Company: TVC
Filing Date: 2025-11-13
Form Type: 10-K
Source: 0001376986-25-000056
Chunk: 463

Company: Tennessee Valley Authority
Filing Date: 2025-11-13
Form: 10-K
Item: Item 7
Chunk 463
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ized gains or losses are recorded.  Foreign currency forwards are priced by third-party vendors and are classified as Level 2.

    The valuation methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values.  Furthermore, while the TVARS Board believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

Cash FlowsEstimated Future Benefit Payments.  The following table sets forth the estimated future benefit payments under the benefit plans.Estimated Future Benefits PaymentsAt September 30, 2025(in millions) PensionBenefits(1)Other Post-Retirement Benefits2026$827 $17 2027826 17 2028826 16 2029819 16 2030808 16 2031 - 20353,885 93 Note(1)  Participants are assumed to receive the Fixed Fund in a lump sum in lieu of available annuity options allowed for certain grandfathered participants resulting in higher estimated pension benefits payments.

Contributions.  TVA made contributions to the pension plan of $300 million for 2025 and 2024.  TVA has committed to make a minimum contribution of $300 million per year through 2036 or until the plan has reached and remained at 100 percent funded status under the actuarial rules applicable to TVARS.  TVA made SERP contributions of $10 million and $4 million for 2025 and 2024, respectively.  TVA made cash contributions to the other post-retirement benefit plans of $24 million (net of $5 million in rebates) and $22 million (net of $5 million in rebates) for 2025 and 2024, respectively.  In addition, TVA recognized 401(k) contribution costs of $124 million and $116 million for the years ended September 30, 2025 and 2024, respectively.  TVA expects to contribute $300 million to TVARS, $9 million to the SERP, and $17 million to the other post-retirement benefit plans in 2026. 

Other Post-Employment Benefits

    Post-employment benefit cost estimates are revised to properly reflect changes in actuarial assumptions made at the end of each year.  TVA utilizes