DTE Energy(US:DTE)2021-07-26 16:00Debt Management - DTE Energy's floating rate debt amounts to $1.1 billion, representing 4.65% of total debt, primarily related to a $1.0 billion variable rate term loan issued in June 2021[388]. - The Registrants are subject to interest rate risk, with a significant portion of debt tied to U.S. Treasury rates and LIBOR, impacting overall interest costs[388]. Commodity Price Risk - The Registrants manage commodity price risk through long-term contracts, particularly in the Electric and Gas businesses, which are primarily exposed to coal, natural gas, uranium, and electricity prices[375][378]. - DTE Energy's Energy Trading segment is exposed to fluctuations in electricity, natural gas, environmental, crude oil, heating oil, and foreign currency exchange prices, managed through forward contracts and options[379]. - DTE Energy's exposure to market price risk is managed through regulatory rate-recovery mechanisms, minimizing earnings risk from commodity price fluctuations[375]. Credit Risk - As of June 30, 2021, the total gross credit exposure for investment-grade counterparties was $359 million, while non-investment grade counterparties accounted for $4 million[386]. - The company closely monitors credit ratings of non-investment grade customers and may request collateral to secure obligations[387]. Foreign Currency Risk - DTE Energy has entered into foreign currency exchange forward contracts to mitigate risks associated with Canadian dollar-denominated contracts for natural gas and power purchases[389]. Sensitivity Analysis - The sensitivity analysis indicated that a 10% increase in prices could lead to a hypothetical loss of $744 million related to DTE Energy's long-term debt[392]. Operational Risks - DTE Energy's operational risks include potential impacts from the COVID-19 pandemic, regulatory changes, and economic conditions affecting demand and customer behavior[21][23].