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Subsequent Events (Disclosure)
3 Months Ended
Jan. 31, 2012
Subsequent Events Disclosure [Abstract]  
Schedule Of Subsequent Events Text Block

14. Subsequent Events

We monitor significant events occurring after the balance sheet date and prior to the issuance of the financial statements to determine the impacts, if any, of events on the financial statements to be issued. All subsequent events of which we are aware were evaluated. For information on subsequent event disclosure related to regulatory matters, see Note 2 to the consolidated financial statements.

 

On February 28, 2012, the ASR settled. We received $.5 million from the investment bank and will record this amount in “Stockholder's equity” as an addition to “Common Stock.” The $.5 million was the difference between the investment bank's weighted average purchase price of $33.25 per share less a discount of $.09 per share for a settlement price of $33.16 per share and the initial purchase closing price of $33.77 per share multiplied by 800,000 shares.

 

In March 2012, we established a $650 million unsecured CP program. The notes issued under the CP program will have maturities not to exceed 397 days from the date of issuance and will be backstopped by our existing $650 million revolving syndicated credit facility expiring January 25, 2014. The amount outstanding under the revolving syndicated credit facility and the CP program, either individually or in the aggregate, shall not exceed $650 million. Any borrowings under the CP program will rank equally with our other unsubordinated and unsecured debt. The short-term notes under the CP program will not be registered under the Securities Act of 1933 for public offering and may not be offered or sold by us absent registration or exemption from registration requirements. We will be issuing the notes pursuant to an exemption from registration.

 

In February 2012, we secured pricing confirmations from lenders that price $300 million of private placement long-term debt with the transaction expected to close on March 27, 2012. We will be issuing $100 million on or around July 16, 2012 with an interest rate of 3.47%. On or around October 15, 2012, we will be issuing the remaining $200 million with an interest rate of 3.57%. Both issuances will mature in fifteen years on or about July 16, 2027. The blended interest rate for these debt issuances is 3.54%. These proceeds will be used for general corporate purposes, including the repayment of short-term debt incurred in part for funding of capital expenditures for power generation gas delivery service projects.