The table below summarizes the balances outstanding under margin deposits, natural gas and power prepayments, and exposure under letters of credit and first priority liens for commodity procurement and risk management activities as of December 31, 2014 and 2013 (in millions):



	2014		2013
Margin deposits⁽¹⁾	$	96	$	261
Natural gas and power prepayments	22		28
Total margin deposits and natural gas and power prepayments with our counterparties⁽²⁾	$	118	$	289

Letters of credit issued	$	450	$	488
First priority liens under power and natural gas agreements	48		31
First priority liens under interest rate swap agreements	116		132
Total letters of credit and first priority liens with our counterparties	$	614	$	651

Margin deposits posted with us by our counterparties⁽¹⁾⁽³⁾	$	47	$	5
Letters of credit posted with us by our counterparties	61		2
Total margin deposits and letters of credit posted with us by our counterparties	$	108	$	7

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(1)

Balances are subject to master netting arrangements and presented on a gross basis on our Consolidated Balance Sheets. We do not offset fair value amounts recognized for derivative instruments executed with the same counterparty under a master netting arrangement for financial statement presentation, and we do not offset amounts recognized for the right to reclaim, or the obligation to return, cash collateral with corresponding derivative instrument fair values. See Note 8 for further discussion of our derivative instruments subject to master netting arrangements.


(2)	At December 31, 2014 and 2013, $109 million and $272 million, respectively, were included in margin deposits and other prepaid expense and $9 million and $17 million, respectively, were included in other assets on our Consolidated Balance Sheets.


(3)	Included in other current liabilities on our Consolidated Balance Sheets.