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Liquidity & Capital Resources
The Company expects to generate sufficient cash from operations and debt issuances to fund liabilities as they become due, finance budgeted investing activity and pay common share dividends throughout 2008. Additional liquidity, if necessary, is available under committed credit facilities or through access to the capital markets. At December 31, 2007, the Company had $5.6 billion (2006 - $3.3 billion) of committed credit facilities, of which $2.4 billion was drawn or used to backstop commercial paper. On January 4, 2008, a new credit facility was arranged for general corporate purposes and to fund the construction of organic growth projects, such as Alberta Clipper Pipeline. The addition of this facility increased the Company's credit facilities to $6.6 billion subsequent to year-end.
The Company continues to manage its debt to capitalization ratio to maintain a strong balance sheet. The debt to capitalization ratio at December 31, 2007, including short-term borrowings, but excluding non-recourse short and long-term debt, strengthened to 62.7%, compared with 64.6% at the end of 2006 and 66.5%, compared with 68.6% at the end of 2006 including non-recourse debt.
The Company's current liabilities routinely exceed current assets. Current liabilities include current maturities of long-term debt, which are typically refinanced with long-term debt. Excluding current maturities of long-term debt, the Company does not have a working capital deficit.