Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 372

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 372
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sidiaries (except Entergy New Orleans and System Energy) defaults on other indebtedness or is in bankruptcy or insolvency proceedings, an acceleration of the Entergy Corporation credit facility’s maturity date may occur.

Entergy Corporation has a commercial paper program with a Board-approved program limit of $2 billion.  As of December 31, 2024, Entergy Corporation had $927.3 million of commercial paper outstanding.  The weighted-average interest rate for the year ended December 31, 2024 was 5.52%.

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Table of ContentsEntergy Corporation and SubsidiariesManagement’s Financial Discussion and Analysis

Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas each had credit facilities available as of December 31, 2024 as follows:

CompanyExpiration DateAmount of FacilityInterest Rate (a)Amount Drawn as of December 31, 2024Letters of Credit Outstanding as of December 31, 2024Entergy ArkansasApril 2026$25 million (b)6.31%——Entergy ArkansasJune 2029$300 million (c)5.58%——Entergy LouisianaJune 2029$400 million (c)5.71%——Entergy MississippiJune 2029$300 million (c)5.58%——Entergy New OrleansJune 2027$25 million (c)6.08%——Entergy TexasJune 2029$300 million (c)5.71%—$1.1 million

(a)The interest rate is the estimated interest rate as of December 31, 2024 that would have been applied to outstanding borrowings under the facility.

(b)Borrowings under this Entergy Arkansas credit facility may be secured by a security interest in its accounts receivable at Entergy Arkansas’s option.

(c)The credit facility includes fronting commitments for the issuance of letters of credit against a portion of the borrowing capacity of the facility as follows: $5 million for Entergy Arkansas; $15 million for Entergy Louisiana; $5 million for Entergy Mississippi; $10 million for Entergy New Orleans; and $25 million for Entergy Texas.

Each of the credit facilities requires the Registrant Subsidiary borrower to maintain a debt ratio, as defined, of 65% or less of its total capitalization.  Each Registrant Subsidiary is in compliance with this covenant.

In addition, Entergy Arkansas