Subsequent Events

12 Months Ended

Dec. 31, 2013

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

Argentina Exchange Rate—In the third week of January 2014, the Argentine Peso experienced significant decline against the U.S. dollar after the central bank reduced its intervention in currency markets. The Argentine economy faced sustained high inflation in several recent years based on unofficial estimates (the inflation statistics published by the government are approximately 10% lower). The expectations for the unofficial inflation in 2014 remain high. If this situation continues, Argentina may face the risk of hyperinflation as defined in U.S. GAAP (a situation where the cumulative inflation over three years approximates 100% or more). As of December 31, 2013, the aggregate carrying amount of the Company’s investment in Argentina was $481 million.

U.S. Wind projects sale—The sale of U.S. wind projects closed on January 30, 2014. See Note 23 — Discontinued Operations and Held-for-Sale Businesses for further information.

Recourse Debt— On February 14, 2014, the Company commenced tender offers to purchase (collectively, the “Tender Offers”) for cash up to a total of $300 million aggregate principal amount of its outstanding 7.75% senior notes due 2015, 9.75% senior notes due 2016, and 8.00% senior notes due 2017.  The tender offers are subject to certain customary terms and conditions which are described in the tender offer documentation, including obtaining financing to fund the tender offers. The Tender Offers are scheduled to expire at 11:59 p.m., New York City time, on March 14, 2014, unless extended or earlier terminated by AES.

Saurashtra—The sale of AES Saurashtra Private Ltd. closed on February 24, 2014. See Note 23 — Discontinued Operations and Held-for-Sale Businesses for further information.