CENTERPOINT ENERGY INCCNP
CENTERPOINT ENERGY INC Debt Disclosure
Short-term Borrowings and Long-term Debt
Short-term Borrowings and Long-term Debt: The Registrants had the following short-term borrowings and long-term debt outstanding as of the dates presented:
| December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| Long-Term | Current (1) | Long-Term | Current (1) | ||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||
| CenterPoint Energy: | |||||||||||||||||||||||
| ZENS due 2029 (2) | $ | — | $ | — | $ | — | $ | 2 | |||||||||||||||
CenterPoint Energy senior notes 1.45% to 5.25% due 2026 to 2049 | 2,470 | 1,517 | 3,950 | — | |||||||||||||||||||
CenterPoint Energy Junior Subordinated Notes 5.95% to 7.00% due 2055 to 2056 | 2,000 | — | 1,300 | — | |||||||||||||||||||
CenterPoint Energy pollution control bonds 5.125% due 2028 (3) | 68 | — | 68 | — | |||||||||||||||||||
| CenterPoint Energy commercial paper (4) | 420 | — | 382 | — | |||||||||||||||||||
SIGECO first mortgage bonds 3.45% to 6.18% due 2025 to 2055 (5) | 1,459 | — | 944 | 41 | |||||||||||||||||||
SIGECO Securitization Bonds 5.026% to 5.172% due 2036 to 2041 (6) | 299 | 13 | 311 | 13 | |||||||||||||||||||
| Unamortized debt issuance costs | (56) | (3) | (48) | — | |||||||||||||||||||
| Unamortized discount and premium, net | (3) | — | (6) | — | |||||||||||||||||||
| Houston Electric debt (see details below) | 9,252 | 827 | 8,322 | 500 | |||||||||||||||||||
| CERC debt (see details below) | 4,657 | 60 | 5,174 | 10 | |||||||||||||||||||
| Total CenterPoint Energy debt | $ | 20,566 | $ | 2,414 | $ | 20,397 | $ | 566 | |||||||||||||||
| Houston Electric: | |||||||||||||||||||||||
| Short Term Borrowings: | |||||||||||||||||||||||
Term loan (7) | $ | — | $ | 500 | $ | — | $ | 500 | |||||||||||||||
| Long-term debt: | |||||||||||||||||||||||
General mortgage bonds 2.35% to 6.95% due 2026 to 2053 (8) | 8,978 | 300 | 8,412 | — | |||||||||||||||||||
| Other | 1 | — | 1 | — | |||||||||||||||||||
Restoration Bond Company II Securitization Bonds 4.26% to 4.83% due 2035 to 2040 (9) | 375 | 27 | — | — | |||||||||||||||||||
| Unamortized debt issuance costs | (73) | — | (62) | — | |||||||||||||||||||
| Unamortized discount and premium, net | (29) | — | (29) | — | |||||||||||||||||||
| Total Houston Electric debt | $ | 9,252 | $ | 827 | $ | 8,322 | $ | 500 | |||||||||||||||
CERC (10): | |||||||||||||||||||||||
Senior notes 1.75% to 6.625% due 2026 to 2047 | $ | 4,045 | $ | 60 | $ | 4,520 | $ | — | |||||||||||||||
Indiana Gas senior notes 6.34% to 7.08% due 2025 to 2029 | 76 | — | 86 | 10 | |||||||||||||||||||
| Commercial paper (4) | 559 | — | 599 | — | |||||||||||||||||||
| Unamortized debt issuance costs | (23) | — | (31) | — | |||||||||||||||||||
| Total CERC debt | $ | 4,657 | $ | 60 | $ | 5,174 | $ | 10 | |||||||||||||||
(1)Includes amounts due or exchangeable within one year of the date noted.
(2)CenterPoint Energy’s ZENS obligation is bifurcated into a debt component and an embedded derivative component. For additional information regarding ZENS, see Note 10(b). As ZENS are exchangeable for cash at any time at the option of the holders, these notes are classified as a current portion of long-term debt.
(3)These pollution control bonds were secured by general mortgage bonds of Houston Electric as of December 31, 2025 and 2024 and are not reflected in Houston Electric’s consolidated financial statements because of the contingent nature of the obligations.
(4)Commercial paper issued by CenterPoint Energy and CERC Corp. has maturities up to 60 days and 30 days, respectively, and are backstopped by the respective issuer’s long-term revolving credit facility. Commercial paper is classified as long-term because the termination date of the facility that backstops the commercial paper is more than one year from the balance sheet date.
(5)The first mortgage bonds issued by SIGECO subject SIGECO’s properties to a lien under the related mortgage indenture as further discussed below.
(6)Scheduled final payment dates are November 15, 2036 and May 15, 2041. The SIGECO Securitization Bonds will be repaid over time through a securitization charge imposed on retail electric customers in SIGECO’s service territory.
(7)On November 20, 2025, Houston Electric, Mizuho Bank, Ltd., as administrative agent, and the banks party thereto entered into a First Amendment to the Term Loan Agreement, amending Houston Electric’s Term Loan Agreement dated as of June 24, 2024. The First Amendment extended the maturity date of the Term Loan Agreement from December 24, 2025 to March 31, 2026.
(8)The general mortgage bonds issued by Houston Electric subject Houston Electric’s properties to a lien under the General Mortgage as further discussed below.
(9)Scheduled final payment dates are December 15, 2035 and June 15, 2040. The Restoration Bond Company II Securitization Bonds will be repaid over time through a securitization charge imposed on retail electric customers in Houston Electric’s service territory.
(10) Issued by CERC Corp.
Debt Transactions
Debt Issuances. During 2025, the following debt instruments were issued or incurred:
| Registrant | Issuance Date | Debt Instrument | Aggregate Principal Amount | Interest Rate | Maturity Date | |||||||||||||||||||||||||||
| (in millions, except for interest rates) | ||||||||||||||||||||||||||||||||
| Houston Electric (1) | February 2025 | General Mortgage Bonds | $ | 500 | 4.80% | 2030 | ||||||||||||||||||||||||||
Houston Electric (2) | August 2025 | General Mortgage Bonds | 600 | 4.95% | 2035 | |||||||||||||||||||||||||||
Houston Electric (3) | September 2025 | Securitization Bonds | 402 | 4.255% - 4.826% | 2035 - 2040 | |||||||||||||||||||||||||||
| Total Houston Electric | 1,502 | |||||||||||||||||||||||||||||||
CenterPoint Energy (4) | January 2025 | First Mortgage Bonds | 165 | 5.69% | 2055 | |||||||||||||||||||||||||||
CenterPoint Energy (5) | July 2025 | First Mortgage Bonds | 100 | 5.09% | 2031 | |||||||||||||||||||||||||||
CenterPoint Energy (5) | July 2025 | First Mortgage Bonds | 105 | 5.52% | 2035 | |||||||||||||||||||||||||||
CenterPoint Energy (6) | July 2025 | 2028 Convertible Senior Notes | 1,000 | 3.00% | 2028 | |||||||||||||||||||||||||||
CenterPoint Energy (7) | October 2025 | First Mortgage Bonds | 45 | 5.77% | 2040 | |||||||||||||||||||||||||||
CenterPoint Energy (7) | October 2025 | First Mortgage Bonds | 100 | 6.18% | 2055 | |||||||||||||||||||||||||||
CenterPoint Energy (8) | October 2025 | Junior Subordinated Notes | 700 | 5.95% | 2056 | |||||||||||||||||||||||||||
| Total CenterPoint Energy | $ | 3,717 | ||||||||||||||||||||||||||||||
(1)Net proceeds from Houston Electric’s February 2025 issuance of general mortgage bonds, after deducting transaction expenses and fees, were approximately $495 million, which were used for general limited liability company purposes, including capital expenditures and working capital purposes.
(2)Net proceeds from Houston Electric’s August 2025 issuance of general mortgage bonds, after deducting transaction expenses and fees, were approximately $592 million, which were used for general limited liability company purposes, including capital expenditures and working capital purposes.
(3)Issued by Restoration Bond Company II. Net proceeds from the September 2025 issuance of the Restoration Bond Company II Securitization Bonds, after deducting transaction expenses and fees, were approximately $396 million, which were used to purchase the system restoration property from Houston Electric.
(4)Issued by SIGECO. Net proceeds from SIGECO’s January 2025 issuance of first mortgage bonds, after deducting transaction expenses and fees, were approximately $164 million, which were used for the acquisition of Posey Solar.
(5)Issued by SIGECO. Total proceeds from SIGECO’s July 2025 issuance of the Series 2025B Bonds were used for general corporate purposes, including repaying short-term debt, refunding long-term debt at maturity or otherwise and funding capital expenditures.
(6)Net proceeds from CenterPoint Energy’s July 2025 issuance of convertible senior notes, after deducting transaction expenses and fees, were approximately $987 million, which were used for general corporate purposes, including repayment of a portion of CenterPoint Energy’s outstanding commercial paper and other debt.
(7)Issued by SIGECO. Total proceeds from SIGECO’s October 2025 issuance of first mortgage bonds of the Series 2025C Bonds were used for general corporate purposes, including repaying short-term debt, refunding long-term debt at maturity or otherwise and funding capital expenditures.
(8)Net proceeds from CenterPoint Energy’s October 2025 issuance of junior subordinated notes, after deducting transaction expenses and fees, were approximately $691 million, which were used for general corporate purposes, including the repayment of a portion of CenterPoint Energy’s outstanding commercial paper.
Junior Subordinated Notes due 2056. As described in the table above, in October 2025, CenterPoint Energy issued $700 million aggregate principal amount of 5.950% Fixed-to-Fixed Reset Rate Junior Subordinated Notes, Series D, due 2056
(the “Series D Notes”). Interest on the Series D Notes accrues from October 2, 2025 and is payable semiannually in arrears on April 1 and October 1 of each year, beginning on April 1, 2026, and maturing on April 1, 2056. The Series D Notes bear interest (i) from and including October 2, 2025 to, but excluding, April 1, 2031 at the rate of 5.950% per annum and (ii) from and including April 1, 2031, during each five-year period following April 1, 2031 (each such five-year period, a “Series D Interest Reset Period”), at a rate per annum equal to the Five-Year Treasury Rate (as defined in the Junior Subordinated Notes Indenture) as of two business days prior to the beginning of the applicable Series D Interest Reset Period plus a spread of 2.223%, with such rate per annum to be reset on each five-year anniversary of April 1, 2031; provided that the interest rate during any Series D Interest Reset Period will not reset below 5.950% per annum (which is the same interest rate as in effect from and including the original issue date to, but excluding, April 1, 2031). So long as no event of default (as defined in the prospectus supplement relating to the offering of the Series D Notes) with respect to the Series D Notes has occurred and is continuing, CenterPoint Energy may, at its option, defer interest payments on the Series D Notes, from time to time, for one or more deferral periods of up to 20 consecutive semiannual interest payment periods, except that no such optional deferral period (as defined in the prospectus supplement relating to the offering of the Series D Notes) may extend beyond the final maturity date of the Series D Notes or end on a day other than the day immediately preceding an interest payment date.
During any optional deferral period, CenterPoint Energy (and its majority-owned subsidiaries, as applicable) will not (subject to certain exceptions as described in the Junior Subordinated Notes Indenture): (i) declare or pay any dividends or distributions on any of CenterPoint Energy’s capital stock; (ii) redeem, purchase, acquire or make a liquidation payment with respect to any of CenterPoint Energy’s capital stock; (iii) pay any principal, interest (to the extent such interest is deferrable) or premium on, or repay, repurchase or redeem any of CenterPoint Energy’s indebtedness that ranks equally with or junior to the Series D Notes in right of payment (including debt securities of other series, such as the other series of the Junior Subordinated Notes outstanding); or (iv) make any payments with respect to any guarantees by CenterPoint Energy of any indebtedness if such guarantees rank equally with or junior to the Series D Notes in right of payment.
The Series D Notes are CenterPoint Energy’s unsecured obligations and rank junior and subordinate in right of payment to the prior payment in full of CenterPoint Energy’s existing and future Senior Indebtedness (as defined in the Junior Subordinated Notes Indenture).
2026 Convertible Senior Notes. Interest on the 2026 Convertible Notes is payable semiannually in arrears on February 15 and August 15 of each year, beginning on February 15, 2024. The 2026 Convertible Notes will mature on August 15, 2026, unless earlier converted or repurchased by CenterPoint Energy in accordance with their terms.
Prior to the close of business on the business day immediately preceding May 15, 2026, the 2026 Convertible Notes are convertible only under certain conditions. On or after May 15, 2026 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders of the 2026 Convertible Notes may convert all or any portion of their 2026 Convertible Notes at any time at the conversion rate then in effect, irrespective of the conditions. CenterPoint Energy may not redeem the 2026 Convertible Notes prior to the maturity date.
Upon conversion of the 2026 Convertible Notes, CenterPoint Energy will pay cash up to the aggregate principal amount of the 2026 Convertible Notes to be converted and pay or deliver, as the case may be, cash, shares of Common Stock, or a combination of cash and shares of Common Stock, at CenterPoint Energy’s election, in respect of the remainder, if any, of CenterPoint Energy’s conversion obligation in excess of the aggregate principal amount of the 2026 Convertible Notes being converted. The conversion rate for the 2026 Convertible Notes is initially 27.1278 shares of Common Stock per $1,000 principal amount of 2026 Convertible Notes (equivalent to an initial conversion price of approximately $36.86 per share of Common Stock). The initial conversion price of the 2026 Convertible Notes represents a premium of approximately 25.0% over the last reported sale price of the Common Stock on the NYSE on August 1, 2023. Initially, a maximum of 33,909,700 shares of Common Stock may be issued upon conversion of the 2026 Convertible Notes based on the initial maximum conversion rate of 33.9097 shares of Common Stock per $1,000 principal amount of 2026 Convertible Notes. The conversion rate will be subject to adjustment in some events (as described in the 2026 Convertible Notes Indenture) but will not be adjusted for any accrued and unpaid interest.
2028 Convertible Senior Notes. Interest on the 2028 Convertible Notes is payable semiannually in arrears on February 1 and August 1 of each year, beginning on February 1, 2026. The 2028 Convertible Notes will mature on August 1, 2028, unless earlier converted or repurchased by CenterPoint Energy in accordance with their terms.
Prior to the close of business on the business day immediately preceding May 1, 2028, the 2028 Convertible Notes are convertible only under certain conditions. On or after May 1, 2028 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders of the 2028 Convertible Notes may convert all or any portion of their
2028 Convertible Notes at any time at the conversion rate then in effect, irrespective of the conditions. CenterPoint Energy may not redeem the 2028 Convertible Notes prior to the maturity date.
Upon conversion of the 2028 Convertible Notes, CenterPoint Energy will pay cash up to the aggregate principal amount of the 2028 Convertible Notes to be converted and pay or deliver, as the case may be, cash, shares of Common Stock, or a combination of cash and shares of Common Stock, at CenterPoint Energy’s election, in respect of the remainder, if any, of CenterPoint Energy’s conversion obligation in excess of the aggregate principal amount of the 2028 Convertible Notes being converted. The conversion rate for the 2028 Convertible Notes is initially 21.4477 shares of Common Stock per $1,000 principal amount of 2028 Convertible Notes (equivalent to an initial conversion price of approximately $46.63 per share of Common Stock). The initial conversion price of the 2028 Convertible Notes represents a premium of approximately 25.0% over the last reported sale price of the Common Stock on the NYSE on July 28, 2025. Initially, a maximum of 26,809,600 shares of Common Stock may be issued upon conversion of the 2028 Convertible Notes based on the initial maximum conversion rate of 26.8096 shares of Common Stock per $1,000 principal amount of 2028 Convertible Notes. The conversion rate will be subject to adjustment in some events (as described in the 2028 Convertible Notes Indenture) but will not be adjusted for any accrued and unpaid interest.
In addition, following certain corporate events that occur prior to the maturity date of the convertible notes, CenterPoint Energy will, in certain circumstances, increase the conversion rate for a holder of convertible notes who elects to convert its convertible notes in connection with such a corporate event. If CenterPoint Energy undergoes a fundamental change (as defined in the respective convertible notes indenture), holders of the convertible notes may require CenterPoint Energy to repurchase for cash all or any portion of their convertible notes at a fundamental change repurchase price equal to 100% of the principal amount of the convertible notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date.
The convertible notes are senior unsecured obligations of CenterPoint Energy and rank senior in right of payment to any of CenterPoint Energy’s indebtedness that is expressly subordinated in right of payment to the convertible notes; equal in right of payment to any of CenterPoint Energy’s unsecured indebtedness that is not so subordinated; effectively junior in right of payment to any of CenterPoint Energy’s secured indebtedness it may incur in the future to the extent of the value of the assets securing such future secured indebtedness; and structurally junior to all indebtedness and other liabilities (including trade payables but excluding intercompany obligations and liabilities of a type not required to be reflected on a balance sheet of such subsidiaries in accordance with GAAP) of CenterPoint Energy’s subsidiaries.
Debt Repurchases and Repayments. During 2025, the following debt instruments were repurchased prior to maturity or repaid at maturity:
| Registrant | Repurchase/Repayment Date | Debt Instrument | Aggregate Principal | Interest Rate | Maturity Date | |||||||||||||||||||||||||||
| (in millions) | ||||||||||||||||||||||||||||||||
CERC (1) | March 2025 | Term Loan | $ | 10 | 6.36% | 2028 | ||||||||||||||||||||||||||
CERC (2) | April 2025 | Senior Notes | 415 | 4.10% - 5.40% | 2033 - 2047 | |||||||||||||||||||||||||||
CERC (3) | June 2025 | Term Loan | 10 | 6.53% | 2025 | |||||||||||||||||||||||||||
Total CERC | 435 | |||||||||||||||||||||||||||||||
Houston Electric (4) | October 2025 | General Mortgage Bonds | 234 | 4.25% - 4.50% | 2044 - 2049 | |||||||||||||||||||||||||||
Total Houston Electric | 234 | |||||||||||||||||||||||||||||||
CenterPoint Energy (2) | April 2025 | Senior Notes | 634 | 3.70% - 5.40% | 2026 - 2049 | |||||||||||||||||||||||||||
CenterPoint Energy (5) | July 2025 | First Mortgage Bonds | 41 | 3.45% | 2025 | |||||||||||||||||||||||||||
CenterPoint Energy (4) | October 2025 | Senior Notes | 329 | 2.65% - 3.70% | 2030 - 2049 | |||||||||||||||||||||||||||
| Total CenterPoint Energy | $ | 1,673 | ||||||||||||||||||||||||||||||
(1) In March 2025, CERC, through its wholly-owned subsidiary Indiana Gas, repurchased $10 million aggregate principal amount of Indiana Gas’s 6.36% Medium Term Notes, Series F, due 2028 at a redemption price equal to 104.8% of the principal amount of the notes to be redeemed plus accrued and unpaid interest thereon to, but excluding, the redemption date.
(2) In April 2025, CenterPoint Energy commenced cash tender offers for up to (i) $600 million aggregate purchase price of certain of CenterPoint Energy’s outstanding senior notes, ranging from 2.65% to 5.40%, due 2026 to 2049, and (ii)
$400 million aggregate purchase price of certain of CERC’s senior notes, ranging from 4.10% to 5.40%, due 2028 to 2047. In May 2025, CenterPoint Energy accepted for purchase and paid approximately $1 billion in connection with the settlement of the tender offers. Upon completion of the tender offers, CenterPoint Energy cancelled approximately $634 million aggregate principal amount of its senior notes and CERC Corp. cancelled approximately $415 million aggregate principal amount of its senior notes pursuant to the terms of the respective indentures governing such notes. CenterPoint Energy and CERC recognized a gain on early extinguishment of debt of approximately $36 million and $9 million, respectively, which is included in Interest expense and other finance charges on their Statements of Consolidated Income.
(3) In June 2025, CERC, through its wholly-owned subsidiary Indiana Gas, repaid at maturity $10 million aggregate principal amount of Indiana Gas’s 6.53% Medium Term Notes, Series E due 2025 at a redemption price equal to 100% of the principal amount to be redeemed plus accrued and unpaid interest thereon.
(4) In September 2025, CenterPoint Energy commenced cash tender offers for up to (i) $300 million aggregate purchase price of certain of CenterPoint Energy’s outstanding senior notes, ranging from 2.65% to 3.70%, due 2030 to 2049, and (ii) $200 million aggregate purchase price of certain of Houston Electric’s general mortgage bonds, ranging from 4.25% to 4.50%, due 2044 to 2049. In October 2025, CenterPoint Energy accepted for purchase and paid approximately $504 million in connection with the settlement of the tender offers. Upon completion of the tender offers, CenterPoint Energy cancelled approximately $329 million aggregate principal amount of its senior notes and Houston Electric cancelled approximately $234 million aggregate principal amount of its general mortgage bonds pursuant to the terms of the respective indentures governing such securities. CenterPoint Energy and Houston Electric recognized a gain on early extinguishment of debt of approximately $25 million and $24 million, respectively, which is included in Interest expense and other finance charges on their Statements of Consolidated Income, except to the extent it was deferred as outlined in the table below.
(5) In July 2025, CenterPoint Energy, through its wholly-owned subsidiary SIGECO, repaid at maturity $41 million aggregate principal amount of SIGECO’s outstanding 3.45% first mortgage bonds due 2025 at a redemption price equal to 100% of the principal amount of the first mortgage bonds to be redeemed plus accrued and unpaid interest thereon.
CenterPoint Energy, Houston Electric and CERC recorded the following gain (loss) on early extinguishment of debt, including make-whole premiums and recognition of deferred debt related costs, in Interest expense and other finance charges on their respective Statements of Consolidated Income unless specified otherwise for the periods presented:
| Year Ended December 31, | ||||||||||||||||||||
| 2025 | 2024 | 2023 | ||||||||||||||||||
| (in millions) | ||||||||||||||||||||
| CenterPoint Energy (1) | $ | 61 | $ | — | $ | (11) | ||||||||||||||
| Houston Electric (2) | 24 | — | — | |||||||||||||||||
CERC | 9 | — | — | |||||||||||||||||
(1) The loss on early extinguishment of debt at CenterPoint Energy during 2023 was recorded as a regulatory asset.
(2) The gain on early extinguishment of debt at Houston Electric during 2025 was recorded as a reduction within Regulatory assets on its Consolidated Balance Sheet.
Securitization Bonds. As of December 31, 2025, CenterPoint Energy, Houston Electric and SIGECO had VIEs including the Bond Companies and the SIGECO Securitization Subsidiary, which are consolidated. The consolidated VIEs are wholly-owned, bankruptcy-remote, special purpose entities that were formed solely for the purpose of securitizing transition property or system restoration property or facilitating the securitization financing of qualified costs. The Securitization Bonds issued by Transition Bond Company IV and Restoration Bond Company II are payable only through the imposition and collection of transition charges or system restoration charges, as defined in the Texas Public Utility Regulatory Act, which are irrevocable, non-bypassable charges to provide recovery of authorized qualified costs. The SIGECO Securitization Bonds are payable only through the imposition of securitization charges payable by SIGECO’s retail electric customers, which are non-bypassable charges to provide recovery of the qualified costs of SIGECO authorized by the IURC order. CenterPoint Energy, Houston Electric and SIGECO have no payment obligations in respect of the Securitization Bonds issued by the Bond Companies or the SIGECO Securitization Subsidiary other than to remit the applicable transition, system restoration or securitization charges they collect as set forth in servicing agreements among Houston Electric, the Bond Companies, SIGECO, the SIGECO Securitization Subsidiary and other parties, as applicable. Each special purpose entity is the sole owner of the right to impose, collect and receive the applicable transition, system restoration and securitization charges securing the bonds issued by that entity. Creditors of CenterPoint Energy, Houston Electric and SIGECO have no recourse to any assets or revenues of the Bond
Companies (including the transition, system restoration or securitization charges) or the SIGECO Securitization Subsidiary, as applicable, and the bondholders have no recourse to the general credit of CenterPoint Energy, Houston Electric or SIGECO.
Credit Facilities. The Registrants had the following revolving credit facilities as of December 31, 2025:
| Registrant | Execution Date | Size of Facility | Draw Rate of SOFR plus (1) | Financial Covenant Limit on Debt for Borrowed Money to Capital Ratio | Debt for Borrowed Money to Capital Ratio as of December 31, 2025 (2) | Termination Date (5) | ||||||||||||||||||||||||||||||||
| (in millions) | ||||||||||||||||||||||||||||||||||||||
| CenterPoint Energy | December 6, 2022 | $ | 2,400 | 1.500% | 65% | (3) | 59.6% | December 6, 2028 | ||||||||||||||||||||||||||||||
| CenterPoint Energy (4) | December 6, 2022 | 250 | 1.125% | 65% | 45.0% | December 6, 2028 | ||||||||||||||||||||||||||||||||
| Houston Electric | December 6, 2022 | 300 | 1.250% | 67.5% | (3) | 54.6% | December 6, 2028 | |||||||||||||||||||||||||||||||
| CERC | December 6, 2022 | 1,050 | 1.125% | 65% | 40.8% | December 6, 2028 | ||||||||||||||||||||||||||||||||
| Total | $ | 4,000 | ||||||||||||||||||||||||||||||||||||
(1)Based on credit ratings as of December 31, 2025.
(2)As defined in the revolving credit facility agreement, excluding Securitization Bonds.
(3)For CenterPoint Energy and Houston Electric, the financial covenant limit will temporarily increase to 70% if Houston Electric experiences damage from a natural disaster in its service territory and CenterPoint Energy certifies to the administrative agent that Houston Electric has incurred system restoration costs reasonably likely to exceed $100 million in a consecutive 12-month period, all or part of which Houston Electric intends to seek to recover through securitization financing. Such temporary increase in the financial covenant would be in effect from the date CenterPoint Energy delivers its certification until the earliest to occur of (i) the completion of the securitization financing, (ii) the first anniversary of CenterPoint Energy’s certification, or (iii) the revocation of such certification.
(4)This credit facility was issued by SIGECO.
(5)On January 29, 2025, CenterPoint Energy, Houston Electric, CERC and SIGECO each entered into Extension Agreements to, among other things, extend the maturity date of the lenders’ commitments under each of their respective Credit Agreements by one year, from December 6, 2027 to December 6, 2028.
The Registrants, as well as the subsidiaries of CenterPoint Energy discussed above, were in compliance with all financial debt covenants as of December 31, 2025.
For the periods presented, the Registrants had the following revolving credit facilities and utilization of such facilities:
| December 31, 2025 | December 31, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Registrant | Size of Facility | Loans | Letters of Credit | Commercial Paper | Weighted Average Interest Rate | Size of Facility | Loans | Letters of Credit | Commercial Paper | Weighted Average Interest Rate | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| (in millions, except weighted average interest rate) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| CenterPoint Energy (1) | $ | 2,400 | $ | — | $ | — | $ | 420 | 3.78 | % | $ | 2,400 | $ | — | $ | — | $ | 382 | 4.59 | % | ||||||||||||||||||||||||||||||||||||||||||
| CenterPoint Energy (2) | 250 | — | — | — | — | % | 250 | — | — | — | — | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Houston Electric | 300 | — | — | — | — | % | 300 | — | — | — | — | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| CERC | 1,050 | — | — | 559 | 3.86 | % | 1,050 | — | — | 599 | 4.62 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total | $ | 4,000 | $ | — | $ | — | $ | 979 | $ | 4,000 | $ | — | $ | — | $ | 981 | ||||||||||||||||||||||||||||||||||||||||||||||
(1)CenterPoint Energy’s and CERC’s outstanding commercial paper generally have maturities up to 60 days and 30 days, respectively, and are backstopped by the respective issuer’s long-term revolving credit facility.
(2)This credit facility was issued by SIGECO.
Maturities. As of December 31, 2025, maturities of long-term debt through 2030, excluding the ZENS obligation and unamortized discounts, premiums and issuance costs, were as follows:
| CenterPoint Energy (1) | Houston Electric (1) | CERC | Securitization Bonds | ||||||||||||||||||||
| (in millions) | |||||||||||||||||||||||
| 2026 | $ | 2,417 | $ | 827 | $ | 60 | $ | 40 | |||||||||||||||
| 2027 | 363 | 323 | 26 | 37 | |||||||||||||||||||
| 2028 | 3,980 | 524 | 1,779 | 39 | |||||||||||||||||||
| 2029 | 911 | 25 | 30 | 41 | |||||||||||||||||||
| 2030 | 1,512 | 526 | 500 | 43 | |||||||||||||||||||
(1)These maturities include Securitization Bonds principal repayments on scheduled payment dates.
Liens. As of December 31, 2025, Houston Electric’s assets were subject to liens securing approximately $9.3 billion of general mortgage bonds outstanding under the General Mortgage, including approximately $68 million held in trust to secure pollution control bonds that mature in 2028 for which CenterPoint Energy is obligated. The general mortgage bonds that are held in trust to secure pollution control bonds are not reflected in Houston Electric’s consolidated financial statements because of the contingent nature of the obligations. Houston Electric may issue additional general mortgage bonds on the basis of retired bonds, 70% of property additions or cash deposited with the trustee. As of December 31, 2025, approximately $5.1 billion of additional general mortgage bonds could be issued on the basis of retired bonds and 70% of property additions. No first mortgage bonds are outstanding under the M&DOT, and Houston Electric is contractually obligated to not issue any additional first mortgage bonds under the M&DOT and is undertaking actions to release the lien of the M&DOT and terminate the M&DOT.
As of December 31, 2025, SIGECO had approximately $1.5 billion aggregate principal amount of first mortgage bonds outstanding. Generally, all of SIGECO’s real and tangible property is subject to the lien of SIGECO’s mortgage indenture which was amended and restated effective as of January 1, 2023. As of December 31, 2025, SIGECO was permitted to issue additional bonds under its mortgage indenture up to 70% of then currently unfunded property additions and approximately $892 million of additional first mortgage bonds could be issued on this basis.
Houston Electric and CERC participate in a money pool through which they can borrow or invest on a short-term basis. For additional information, see Note 18.Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2022 | Feb 17, 2023 | |
| 2019 | Feb 27, 2020 | |
| 2017 | Feb 22, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 26, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.