DEBT

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

DEBT

DEBT

CREDIT FACILITIES

The following table provides details of our committed credit facilities as at June 30, 2022:

	Maturity1	Total Facilities	Draws2	Available
(millions of Canadian dollars)
Enbridge Inc.	2023-2026	10,818	9,153	1,665
Enbridge (U.S.) Inc.	2023-2026	7,095	4,493	2,602
Enbridge Pipelines Inc.	2024	2,000	797	1,203
Enbridge Gas Inc.	2023	2,000	1,620	380
Total committed credit facilities		21,913	16,063	5,850

1Maturity date is inclusive of the one-year term out option for certain credit facilities.

2Includes facility draws and commercial paper issuances that are back-stopped by credit facilities.

On February 10, 2022, we renewed our three year $1.0 billion sustainability-linked credit facility, extending the maturity date out to July 2025.

On May 17, 2022, we entered into a three year term loan with a syndicate of Japanese banks for approximately $806 million (¥84.8 billion), which will mature in May 2025 and replaces the approximately $499 million (¥52.5 billion) term loan that matured in May 2022. Additionally, on May 24, 2022, we entered into a 364-day term loan for approximately $1.9 billion, which will mature in May 2023.

On June 23, 2022, we renewed approximately $5.5 billion of our 364-day extendible credit facilities to July 2024, which includes a one-year term out provision from July 2023.

On July 15 and 22, 2022, we renewed $3.0 billion of our five year credit facilities, extending the maturity date out to July 2027. We also extended approximately $4.8 billion of our 364-day extendible credit facilities to July 2024, which includes a one-year term out provision, from July 2023. As part of the renewal, we also increased our credit facilities by approximately $481 million.

In addition to the committed credit facilities noted above, we maintain $1.3 billion of uncommitted demand letter of credit facilities, of which $791 million was unutilized as at June 30, 2022. As at December 31, 2021, we had $1.3 billion of uncommitted demand letter of credit facilities, of which $854 million was unutilized.

Our credit facilities carry a weighted average standby fee of 0.1% per annum on the unused portion and draws bear interest at market rates. Certain credit facilities serve as a back-stop to the commercial paper programs and we have the option to extend such facilities, which are currently scheduled to mature from 2023 to 2027.

As at June 30, 2022 and December 31, 2021, commercial paper and credit facility draws, net of short-term borrowings and non-revolving credit facilities that mature within one year, of $12.3 billion and $11.3 billion, respectively, were supported by the availability of long-term committed credit facilities and, therefore, have been classified as long-term debt.

LONG-TERM DEBT ISSUANCES

During the six months ended June 30, 2022, we completed the following long-term debt issuances totaling $750 million and US$1.5 billion:

Company	Issue Date			Principal Amount
(millions of Canadian dollars unless otherwise stated)
Enbridge Inc.
	January 2022	5.00%	hybrid fixed-to-fixed subordinated notes due January 2082	$750
	February 2022	Floating rate senior notes due February 20241		US$600
	February 2022	2.15%	senior notes due February 2024	US$400
	February 2022	2.50%	senior notes due February 2025	US$500

1Notes carry an interest rate set to equal the Secured Overnight Financing Rate plus a margin of 63 basis points.

LONG-TERM DEBT REPAYMENTS

During the six months ended June 30, 2022, we completed the following long-term debt repayments totaling US$784 million and $334 million:

Company	Repayment Date			Principal Amount
(millions of Canadian dollars unless otherwise stated)
Enbridge Inc.
	February 2022	Floating rate notes1		US$750
	February 2022	4.85%	medium-term notes	$200
Enbridge Gas Inc.
	April 2022	4.85%	medium-term notes	$125
Enbridge Pipelines (Southern Lights) L.L.C.
	June 2022	3.98%	senior notes	US$34
Enbridge Southern Lights LP
	June 2022	4.01%	senior notes	$9

1Notes carried an interest rate set to equal the three-month London Interbank Offered Rate plus a margin of 50 basis points.

SUBORDINATED TERM NOTES

As at June 30, 2022 and December 31, 2021, our fixed-to-floating rate and fixed-to-fixed rate subordinated term notes had a principal value of $8.6 billion and $7.7 billion, respectively.

FAIR VALUE ADJUSTMENT

As at June 30, 2022 and December 31, 2021, the net fair value adjustments to total debt assumed in a historical acquisition were $635 million and $667 million, respectively.

During the three and six months ended June 30, 2022, amortization of the fair value adjustment recorded as a reduction to Interest expense in the Consolidated Statements of Earnings was $11 million (June 30, 2021 - $13 million) and $22 million (June 30, 2021 - $25 million), respectively.

DEBT COVENANTS

Our credit facility agreements and term debt indentures include standard events of default and covenant provisions whereby accelerated repayment and/or termination of the agreements may result if we are to default on payment or violate certain covenants. As at June 30, 2022, we are in compliance with all covenant provisions.