Debt and Capital Leases | Debt and Capital Leases Long-term debt and capital leases consisted of the following: As of December 31, December 31, 2015 2015 2014 Interest Rate % (a) (In millions except rates) NRG Recourse Debt: Senior notes, due 2018 $ 1,039 $ 1,130 7.625 Senior notes, due 2020 1,058 1,063 8.250 Senior notes, due 2021 1,128 1,128 7.875 Senior notes, due 2022 1,100 1,100 6.250 Senior notes, due 2023 936 990 6.625 Senior notes, due 2024 904 1,000 6.250 Term loan facility, due 2018 1,964 1,983 L+2.00 Tax Exempt Bonds 455 406 4.125 - 6.00 Subtotal NRG Recourse Debt 8,584 8,800 NRG Non-Recourse Debt: GenOn senior notes 1,956 2,133 7.875 - 9.875 GenOn Americas Generation senior notes 752 929 8.500 - 9.125 GenOn Other 56 60 Subtotal GenOn debt (non-recourse to NRG) 2,764 3,122 Yield Operating LLC Senior Notes, due 2024 500 500 5.375 Yield LLC and Yield Operating LLC Revolving Credit Facility, due 2019 306 — L+2.75 Yield Inc. Convertible Senior Notes, due 2019 330 326 3.500 Yield Inc. Convertible Senior Notes, due 2020 266 — 3.250 El Segundo Energy Center, due 2023 485 506 L+1.625 - L+2.25 Marsh Landing, due 2017 and 2023 418 464 L+1.75 - L+1.875 Alta Wind I-V lease financing arrangements, due 2034 and 2035 1,002 1,036 5.696 - 7.015 Alta Wind X, due 2021 — 300 L+2.00 Alta Wind XI, due 2021 — 191 L+2.00 Walnut Creek, term loans due 2023 351 391 L+1.625 Tapestry, due 2021 181 192 L+1.625 Laredo Ridge, due 2028 104 108 L+1.875 Alpine, due 2022 154 163 L+1.750 Energy Center Minneapolis, due 2017, and 2025 108 121 5.95 - 7.25 Viento, due 2023 189 196 L+2.75 Yield Other 469 489 various Subtotal Yield debt (non-recourse to NRG) 4,863 4,983 Ivanpah, due 2033 and 2038 1,149 1,183 2.285 - 4.256 Agua Caliente, due 2037 879 898 2.395 - 3.633 CVSR, due 2037 793 815 2.339 - 3.775 Dandan, due 2033 98 54 L+2.25 Peaker bonds, due 2019 72 100 L+1.07 Cedro Hill, due 2025 103 111 L+3.125 NRG Other 315 300 various Subtotal other NRG non-recourse debt 3,409 3,461 Subtotal all non-recourse debt 11,036 11,566 Subtotal long-term debt (including current maturities) 19,620 20,366 Capital leases: Home Solar capital leases 13 — various Chalk Point capital lease, due 2015 — 5 8.190 Other 3 3 various Subtotal long-term debt and capital leases (including current maturities) 19,636 20,374 Less current maturities 481 474 Less debt issuance costs (b) $ 172 $ 199 Total long-term debt and capital leases $ 18,983 $ 19,701 (a) As of December 31, 2015 , L+ equals 3 month LIBOR plus x%, with the exception of the Viento term loan, which is 6 month LIBOR plus x% and the Marsh Landing term loan, Walnut Creek loan, and Yield Operating LLC Revolving Credit facility, which are 1 month LIBOR plus x% (b) Total net debt reflects the reclassification of deferred financing costs to reduce long-term debt as further described in Note 2, Summary of Significant Accounting Policies . Long-term debt includes the following premiums/(discounts): As of December 31, 2015 2014 (in millions) Term loan facility, due 2018 (a) $ (3 ) $ (4 ) Peaker bonds, due 2019 (b) (4 ) (6 ) Yield, Inc. Convertible notes, due 2019 (15 ) (19 ) Yield, Inc. Convertible notes, due 2020 (21 ) — GenOn senior notes, due 2017 (c) 23 41 GenOn senior notes, due 2018 (c) 59 83 GenOn senior notes, due 2020 (c) 44 60 GenOn Americas Generation senior notes, due 2021 (c) 32 46 GenOn Americas Generation senior notes, due 2031 (c) 25 33 Total premium/(discount) $ 140 $ 234 (a) Discount of $1 million is related to current maturities in 2015 and 2014 . (b) Discount of $2 million are related to current maturities in 2015 and 2014 . (c) Premiums for long-term debt acquired in the GenOn acquisition represent adjustments to record the debt at fair value in connection with the acquisition. Consolidated Annual Maturities Annual payments based on the maturities of NRG's debt and capital leases, for the years ending after December 31, 2015 , are as follows: (In millions) 2016 $ 484 2017 1,153 2018 4,008 2019 1,052 2020 2,288 Thereafter 10,511 Total $ 19,496 NRG Recourse Debt Senior Notes 2015 Senior Notes Repurchases During the fourth quarter of 2015, the Company repurchased $246 million in aggregate principal of the following outstanding Senior Notes in the open market for $231 million , including accrued interest. Principal Repurchased Average Early Redemption Percentage Gain/(Loss) on Debt Extinguishment Amount in millions, except rates 8.25% Senior Note, due 2020 $ 5 96.500 % $ — 6.625% Senior Note, due 2023 54 85.972 % 7 6.25% Senior Note, due 2024 95 84.725 % 14 7.625% Senior Note, due 2018 92 102.232 % (2 ) Total $ 246 $ 19 Issuance of 2022 Senior Notes On January 27, 2014, NRG issued $1.1 billion in aggregate principal amount at par of 6.25% senior notes due 2022. The notes are senior unsecured obligations of NRG and are guaranteed by certain of its subsidiaries. Interest is payable semi-annually beginning on July 15, 2014, until the maturity date of July 15, 2022. The proceeds were utilized to redeem the 8.5% and 7.625% 2019 Senior Notes, as described below, and to fund the acquisition of EME. Issuance of 2024 Senior Notes On April 21, 2014, NRG issued $1.0 billion in aggregate principal amount at par of 6.25% senior notes due 2024. The notes are senior unsecured obligations of NRG and are guaranteed by certain of its subsidiaries. Interest is payable semi-annually beginning on November 1, 2014, until the maturity date of November 1, 2024. A portion of the cash proceeds were used to redeem all remaining of its 7.625% 2019 Senior Notes, and the rest of the proceeds were used to redeem all remaining $225 million of its 8.5% 2019 Senior Notes in September 2014, as discussed below. 2014 Senior Notes Redemptions In 2014, the Company redeemed $1.4 billion in aggregate principal of its Senior Notes, due 2019 for $1.5 billion , including accrued interest. Principal Redeemed Average Early Redemption Percentage Loss on Debt Extinguishment Amount in millions, except rates 8.5% Senior Note, due 2019 $ 607 105.764 % $ 45 7.625% Senior Note, due 2019 800 104.169 % 41 Total $ 1,407 $ 86 Senior Notes Outstanding As of December 31, 2015 , NRG had six outstanding issuances of senior notes, or Senior Notes: (i.) 8.250% senior notes, issued August 20, 2010 and due September 1, 2020, or the 2020 Senior Notes; (ii.) 7.625% senior notes, issued January 26, 2011 and due January 15, 2018, or the 2018 Senior Notes; (iii.) 7.875% senior notes, issued May 24, 2011 and due May 15, 2021, or the 2021 Senior Notes; (iv.) 6.625% senior notes, issued September 24, 2012 and due March 15, 2023, or the 2023 Senior Notes; (v.) 6.250% senior notes, issued January 27, 2014 and due July 15, 2022, or the 2022 Senior Notes; and (vi.) 6.250% senior notes, issued April 21, 2014 and due May 1, 2024 or the 2024 Senior Notes. The Company periodically enters into supplemental indentures for the purpose of adding entities under the Senior Notes as guarantors. The indentures and the form of notes provide, among other things, that the Senior Notes will be senior unsecured obligations of NRG. The indentures also provide for customary events of default, which include, among others: nonpayment of principal or interest; breach of other agreements in the indentures; defaults in failure to pay certain other indebtedness; the rendering of judgments to pay certain amounts of money against NRG and its subsidiaries; the failure of certain guarantees to be enforceable; and certain events of bankruptcy or insolvency. Generally, if an event of default occurs, the Trustee or the Holders of at least 25% in principal amount of the then outstanding series of Senior Notes may declare all of the Senior Notes of such series to be due and payable immediately. The terms of the indentures, among other things, limit NRG's ability and certain of its subsidiaries' ability to return capital to stockholders, grant liens on assets to lenders and incur additional debt. Interest is payable semi-annually on the Senior Notes until their maturity dates. 2018 Senior Notes Prior to maturity, NRG may redeem all or a portion of the 2018 Senior Notes at a redemption price equal to 100% of the principal amount of the notes redeemed plus a premium and accrued and unpaid interest. The premium is the greater of (i) 1% of the principal amount of the note or (ii) the excess of the present value of the principal amount at maturity plus all required interest payments due on the note through the maturity date discounted at a Treasury rate plus 0.50%. 2020 Senior Notes NRG may redeem some or all of the 2020 Senior Notes at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption date: Redemption Period Redemption Percentage On or after September 1, 2015 104.125 % On or after September 1, 2016 102.750 % On or after September 1, 2017 101.375 % September 1, 2018 and thereafter 100.000 % 2021 Senior Notes Prior to May 15, 2016, NRG may redeem up to 35% of the aggregate principal amount of the 2021 Senior Notes with the net proceeds of certain equity offerings, at a redemption price of 107.875% of the principal amount. Prior to May 15, 2016, NRG may redeem all or a portion of the 2021 Senior Notes at a price equal to 100% of the principal amount plus a premium and accrued and unpaid interest. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the principal amount of the note over the following: the present value of 103.938% of the note, plus interest payments due on the note from the date of redemption through May 15, 2016, discounted at a Treasury rate plus 0.50%. In addition, on or after May 15, 2016, NRG may redeem some or all of the notes at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption date: Redemption Period Redemption Percentage May 15, 2016 to May 14, 2017 103.938 % May 15, 2017 to May 14, 2018 102.625 % May 15, 2018 to May 14, 2019 101.313 % May 15, 2019 and thereafter 100.000 % 2022 Senior Notes At any time prior to July 15, 2017, NRG may redeem up to 35% of the aggregate principal amount of the 2022 Senior Notes, at a redemption price equal to 106.25% of the principal amount of the notes redeemed, plus accrued and unpaid interest, with an amount equal to the net cash proceeds of certain equity offerings. At any time prior to July 15, 2018, NRG may redeem all or a part of the 2022 Senior Notes, at a redemption price equal to 100% of the principal amount, accrued and unpaid interest to the redemption date, plus a premium. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the principal amount of the note over the following: the present value of 103.125% of the note, plus interest payments due on the note from the date of redemption through July 15, 2018, computed using a discount rate equal to the Treasury Rate as of such redemption date plus 0.50%. In addition, on or after July 15, 2018, NRG may redeem some or all of the notes at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption date: Redemption Period Redemption Percentage July 15, 2018 to July 14, 2019 103.125 % July 15, 2019 to July 14, 2020 101.563 % July 15, 2020 and thereafter 100.000 % 2023 Senior Notes Prior to September 15, 2017, NRG may redeem all or a portion of the 2023 Senior Notes at a price equal to 100% of the principal amount plus a premium and accrued and unpaid interest. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the principal amount of the note over the following: the present value of 103.313% of the note, plus interest payments due on the note from the date of redemption through September 15, 2017, discounted at a Treasury rate plus 0.50%. In addition, on or after September 15, 2017, NRG may redeem some or all of the 2023 Senior Notes at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption date: Redemption Period Redemption Percentage September 15, 2017 to September 14, 2018 103.313 % September 15, 2018 to September 14, 2019 102.208 % September 15, 2019 to September 14, 2020 101.104 % September 15, 2020 and thereafter 100.000 % 2024 Senior Notes At any time prior to May 1, 2017, NRG may redeem up to 35% of the aggregate principal amount of the 2024 Senior Notes, at a redemption price equal to 106.25% of the principal amount of the notes redeemed, plus accrued and unpaid interest, with an amount equal to the net cash proceeds of certain equity offerings. At any time prior to May 1, 2019, NRG may redeem all or a part of the 2024 Senior Notes, at a redemption price equal to 100% of the principal amount, accrued and unpaid interest to the redemption date, plus a premium. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the principal amount of the note over the following: the present value of 103.125% of the note, plus interest payments due on the note from the date of redemption through May 1, 2019 computed using a discount rate equal to the Treasury Rate as of such redemption date plus 0.50%. In addition, on or after May 1, 2019, NRG may redeem some or all of the notes at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption date: Redemption Period Redemption Percentage May 1, 2019 to April 30, 2020 103.125 % May 1, 2020 to April 30, 2021 102.083 % May 1, 2021 to April 30, 2022 101.042 % May 1, 2022 and thereafter 100.000 % Senior Credit Facility On June 4, 2013, NRG amended the Term Loan Facility to (i) obtain additional financing of $450 million , which was issued at a discount of 99.5% ; and (ii) adjust the interest rate from LIBOR plus 2.50% to LIBOR plus 2.00% . Repayments under the Term Loan Facility will consist of 0.25% per quarter, with the remainder due at maturity. The Company also amended the Revolving Credit Facility to (i) increase the capacity by $211 million to a total of $2.5 billion ; (ii) adjust the interest rate to LIBOR plus 2.25% ; and (iii) extend the maturity date to July 1, 2018, to coincide with the maturity date of the Term Loan Facility. As of December 31, 2015 , a total of $1.1 billion of letters of credit were issued under the Revolving Credit Facility, with $1.4 billion remaining available to be issued. Commitment fees of 0.50% are charged on the unused portion of the Revolving Credit Facility. The Senior Credit Facility is guaranteed by substantially all of NRG's existing and future direct and indirect subsidiaries, with certain customary or agreed-upon exceptions for unrestricted foreign subsidiaries, project subsidiaries, and certain other subsidiaries, including GenOn and its subsidiaries. The capital stock of these guarantor subsidiaries has been pledged for the benefit of the Senior Credit Facility's lenders. The Senior Credit Facility is also secured by first-priority perfected security interests in substantially all of the property and assets owned or acquired by NRG and its subsidiaries, other than certain limited exceptions. These exceptions include assets of certain unrestricted subsidiaries, equity interests in certain of NRG's affiliates that have non-recourse debt financing, including GenOn and its subsidiaries, and voting equity interests in excess of 66% of the total outstanding voting equity interest of certain of NRG's foreign subsidiaries. The Senior Credit Facility contains customary covenants, which, among other things, require NRG to meet certain financial tests, including minimum interest coverage ratio and a maximum leverage ratio on a consolidated basis, and limit NRG's ability to: • incur indebtedness and liens and enter into sale and lease-back transactions; • make investments, loans and advances; and • return capital to stockholders. Tax Exempt Bonds As of December 31, 2015 2014 Interest Rate % Amount in millions, except rates Indian River Power tax exempt bonds, due 2040 57 57 6.000 Indian River Power LLC, tax exempt bonds, due 2045 190 190 5.375 Dunkirk Power LLC, tax exempt bonds, due 2042 59 59 5.875 Fort Bend County, tax exempt bonds, due 2045 22 10 4.125 Fort Bend County, tax exempt bonds, due 2038 54 54 4.750 Fort Bend County, tax exempt bonds, due 2042 73 36 4.750 Total $ 455 $ 406 NRG Non-Recourse Debt The following are descriptions of certain indebtedness of NRG's subsidiaries that are outstanding as of December 31, 2015 . All of NRG's non-recourse debt is secured by the assets in the respective GenOn subsidiaries and project subsidiaries as further described below. The net assets in the GenOn and project subsidiaries are subject to restrictions, including the ability to transfer assets out of the subsidiaries. As of December 31, 2015 , NRG had net assets of $5.6 billion that were deemed restricted for purposes of Rule 4-08(e)(3)(ii) of Regulation S-X. The indebtedness described below is non-recourse to NRG, unless otherwise noted. GenOn Senior Notes As of December 31, 2015 2014 Interest Rate % Amount in millions, except rates Senior unsecured notes, due 2017 714 766 7.875 Senior unsecured notes, due 2018 708 757 9.500 Senior unsecured notes, due 2020 534 610 9.875 Total $ 1,956 $ 2,133 Under the GenOn Senior Notes and the related indentures, the GenOn Senior Notes are the sole obligation of GenOn and are not guaranteed by any subsidiary or affiliate of GenOn. The GenOn Senior Notes are senior unsecured obligations of GenOn having no recourse to any subsidiary or affiliate of GenOn. The GenOn Senior Notes restrict the ability of GenOn and its subsidiaries to encumber their assets. The GenOn Senior Notes are subject to acceleration of GenOn's obligations thereunder upon the occurrence of certain events of default, including: (a) default in interest payment for 30 days, (b) default in the payment of principal or premium, if any, (c) failure after 90 days of specified notice to comply with any other agreements in the indenture, (d) certain cross-acceleration events, (e) failure by GenOn or its significant subsidiaries to pay certain final and non-appealable judgments after 90 days and (f) certain events of bankruptcy and insolvency. Repurchase of GenOn Senior Notes During the fourth quarter of 2015, the Company repurchased $119 million in aggregate principal of the following outstanding Senior Notes in the open market for $108 million , including accrued interest. Principal Repurchased Average Early Redemption Percentage Gain on Debt Extinguishment Amount in millions, except rates Senior unsecured notes, due 2017 $ 33 95.172 % $ 3 Senior unsecured notes, due 2018 25 90.950 % 5 Senior unsecured notes, due 2020 61 83.847 % 15 Total $ 119 $ 23 2018 and 2020 GenOn Senior Notes The GenOn Senior Notes due 2018 and 2020 and the related indentures restrict the ability of GenOn to incur additional liens and make certain restricted payments, including dividends. In the event of a default or if restricted payment tests are not satisfied, GenOn would not be able to distribute cash to its parent, NRG. At December 31, 2015 , GenOn failed the consolidated debt ratio component of the restricted payments test. Under the related indentures, the ability of GenOn to make restricted payments, including dividends, loans and advances to NRG, is limited to specified exclusions, including up to $250 million of such restricted payments. As of December 31, 2015 , GenOn net assets of $277 million were deemed restricted for purposes of Rule 4-08(e)(3)(ii) of Regulation S-X. Prior to maturity, GenOn may redeem the senior notes due 2018, in whole or in part, at a redemption price equal to 100% of the principal amount plus a premium and accrued and unpaid interest. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the following: the present value of 100% of the note, plus interest payments due on the note through maturity, discounted at a Treasury rate plus 0.50% over the principal amount of the note. GenOn may redeem some or all of the Senior Notes due 2020 at redemption prices expressed as percentages of principal amount as set forth in the following table, plus accrued and unpaid interest on the notes redeemed to the first applicable redemption rate: Redemption Period Redemption Percentage October 15, 2015 to October 14, 2016 104.938 % October 15, 2016 to October 14, 2017 103.292 % October 15, 2017 to October 14, 2018 101.646 % October 15, 2018 and thereafter 100.000 % 2017 GenOn Senior Notes Prior to maturity, GenOn may redeem all or a part of the GenOn Senior Notes due 2017 at a redemption price equal to 100% of the notes plus a premium and accrued and unpaid interest. The premium is the greater of: (i) 1% of the principal amount of the notes; or (ii) the excess of the following: the present value of 100% of the note, plus interest payments due on the note through maturity, discounted at a Treasury rate plus 0.50% over the principal amount of the note . GenOn Americas Generation Senior Notes As of December 31, 2015 2014 Interest Rate % Amount in millions, except rates Senior unsecured notes, due 2021 398 496 8.500 Senior unsecured notes, due 2031 354 433 9.125 Total $ 752 $ 929 The GenOn Americas Generation Senior Notes due 2021 and 2031 are senior unsecured obligations of GenOn Americas Generation, a wholly owned subsidiary of NRG, having no recourse to any subsidiary or affiliate of GenOn Americas Generation. Repurchase of GenOn Americas Generation Senior Notes During the fourth quarter of 2015, the Company repurchased $155 million in aggregate principal of the following outstanding Senior Notes in the open market for $128 million , including accrued interest. Principal Repurchased Average Early Redemption Percentage Gain on Debt Extinguishment Amount in millions, except rates Senior unsecured notes, due 2021 $ 84 84.910 % $ 20 Senior unsecured notes, due 2031 71 77.018 % 22 Total $ 155 $ 42 2021 and 2031 GenOn Senior Notes Prior to maturity, GenOn Americas Generation may redeem all or a part of the senior notes due 2021 and 2031 at a redemption price equal to 100% of the notes plus a premium and accrued and unpaid interest. The premium is the greater of: (i) the discounted present value of the then-remaining scheduled payments of principal and interest on the outstanding notes, discounted at a Treasury rate plus 0.375%, less the unpaid principal amount; and (ii) zero. Yield Operating LLC Senior Notes 2024 Yield Operating Senior Notes On August 5, 2014, Yield Operating issued $500 million of senior unsecured notes and utilized the proceeds to fund the acquisition of the Alta Wind Assets. The Yield Operating senior notes bear interest at 5.375% and mature in August 2024. Interest on the notes is payable semi-annually on February 15 th and August 15 th of each year, and commenced on February 15, 2015. The notes are senior unsecured obligations of Yield Operating and are guaranteed by NRG Yield LLC, Yield Operating’s parent company, and by certain of Yield Operating’s wholly owned current and future subsidiaries. Yield LLC and Yield Operating LLC Revolving Credit Facility NRG Yield LLC and its direct wholly owned subsidiary, NRG Yield Operating LLC, entered into a senior secured revolving credit facility, which was amended on June 26, 2015, to, among other things, increase the availability from $450 million to $495 million . The revolving credit facility can be used for cash or for the issuance of letters of credit. At December 31, 2015, there was $306 million outstanding and $56 million of letters of credit were issued under the revolving credit facility. Yield, Inc. Convertible Notes 2020 Yield Inc. Convertible Notes On June 29, 2015, NRG Yield, Inc. closed on its offering of $287.5 million aggregate principal amount of 3.25% Convertible Senior Notes due 2020, or the 2020 Convertible Notes. The 2020 Convertible Notes are convertible, under certain circumstances, into NRG Yield, Inc. Class C common stock, cash or a combination thereof at an initial conversion price of $27.50 per Class C common share, which is equivalent to an initial conversion rate of approximately 36.3636 shares of Class C common stock per $1,000 principal amount of notes. Interest on the 2020 Convertible Notes is payable semi-annually in arrears on June 1 and December 1 of each year, commencing on December 1, 2015. The 2020 Convertible Notes mature on June 1, 2020, unless earlier repurchased or converted in accordance with their terms. Prior to the close of business on the business day immediately preceding December 1, 2019, the 2020 Convertible Notes will be convertible only upon the occurrence of certain events and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. The 2020 Convertible Notes are accounted for in accordance with ASC 470-20, under which issuers of convertible debt instruments that may be settled in cash upon conversion, including partial cash settlement, are required to separately account for the liability (debt) and equity (conversion option) components. The equity component, the $23 million conversion option value, was recorded to NRG's noncontrolling interest for NRG Yield, Inc. with the offset to debt discount. The debt discount is being amortized to interest expense over the term of the notes. 2019 Yield Inc. Convertible Notes In the first quarter of 2014, NRG Yield, Inc. closed on its offering of $345 million aggregate principal amount of 3.50% Convertible Senior Notes due 2019, or the 2019 Convertible Notes. The 2019 Convertible Notes were convertible, under certain circumstances, into NRG Yield, Inc. Class A common stock, cash or a combination thereof at an initial conversion price of $46.55 per Class A common share, which is equivalent to an initial conversion rate of approximately 21.4822 shares of Class A common stock per $1,000 principal amount of 2019 Convertible Notes. Effective May 15, 2015, the conversion rate was adjusted to 42.9644 shares of Class A common stock per $1,000 principal amount of 2019 Convertible Notes in accordance with the terms of the related indenture. Interest on the 2019 Convertible Notes is payable semi-annually in arrears on February 1 and August 1 of each year, commencing on August 1, 2014. The 2019 Convertible Notes mature on February 1, 2019, unless earlier repurchased or converted in accordance with their terms. Prior to the close of business on the business day immediately preceding August 1, 2018, the 2019 Convertible Notes will be convertible only upon the occurrence of certain events and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. The 2019 Convertible Notes are accounted for in accordance with ASC 470-20. The equity component, the $23 million conversion option value, was recorded to NRG's noncontrolling interest for NRG Yield, Inc. with the offset to debt discount. The debt discount is being amortized to interest expense over the term of the notes. The 2019 Convertible Notes are guaranteed by NRG Yield Operating LLC and NRG Yield LLC. Project Financings The following are descriptions of certain indebtedness of NRG's project subsidiaries that are outstanding as of December 31, 2015 . Alta Wind X and Alta Wind XI due 2021 On June 30, 2015, the Company entered into a tax equity financing arrangement through which Yield Operating, a subsidiary of NRG Yield, Inc., received $119 million in net proceeds. These proceeds, as well as proceeds obtained from the June 29, 2015, NRG Yield, Inc. common stock issuance and the 2020 Convertible Notes issuance, were utilized to repay all of the outstanding project indebtedness associated with Alta Wind X and Alta Wind XI facilities. The Company also settled interest rate swaps associated with the project level debt for Alta Wind X and Alta Wind XI and incurred a fee of $17 million . Alta Wind lease financing arrangements Alta Wind Holdings (Alta Wind II - V) and Alta I have finance lease obligations issued under lease transactions whereby the respective operating entities sold and leased back undivided interests in specific assets of the projects. All of the assets of Alta I-V are pledged as collateral under these arrangements. The sale and related lease transactions are accounted for as financing arrangements as the operating entities have continued involvement with the property. Amount in millions, except rates Lease Financing Arrangement Letter of Credit Facility Non-Recourse Debt Amount Outstanding as of December 31, 2015 Interest Rate Maturity Date Amount Outstanding as of December 31, 2015 Interest Rate Maturity Date Alta Wind I $ 252 7.015% 12/30/2034 $ 16 3.250% 1/5/2021 Alta Wind II 198 5.696% 12/30/2034 28 2.750% 6/30/2017& 12/31/2017 Alta Wind III 206 6.067% 12/30/2034 28 2.750% 4/13/2018 Alta Wind IV 133 5.938% 12/30/2034 19 2.750% 8/24/2018 Alta Wind V 213 6.071% 6/30/2035 31 2.750% 10/24/2018 Total $ 1,002 $ 122 High Lonesome Mesa Facility Prior to the Company's acquisition of EME, an intercompany tax credit agreement related to the High Lonesome Mesa facility was terminated. The termination resulted in an event of default under the project financing arrangement. The Company received additional default notices for various items. The facility is secured by the assets of High Lonesome Mesa and is non-recourse to NRG. On November 3, 2015, the lender sent a notice of acceleration and indicated that it will accept the Company's interest in the assets in lieu of repayment. As of December 31, 2015, $57 million was outstanding under the project financing agreement. On January 27, 2016, High Lonesome Mesa, LLC (HLM) filed at FERC for approval to transfer 100% of the ownership interests in HLM to subsidiaries of the lien holders (Macquarie Bank Limited and Hannon Armstrong Capital, LLC). HLM requested FERC approval by March 11, 2016. Upon receipt of FERC approval the Company will transfer 100% of its interest in HLM to the lien holders. Dandan Financing In December 2013, NRG, through its wholly-owned subsidiary, NRG Solar Dandan LLC, or Dandan, entered into a credit agreement with a bank, or the Dandan Financing Agreement, for a $81 million construction loan and a $23 million cash grant loan. The construction loans have interest rates of LIBOR plus an applicable margin of 2.25% or base rate plus 1.25% and the cash grant loans have an interest rate of LIBOR plus an applicable margin of 1.75% . The term loan has an interest rate of LIBOR plus an applicable margin of 2.25% , which escalates 0.25% on the fifth, tenth, and fifteenth anniversary of the term conversion. The term loan, which is secured by all the assets of Dandan, matures January 2033, and amortizes based upon a predetermined schedule. The Dandan Financing Agreement also includes a letter of credit facility on behalf of Dandan of up to $5 million . Dandan pays an availability fee of 2.25% from the closing date until the 5th anniversary of the term conversion date and 2.50% from the 5th anniversary of the term conversion date on issued letters of credit. As of December 31, 2015, $81 million was outstanding under the construction loan, $17 million under the cash grant loan and $5 million in letters of credit in support of the project were issued. On January 29, 2016, the construction loan converted to a $79 million term loan with $23 million outstanding under the cash grant loan. In addition, a $4 million debt service letter of credit was issued replacing the $5 million construction letter of credit that was outstanding at year end. El Segundo Energy Center Credit Agreement On May 29, 2015, NRG West Holdings LLC amended its financing agreement to increase borrowings under the Tranche A facility by $5 million and to reduce the related interest rate to LIBOR plus an applicable margin of 1.625% from May 29, 2015, to August 31, 2017, LIBOR plus an applicable margin of 1.75% from September 1, 2017, to August 31, 2020, and LIBOR plus 1.875% from September 1, 2020, through the maturity date; and to reduce Tranche B loan interest rate to LIBOR plus an applicable margin of 2.25% from May |