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Financing Activities (Tables)
3 Months Ended
Mar. 31, 2020
Long-term Debt
Type of Debt
 
March 31, 2020
 
December 31, 2019
 
 
(in millions)
Senior Unsecured Notes
 
$
22,515.8

 
$
21,180.7

Pollution Control Bonds
 
1,999.2

 
1,998.8

Notes Payable
 
209.4

 
234.3

Securitization Bonds
 
899.1

 
1,025.1

Spent Nuclear Fuel Obligation (a)
 
280.9

 
279.8

Junior Subordinated Notes (b)
 
788.6

 
787.8

Other Long-term Debt
 
1,199.7

 
1,219.0

Total Long-term Debt Outstanding
 
27,892.7

 
26,725.5

Long-term Debt Due Within One Year
 
2,109.7

 
1,598.7

Long-term Debt
 
$
25,783.0

 
$
25,126.8



(a)
Pursuant to the Nuclear Waste Policy Act of 1982, I&M, a nuclear licensee, has an obligation to the United States Department of Energy for SNF disposal.  The obligation includes a one-time fee for nuclear fuel consumed prior to April 7, 1983.  Trust fund assets related to this obligation were $324 million and $323 million as of March 31, 2020 and December 31, 2019, respectively, and are included in Spent Nuclear Fuel and Decommissioning Trusts on the balance sheets.
(b)
See “Equity Units” section below for additional information.

Long-term Debt Issuances
 
 
 
 
Principal
 
Interest
 
 
Company
 
Type of Debt
 
Amount (a)
 
Rate
 
Due Date
Issuances:
 
 
 
(in millions)
 
(%)
 
 
AEP
 
Senior Unsecured Notes
 
$
400.0

 
2.30
 
2030
AEP
 
Senior Unsecured Notes
 
400.0

 
3.25
 
2050
OPCo
 
Senior Unsecured Notes
 
350.0

 
2.60
 
2030
 
 
 
 
 
 
 
 
 
Non-Registrant:
 
 
 
 
 
 
 
 
KPCo
 
Other Long-term Debt
 
125.0

 
Variable
 
2022
Transource Energy
 
Other Long-term Debt
 
5.0

 
Variable
 
2023
Transource Energy
 
Senior Unsecured Notes
 
150.0

 
2.75
 
2050
Total Issuances
 
 
 
$
1,430.0

 

 


(a)
Amounts indicated on the statements of cash flows are net of issuance costs and premium or discount and will not tie to the issuance amounts.
Retirements and Principal Payments
 
 
 
 
Principal
 
Interest
 
 
Company
 
Type of Debt
 
Amount Paid
 
Rate
 
Due Date
Retirements and Principal Payments:
 
 
 
(in millions)
 
(%)
 
 
AEP Texas
 
Securitization Bonds
 
$
111.0

 
5.31
 
2020
AEP Texas
 
Securitization Bonds
 
3.3

 
2.06
 
2025
APCo
 
Securitization Bonds
 
12.2

 
2.01
 
2023
I&M
 
Notes Payable
 
0.7

 
Variable
 
2020
I&M
 
Notes Payable
 
1.5

 
Variable
 
2021
I&M
 
Notes Payable
 
5.1

 
Variable
 
2022
I&M
 
Notes Payable
 
3.8

 
Variable
 
2022
I&M
 
Notes Payable
 
6.2

 
Variable
 
2023
I&M
 
Notes Payable
 
6.0

 
Variable
 
2024
I&M
 
Other Long-term Debt
 
0.4

 
6.00
 
2025
PSO
 
Other Long-term Debt
 
0.1

 
3.00
 
2027
SWEPCo
 
Notes Payable
 
1.6

 
4.58
 
2032
 
 
 
 
 
 
 
 
 
Non-Registrant:
 
 
 
 
 
 
 
 
Transource Energy
 
Other Long-term Debt
 
148.6

 
Variable
 
2023
Total Retirements and Principal Payments
 
 
 
$
300.5

 
 
 
 

Utility Money Pool Participants' Money Pool Activity and Authorized Borrowing Limits
 
 
Maximum
 
 
 
Average
 
 
 
Net
 
 
 
 
 
Borrowings
 
Maximum
 
Borrowings
 
Average
 
Borrowings from
 
Authorized
 
 
 
from the
 
Loans to the
 
from the
 
Loans to the
 
the Utility Money
 
Short-term
 
 
 
Utility
 
Utility
 
Utility
 
Utility
 
Pool as of
 
Borrowing
 
Company
 
Money Pool
 
Money Pool
 
Money Pool
 
Money Pool
 
March 31, 2020
 
Limit
 
 
 
(in millions)
AEP Texas
 
$
63.9

 
$
199.7

 
$
39.0

 
$
90.3

 
$
(63.9
)
 
$
500.0

 
AEPTCo
 
358.4

 
69.8

 
257.6

 
32.6

 
(261.0
)
 
820.0

(a)
APCo
 
373.5

 
22.2

 
303.1

 
22.0

 
(333.5
)
 
500.0

 
I&M
 
147.5

 
13.3

 
108.4

 
13.3

 
(90.4
)
 
500.0

 
OPCo
 
353.9

 
32.8

 
191.5

 
25.2

 
(29.4
)
 
500.0

 
PSO
 
70.9

 
57.1

 
25.3

 
28.4

 
(70.9
)
 
300.0

 
SWEPCo
 
152.8

 

 
105.5

 

 
(148.1
)
 
350.0

 


(a)
Amount represents the combined authorized short-term borrowing limit the State Transcos have from FERC or state regulatory commissions.
Nonutility Money Pool Activity
 
 
Maximum Loans
 
Average Loans
 
Loans to the Nonutility
 
 
to the Nonutility
 
to the Nonutility
 
Money Pool as of
Company
 
Money Pool
 
Money Pool
 
March 31, 2020
 
(in millions)
AEP Texas
 
$
7.5

 
$
7.2

 
$
7.1

SWEPCo
 
2.1

 
2.1

 
2.1


Direct Borrowing Activity
Maximum
 
Maximum
 
Average
 
Average
 
Borrowings from
 
Loans to
 
Authorized
 
Borrowings
 
Loans
 
Borrowings
 
Loans
 
AEP as of
 
AEP as of
 
Short-term
 
from AEP
 
to AEP
 
from AEP
 
to AEP
 
March 31, 2020
 
March 31, 2020
 
Borrowing Limit
 
(in millions)
$
1.4

 
$
190.3

 
$
1.4

 
$
125.1

 
$
1.3

 
$
93.3

 
$
50.0

(a)

(a)
Amount represents the combined authorized short-term borrowing limit the State Transcos have from FERC or state regulatory commissions.
Maximum and Minimum Interest Rates for Funds Either Borrowed from or Loaned to Utility Money Pool
 
 
Three Months Ended March 31,
 
 
2020
 
2019
Maximum Interest Rate
 
2.24
%
 
3.02
%
Minimum Interest Rate
 
1.76
%
 
2.73
%

Average Interest Rates for Funds Borrowed from and Loaned to Utility Money Pool
 
 
Average Interest Rate for Funds
 
Average Interest Rate for Funds
 
 
Borrowed from the Utility Money Pool
 
Loaned to the Utility Money Pool
 
 
for Three Months Ended March 31,
 
for Three Months Ended March 31,
Company
 
2020
 
2019
 
2020
 
2019
AEP Texas
 
2.05
%
 
2.86
%
 
1.97
%
 
%
AEPTCo
 
1.95
%
 
2.83
%
 
1.91
%
 
2.90
%
APCo
 
1.95
%
 
2.92
%
 
1.94
%
 
2.79
%
I&M
 
1.95
%
 
2.80
%
 
1.94
%
 
2.87
%
OPCo
 
1.90
%
 
2.85
%
 
2.06
%
 
%
PSO
 
2.00
%
 
2.89
%
 
1.95
%
 
%
SWEPCo
 
1.95
%
 
2.81
%
 
%
 
2.97
%

Maximum Minimum Average Interest Rates for Funds Borrowed from Loaned to Nonutility Money Pool
 
 
Three Months Ended March 31, 2020
 
Three Months Ended March 31, 2019
 
 
Maximum
 
Minimum
 
Average
 
Maximum
 
Minimum
 
Average
 
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
 
for Funds
 
for Funds
 
for Funds
 
for Funds
 
for Funds
 
for Funds
 
 
Loaned to
 
Loaned to
 
Loaned to
 
Loaned to
 
Loaned to
 
Loaned to
 
 
the Nonutility
 
the Nonutility
 
the Nonutility
 
the Nonutility
 
the Nonutility
 
the Nonutility
Company
 
Money Pool
 
Money Pool
 
Money Pool
 
Money Pool
 
Money Pool
 
Money Pool
AEP Texas
 
2.24
%
 
1.76
%
 
1.94
%
 
3.02
%
 
2.73
%
 
2.87
%
SWEPCo
 
2.24
%
 
1.76
%
 
1.94
%
 
3.02
%
 
2.73
%
 
2.87
%

Maximum Minimum and Average Interest Rates for Funds Borrowed from and Loaned to AEP
 
 
Maximum
 
Minimum
 
Maximum
 
Minimum
 
Average
 
Average
 
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
 
Interest Rate
Three Months
 
for Funds
 
for Funds
 
for Funds
 
for Funds
 
for Funds
 
for Funds
Ended
 
Borrowed
 
Borrowed
 
Loaned
 
Loaned
 
Borrowed
 
Loaned
March 31,
 
from AEP
 
from AEP
to AEP
 
to AEP
 
from AEP
 
to AEP
2020
 
2.24
%
 
1.76
%
 
2.24
%
 
1.76
%
 
1.94
%
 
1.94
%
2019
 
3.02
%
 
2.73
%
 
3.02
%
 
2.73
%
 
2.87
%
 
2.86
%


Short Term Debt
 
 
 
 
March 31, 2020
 
December 31, 2019
 
 
 
 
Outstanding
 
Interest
 
Outstanding
 
Interest
Company
 
Type of Debt
 
Amount
 
Rate (a)
 
Amount
 
Rate (a)
 
 
 
 
(dollars in millions)
AEP
 
Securitized Debt for Receivables (b)
 
$
724.0

 
1.75
%
 
$
710.0

 
2.42
%
AEP
 
Commercial Paper
 
2,709.6

 
2.24
%
 
2,110.0

 
2.10
%
AEP
 
364-Day Term Loan
 
1,000.0

 
1.53
%
 

 
%
SWEPCo
 
Notes Payable
 
30.5

 
2.98
%
 
18.3

 
3.29
%
 
 
Total Short-term Debt
 
$
4,464.1

 
 

 
$
2,838.3

 
 


(a)
Weighted-average rate.
(b)
Amount of securitized debt for receivables as accounted for under the “Transfers and Servicing” accounting guidance.
Comparative Accounts Receivable Information
 
 
Three Months Ended 
March 31,
 
 
2020
 
2019
 
 
(dollars in millions)
Effective Interest Rates on Securitization of Accounts Receivable
 
1.75
%
 
2.71
%
Net Uncollectible Accounts Receivable Written-Off
 
$
4.2

 
$
6.4


Customer Accounts Receivable Managed Portfolio
 
 
March 31, 2020
 
December 31, 2019
 
 
(in millions)
Accounts Receivable Retained Interest and Pledged as Collateral Less Uncollectible Accounts
 
$
850.7

 
$
841.8

Short-term – Securitized Debt of Receivables
 
724.0

 
710.0

Delinquent Securitized Accounts Receivable
 
43.4

 
39.6

Bad Debt Reserves Related to Securitization
 
34.5

 
32.1

Unbilled Receivables Related to Securitization
 
219.8

 
266.8


Accounts Receivable and Accrued Unbilled Revenues
Company
 
March 31, 2020
 
December 31, 2019
 
 
(in millions)
APCo
 
$
121.8

 
$
120.9

I&M
 
155.2

 
141.8

OPCo
 
338.3

 
330.3

PSO
 
93.3

 
101.1

SWEPCo
 
121.2

 
125.2


Fees Paid to AEP Credit for Customer Accounts Receivable Sold
 
 
Three Months Ended March 31,
Company
 
2020
 
2019
 
 
(in millions)
APCo
 
$
1.7

 
$
2.2

I&M
 
2.8

 
2.8

OPCo
 
4.8

 
7.8

PSO
 
1.3

 
2.1

SWEPCo
 
2.1

 
2.6


Proceeds on Sale of Receivables to AEP Credit
 
 
Three Months Ended March 31,
Company
 
2020
 
2019
 
 
(in millions)
APCo
 
$
352.6

 
$
374.4

I&M
 
471.4

 
478.6

OPCo
 
570.3

 
636.8

PSO
 
294.9

 
324.5

SWEPCo
 
365.6

 
371.9