.028% due 2024	467		145		613		140
Unamortized debt issuance costs	(28)		—		(27)		—
Unamortized discount and premium, net	(14)		—		(15)		—
Total Houston Electric debt	$	4,406	$	613	$	4,719	$	231





CERC (9):
Short-term borrowings:
Inventory financing	$	—	$	24	$	—	$	—
Total CERC short-term borrowings	—		24		—		—
Long-term debt:
Senior notes 1.75% to 6.625% due 2023 to 2047	$	2,100	$	—	$	2,193	$	—
Commercial paper (6) (7)	347		—		377		—
Unamortized debt issuance costs	(15)		—		(13)		—
Unamortized discount and premium, net	(4)		—		(11)		—
Total CERC long-term debt	2,428		—		2,546		—
Total CERC debt	$	2,428	$	24	$	2,546	$	—

(2)CenterPoint Energy’s ZENS obligation is bifurcated into a debt component and an embedded derivative component. For additional information regarding ZENS, see Note 12(b). As ZENS are exchangeable for cash at any time at the option of the holders, these notes are classified as a current portion of long-term debt.

Debt Repayments. In April 2020, VCC repaid the aggregate principal amount of its $200 million variable term loan, and VUHI refinanced a $100 million 6.28% guaranteed senior note that matured in April 2020. In June 2020, VUHI repaid the aggregate principal amount of its $300 million variable term loan. In addition, in June 2020, CenterPoint Energy repaid $300 million of principal on its outstanding $1.0 billion variable rate term loan.

Debt Redemption. In September 2020, CERC Corp. provided notice of redemption relating to $593 million aggregate principal amount of CERC Corp.’s outstanding 4.50% Senior Notes due 2021, Series A and B. All of the outstanding senior notes were redeemed in full in October 2020 at a redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest to, but excluding, the redemption date.

In December 2020, CenterPoint Energy provided notice of redemption relating to $250 million aggregate principal amount of its outstanding $500 million aggregate principal amount 3.85% senior notes, which were redeemed in January 2021 at a redemption price equal to 100% of the principal amount redeemed, plus accrued and unpaid interest to, but excluding, the redemption date, plus the applicable make-whole premium of $26 million.

Debt Transactions. In June 2020, Houston Electric issued $300 million aggregate principal amount of 2.90% general mortgage bonds maturing in 2050. Total proceeds, net of issuance expenses and fees, of approximately $296 million were used for general limited liability company purposes, including capital expenditures and the repayment of a portion of borrowings under the CenterPoint Energy money pool.

In September 2020, SIGECO completed the remarketing of two series of tax-exempt debt of approximately $38 million, comprised of: (i) $23 million aggregate principal amount of Environmental Improvement Revenue Bonds, Series 2015, issued by the City of Mount Vernon, Indiana, and (ii) $15 million aggregate principal amount of Environmental Improvement Revenue Bonds, Series 2015, issued by Warrick County, Indiana, that, in each case, were originally issued on September 9, 2015. Both series of revenue bonds originally had an initial term interest rate of 2.375%. After the remarketing, each series of revenue bonds have a new term interest rate of 0.875% that is fixed through August 31, 2023. Each series of revenue bonds have a final maturity date of September 1, 2055, subject to prior redemption.

In October 2020, CERC Corp. issued $500 million aggregate principal amount of 1.75% senior notes due 2030. Total proceeds, net of issuance expenses and fees, of approximately $495 million were used for general corporate purposes, including the payment of a portion of the redemption amount of CERC Corp.’s 4.50% senior notes due 2021 redeemed in full on October 15, 2020.

Securitization Bonds. As of December 31, 2020, CenterPoint Energy and Houston Electric had special purpose subsidiaries consisting of the Bond Companies, which they consolidate. The consolidated special purpose subsidiaries are wholly-owned, bankruptcy remote entities that were formed solely for the purpose of purchasing and owning transition or system restoration property through the issuance of transition bonds or system restoration bonds and activities incidental thereto. These Securitization Bonds are payable only through the imposition and collection of “transition” or “system restoration” charges, as defined in the Texas Public Utility Regulatory Act, which are irrevocable, non-bypassable charges to provide recovery of authorized qualified costs. CenterPoint Energy and Houston Electric have no payment obligations in respect of the Securitization Bonds other than to remit the applicable transition or system restoration charges they collect as set forth in servicing agreements among Houston Electric, the Bond Companies and other parties. Each special purpose entity is the sole owner of the right to impose, collect and receive the applicable transition or system restoration charges securing the bonds issued by that entity. Creditors of CenterPoint Energy or Houston Electric have no recourse to any assets or revenues of the Bond Companies (including the transition and system restoration charges), and the holders of Securitization Bonds have no recourse to the assets or revenues of CenterPoint Energy or Houston Electric.


Execution Date	Registrant	Size of Facility		Draw Rate of LIBOR plus (1)	Financial Covenant Limit on Debt for Borrowed Money to Capital Ratio		Debt for Borrowed Money to Capital Ratio as of December 31, 2020 (2)	Termination Date
		(in millions)
March 3, 2016	CenterPoint Energy	$	3,300	1.500%	65%	(3)	53.9%	March 3, 2022
July 14, 2017	CenterPoint Energy (4)	400		1.125%	65%		49.7%	July 14, 2022
March 3, 2016	Houston Electric	300		1.250%	65%	(3)	53.1%	March 3, 2022
March 3, 2016	CERC	900		1.125%	65%		48.9%	March 3, 2022
	Total	$	4,900

(3)For CenterPoint Energy and Houston Electric, the financial covenant limit will temporarily increase from 65% to 70% if Houston Electric experiences damage from a natural disaster in its service territory and CenterPoint Energy certifies to the administrative agent that Houston Electric has incurred system restoration costs reasonably likely to exceed $100 million in a consecutive 12-month period, all or part of which Houston Electric intends to seek to recover through securitization financing. Such temporary increase in the financial covenant would be in effect from the date CenterPoint Energy delivers its certification until the earliest to occur of (i) the completion of the securitization financing, (ii) the first anniversary of CenterPoint Energy’s certification or (iii) the revocation of such certification.


	December 31, 2020								December 31, 2019
Registrant	Loans		Letters of Credit		Commercial Paper		Weighted Average Interest Rate		Loans		Letters of Credit		Commercial Paper		Weighted Average Interest Rate
	(in millions, except weighted average interest rate)
CenterPoint Energy (1)	$	—	$	11	$	1,078	0.23	%	$	—	$	6	$	1,633	1.95	%
CenterPoint Energy (2)	—		—		92		0.22	%	—		—		268		2.08	%
Houston Electric	—		—		—		—	%	—		—		—		—	%
CERC	—		—		347		0.23	%	—		1		377		1.94	%
Total	$	—	$	11	$	1,517			$	—	$	7	$	2,278

On February 4, 2021, each of CenterPoint Energy, Houston Electric, CERC Corp. and VUHI replaced their existing revolving credit facilities with new amended and restated credit facilities. The size of the CenterPoint Energy facility decreased from $3.3 billion to $2.4 billion, while the sizes of the Houston Electric, CERC Corp. and VUHI facilities remained unchanged. The VUHI facility remains guaranteed by SIGECO, Indiana Gas and VEDO. Based on the credit ratings as of February 4, 2021, the draw rate would have been LIBOR plus 1.625% under the CenterPoint Energy facility, LIBOR plus 1.375% under the Houston Electric facility, LIBOR plus 1.250% under the CERC Corp. facility, and LIBOR plus 1.250% under the VUHI facility. Each credit facility contains provisions relating to the replacement of LIBOR.

The financial covenant limit on debt for borrowed money to capital ratio remained at 65.0% for each of the CenterPoint Energy, CERC Corp. and VUHI facilities and increased to 67.5% for the Houston Electric facility. As with the facilities that were replaced, the CenterPoint Energy and Houston Electric facilities’ financial covenant limit on debt for borrowed money to capital ratio can temporarily increase to 70.0% if Houston Electric experiences certain damages from a natural disaster in its service territory and CenterPoint Energy certifies to the administrative agent that Houston Electric has incurred system restoration costs reasonably likely to exceed $100 million in a consecutive 12-month period, all or part of which Houston Electric intends to seek to recover through securitization financing. Each of the amended and restated facilities have a maturity date of February 4, 2024.

Liens. As of December 31, 2020, Houston Electric’s assets were subject to liens securing approximately $102 million of first mortgage bonds. Sinking or improvement fund and replacement fund requirements on the first mortgage bonds may be satisfied by certification of property additions. Sinking fund and replacement fund requirements for 2020, 2019 and 2018 have been satisfied by certification of property additions. The replacement fund requirement to be satisfied in 2021 is approximately $317 million, and the sinking fund requirement to be satisfied in 2021 is approximately $1.6 million. CenterPoint Energy expects Houston Electric to meet these 2021 obligations by certification of property additions.

As of December 31, 2020, Houston Electric’s assets were also subject to liens securing approximately $4.0 billion of general mortgage bonds, including approximately $68 million held in trust to secure pollution control bonds for which CenterPoint Energy is obligated. The lien of the general mortgage indenture is junior to that of the mortgage pursuant to which the first mortgage bonds are issued. Houston Electric may issue additional general mortgage bonds on the basis of retired

bonds, 70% of property additions or cash deposited with the trustee. Approximately $4.3 billion of additional first mortgage bonds and general mortgage bonds could be issued on the basis of retired bonds and 70% of property additions as of December 31, 2020. Houston Electric has contractually agreed that it will not issue additional first mortgage bonds, subject to certain exceptions.

As of December 31, 2020, SIGECO had approximately $293 million aggregate principal amount of first mortgage bonds outstanding. Generally, of SIGECO’s real and tangible property is subject to the lien of SIGECO’s mortgage indenture. SIGECO may issue additional bonds under its mortgage indenture up to 60% of currently unfunded property additions. As of December 31, 2020, approximately $1.3 billion of additional first mortgage bonds could be issued on this basis. However, SIGECO is also limited in its ability to issue additional bonds under its mortgage indenture due to certain provisions in its parent’s, VUHI, debt agreements.