Company: WELPM
Filing Date: 2025-03-27
Form Type: DEF 14C
Source: 0000107815-25-000155
Chunk: 127

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-03-27
Form: DEF 14C
Chunk 127
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 treatment of any tax reform benefits requires that judgments and estimates be made in the accrual process and in the calculation of effective tax rates. Only income tax benefits that meet the "more likely than not" recognition threshold may be recognized or continue to be recognized. Unrecognized tax benefits are re-evaluated quarterly and changes are recorded based on new information, including the issuance of relevant guidance by the courts or tax authorities and developments occurring in the examinations of our tax returns.

We expect our 2025 annual effective tax rate to be between 14% and 15%. Our effective tax rate calculations are revised every quarter based on the best available year-end tax assumptions, adjusted in the following year after returns are filed. Tax accrual estimates are trued-up to the actual amounts claimed on the tax returns and further adjusted after examinations by taxing authorities, as needed.

### QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
See Management's Discussion and Analysis of Financial Condition and Results of Operations – Factors Affecting Results, Liquidity, and Capital Resources – Market Risks and Other Significant Risks, as well as Note 1(o), Fair Value Measurements, Note 1(p), Derivative Instruments, and Note 1(q), Guarantees, for information concerning potential market risks to which we are exposed.

| Wisconsin Electric Power Company |     | B-27 |     | 2024 Annual Financial Statements |

### WISCONSIN ELECTRIC POWER COMPANY

### CONSOLIDATED INCOME STATEMENTS
| Year Ended December 31                      | (in millions) |   |    2024 |     |   |    2023 |     |   |    2022 |
|:--------------------------------------------|:--------------|:--|--------:|:----|:--|--------:|:----|:--|--------:|
| Operating revenues                          |               | $ | 3,979.9 |     | $ | 4,045.0 |     | $ | 4,070.3 |
| Operating expenses                          |               |   |         |     |   |         |     |   |         |
| Cost of sales                               |               |   | 1,300.3 |     |   | 1,451.4 |     |   | 1,693.3 |
| Other operation and maintenance             |               |   |   937.9 |     |   |   931.1 |     |   |