12.

Long-Term Debt

Our outstanding long-term debt is shown below:


	September 30,			December 31,
(in thousands)	2011			2010

FPU secured first mortgage bonds ^(A):
9.57% bond, due May 1, 2018	$	6,347		$	7,248
10.03% bond, due May 1, 2018		3,491			3,986
9.08% bond, due June 1, 2022		7,957			7,950
Uncollateralized senior notes:
6.85% note, due January 1, 2012		1,000			1,000
7.83% note, due January 1, 2015		8,000			8,000
6.64% note, due October 31, 2017		19,091			19,091
5.50% note, due October 12, 2020		20,000			20,000
5.93% note, due October 31, 2023		30,000			30,000
5.68% note, due June 30, 2026		29,000			—
Convertible debentures:
8.25% due March 1, 2014		1,179			1,318
Promissory note		200			265

Total long-term debt		126,265			98,858
Less: current maturities		(9,196	)		(9,216	)

Total long-term debt, net of current maturities	$	117,069		$	89,642


(A)		FPU secured first mortgage bonds are guaranteed by Chesapeake.

On June 23, 2011, we issued $29.0 million of 5.68 percent unsecured senior notes to Metropolitan Life Insurance Company and New England Life Insurance Company, pursuant to an agreement we entered into with them on June 29, 2010. These notes have similar covenants and default provisions as Chesapeake’s existing senior notes, and they require annual principal payments of $2.9 million beginning in the sixth year after the issuance. We used the proceeds to permanently finance the redemption of the 6.85 percent and 4.90 percent series of FPU first mortgage bonds. These redemptions occurred in January 2010 and were previously financed by Chesapeake’s short-term loan facilities. Under the same agreement, we may issue an additional $7.0 million of unsecured senior notes prior to May 3, 2013, at a rate ranging from 5.28 percent to 6.43 percent based on the timing of the issuance. These notes, if issued, will have similar covenants and default provisions as the senior notes issued in June 2011.