Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Jul. 25, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'TC PIPELINES LP | ' |
Entity Central Index Key | '0001075607 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 62,327,766 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
CONSOLIDATED_STATEMENT_OF_INCO
CONSOLIDATED STATEMENT OF INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
CONSOLIDATED STATEMENT OF INCOME | ' | ' | ' | ' | ||
Transmission revenues | $82 | $82 | [1] | $169 | $168 | [1] |
Equity earnings from unconsolidated affiliates (Note 4) | 18 | 15 | [1] | 51 | 33 | [1] |
Operation and maintenance expenses | -12 | -13 | [1] | -24 | -26 | [1] |
Property taxes | -6 | -6 | [1] | -12 | -12 | [1] |
General and administrative | -1 | -4 | [1] | -3 | -6 | [1] |
Depreciation | -22 | -22 | [1] | -43 | -43 | [1] |
Financial charges and other | -14 | -10 | [1] | -26 | -19 | [1] |
Net income | 45 | 42 | [1] | 112 | 95 | [1] |
Net income attributable to non-controlling interests | 8 | 8 | [1] | 18 | 17 | [1] |
Net income attributable to controlling interests | 37 | 34 | [1] | 94 | 78 | [1] |
Net income attributable to controlling interests allocation (Note 6) | ' | ' | ' | ' | ||
Common units | 36 | 23 | [1] | 92 | 51 | [1] |
General Partner | 1 | ' | 2 | 1 | [1] | |
Net income attributable to controlling interests | $37 | $23 | [1] | $94 | $52 | [1] |
Net income per common unit (Note 6) - basic (in dollars per unit) | $0.58 | $0.40 | [1] | $1.48 | $0.92 | [1] |
Net income per common unit (Note 6) - diluted (in dollars per unit) | $0.58 | $0.40 | [1] | $1.48 | $0.92 | [1] |
Weighted average common units outstanding (millions) - basic (in units) | 62.3 | 57.4 | [1] | 62.3 | 55.4 | [1] |
Weighted average common units outstanding (millions) - diluted (in units) | 62.3 | 57.4 | [1] | 62.3 | 55.4 | [1] |
Common units outstanding, end of period (millions) (in units) | 62.3 | 62.3 | 62.3 | 62.3 | ||
[1] | (a) Recast as discussed in Note 2. |
CONSOLIDATED_STATEMENT_OF_COMP
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ' | ' | ' | ' | ||
Net income | $45 | $42 | [1] | $112 | $95 | [1] |
Other comprehensive income | ' | ' | ' | ' | ||
Change in fair value of cash flow hedges (Note 10) | -1 | ' | -1 | ' | ||
Reclassification to net income of gains and losses on cash flow hedges (Note 10) | ' | ' | ' | ' | ||
Comprehensive income | 44 | 42 | [1] | 111 | 95 | [1] |
Comprehensive income attributable to non-controlling interests | 8 | 8 | [1] | 18 | 17 | [1] |
Comprehensive income attributable to controlling interests | $36 | $34 | [1] | $93 | $78 | [1] |
[1] | (a) Recast as discussed in Note 2. |
CONSOLIDATED_BALANCE_SHEET
CONSOLIDATED BALANCE SHEET (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Current Assets | ' | ' |
Cash and cash equivalents | $45 | $25 |
Accounts receivable and other (Note 11) | 30 | 37 |
Inventories | 7 | 7 |
Total current assets | 82 | 69 |
Investments in unconsolidated affiliates (Note 4) | 1,184 | 1,195 |
Plant, property and equipment (Net of $706 accumulated depreciation; 2013 - $674) | 2,004 | 2,042 |
Goodwill | 130 | 130 |
Other assets | 6 | 7 |
Total assets | 3,406 | 3,443 |
Current Liabilities | ' | ' |
Accounts payable and accrued liabilities | 24 | 19 |
Accounts payable to affiliates (Note 9) | 21 | 29 |
Accrued interest | 4 | 4 |
Current portion of long-term debt (Note 5) | 79 | 3 |
Total current liabilities | 128 | 55 |
Long-term debt (Note 5) | 1,484 | 1,575 |
Other liabilities | 26 | 24 |
Total liabilities | 1,638 | 1,654 |
Partners' Equity | ' | ' |
Common units | 1,313 | 1,322 |
General partner | 28 | 28 |
Accumulated other comprehensive loss | -2 | -1 |
Controlling interests | 1,339 | 1,349 |
Non-controlling interests | 429 | 440 |
Total partners' equity | 1,768 | 1,789 |
Total liabilities and partners' equity | $3,406 | $3,443 |
CONSOLIDATED_BALANCE_SHEET_Par
CONSOLIDATED BALANCE SHEET (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
CONSOLIDATED BALANCE SHEET | ' | ' |
Accumulated depreciation | $706 | $674 |
CONSOLIDATED_STATEMENT_OF_CASH
CONSOLIDATED STATEMENT OF CASH FLOWS (USD $) | 6 Months Ended | ||||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |||
Great Lakes | Great Lakes | Northern Border | Northern Border | ||||||
Cash Generated From Operations | ' | ' | ' | ' | ' | ' | |||
Net income | $112 | $95 | [1] | ' | ' | ' | ' | ||
Depreciation | 43 | 43 | [1] | ' | ' | ' | ' | ||
Amortization of debt issue costs | 1 | ' | ' | ' | ' | ' | |||
Change in other liabilities | 1 | 1 | [1] | ' | ' | ' | ' | ||
Change in operating working capital (Note 8) | 28 | 2 | [1] | ' | ' | ' | ' | ||
Total cash generated from operations | 185 | 141 | [1] | ' | ' | ' | ' | ||
Investing Activities | ' | ' | ' | ' | ' | ' | |||
Cumulative distributions in excess of equity earnings: | ' | ' | 7 | 10 | [1] | 8 | 13 | [1] | |
Investment in Great Lakes | ' | ' | -4 | -4 | [1] | ' | ' | ||
Adjustment to 2013 Acquisition (Note 9) | -25 | ' | ' | ' | ' | ' | |||
Capital expenditures | -5 | -6 | [1] | ' | ' | ' | ' | ||
Change in affiliate demand loan receivable | ' | -30 | [1] | ' | ' | ' | ' | ||
Other | 1 | ' | ' | ' | ' | ' | |||
Total investing activities | -18 | -17 | [1] | ' | ' | ' | ' | ||
Financing Activities | ' | ' | ' | ' | ' | ' | |||
Distributions paid (Note 7) | -103 | -85 | [1] | ' | ' | ' | ' | ||
Distributions paid to non-controlling interests | -29 | -25 | [1] | ' | ' | ' | ' | ||
Change in affiliate demand loan payable | ' | 381 | [1] | ' | ' | ' | ' | ||
Long-term debt issued | 15 | 12 | [1] | ' | ' | ' | ' | ||
Long-term debt repaid | -30 | -324 | [1] | ' | ' | ' | ' | ||
Equity contribution from Bison's former parent | ' | 18 | [1] | ' | ' | ' | ' | ||
Distributions paid to former parent of GTN and Bison | ' | -37 | [1] | ' | ' | ' | ' | ||
Total financing activities | -147 | -60 | [1] | ' | ' | ' | ' | ||
Increase/(decrease) in cash and cash equivalents | 20 | 64 | [1] | ' | ' | ' | ' | ||
Cash and cash equivalents, beginning of period | 25 | 3 | [1] | ' | ' | ' | ' | ||
Cash and cash equivalents, end of period | $45 | $67 | [1] | ' | ' | ' | ' | ||
[1] | (a) Recast as discussed in Note 2. |
CONSOLIDATED_STATEMENT_OF_CHAN
CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' EQUITY (USD $) | Total | Controlling interests | Non-controlling interests | Accumulated Other Comprehensive Loss | Common Units | General Partner | ||
In Millions, unless otherwise specified | ||||||||
Balance at beginning of period at Dec. 31, 2013 | $1,789 | ' | $440 | ($1) | [1] | $1,322 | $28 | |
Partners' Equity (in units) at Dec. 31, 2013 | ' | ' | ' | ' | 62.3 | ' | ||
Increase (Decrease) in Partners' Equity | ' | ' | ' | ' | ' | ' | ||
Net income | 112 | ' | 18 | ' | 92 | 2 | ||
Distributions paid | ' | ' | -29 | ' | -101 | -2 | ||
Other comprehensive loss | [1] | ' | ' | ' | -1 | ' | ' | |
Balance at end of period at Jun. 30, 2014 | $1,768 | $1,339 | $429 | ($2) | [1] | $1,313 | $28 | |
Partners' Equity (in units) at Jun. 30, 2014 | 62.3 | ' | ' | ' | 62.3 | ' | ||
[1] | (a) Losses related to cash flow hedges reported in Accumulated Other Comprehensive Loss and expected to be reclassified to Net Income in the next 12 months are estimated to be $2 million. These estimates assume constant interest rates over time; however, the amounts reclassified will vary based on actual value of interest rates at the date of settlement. |
CONSOLIDATED_STATEMENT_OF_CHAN1
CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' EQUITY (Parenthetical) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Losses related to cash flow hedges reported in Accumulated Other Comprehensive Loss and expected to be reclassified to net income | $2 |
ORGANIZATION
ORGANIZATION | 6 Months Ended |
Jun. 30, 2014 | |
ORGANIZATION | ' |
ORGANIZATION | ' |
NOTE 1 ORGANIZATION | |
TC PipeLines, LP and its subsidiaries are collectively referred to herein as the Partnership. The Partnership was formed by TransCanada PipeLines Limited, a wholly-owned subsidiary of TransCanada Corporation (TransCanada Corporation together with its subsidiaries collectively referred to herein as TransCanada), to acquire, own and participate in the management of energy infrastructure assets in North America. |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2014 | |
SIGNIFICANT ACCOUNTING POLICIES | ' |
SIGNIFICANT ACCOUNTING POLICIES | ' |
NOTE 2 SIGNIFICANT ACCOUNTING POLICIES | |
The accompanying financial statements and related notes have been prepared in accordance with United States generally accepted accounting principles (GAAP) and amounts are stated in U.S. dollars. The results of operations for the three and six months ended June 30, 2014 and 2013 are not necessarily indicative of the results that may be expected for a full fiscal year. The accompanying financial statements should be read in conjunction with the financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2013. That report contains a more comprehensive summary of the Partnership’s major accounting policies. In the opinion of management, the accompanying financial statements contain all of the appropriate adjustments, all of which are normally recurring adjustments unless otherwise noted, considered necessary to present fairly the financial position of the Partnership, the results of operation and cash flows for the respective periods. Our significant accounting policies are consistent with those disclosed in Note 2 of the financial statements in our Annual Report on Form 10-K for the year ended December 31, 2013. Certain items from that Note are repeated or updated below as necessary to assist in understanding the accompanying financial statements. | |
(a) Basis of Presentation | |
The Partnership consolidates its investments in GTN, Bison, North Baja and Tuscarora, over which it is able to exercise control. To the extent there are interests owned by other parties, these interests are included in non-controlling interests. The Partnership uses the equity method of accounting for its investments in Northern Border and Great Lakes, over which it is able to exercise significant influence. | |
On July 1, 2013, the Partnership acquired an additional 45 percent membership interest in each of GTN and Bison (the 2013 Acquisition) from subsidiaries of TransCanada which resulted in a 70 percent ownership in each of GTN and Bison. The 2013 Acquisition was accounted for as a transaction between entities under common control, similar to a pooling of interests, whereby the assets and liabilities of GTN and Bison were recorded at TransCanada’s carrying value and the Partnership’s historical financial information was recast to consolidate GTN and Bison for all periods presented. | |
(b) Use of Estimates | |
The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Although management believes these estimates are reasonable, actual results could differ from these estimates. |
ACCOUNTING_PRONOUNCEMENTS
ACCOUNTING PRONOUNCEMENTS | 6 Months Ended |
Jun. 30, 2014 | |
ACCOUNTING PRONOUNCEMENTS | ' |
ACCOUNTING PRONOUNCEMENTS | ' |
NOTE 3 ACCOUNTING PRONOUNCEMENTS | |
Future Accounting Changes | |
Revenue from contracts with customers | |
In May 2014, the FASB issued new guidance on Revenue from Contracts with Customers (Topic 606). This guidance supersedes the revenue recognition requirements in Topic 605, Revenue Recognition and most industry-specific guidance. This new guidance requires that an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. This new guidance is effective from January 1, 2017 with two methods in which the amendment can be applied; (1) Retrospectively to each prior reporting period presented, or (2) Retrospectively with the cumulative effect recognized at the date of initial application. Early application is not permitted. The Partnership is currently evaluating the impact of the adoption of this Accounting Standards Update (ASU) and has not yet determined the effect on its consolidated financial statements. |
INVESTMENTS_IN_UNCONSOLIDATED_
INVESTMENTS IN UNCONSOLIDATED AFFILIATES | 6 Months Ended | ||||||||||||||
Jun. 30, 2014 | |||||||||||||||
INVESTMENTS IN UNCONSOLIDATED AFFILIATES | ' | ||||||||||||||
INVESTMENTS IN UNCONSOLIDATED AFFILIATES | ' | ||||||||||||||
NOTE 4 INVESTMENTS IN UNCONSOLIDATED AFFILIATES | |||||||||||||||
Northern Border and Great Lakes are regulated by FERC and are operated by TransCanada. The Partnership uses the equity method of accounting for its interests in its equity investees. | |||||||||||||||
Ownership | Equity Earnings from | Investments in | |||||||||||||
Unconsolidated Affiliates | Unconsolidated Affiliates | ||||||||||||||
Interest at | Three months | Six Months | |||||||||||||
(unaudited) | June 30, | ended June 30, | ended June 30, | June 30, | December 31, | ||||||||||
(millions of dollars) | 2014 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||
Northern Border (a) | 50% | 16 | 15 | 39 | 31 | 515 | 523 | ||||||||
Great Lakes | 46.45% | 2 | - | 12 | 2 | 669 | 672 | ||||||||
18 | 15 | 51 | 33 | 1,184 | 1,195 | ||||||||||
(a) Equity earnings from Northern Border is net of the 12-year amortization of a $10 million transaction fee paid to the operator of Northern Border at the time of the Partnership’s additional 20 percent interest acquisition in April 2006. | |||||||||||||||
Northern Border | |||||||||||||||
The Partnership recorded no undistributed earnings from Northern Border for the six months ended June 30, 2014 and 2013. | |||||||||||||||
The summarized financial information for Northern Border is as follows: | |||||||||||||||
(unaudited) | |||||||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||||||||||||
ASSETS | |||||||||||||||
Cash and cash equivalents | 41 | 27 | |||||||||||||
Other current assets | 34 | 34 | |||||||||||||
Plant, property and equipment, net | 1,182 | 1,197 | |||||||||||||
Other assets | 32 | 33 | |||||||||||||
1,289 | 1,291 | ||||||||||||||
Liabilities and Partners’ Equity | |||||||||||||||
Current liabilities | 63 | 51 | |||||||||||||
Deferred credits and other | 21 | 19 | |||||||||||||
Long-term debt, including current maturities | 411 | 411 | |||||||||||||
Partners’ equity | |||||||||||||||
Partners’ capital | 796 | 812 | |||||||||||||
Accumulated other comprehensive loss | -2 | -2 | |||||||||||||
1,289 | 1,291 | ||||||||||||||
Three months ended | Six months ended | ||||||||||||||
(unaudited) | June 30, | June 30, | |||||||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | |||||||||||
Transmission revenues | 69 | 69 | 155 | 141 | |||||||||||
Operating expenses | -16 | -19 | -34 | -38 | |||||||||||
Depreciation | -15 | -14 | -30 | -29 | |||||||||||
Financial charges and other | -6 | -6 | -12 | -11 | |||||||||||
Net income | 32 | 30 | 79 | 63 | |||||||||||
Great Lakes | |||||||||||||||
The Partnership made an equity contribution to Great Lakes of $4 million in the first quarter of 2014. This amount represents the Partnership’s 46.45 percent share of a $9 million cash call from Great Lakes to make a scheduled debt repayment. | |||||||||||||||
The Partnership recorded no undistributed earnings from Great Lakes for the six months ended June 30, 2014 and 2013. | |||||||||||||||
The summarized financial information for Great Lakes is as follows: | |||||||||||||||
(unaudited) | |||||||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||||||||||||
ASSETS | |||||||||||||||
Current assets | 56 | 52 | |||||||||||||
Plant, property and equipment, net | 757 | 771 | |||||||||||||
813 | 823 | ||||||||||||||
Liabilities and Partners’ Equity | |||||||||||||||
Current liabilities | 33 | 28 | |||||||||||||
Long-term debt, including current maturities | 326 | 335 | |||||||||||||
Partners’ equity | 454 | 460 | |||||||||||||
813 | 823 | ||||||||||||||
Three months ended | Six months ended | ||||||||||||||
(unaudited) | June 30, | June 30, | |||||||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | |||||||||||
Transmission revenues | 29 | 29 | 77 | 64 | |||||||||||
Operating expenses | -12 | -15 | -24 | -30 | |||||||||||
Depreciation | -7 | -8 | -14 | -16 | |||||||||||
Financial charges and other | -6 | -7 | -13 | -14 | |||||||||||
Net income/(loss) | 4 | -1 | 26 | 4 |
CREDIT_FACILITIES_AND_LONGTERM
CREDIT FACILITIES AND LONG-TERM DEBT | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
CREDIT FACILITIES AND LONG-TERM DEBT | ' | ||||
CREDIT FACILITIES AND LONG-TERM DEBT | ' | ||||
NOTE 5 CREDIT FACILITIES AND LONG-TERM DEBT | |||||
(unaudited) | |||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||
Senior Credit Facility due 2017 | 365 | 380 | |||
Term Loan Facility due 2018 | 500 | 500 | |||
4.65% Unsecured Senior Notes due 2021 | 349 | 349 | |||
5.09% Unsecured Senior Notes due 2015 | 75 | 75 | |||
5.29% Unsecured Senior Notes due 2020 | 100 | 100 | |||
5.69% Unsecured Senior Notes due 2035 | 150 | 150 | |||
3.82% Series D Senior Notes due 2017 | 24 | 24 | |||
1,563 | 1,578 | ||||
Less: current portion of long-term debt | 79 | 3 | |||
1,484 | 1,575 | ||||
The Partnership’s Senior Credit Facility consists of a $500 million senior revolving credit facility with a banking syndicate, maturing November 20, 2017, under which $365 million was outstanding at June 30, 2014 (December 31, 2013 - $380 million), leaving $135 million available for future borrowing. | |||||
The London Interbank Offered Rate (LIBOR) based interest rate on the Senior Credit Facility averaged 1.41 percent for the three and six months ended June 30, 2014 (2013 – 1.45 percent). The LIBOR-based interest rate was 1.41 percent at June 30, 2014 (December 31, 2013 – 1.42 percent). | |||||
The LIBOR-based interest rate on the Term Loan Facility averaged 1.41 percent for the three and six months ended June 30, 2014. After hedging activity, the interest rate incurred on the Term Loan Facility averaged 1.83 percent for three and six months ended June 30, 2014. Prior to hedging activities, the LIBOR-based interest rate was 1.41 percent at June 30, 2014 (December 31, 2013 – 1.42 percent). | |||||
GTN’s Senior Notes provisions contain a covenant that limits total debt to no greater than 70 percent of total capitalization. | |||||
Series D Senior Notes are secured by Tuscarora’s transportation contracts, supporting agreements and substantially all of Tuscarora’s property. The note purchase agreements contain certain provisions that include, among other items, limitations on additional indebtedness and distributions to partners. | |||||
As of June 30, 2014, the Partnership was in compliance with its financial covenants, in addition to the other covenants which include restrictions on entering into mergers, consolidations and sales of assets, granting liens, material amendments to the Second Amended and Restated Agreement of Limited Partnership (Partnership Agreement), incurring additional debt and distributions to unitholders. | |||||
The principal repayments required on the long-term debt are as follows: | |||||
(unaudited) | |||||
(millions of dollars) | |||||
2014 | 3 | ||||
2015 | 79 | ||||
2016 | 4 | ||||
2017 | 378 | ||||
2018 | 500 | ||||
Thereafter | 599 | ||||
1,563 |
NET_INCOME_PER_COMMON_UNIT
NET INCOME PER COMMON UNIT | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
NET INCOME PER COMMON UNIT | ' | |||||||||
NET INCOME PER COMMON UNIT | ' | |||||||||
NOTE 6 NET INCOME PER COMMON UNIT | ||||||||||
Net income per common unit is computed by dividing net income attributable to controlling interests, after deduction of the General Partner’s allocation and net income attributed to GTN’s and Bison’s former parent, by the weighted average number of common units outstanding. The General Partner’s allocation is equal to an amount based upon the General Partner’s effective two percent general partner interest, plus an amount equal to incentive distributions. Incentive distributions are paid to the General Partner if quarterly cash distributions on the common units exceed levels specified in the Partnership Agreement. | ||||||||||
Net income per common unit was determined as follows: | ||||||||||
Three months ended | Six months ended | |||||||||
(unaudited) | June 30, | June 30, | ||||||||
(millions of dollars, except per common unit amounts) | 2014 | 2013(a) | 2014 | 2013(a) | ||||||
Net income | 45 | 42 | 112 | 95 | ||||||
Net income attributed to GTN’s and Bison’s former parent | - | -11 | - | -26 | ||||||
Net income attributable to non-controlling interests | -8 | -8 | -18 | -17 | ||||||
Net income allocated to partners(b) | 37 | 23 | 94 | 52 | ||||||
Net income allocated to General Partner | -1 | - | -2 | -1 | ||||||
Net income allocable to common units | 36 | 23 | 92 | 51 | ||||||
Weighted average common units outstanding (millions) – basic and diluted | 62.3 | 57.4 | 62.3 | 55.4 | ||||||
Net income per common unit – basic and diluted | $0.58 | $0.40 | $1.48 | $0.92 | ||||||
(a) Recast as discussed in Note 2. | ||||||||||
(b) Net income allocated to partners excludes net income attributed to GTN’s and Bison’s former parent as it was allocated to TransCanada and was not allocable to either the general partner or common units. |
CASH_DISTRIBUTIONS
CASH DISTRIBUTIONS | 6 Months Ended |
Jun. 30, 2014 | |
CASH DISTRIBUTIONS | ' |
CASH DISTRIBUTIONS | ' |
NOTE 7 CASH DISTRIBUTIONS | |
For the three and six months ended June 30, 2014, the Partnership distributed $0.81 and $1.62 per common unit (2013 – $0.78 and $1.56 per common unit) for a total of $52 million and $103 million, respectively (2013 - $43 million and $85 million). The distributions paid for the three and six months ended June 30, 2014 and 2013 included no incentive distributions to the General Partner. |
CHANGE_IN_OPERATING_WORKING_CA
CHANGE IN OPERATING WORKING CAPITAL | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
CHANGE IN OPERATING WORKING CAPITAL | ' | |||||
CHANGE IN OPERATING WORKING CAPITAL | ' | |||||
NOTE 8 CHANGE IN OPERATING WORKING CAPITAL | ||||||
(unaudited) | Six months ended June 30, | |||||
(millions of dollars) | 2014 | 2013(a) | ||||
Change in accounts receivable and other | 7 | 6 | ||||
Change in accounts payable and accrued liabilities | 4 | -2 | ||||
Change in accounts payable to affiliates (b) | 17 | -1 | ||||
Change in accrued interest | - | -1 | ||||
Change in operating working capital | 28 | 2 | ||||
(a) Recast as discussed in Note 2. | ||||||
(b) Excludes Carty Lateral accrual of $25 million at December 31, 2013. |
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
RELATED PARTY TRANSACTIONS | ' | |||||||||
RELATED PARTY TRANSACTIONS | ' | |||||||||
NOTE 9 RELATED PARTY TRANSACTIONS | ||||||||||
The Partnership does not have any employees. The management and operating functions are provided by the General Partner. The General Partner does not receive a management fee in connection with its management of the Partnership. The Partnership reimburses the General Partner for all costs of services provided, including the costs of employee, officer and director compensation and benefits, and all other expenses necessary or appropriate to the conduct of the business of, and allocable to, the Partnership. Such costs include (i) overhead costs (such as office space and equipment) and (ii) out-of-pocket expenses related to the provision of such services. The Partnership Agreement provides that the General Partner will determine the costs that are allocable to the Partnership in any reasonable manner determined by the General Partner in its sole discretion. Total costs charged to the Partnership by the General Partner were $1 million and $2 million for the three and six months ended June 30, 2014 and 2013. | ||||||||||
As operator, TransCanada’s subsidiaries provide capital and operating services to our pipeline systems. TransCanada’s subsidiaries incur costs on behalf of our pipeline systems, including, but not limited to, employee salary and benefit costs, and property and liability insurance costs. | ||||||||||
Capital and operating costs charged to our pipeline systems for the three and six months ended June 30, 2014 and 2013 by TransCanada’s subsidiaries and amounts payable to TransCanada’s subsidiaries at June 30, 2014 and December 31, 2013 are summarized in the following tables: | ||||||||||
Three months ended | Six months ended | |||||||||
(unaudited) | June 30, | June 30, | ||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | ||||||
Capital and operating costs charged by TransCanada’s subsidiaries to: | ||||||||||
Great Lakes (a) | 8 | 8 | 15 | 16 | ||||||
Northern Border (a) | 10 | 7 | 17 | 14 | ||||||
GTN (a) | 7 | 7 | 13 | 14 | ||||||
Bison (a) | 1 | 2 | 3 | 3 | ||||||
North Baja | 1 | 1 | 2 | 2 | ||||||
Tuscarora | 1 | 1 | 2 | 2 | ||||||
Impact on the Partnership’s net income: | ||||||||||
Great Lakes | 4 | 3 | 7 | 7 | ||||||
Northern Border | 4 | 4 | 7 | 7 | ||||||
GTN (b) | 5 | 5 | 9 | 9 | ||||||
Bison(b) | 1 | 1 | 2 | 2 | ||||||
North Baja | 1 | 1 | 2 | 2 | ||||||
Tuscarora | 1 | 1 | 2 | 2 | ||||||
(unaudited) | ||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | ||||||||
Amount payable to TransCanada’s subsidiaries for costs charged in the period by: | ||||||||||
GTN (a) | 13 | 3 | ||||||||
Northern Border (a) | 15 | 3 | ||||||||
Bison (a) | 2 | - | ||||||||
Great Lakes (a) | 14 | 3 | ||||||||
North Baja | 2 | 1 | ||||||||
Tuscarora | 2 | - | ||||||||
(a) Represents 100 percent of the costs. | ||||||||||
(b) Recast as discussed in Note 2. | ||||||||||
Great Lakes’ earns transportation revenues from TransCanada and its affiliates under contracts, some of which are provided at discounted rates and some at maximum recourse rates. Great Lakes earned $13 million and $35 million of transportation revenues under these contracts for the three and six months ended June 30, 2014 (2013 - $14 million and $35 million). These amounts represent 43 percent and 46 percent of total revenues earned by Great Lakes for the three and six months ended June 30, 2014 (2013 – 49 percent and 54 percent). Great Lakes also earned $1 million of affiliated rental revenue for the three and six months ended June 30, 2014 (2013 – nil). | ||||||||||
Revenue from TransCanada and its affiliates of $6 million and $17 million are included in the Partnership’s equity earnings from Great Lakes for the three and six months ended June 30, 2014 (2013 - $6 million and $16 million). At June 30, 2014, $5 million was included in Great Lakes’ receivables in regards to the transportation contracts with TransCanada and its affiliates (December 31, 2013 - $11 million). | ||||||||||
In 2013, the Partnership accrued $25 million of additional consideration payable in accordance with the 2013 Acquisition related to the attainment of certain events with respect to the Carty Lateral. This amount was payable to a subsidiary of TransCanada and was recorded in accounts payable to affiliates as of December 31, 2013. On April 11, 2014, the Partnership made the $25 million payment with respect to the Carty Lateral consideration. |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||
NOTE 10 FAIR VALUE MEASUREMENTS | ||||||||||
(a) Fair Value Hierarchy | ||||||||||
Under Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures, fair value measurements are characterized in one of three levels based upon the input used to arrive at the measurement. The three levels of the fair value hierarchy are as follows: | ||||||||||
· Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that we have the ability to access at the measurement date. | ||||||||||
· Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. | ||||||||||
· Level 3 inputs are unobservable inputs for the asset or liability. | ||||||||||
When appropriate, valuations are adjusted for various factors including credit considerations. Such adjustments are generally based on available market evidence. In the absence of such evidence, management’s best estimate is used. | ||||||||||
(b) Fair Value of Financial Instruments | ||||||||||
The carrying value of cash and cash equivalents, accounts receivable and other, accounts payable and accrued liabilities, accounts payable to affiliates and accrued interest approximate their fair values because of the short maturity or duration of these instruments, or because the instruments bear a variable rate of interest or a rate that approximates current rates. The fair value of the Partnership’s long-term debt is estimated by discounting the future cash flows of each instrument at estimated current borrowing rates. The fair value of interest rate derivatives is calculated using the income approach which uses period-end market rates and applies a discounted cash flow valuation model. | ||||||||||
The estimated fair value of the Partnership’s long-term debt as at June 30, 2014 and December 31, 2013 are as follows: | ||||||||||
(unaudited) | June 30, 2014 | December 31, 2013 | ||||||||
(millions of dollars) | Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||
Senior Credit Facility due 2017 | 365 | 365 | 380 | 380 | ||||||
Term Loan Facility due 2018 | 500 | 500 | 500 | 500 | ||||||
4.65% Senior Notes due 2021 | 349 | 372 | 349 | 353 | ||||||
5.09% Unsecured Senior Notes due 2015 | 75 | 78 | 75 | 79 | ||||||
5.29% Unsecured Senior Notes due 2020 | 100 | 111 | 100 | 106 | ||||||
5.69% Unsecured Senior Notes due 2035 | 150 | 163 | 150 | 154 | ||||||
3.82% Series D Senior Notes due 2017 | 24 | 25 | 24 | 25 | ||||||
1,563 | 1,614 | 1,578 | 1,597 | |||||||
Long-term debt is recorded at amortized cost and classified in Level II of the fair value hierarchy for fair value disclosure purposes. Interest rate derivative assets and liabilities are classified in Level II for all periods presented where the fair value is determined by using valuation techniques that refer to observable market data or estimated market prices. | ||||||||||
Market risk is the risk that changes in market interest rates may result in fluctuations in the fair values or cash flows of financial instruments. The Partnership’s floating rate debt is subject to LIBOR benchmark interest rate risk. The Partnership uses interest rate derivatives to manage its exposure to interest rate risk. We regularly assess the impact of interest rate fluctuations on future cash flows and evaluate hedging opportunities to mitigate our interest rate risk. | ||||||||||
The interest rate swaps are structured such that the cash flows of the derivative instruments match those of the variable rate of interest on the Term Loan Facility. The Partnership hedged interest payments on $150 million of variable-rate Term Loan Facility with interest rate swaps effective September 3, 2013 and maturing July 1, 2018, at a weighted average fixed interest rate of 2.79 percent. At June 30, 2014, the fair value of the interest rate swaps accounted for as cash flow hedges was a liability of approximately $2 million (both on a gross and net basis) (December 31, 2013 – nil). The Partnership did not record any amounts in net income related to ineffectiveness for interest rate hedges for the three and six months ended June 30, 2014 (2013 – nil). The change in fair value of interest rate derivative instruments recognized in other comprehensive income was a loss of approximately $1 million for both the three and six months ended June 30, 2014 (2013 – nil). For the three and six months ended June 30, 2014, the net realized loss related to the interest rate swaps was $1 million and was included in financial charges and other (2013 – nil). | ||||||||||
The Partnership has no master netting agreements; however, contracts contain provisions with rights of offset. The Partnership has elected to present the fair value of derivative instruments with the right to offset on a gross basis in the balance sheet. Had the Partnership elected to present these instruments on a net basis, there would be no effect on the consolidated balance sheet as of June 30, 2014 and December 31, 2013. |
ACCOUNTS_RECEIVABLE_AND_OTHER
ACCOUNTS RECEIVABLE AND OTHER | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
ACCOUNTS RECEIVABLE AND OTHER | ' | |||||
ACCOUNTS RECEIVABLE AND OTHER | ' | |||||
NOTE 11 ACCOUNTS RECEIVABLE AND OTHER | ||||||
(unaudited) | ||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | ||||
Trade accounts receivable, net of allowance of nil | 30 | 33 | ||||
Other | - | 4 | ||||
30 | 37 |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2014 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
NOTE 12 SUBSEQUENT EVENTS | |
On July 23, 2014, the board of directors of our General Partner declared the Partnership’s second quarter 2014 cash distribution in the amount of $0.84 per common unit payable on August 14, 2014 to unitholders of record as of August 5, 2014. | |
GTN declared a second quarter 2014 distribution of $28 million on July 8, 2014, of which the Partnership will receive its 70 percent share or $20 million on August 1, 2014. | |
Northern Border declared a second quarter 2014 distribution of $42 million on July 16, 2014, of which the Partnership will receive its 50 percent share or $21 million on August 1, 2014. | |
Bison declared a second quarter 2014 distribution of $17 million on July 8, 2014, of which the Partnership will receive its 70 percent share or $12 million on August 1, 2014. | |
Great Lakes declared a second quarter 2014 distribution of $10 million on July 8, 2014, of which the Partnership will receive its 46.45 percent share or $5 million on August 1, 2014. |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
SIGNIFICANT ACCOUNTING POLICIES | ' |
Basis of Presentation | ' |
(a) Basis of Presentation | |
The Partnership consolidates its investments in GTN, Bison, North Baja and Tuscarora, over which it is able to exercise control. To the extent there are interests owned by other parties, these interests are included in non-controlling interests. The Partnership uses the equity method of accounting for its investments in Northern Border and Great Lakes, over which it is able to exercise significant influence. | |
On July 1, 2013, the Partnership acquired an additional 45 percent membership interest in each of GTN and Bison (the 2013 Acquisition) from subsidiaries of TransCanada which resulted in a 70 percent ownership in each of GTN and Bison. The 2013 Acquisition was accounted for as a transaction between entities under common control, similar to a pooling of interests, whereby the assets and liabilities of GTN and Bison were recorded at TransCanada’s carrying value and the Partnership’s historical financial information was recast to consolidate GTN and Bison for all periods presented. | |
Use of Estimates | ' |
(b) Use of Estimates | |
The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Although management believes these estimates are reasonable, actual results could differ from these estimates. |
INVESTMENTS_IN_UNCONSOLIDATED_1
INVESTMENTS IN UNCONSOLIDATED AFFILIATES (Tables) | 6 Months Ended | ||||||||||||||
Jun. 30, 2014 | |||||||||||||||
INVESTMENTS IN UNCONSOLIDATED AFFILIATES | ' | ||||||||||||||
Schedule of equity method investment in unconsolidated affiliates | ' | ||||||||||||||
Ownership | Equity Earnings from | Investments in | |||||||||||||
Unconsolidated Affiliates | Unconsolidated Affiliates | ||||||||||||||
Interest at | Three months | Six Months | |||||||||||||
(unaudited) | June 30, | ended June 30, | ended June 30, | June 30, | December 31, | ||||||||||
(millions of dollars) | 2014 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||
Northern Border (a) | 50% | 16 | 15 | 39 | 31 | 515 | 523 | ||||||||
Great Lakes | 46.45% | 2 | - | 12 | 2 | 669 | 672 | ||||||||
18 | 15 | 51 | 33 | 1,184 | 1,195 | ||||||||||
(a) Equity earnings from Northern Border is net of the 12-year amortization of a $10 million transaction fee paid to the operator of Northern Border at the time of the Partnership’s additional 20 percent interest acquisition in April 2006. | |||||||||||||||
Northern Border | ' | ||||||||||||||
Investments in unconsolidated affiliates | ' | ||||||||||||||
Summarized financial information for equity method investment | ' | ||||||||||||||
(unaudited) | |||||||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||||||||||||
ASSETS | |||||||||||||||
Cash and cash equivalents | 41 | 27 | |||||||||||||
Other current assets | 34 | 34 | |||||||||||||
Plant, property and equipment, net | 1,182 | 1,197 | |||||||||||||
Other assets | 32 | 33 | |||||||||||||
1,289 | 1,291 | ||||||||||||||
Liabilities and Partners’ Equity | |||||||||||||||
Current liabilities | 63 | 51 | |||||||||||||
Deferred credits and other | 21 | 19 | |||||||||||||
Long-term debt, including current maturities | 411 | 411 | |||||||||||||
Partners’ equity | |||||||||||||||
Partners’ capital | 796 | 812 | |||||||||||||
Accumulated other comprehensive loss | -2 | -2 | |||||||||||||
1,289 | 1,291 | ||||||||||||||
Three months ended | Six months ended | ||||||||||||||
(unaudited) | June 30, | June 30, | |||||||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | |||||||||||
Transmission revenues | 69 | 69 | 155 | 141 | |||||||||||
Operating expenses | -16 | -19 | -34 | -38 | |||||||||||
Depreciation | -15 | -14 | -30 | -29 | |||||||||||
Financial charges and other | -6 | -6 | -12 | -11 | |||||||||||
Net income | 32 | 30 | 79 | 63 | |||||||||||
Great Lakes | ' | ||||||||||||||
Investments in unconsolidated affiliates | ' | ||||||||||||||
Summarized financial information for equity method investment | ' | ||||||||||||||
(unaudited) | |||||||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||||||||||||
ASSETS | |||||||||||||||
Current assets | 56 | 52 | |||||||||||||
Plant, property and equipment, net | 757 | 771 | |||||||||||||
813 | 823 | ||||||||||||||
Liabilities and Partners’ Equity | |||||||||||||||
Current liabilities | 33 | 28 | |||||||||||||
Long-term debt, including current maturities | 326 | 335 | |||||||||||||
Partners’ equity | 454 | 460 | |||||||||||||
813 | 823 | ||||||||||||||
Three months ended | Six months ended | ||||||||||||||
(unaudited) | June 30, | June 30, | |||||||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | |||||||||||
Transmission revenues | 29 | 29 | 77 | 64 | |||||||||||
Operating expenses | -12 | -15 | -24 | -30 | |||||||||||
Depreciation | -7 | -8 | -14 | -16 | |||||||||||
Financial charges and other | -6 | -7 | -13 | -14 | |||||||||||
Net income/(loss) | 4 | -1 | 26 | 4 |
CREDIT_FACILITIES_AND_LONGTERM1
CREDIT FACILITIES AND LONG-TERM DEBT (Tables) | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
CREDIT FACILITIES AND LONG-TERM DEBT | ' | ||||
Schedule of credit facilities and long-term debt | ' | ||||
(unaudited) | |||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | |||
Senior Credit Facility due 2017 | 365 | 380 | |||
Term Loan Facility due 2018 | 500 | 500 | |||
4.65% Unsecured Senior Notes due 2021 | 349 | 349 | |||
5.09% Unsecured Senior Notes due 2015 | 75 | 75 | |||
5.29% Unsecured Senior Notes due 2020 | 100 | 100 | |||
5.69% Unsecured Senior Notes due 2035 | 150 | 150 | |||
3.82% Series D Senior Notes due 2017 | 24 | 24 | |||
1,563 | 1,578 | ||||
Less: current portion of long-term debt | 79 | 3 | |||
1,484 | 1,575 | ||||
Schedule of principal repayments required on long-term debt | ' | ||||
(unaudited) | |||||
(millions of dollars) | |||||
2014 | 3 | ||||
2015 | 79 | ||||
2016 | 4 | ||||
2017 | 378 | ||||
2018 | 500 | ||||
Thereafter | 599 | ||||
1,563 |
NET_INCOME_PER_COMMON_UNIT_Tab
NET INCOME PER COMMON UNIT (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
NET INCOME PER COMMON UNIT | ' | |||||||||
Schedule of net income per common unit | ' | |||||||||
Three months ended | Six months ended | |||||||||
(unaudited) | June 30, | June 30, | ||||||||
(millions of dollars, except per common unit amounts) | 2014 | 2013(a) | 2014 | 2013(a) | ||||||
Net income | 45 | 42 | 112 | 95 | ||||||
Net income attributed to GTN’s and Bison’s former parent | - | -11 | - | -26 | ||||||
Net income attributable to non-controlling interests | -8 | -8 | -18 | -17 | ||||||
Net income allocated to partners(b) | 37 | 23 | 94 | 52 | ||||||
Net income allocated to General Partner | -1 | - | -2 | -1 | ||||||
Net income allocable to common units | 36 | 23 | 92 | 51 | ||||||
Weighted average common units outstanding (millions) – basic and diluted | 62.3 | 57.4 | 62.3 | 55.4 | ||||||
Net income per common unit – basic and diluted | $0.58 | $0.40 | $1.48 | $0.92 | ||||||
(a) Recast as discussed in Note 2. | ||||||||||
(b) Net income allocated to partners excludes net income attributed to GTN’s and Bison’s former parent as it was allocated to TransCanada and was not allocable to either the general partner or common units. | ||||||||||
CHANGE_IN_OPERATING_WORKING_CA1
CHANGE IN OPERATING WORKING CAPITAL (Tables) | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
CHANGE IN OPERATING WORKING CAPITAL | ' | |||||
Summary of change in operating working capital | ' | |||||
(unaudited) | Six months ended June 30, | |||||
(millions of dollars) | 2014 | 2013(a) | ||||
Change in accounts receivable and other | 7 | 6 | ||||
Change in accounts payable and accrued liabilities | 4 | -2 | ||||
Change in accounts payable to affiliates (b) | 17 | -1 | ||||
Change in accrued interest | - | -1 | ||||
Change in operating working capital | 28 | 2 | ||||
(a) Recast as discussed in Note 2. | ||||||
(b) Excludes Carty Lateral accrual of $25 million at December 31, 2013. |
RELATED_PARTY_TRANSACTIONS_Tab
RELATED PARTY TRANSACTIONS (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
RELATED PARTY TRANSACTIONS | ' | |||||||||
Schedule of capital and operating costs charged by related party | ' | |||||||||
Three months ended | Six months ended | |||||||||
(unaudited) | June 30, | June 30, | ||||||||
(millions of dollars) | 2014 | 2013 | 2014 | 2013 | ||||||
Capital and operating costs charged by TransCanada’s subsidiaries to: | ||||||||||
Great Lakes (a) | 8 | 8 | 15 | 16 | ||||||
Northern Border (a) | 10 | 7 | 17 | 14 | ||||||
GTN (a) | 7 | 7 | 13 | 14 | ||||||
Bison (a) | 1 | 2 | 3 | 3 | ||||||
North Baja | 1 | 1 | 2 | 2 | ||||||
Tuscarora | 1 | 1 | 2 | 2 | ||||||
Impact on the Partnership’s net income: | ||||||||||
Great Lakes | 4 | 3 | 7 | 7 | ||||||
Northern Border | 4 | 4 | 7 | 7 | ||||||
GTN (b) | 5 | 5 | 9 | 9 | ||||||
Bison(b) | 1 | 1 | 2 | 2 | ||||||
North Baja | 1 | 1 | 2 | 2 | ||||||
Tuscarora | 1 | 1 | 2 | 2 | ||||||
Schedule of amount payable to related party for costs charged in period | ' | |||||||||
(unaudited) | ||||||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | ||||||||
Amount payable to TransCanada’s subsidiaries for costs charged in the period by: | ||||||||||
GTN (a) | 13 | 3 | ||||||||
Northern Border (a) | 15 | 3 | ||||||||
Bison (a) | 2 | - | ||||||||
Great Lakes (a) | 14 | 3 | ||||||||
North Baja | 2 | 1 | ||||||||
Tuscarora | 2 | - | ||||||||
(a) Represents 100 percent of the costs. | ||||||||||
(b) Recast as discussed in Note 2. |
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||
Schedule of estimated fair value of long-term debt | ' | |||||||||
(unaudited) | June 30, 2014 | December 31, 2013 | ||||||||
(millions of dollars) | Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||
Senior Credit Facility due 2017 | 365 | 365 | 380 | 380 | ||||||
Term Loan Facility due 2018 | 500 | 500 | 500 | 500 | ||||||
4.65% Senior Notes due 2021 | 349 | 372 | 349 | 353 | ||||||
5.09% Unsecured Senior Notes due 2015 | 75 | 78 | 75 | 79 | ||||||
5.29% Unsecured Senior Notes due 2020 | 100 | 111 | 100 | 106 | ||||||
5.69% Unsecured Senior Notes due 2035 | 150 | 163 | 150 | 154 | ||||||
3.82% Series D Senior Notes due 2017 | 24 | 25 | 24 | 25 | ||||||
1,563 | 1,614 | 1,578 | 1,597 |
ACCOUNTS_RECEIVABLE_AND_OTHER_
ACCOUNTS RECEIVABLE AND OTHER (Tables) | 6 Months Ended | |||||
Jun. 30, 2014 | ||||||
ACCOUNTS RECEIVABLE AND OTHER | ' | |||||
Schedule of accounts receivable and other | ' | |||||
(unaudited) | ||||||
(millions of dollars) | June 30, 2014 | December 31, 2013 | ||||
Trade accounts receivable, net of allowance of nil | 30 | 33 | ||||
Other | - | 4 | ||||
30 | 37 |
SIGNIFICANT_ACCOUNTING_POLICIE2
SIGNIFICANT ACCOUNTING POLICIES (Details) (Former parent, TransCanada subsidiaries, Transaction between entities under common control) | 0 Months Ended |
Jul. 02, 2013 | |
GTN | ' |
Summary of Significant Accounting Policies | ' |
Interest acquired by the Partnership (as a percent) | 45.00% |
Ownership interest (as a percent) | 70.00% |
Bison | ' |
Summary of Significant Accounting Policies | ' |
Interest acquired by the Partnership (as a percent) | 45.00% |
Ownership interest (as a percent) | 70.00% |
INVESTMENTS_IN_UNCONSOLIDATED_2
INVESTMENTS IN UNCONSOLIDATED AFFILIATES (Details) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | Apr. 30, 2006 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |||
Great Lakes Gas Transmission Limited Partnership | Northern Border | Northern Border | Northern Border | Northern Border | Northern Border | Northern Border | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | |||||||||
Investments in unconsolidated affiliates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Ownership interest at the end of the period (as a percent) | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | 50.00% | ' | ' | 46.45% | ' | ' | 46.45% | ' | ' | |||
Equity Earnings from Unconsolidated Affiliates | $18 | $15 | [1] | $51 | $33 | [1] | ' | ' | ' | $16 | $15 | $39 | $31 | ' | $2 | ' | ' | $12 | $2 | ' | |
Investments in Unconsolidated Affiliates | 1,184 | ' | 1,184 | ' | 1,195 | ' | ' | 515 | ' | 515 | ' | 523 | 669 | ' | ' | 669 | ' | 672 | |||
Amortization period of transaction fee | ' | ' | ' | ' | ' | ' | '12 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Transaction fee | ' | ' | ' | ' | ' | ' | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Additional ownership interest acquired (as a percent) | ' | ' | ' | ' | ' | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Undistributed earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | 0 | 0 | ' | |||
Equity contribution | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | ' | 4 | 4 | [1] | ' | ||
Total cash call issued to fund debt repayment | ' | ' | ' | ' | ' | 9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Cash and cash equivalents | ' | ' | ' | ' | ' | ' | ' | 41 | ' | 41 | ' | 27 | ' | ' | ' | ' | ' | ' | |||
Current assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56 | ' | ' | 56 | ' | 52 | |||
Other current assets | ' | ' | ' | ' | ' | ' | ' | 34 | ' | 34 | ' | 34 | ' | ' | ' | ' | ' | ' | |||
Plant, property and equipment, net | ' | ' | ' | ' | ' | ' | ' | 1,182 | ' | 1,182 | ' | 1,197 | 757 | ' | ' | 757 | ' | 771 | |||
Other assets | ' | ' | ' | ' | ' | ' | ' | 32 | ' | 32 | ' | 33 | ' | ' | ' | ' | ' | ' | |||
Assets, total | ' | ' | ' | ' | ' | ' | ' | 1,289 | ' | 1,289 | ' | 1,291 | 813 | ' | ' | 813 | ' | 823 | |||
Liabilities and Partners' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Current liabilities | ' | ' | ' | ' | ' | ' | ' | 63 | ' | 63 | ' | 51 | 33 | ' | ' | 33 | ' | 28 | |||
Deferred credits and other | ' | ' | ' | ' | ' | ' | ' | 21 | ' | 21 | ' | 19 | ' | ' | ' | ' | ' | ' | |||
Long-term debt, including current maturities | ' | ' | ' | ' | ' | ' | ' | 411 | ' | 411 | ' | 411 | 326 | ' | ' | 326 | ' | 335 | |||
Partners' equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Partners' equity | ' | ' | ' | ' | ' | ' | ' | 796 | ' | 796 | ' | 812 | 454 | ' | ' | 454 | ' | 460 | |||
Accumulated other comprehensive loss | ' | ' | ' | ' | ' | ' | ' | -2 | ' | -2 | ' | -2 | ' | ' | ' | ' | ' | ' | |||
Liabilities and Equity, total | ' | ' | ' | ' | ' | ' | ' | 1,289 | ' | 1,289 | ' | 1,291 | 813 | ' | ' | 813 | ' | 823 | |||
Revenues (expenses) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Transmission revenues | ' | ' | ' | ' | ' | ' | ' | 69 | 69 | 155 | 141 | ' | 29 | ' | 29 | 77 | 64 | ' | |||
Operating expenses | ' | ' | ' | ' | ' | ' | ' | -16 | -19 | -34 | -38 | ' | -12 | ' | -15 | -24 | -30 | ' | |||
Depreciation | ' | ' | ' | ' | ' | ' | ' | -15 | -14 | -30 | -29 | ' | -7 | ' | -8 | -14 | -16 | ' | |||
Financial charges and other | ' | ' | ' | ' | ' | ' | ' | -6 | -6 | -12 | -11 | ' | -6 | ' | -7 | -13 | -14 | ' | |||
Net income/(loss) | ' | ' | ' | ' | ' | ' | ' | $32 | $30 | $79 | $63 | ' | $4 | ' | ($1) | $26 | $4 | ' | |||
[1] | (a) Recast as discussed in Note 2. |
CREDIT_FACILITIES_AND_LONGTERM2
CREDIT FACILITIES AND LONG-TERM DEBT (Details) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Total long-term debt | 1,563 | ' | 1,563 | ' | 1,578 |
Less: current portion of long-term debt | 79 | ' | 79 | ' | 3 |
Long-term debt | 1,484 | ' | 1,484 | ' | 1,575 |
Senior Credit Facility due 2017 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Total long-term debt | 365 | ' | 365 | ' | 380 |
Senior Credit Facility due 2017 | LIBOR | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Variable rate basis | 'LIBOR | 'LIBOR | 'LIBOR | 'LIBOR | 'LIBOR |
Debt average interest rate (as a percent) | 1.41% | 1.45% | 1.41% | 1.45% | ' |
Debt interest rate, at period end, prior to hedging activities (as a percent) | 1.41% | ' | 1.41% | ' | 1.42% |
Senior revolving credit facility | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Maximum borrowing capacity | 500 | ' | 500 | ' | ' |
Amount outstanding under credit facility | 365 | ' | 365 | ' | 380 |
Remaining borrowing capacity | 135 | ' | 135 | ' | ' |
Term Loan Facility due 2018 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Total long-term debt | 500 | ' | 500 | ' | 500 |
Term Loan Facility due 2018 | LIBOR borrowings | LIBOR | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Variable rate basis | 'LIBOR | ' | 'LIBOR | ' | 'LIBOR |
Debt average interest rate (as a percent) | 1.41% | ' | 1.41% | ' | ' |
Debt average interest rate, after hedging activity (as a percent) | 1.83% | ' | 1.83% | ' | ' |
Debt interest rate, at period end, prior to hedging activities (as a percent) | 1.41% | ' | 1.41% | ' | 1.42% |
4.65% Unsecured Senior Notes due 2021 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Stated interest rate (as a percent) | 4.65% | ' | 4.65% | ' | 4.65% |
Total long-term debt | 349 | ' | 349 | ' | 349 |
5.09% Unsecured Senior Notes due 2015 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Stated interest rate (as a percent) | 5.09% | ' | 5.09% | ' | 5.09% |
Total long-term debt | 75 | ' | 75 | ' | 75 |
5.29% Unsecured Senior Notes due 2020 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Stated interest rate (as a percent) | 5.29% | ' | 5.29% | ' | 5.29% |
Total long-term debt | 100 | ' | 100 | ' | 100 |
5.69% Unsecured Senior Notes due 2035 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Stated interest rate (as a percent) | 5.69% | ' | 5.69% | ' | 5.69% |
Total long-term debt | 150 | ' | 150 | ' | 150 |
3.82% Series D Senior Notes due 2017 | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Stated interest rate (as a percent) | 3.82% | ' | 3.82% | ' | 3.82% |
Total long-term debt | 24 | ' | 24 | ' | 24 |
GTN | Senior Notes | Maximum | ' | ' | ' | ' | ' |
Credit facilities and long-term debt | ' | ' | ' | ' | ' |
Percentage of debt to total capitalization | ' | ' | 70.00% | ' | ' |
CREDIT_FACILITIES_AND_LONGTERM3
CREDIT FACILITIES AND LONG-TERM DEBT (Details 2) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Principal repayments required by the Partnership on the long-term debt | ' | ' |
2014 | $3 | ' |
2015 | 79 | ' |
2016 | 4 | ' |
2017 | 378 | ' |
2018 | 500 | ' |
Thereafter | 599 | ' |
Total long-term debt | $1,563 | $1,578 |
NET_INCOME_PER_COMMON_UNIT_Det
NET INCOME PER COMMON UNIT (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Ownership interests in the Partnership | ' | ' | ' | ' | ||
Net income | $45 | $42 | [1] | $112 | $95 | [1] |
Net income attributed to GTN and Bison's former parent | ' | -11 | ' | -26 | ||
Net income attributable to non-controlling interests | -8 | -8 | [1] | -18 | -17 | [1] |
Net income attributable to controlling interests | 37 | 23 | [1] | 94 | 52 | [1] |
Net income allocated to General Partner | 1 | ' | 2 | 1 | [1] | |
Net income allocable to common units | 36 | 23 | [1] | 92 | 51 | [1] |
Weighted average common units outstanding (millions) - basic (in units) | 62.3 | 57.4 | [1] | 62.3 | 55.4 | [1] |
Weighted average common units outstanding (millions) - diluted (in units) | 62.3 | 57.4 | [1] | 62.3 | 55.4 | [1] |
Net income per common unit - basic (in dollars per unit) | $0.58 | $0.40 | [1] | $1.48 | $0.92 | [1] |
Net income per common unit - diluted (in dollars per unit) | $0.58 | $0.40 | [1] | $1.48 | $0.92 | [1] |
General Partner | ' | ' | ' | ' | ||
Ownership interests in the Partnership | ' | ' | ' | ' | ||
Net income | ' | ' | $2 | ' | ||
TC PipeLines GP, Inc. | General Partner | ' | ' | ' | ' | ||
Ownership interests in the Partnership | ' | ' | ' | ' | ||
Additional percentage investment held by General Partner | ' | ' | 2.00% | ' | ||
[1] | (a) Recast as discussed in Note 2. |
CASH_DISTRIBUTIONS_Details
CASH DISTRIBUTIONS (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
CASH DISTRIBUTIONS | ' | ' | ' | ' | |
Cash distributions (in dollars per unit) | $0.81 | $0.78 | $1.62 | $1.56 | |
Cash distributions | $52 | $43 | $103 | $85 | [1] |
General Partner | ' | ' | ' | ' | |
Incentive distributions | ' | ' | ' | ' | |
Incentive distributions | $0 | $0 | $0 | $0 | |
[1] | (a) Recast as discussed in Note 2. |
CHANGE_IN_OPERATING_WORKING_CA2
CHANGE IN OPERATING WORKING CAPITAL (Details) (USD $) | 6 Months Ended | |||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
GTN | ||||
Former parent, TransCanada subsidiaries | ||||
Transaction between entities under common control | ||||
Accounts payable to affiliates | ||||
CHANGE IN OPERATING WORKING CAPITAL | ' | ' | ' | |
Change in accounts receivable and other | $7 | $6 | ' | |
Change in accounts payable and accrued liabilities | 4 | -2 | ' | |
Change in accounts payable to affiliates | 17 | -1 | [1] | ' |
Change in accrued interest | ' | -1 | ' | |
Change in operating working capital | 28 | 2 | [2] | ' |
Business Acquisition [Line Items] | ' | ' | ' | |
Carty Lateral accrual | ' | ' | $25 | |
[1] | (b) Excludes Carty Lateral accrual of $25 million at December 31, 2013. | |||
[2] | (a) Recast as discussed in Note 2. |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details) (USD $) | 6 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Apr. 11, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
General Partner | General Partner | General Partner | General Partner | GTN | GTN | Northern Border | Northern Border | Northern Border | Northern Border | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Great Lakes | Northern Border | Northern Border | Northern Border | Northern Border | Northern Border | GTN | GTN | GTN | GTN | GTN | Bison | Bison | Bison | Bison | North Baja | North Baja | North Baja | North Baja | North Baja | Tuscarora | Tuscarora | Tuscarora | Tuscarora | ||
Former parent, TransCanada subsidiaries | Former parent, TransCanada subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | Affiliated rental revenue | Affiliated rental revenue | Affiliated rental revenue | Affiliated rental revenue | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | TransCanada's subsidiaries | ||||||
Transaction between entities under common control | Transaction between entities under common control | Transportation contracts | Transportation contracts | Transportation contracts | Transportation contracts | Transportation contracts | ||||||||||||||||||||||||||||||||||||||||||||||
Accounts payable to affiliates | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Capital and operating costs charged to the pipeline systems and amount payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital and operating costs charged by TransCanada's subsidiaries | ' | $1 | $1 | $2 | $2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $8 | $8 | $15 | $16 | ' | ' | ' | ' | ' | ' | $10 | $7 | $17 | $14 | ' | $7 | $7 | $13 | $14 | ' | $1 | $2 | $3 | $3 | $1 | $1 | $2 | $2 | ' | $1 | $1 | $2 | $2 |
Impact on the Partnership's net income | ' | ' | ' | ' | ' | ' | ' | 4 | 4 | 7 | 7 | 4 | 3 | 7 | 7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | 5 | 9 | 9 | ' | 1 | 1 | 2 | 2 | 1 | 1 | 2 | 2 | ' | 1 | 1 | 2 | 2 |
Amounts payable to TransCanada's subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14 | ' | 14 | ' | 3 | ' | ' | ' | ' | ' | 15 | ' | 15 | ' | 3 | 13 | ' | 13 | ' | 3 | 2 | ' | 2 | ' | 2 | ' | 2 | ' | 1 | 2 | ' | 2 | ' |
Percentage of capital and operating costs charged by TransCanada's subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from related party | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | 1 | ' | ' | ' | ' | ' | ' | 13 | 14 | 35 | 35 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of revenues from TransCanada and its affiliates to total revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 43.00% | 49.00% | 46.00% | 54.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue from TransCanada and its affiliates included in the Partnership's equity earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6 | 6 | 17 | 16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount included in receivables from related party | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5 | ' | 5 | ' | 11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued additional consideration | ' | ' | ' | ' | ' | ' | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment with respect to the Carty Lateral consideration | $25 | ' | ' | ' | ' | $25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
FAIR_VALUE_MEASUREMENTS_Detail
FAIR VALUE MEASUREMENTS (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
4.65% Senior Notes due 2021 | ' | ' |
Financial Instruments | ' | ' |
Stated interest rate (as a percent) | 4.65% | 4.65% |
5.09% Unsecured Senior Notes due 2015 | ' | ' |
Financial Instruments | ' | ' |
Stated interest rate (as a percent) | 5.09% | 5.09% |
5.29% Unsecured Senior Notes due 2020 | ' | ' |
Financial Instruments | ' | ' |
Stated interest rate (as a percent) | 5.29% | 5.29% |
5.69% Unsecured Senior Notes due 2035 | ' | ' |
Financial Instruments | ' | ' |
Stated interest rate (as a percent) | 5.69% | 5.69% |
3.82% Series D Senior Notes due 2017 | ' | ' |
Financial Instruments | ' | ' |
Stated interest rate (as a percent) | 3.82% | 3.82% |
Carrying Value | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 1,563 | 1,578 |
Carrying Value | Senior Credit Facility due 2017 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 365 | 380 |
Carrying Value | Term Loan Facility due 2018 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 500 | 500 |
Carrying Value | 4.65% Senior Notes due 2021 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 349 | 349 |
Carrying Value | 5.09% Unsecured Senior Notes due 2015 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 75 | 75 |
Carrying Value | 5.29% Unsecured Senior Notes due 2020 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 100 | 100 |
Carrying Value | 5.69% Unsecured Senior Notes due 2035 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 150 | 150 |
Carrying Value | 3.82% Series D Senior Notes due 2017 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 24 | 24 |
Fair Value | Level 2 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 1,614 | 1,597 |
Fair Value | Level 2 | Senior Credit Facility due 2017 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 365 | 380 |
Fair Value | Level 2 | Term Loan Facility due 2018 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 500 | 500 |
Fair Value | Level 2 | 4.65% Senior Notes due 2021 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 372 | 353 |
Fair Value | Level 2 | 5.09% Unsecured Senior Notes due 2015 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 78 | 79 |
Fair Value | Level 2 | 5.29% Unsecured Senior Notes due 2020 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 111 | 106 |
Fair Value | Level 2 | 5.69% Unsecured Senior Notes due 2035 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 163 | 154 |
Fair Value | Level 2 | 3.82% Series D Senior Notes due 2017 | ' | ' |
Financial Instruments | ' | ' |
Long-term debt | 25 | 25 |
FAIR_VALUE_MEASUREMENTS_Detail1
FAIR VALUE MEASUREMENTS (Details 2) (USD $) | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | ||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Dec. 31, 2013 |
Interest rate swaps from September 3, 2013 through July 1, 2018 | Interest rate swaps | Interest rate swaps | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Hedges of cash flows | Designated as hedge | Designated as hedge | |
Term Loan Facility | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | Interest rate swaps | |||
Financial charges and other | Financial charges and other | Financial charges and other | Financial charges and other | ||||||||||
Interest rate derivatives | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of variable-rate debt hedged | $150 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Date of maturity | 1-Jul-18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average fixed interest rate (as a percent) | 2.79% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of derivatives, gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' |
Fair value of derivatives, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' |
Amount recorded in net income related to ineffectiveness for interest rate hedges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in fair value of interest rate derivative instruments recognized in other comprehensive income | ' | ' | ' | 1 | ' | 1 | ' | ' | ' | ' | ' | ' | ' |
Net realized loss related to the interest rate swaps | ' | ' | ' | ' | ' | ' | ' | $1 | ' | $1 | ' | ' | ' |
ACCOUNTS_RECEIVABLE_AND_OTHER_1
ACCOUNTS RECEIVABLE AND OTHER (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
ACCOUNTS RECEIVABLE AND OTHER | ' | ' |
Trade accounts receivable, net of allowance of nil | $30 | $33 |
Other | ' | 4 |
Accounts receivable and other | 30 | 37 |
Trade accounts receivable, allowance | ' | ' |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (USD $) | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jul. 23, 2014 | Aug. 01, 2014 | Aug. 01, 2014 | Jul. 08, 2014 | Jul. 08, 2014 | Jul. 16, 2014 | Jul. 08, 2014 | Aug. 01, 2014 | Aug. 01, 2014 |
In Millions, except Per Share data, unless otherwise specified | Northern Border | Great Lakes | GTN | Bison | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event |
GTN | Bison | GTN | Bison | Distribution declared | Distribution declared | Cash Distribution Paid | Cash Distribution Paid | ||||||
Expected | Expected | Northern Border | Great Lakes | Northern Border | Great Lakes | ||||||||
Expected | Expected | ||||||||||||
Subsequent events | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash distribution (in dollars per unit) | ' | ' | ' | ' | $0.84 | ' | ' | ' | ' | ' | ' | ' | ' |
Distribution declared | ' | ' | ' | ' | ' | ' | ' | $28 | $17 | ' | ' | ' | ' |
Partnership interest (as a percent) | ' | ' | 70.00% | 70.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Distribution received by Partnership | ' | ' | ' | ' | ' | 20 | 12 | ' | ' | ' | ' | ' | ' |
Partnership distribution | ' | ' | ' | ' | ' | ' | ' | ' | ' | 42 | 10 | ' | ' |
Ownership interest (as a percent) | 50.00% | 46.45% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Partnership's share of distributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $21 | $5 |