1051116--3/28/2006--DUKE_CAPITAL_LLC

related topics
{condition, economic, financial}
{operation, natural, condition}
{cost, regulation, environmental}
{product, liability, claim}
{debt, indebtedness, cash}
{financial, litigation, operation}
{regulation, change, law}
Duke Capital is subject to business uncertainties and contractual restrictions as a result of the anticipated merger between Duke Energy and Cinergy, which could adversely affect its business. Gas transmission, distribution, gathering, and processing activities involve numerous risks that may result in accidents and other operating risks and costs. Duke Capital may be unable to secure long term power purchase agreements or transmission agreements, which could expose Duke Capital s sales to increased volatility. The long-term financial condition of Duke Capital s U.S. and Canadian natural gas transmission, distribution, gathering and processing businesses are dependent on the continued availability of natural gas reserves. Competition in the unregulated markets in which Duke Capital operates may adversely affect the growth and profitability of Duke Capital s business. Duke Capital must meet credit quality standards. If Duke Capital or Duke Capital s rated subsidiaries are unable to maintain an investment grade credit rating, Duke Capital would be required under trading agreements to provide collateral in the form of letters of credit or cash, which may materially adversely affect Duke Capital s liquidity. Duke Capital cannot be sure that Duke Capital and its rated subsidiaries will maintain investment grade credit ratings. Duke Capital relies on access to short-term money markets and longer-term capital markets to finance Duke Capital s capital requirements and support Duke Capital s liquidity needs, and Duke Capital s access to those markets can be adversely affected by a number of conditions, many of which are beyond Duke Capital s control. Duke Capital s investments and projects located outside of the United States expose Duke Capital to risks related to laws of other countries, taxes, economic conditions, political conditions and policies of foreign governments. These risks may delay or reduce Duke Capital s realization of value from Duke Capital s international projects. Duke Capital s investments and projects located outside of the United States expose Duke Capital to risks related to fluctuations in currency rates. These risks, and Duke Capital s activities to mitigate such risks, may adversely affect Duke Capital s cash flows and results of operations. Duke Capital will be exposed to market risk and may incur losses from the trading operations and/or activities Duke Capital takes to mitigate Duke Capital s commodity exposure. Duke Capital s plan to dispose of DENA s assets may result in additional charges and dispositions of DENA s assets may not yield the benefits that Duke Capital expects. Duke Capital is exposed to credit risk of counterparties with whom Duke Capital does business. Aboriginal claims have been asserted in British Columbia and Alberta which could impact Duke Capital s future access to public lands. Duke Capital is subject to numerous environmental laws and regulations that require significant capital expenditures, can increase Duke Capital s cost of operations, and which may impact or limit Duke Capital s business plans, or expose Duke Capital to environmental liabilities. Duke Capital is involved in numerous legal proceedings, the outcome of which are uncertain, and resolution adverse to Duke Capital could negatively affect Duke Capital s cash flows, financial condition or results of operations. Duke Capital s results of operations may be negatively affected by sustained downturns or sluggishness in the economy, including low levels in the market prices of commodities, all of which are beyond Duke Capital s control. Duke Capital s operating results may fluctuate on a seasonal and quarterly basis. Duke Capital s business is subject to extensive regulation that will affect Duke Capital s operations and costs Certain events in the energy markets beyond Duke Capital s control have increased the level of public and regulatory scrutiny in the energy industry and in the capital markets and could result in new laws or regulations which could have a negative impact on Duke Capital s results of operations. Duke Capital s gas transmission and storage operations are subject to government regulations and rate proceedings that could have an adverse impact on Duke Capital s ability to recover the costs of operating Duke Capital s pipeline facilities. Potential terrorist activities or military or other actions could adversely affect Duke Capital s business.

Full 10-K form ▸

related documents
907242--3/16/2010--MONARCH_CASINO_&_RESORT_INC
1326160--2/27/2009--Duke_Energy_CORP
1326160--3/1/2007--Duke_Energy_CORP
918646--5/27/2009--EAGLE_MATERIALS_INC
833079--2/27/2009--Meritage_Homes_CORP
19745--3/8/2010--CHESAPEAKE_UTILITIES_CORP
1193311--3/3/2009--ONCOR_ELECTRIC_DELIVERY_CO_LLC
19745--3/9/2009--CHESAPEAKE_UTILITIES_CORP
30371--3/6/2006--DUKE_ENERGY_CORP
314132--7/12/2007--FLEETWOOD_ENTERPRISES_INC/DE/
6951--12/12/2008--APPLIED_MATERIALS_INC_/DE
833079--3/5/2010--Meritage_Homes_CORP
823094--3/1/2010--SOTHEBYS
314132--7/13/2006--FLEETWOOD_ENTERPRISES_INC/DE/
789073--2/24/2010--FORTUNE_BRANDS_INC
789073--2/27/2009--FORTUNE_BRANDS_INC
1055291--4/13/2006--MEXICAN_RAILWAY_TRANSPORTATION_GROUP
922487--3/30/2010--ROYAL_BANCSHARES_OF_PENNSYLVANIA_INC
793733--2/23/2009--SKYWEST_INC
45876--3/13/2006--HARSCO_CORP
1409171--4/16/2009--Titan_Machinery_Inc.
1409171--4/15/2010--Titan_Machinery_Inc.
898660--3/31/2010--STATION_CASINOS_INC
91882--3/1/2007--SOUTH_CAROLINA_ELECTRIC_&_GAS_CO
26172--2/27/2009--CUMMINS_INC
945489--3/27/2009--BELL_INDUSTRIES_INC_/NEW/
84129--4/28/2010--RITE_AID_CORP
84129--4/17/2009--RITE_AID_CORP
1326160--2/29/2008--Duke_Energy_CORP
1011659--3/10/2010--UNIONBANCAL_CORP