CenterPoint Energy, Inc.
CenterPoint Energy Transition Bond CO II, LLC (Form: 8-K, Received: 08/07/2014 16:07:00)

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): August 1, 2014

 

 

CENTERPOINT ENERGY TRANSITION BOND COMPANY II, LLC

(Exact name of registrant as specified in its charter)

 

 

 

Delaware
  333-121505
  59-3790472
(State or other jurisdiction
of incorporation)
  (Commission
File Number)
  (IRS Employer
Identification No.)
1111 Louisiana, Suite 4655B
Houston, Texas
  77002
(Address of principal executive offices)   (Zip Code)

Registrant’s telephone number, including area code: (713) 207-5222

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 8.01 Other Events.

In connection with the August 1, 2014 payment date for its Senior Secured Transition Bonds, Series A (the “Bonds”), CenterPoint Energy Transition Bond Company II, LLC (the “Company”) paid all interest then due on the Bonds and the scheduled principal payment of $65,050,711 on the Bonds in Tranche A-4.

After giving effect to all payments made in connection with the August 1, 2014 payment date, the Capital Subaccount had a balance of approximately $9.3 million, which is the targeted level of the Capital Subaccount, and the Excess Funds Subaccount had a balance of approximately $12.5 million.

After giving effect to the principal payment set forth above, the outstanding principal balance and the interest rate for each outstanding tranche of the Bonds are as follows:

 

Tranche    Outstanding Principal
Balance
     Interest Rate  
A-4    $ 448,198,338         5.170
A-5    $ 462,000,000         5.302

 

Item 9.01 Financial Statements and Exhibits .

(d) Exhibits.

The Company has included as Exhibit 99.1 to this Current Report on Form 8-K the Semiannual Servicer’s Certificate, dated July 30, 2014, transmitted by CenterPoint Energy Houston Electric, LLC, the servicer of the Bonds, to Deutsche Bank Trust Company Americas, the Paying Agent for the Bonds, in connection with the August 1, 2014 payment date for the Bonds. The information on this Exhibit is hereby incorporated by reference into this Current Report on Form 8-K.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

    CENTERPOINT ENERGY TRANSITION BOND COMPANY II, LLC
Date: August 7, 2014     By:   /s/ Walter L. Fitzgerald
      Walter L. Fitzgerald
     

Senior Vice President, Chief Accounting

Officer and Manager


EXHIBIT INDEX

 

Exhibit Number

  

Exhibit Description

99.1    Semiannual Servicer’s Certificate, dated as of July 30, 2014, as to the transition bond balances, the balances of the collection account and its sub-accounts, and setting forth transfers and payments to be made on the August 1, 2014 payment date.

Exhibit 99.1

Semiannual Servicer’s Certificate

CenterPoint Energy Transition Bond Company II, LLC

$1,851,000,000 Series A Transition Bonds

Pursuant to Section 6 of Annex 1 to the Transition Property Servicing Agreement (the “Agreement”), dated as of December 16, 2005, between

CenterPoint Energy Houston Electric, LLC, as Servicer, and CenterPoint Energy Transition Bond Company II, LLC, as Issuer,

the Servicer does hereby certify as follows:

Capitalized terms used in this Semiannual Servicer’s Certificate have their respective meanings as

set forth in the Agreement. References herein to certain sections and subsections are references

to the respective sections and subsections of the Agreement.

Collection Periods: January 31, 2014 through July 30, 2014

Payment Date: August 1, 2014

Today’s Date: July 30, 2014

 

1. Collections Allocable and Aggregate Amounts Available for Current Payment Date:

   

   

i.

  

Remittances for the January 31, 2014 Collection Period

     706,136.35       

ii.

  

Remittances for the February 1 through 28, 2014 Collection Period

     14,791,771.17       

iii.

  

Remittances for the March 1 through 31, 2014 Collection Period

     15,296,743.77       

iv.

  

Remittances for the April 1 through 30, 2014 Collection Period

     14,811,396.58       

v.

  

Remittances for the May 1 through 31, 2014 Collection Period

     13,629,069.64       

vi.

  

Remittances for the June 1 through 30, 2014 Collection Period

     14,237,776.57       

vii.

  

Remittances for the July 1 through 30, 2014 Collection Period

     18,545,697.46       

viii.

  

Net Earnings on Collection Account

       [1/1/14 through 6/30/14  
  

General Subaccount

     5,918.62       
  

Capital Subaccount

     1,164.69       
  

Excess Funds Subaccount

     1,473.27       
     

 

 

     

ix.

  

General Subaccount Balance (sum of i through viii above)

     92,027,148.12       
     

 

 

     

x.

  

Excess Funds Subaccount Balance as of Prior Payment Date

     11,720,201.78       

xi.

  

Capital Subaccount Balance as of Prior Payment Date

     9,255,000.00       
     

 

 

     

xii.

  

Collection Account Balance (sum of ix through xi above)

     113,002,349.90       
     

 

 

     

2. Outstanding Amounts as of Prior Payment Date:

      

i.

  

Tranche A-1 Principal Balance

     0.00       

ii.

  

Tranche A-2 Principal Balance

     0.00       

iii.

  

Tranche A-3 Principal Balance

     0.00       

iv.

  

Tranche A-4 Principal Balance

     513,249,049.00       

v.

  

Tranche A-5 Principal Balance

     462,000,000.00       
     

 

 

     

vi.

  

Aggregate Principal Balance of all Series A Transition Bonds

     975,249,049.00       
     

 

 

     

3. Required Funding/Payments as of Current Payment Date:

      
    

Series A Principal

   Projected Principal
Balance
    Semiannual
Principal Due
       

i.

  

Tranche A-1

     0.00        0.00     

ii.

  

Tranche A-2

     0.00        0.00     

iii.

  

Tranche A-3

     0.00        0.00     

iv.

  

Tranche A-4

     448,198,338.00        65,050,711.00     

v.

  

Tranche A-5

     462,000,000.00        0.00     
     

 

 

   

 

 

   

vi.

  

For all Series A Transition Bonds

     910,198,338.00        65,050,711.00     
     

 

 

   

 

 

   
          Transition
Bond
Interest Rate
    Days in
Interest
Period (1)
    Interest Due  

vii.

  

Required Tranche A-1 Interest

     4.840     180        0.00   

viii.

  

Required Tranche A-2 Interest

     4.970     180        0.00   

ix.

  

Required Tranche A-3 Interest

     5.090     180        0.00   

x.

  

Required Tranche A-4 Interest

     5.170     180        13,267,487.92   

xi.

  

Required Tranche A-5 Interest

     5.302     180        12,247,620.00   
  

(1) On 30/360 Day basis.

      
          Required Level     Funding
Required
       

xii.

  

Capital Subaccount

     9,255,000.00        0.00     


4. Allocation of Remittances as of Current Payment Date Pursuant to Section 8.02(d) of Indenture:

   

    

i.

  

Trustee Fees and Expenses

     2,500.00        

ii.

  

Servicing Fee

     462,750.00 (1)      

iii.

  

Administration Fee and Independent Managers Fee

     52,500.00 (2)      

iv.

  

Operating Expenses

     118,812.50 (3)      

v.

  

Semiannual Interest (including any past-due Semiannual Interest for prior periods)

       
    

Series A

   Aggregate     Per 1,000
of Original
Principal Amount
      
  

1. Tranche A-1 Interest Payment

     0.00        0.00      
  

2. Tranche A-2 Interest Payment

     0.00        0.00      
  

3. Tranche A-3 Interest Payment

     0.00        0.00      
  

4. Tranche A-4 Interest Payment

     13,267,487.92        25.56      
  

5. Tranche A-5 Interest Payment

     12,247,620.00        26.51      

vi.

  

Principal Due and Payable as a result of (A) Event of Default or (B) on Final Maturity Date

       
    

Series A

   Aggregate     Per 1,000 of
Original
Principal Amount
      
  

1. Tranche A-1 Principal Payment

     0.00        0.00      
  

2. Tranche A-2 Principal Payment

     0.00        0.00      
  

3. Tranche A-3 Principal Payment

     0.00        0.00      
  

4. Tranche A-4 Principal Payment

     0.00        0.00      
  

5. Tranche A-5 Principal Payment

     0.00        0.00      
  

(C) Principal Scheduled to be Paid on Current Payment Date

       
    

Series A

   Aggregate     Per 1,000 of
Original
Principal Amount
      
  

1. Tranche A-1 Principal Payment

     0.00        0.00      
  

2. Tranche A-2 Principal Payment

     0.00        0.00      
  

3. Tranche A-3 Principal Payment

     0.00        0.00      
  

4. Tranche A-4 Principal Payment

     65,050,711.00        125.34      
  

5. Tranche A-5 Principal Payment

     0.00        0.00      

vii.

  

Amounts Payable to Credit Enhancement Providers (if applicable)

     N/A        

viii.

  

Operating Expenses not Paid under Clause (iv) above

     0.00        

ix.

  

Funding of Capital Subaccount

     0.00        

x.

  

Net Earnings in Capital Subaccount Released to Issuer

     1,164.69        

xi.

  

Deposit to Excess Funds Subaccount

     823,602.01        

xii.

  

Released to Issuer upon Series Retirement: Collection Account

     0.00        
     

 

 

      

xiii.

  

Aggregate Remittances as of Current Payment Date

     92,027,148.12        
     

 

 

      
  

(1)    Servicing fee: $1,851,000,000 x 0.05% x 180/360 = $462,750.00

       
  

(2)    Administration fee: $100,000 x 180/360 = $50,000.00; Independent Managers fee: $2,500.00

       

  
  

(3)    Reimbursement to Administrator for fees/expenses paid to outside legal counsel ($3,520.00), independent public accountant ($73,256.00), rating agencies ($17,500.00), printer ($1,180.00) and L/C issuing bank ($23,356.50)

         

  


5. Subaccount Withdrawals as of Current Payment Date
(if applicable, pursuant to Section 8.02(d) of Indenture):

  

i.

  

Excess Funds Subaccount (available for 4.i. through 4.ix.)

     0.00         

ii.

  

Capital Subaccount (available for 4.i. through 4.viii.)

     0.00         
     

 

 

       

iii.

  

Total Withdrawals

     0.00         
     

 

 

       

6. Outstanding Amounts and Collection Account Balance as of Current Payment Date
(after giving effect to payments to be made on such Payment Date):

  
    

Series A

                

i.

  

Tranche A-1 Principal Balance

     0.00         

ii.

  

Tranche A-2 Principal Balance

     0.00         

iii.

  

Tranche A-3 Principal Balance

     0.00         

iv.

  

Tranche A-4 Principal Balance

     448,198,338.00         

v.

  

Tranche A-5 Principal Balance

     462,000,000.00         
     

 

 

       

vi.

  

Aggregate Principal Balance for all Series A Transition Bonds

     910,198,338.00         
     

 

 

       

vii.

  

Excess Funds Subaccount Balance

     12,545,277.06         

viii.

  

Capital Subaccount Balance

     9,255,000.00         
     

 

 

       

ix.

  

Aggregate Collection Account Balance

     21,800,277.06         
     

 

 

       

7. Shortfalls In Interest and Principal Payments as of Current Payment Date
(after giving effect to payments to be made on such Payment Date):

  

i.

  

Semiannual Interest

        
    

Series A

                
  

1. Tranche A-1 Bond Interest Payment

     0.00         
  

2. Tranche A-2 Bond Interest Payment

     0.00         
  

3. Tranche A-3 Bond Interest Payment

     0.00         
  

4. Tranche A-4 Bond Interest Payment

     0.00         
  

5. Tranche A-5 Bond Interest Payment

     0.00         

ii.

  

Semiannual Principal

        
    

Series A

                
  

1. Tranche A-1 Principal Payment

     0.00         
  

2. Tranche A-2 Principal Payment

     0.00         
  

3. Tranche A-3 Principal Payment

     0.00         
  

4. Tranche A-4 Principal Payment

     0.00         
  

5. Tranche A-5 Principal Payment

     0.00         

8. Shortfall in Required Subaccount Level as of Current Payment Date
(after giving effect to payments to be made on such Payment Date):

  

i.

  

Capital Subaccount

     0.00         

 

  IN WITNESS HEREOF, the undersigned has duly executed and delivered this Semiannual Servicer’s Certificate this 30th day of July, 2014.
  CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC, as Servicer
by:   /s/ Carla Anita Kneipp
  Carla Anita Kneipp
  Vice President and Treasurer