Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 684

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 684
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 an offsetting amount in other long-term liabilities on the consolidated balance sheets of Entergy and Entergy Louisiana for the unrealized trust earnings not currently expected to be needed to decommission the plant.  Decommissioning trust funds for the nuclear plants previously owned by Entergy’s non-utility operations, all of which have been sold as of June 2022, did not meet the criteria for regulatory accounting treatment.  Accordingly, unrealized gains/(losses) recorded on the equity securities in the trust funds for these plants were recognized in earnings with no offsetting regulatory liability/asset amount.  Unrealized gains/(losses) recorded on the available-for-sale debt securities in the trust funds were recognized in the accumulated other comprehensive income component of shareholders’ equity.  Generally, Entergy records gains and losses on its debt and equity securities using the specific identification method to determine the cost basis of its securities.As discussed in Note 14 to the financial statements, in June 2022, Entergy completed the sale of Palisades to Holtec.  As part of the transaction, Entergy transferred the Palisades decommissioning trust fund to Holtec.  The disposition-date fair value of the decommissioning trust fund was approximately $552 million.The unrealized gains/(losses) recognized during the year ended December 31, 2024 on equity securities still held as of December 31, 2024 were $616 million.  The equity securities are generally held in funds that are designed to approximate or somewhat exceed the return of the Standard & Poor’s 500 Index.  A relatively small percentage of the equity securities are held in funds that are designed to approximate or somewhat exceed the return of the Wilshire 4500 Index.  The debt securities are generally held in individual government and credit issuances.

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Table of ContentsEntergy Corporation and SubsidiariesNotes to Financial Statements

The available-for-sale debt securities held as of December 31, 2024 and 2023 are summarized as follows:20242023(In Millions)Fair value$2,047 $1,770 Unrealized gains$7 $19 Unrealized losses$80 $134 As of December 31, 2024 and 2023, there were no deferred taxes on unrealized gains/(losses).  The amortized cost of available-for-sale debt securities was $2,121 million as of December 31, 2024 and $1,885 million as of