SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2018

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

NOTE 19    SUBSEQUENT EVENTS

Management of the Partnership has reviewed subsequent events through August 2, 2018, the date the financial statements were issued, and concluded there were no events or transactions during this period that would require recognition or disclosure in the consolidated financial statements other than what is disclosed here and/or those already disclosed in the preceding notes.

On July 26, 2018, the board of directors of the General Partner declared the Partnership’s second quarter 2018 cash distribution in the amount of $0.65 per common unit payable on August 15, 2018 to unitholders of record as of August 6, 2018. The declared distribution totaled $47 million and is payable in the following manner: $46 million to common unitholders (including $4 million to the General Partner as a holder of 5,797,106 common units and $7 million to another subsidiary of TransCanada as holder of 11,287,725 common units) and $1 million to the General Partner for its effective two percent general partner interest. The General Partner did not receive any distributions in respect of its IDRs for the second quarter 2018. This distribution and our first quarter 2018 distribution each represent a 35 percent reduction compared to the Partnership’s fourth quarter 2017 distribution of $1.00 per common unit. Cash retained by the Partnership will be used to fund ongoing capital expenditures and the repayment of debt to levels that prudently manage our financial metrics in response to the impact of the 2018 FERC Actions on our future operating performance and cash flows.

Northern Border declared its June 2018 distribution of $12 million on July 11, 2018, of which the Partnership received its 50 percent share or $6 million on July 31, 2018.

Great Lakes declared its second quarter 2018 distribution of $29 million on July 17, 2018, of which the Partnership received its 46.45 percent share or $13 million on August 1, 2018.

PNGTS declared its second quarter 2018 distribution of $3 million on July 20, 2018, of which $1 million will be paid to its non-controlling interest owner on August 1, 2018.