Company: WELPM
Filing Date: 2025-03-27
Form Type: DEF 14C
Source: 0000107815-25-000155
Chunk: 102

Company: WISCONSIN ELECTRIC POWER CO
Filing Date: 2025-03-27
Form: DEF 14C
Chunk 102
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 with 2022.

• A $3.7 million decrease in electric and natural gas distribution expenses, driven by lower costs to maintain the distribution system during 2023, compared with 2022.

#### Other Income, Net
Other income, net increased $19.4 million during 2023, compared with 2022, driven by higher AFUDC-Equity due to continued capital investment.

#### Interest Expense
Interest expense increased $8.1 million during 2023, compared with 2022, driven by the impact of higher long-term debt balances related to a $500.0 million issuance in September 2022, and higher short-term debt interest rates. The increase was partially offset by higher AFUDC-Debt due to continued capital investment and lower interest expense on finance lease liabilities, primarily related to the We Power leases, as finance lease liabilities decrease each year as payments are made.

| Wisconsin Electric Power Company |     | B-15 |     | 2024 Annual Financial Statements |

#### Income Tax Expense
Income tax expense increased $9.6 million during 2023, compared with 2022, primarily due to higher pre-tax income. This increase in income tax expense was partially offset by a $9.3 million increase in PTCs and a $4.7 million increase in income tax benefits associated with AFUDC-Equity, both driven by continued capital investment.

### LIQUIDITY AND CAPITAL RESOURCES

### OVERVIEW
We expect to maintain adequate liquidity to meet our cash requirements for operation of our business and implementation of our corporate strategy through internal generation of cash from operations and access to the capital markets.

The following discussion and analysis of our Liquidity and Capital Resources includes comparisons of our cash flows for the year ended December 31, 2024 with the year ended December 31, 2023. For a similar discussion that compares our cash flows for the year ended December 31, 2023 with the year ended December 31, 2022, see Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations – Liquidity and Capital Resources in Part II of our 2023 Annual Report on Form 10-K, which was filed with the SEC on February 22, 2024.

### CASH FLOWS
The following table summarizes our cash flows during the years ended December 31:

| (in millions)               
 Cash provided by (used in): |     | 2024 |          |     |