Business

Duke Energy lands $6B credit line; Chinese banks provide 11%

Posted November 28, 2011

— Duke Energy (NYSE: DUK) has additional liquidity coming its way as the Charlotte-based utility moves toward closure of its merger with Raleigh-based Progress Energy (NYSE: PGN).

Duke said Monday it had closed on a $6 billion credit line with 30 banks and financial institutions from around the world.

Chinese banks are contributing some 11 percent or more than $600 million. That’s a record participation in financing by the Chinese in an American utility, according to Duke.

Of the $6 billion, $2 billion is contingent upon Duke closing the Progress merger.

Duke already had a $3.14 billion credit facility set to expire next June. Progress Energy has credit facilities totaling some $2 billion that were set to close in 2012 and 2013, Duke said in the announcement.

Of the $6 billion, 49 percent came from North American banks, 34 percent from European banks and 17 percent from Asian banks, Duke said.

4 Comments

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  • Chairman of the Bored Nov 28, 10:57 a.m.

    Why is this news, WRAL?

    What does Duke Energy plan to do with this new credit line?

    Hmmm... call me crazy but I heard Duke wants to buy Progress Energy. So not only will us Progress Energy customers be gouged with much higher electric bills, that money will be going to China too!

  • WooHoo2You Nov 28, 10:16 a.m.

    Why is this news, WRAL? What does Duke Energy plan to do with this new credit line?-hp277

    Buy Progress Energy, it's in the story....

  • sidecutter Nov 28, 10:03 a.m.

    Oh great! Now we will be getting our electricity from China!!!!!

  • hp277 Nov 28, 9:26 a.m.

    Why is this news, WRAL?

    What does Duke Energy plan to do with this new credit line?