Company: TVC
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001376986-25-000044
Chunk: 244

Company: Tennessee Valley Authority
Filing Date: 2025-07-29
Form: 10-Q
Item: Part II, Item 2
Chunk 244
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 Severance costs that have been incurred but not paid are included in Accounts payable and accrued liabilities on TVA's Consolidated Balance Sheets.  The table below summarizes the activity related to severance costs:Severance Cost Liability Activity(in millions)Severance cost liability at September 30, 2024$— Liabilities incurred during the period40 Actual costs paid during the period(26)Severance cost liability at June 30, 2025$14 

4.  Accounts Receivable, Net 

Accounts receivable primarily consist of amounts due from customers for power sales.  The table below summarizes the types and amounts of TVA's accounts receivable:Accounts Receivable, Net(in millions) At June 30, 2025At September 30, 2024Power receivables$1,791 $1,683 Other receivables106 118 Allowance for uncollectible accounts(1)(10)— Accounts receivable, net$1,887 $1,801 Note(1)  To determine the allowance for trade receivables, TVA considers historical experience and other currently available information, including events such as customer bankruptcy and/or a customer failing to fulfill payment arrangements by the due date, among other considerations.  See Note 1 — Summary of Significant Accounting Policies —  Allowance for Uncollectible Accounts.  At June 30, 2025, the allowance for uncollectible accounts included $8 million related to one LPC customer.

5.  Inventories, Net 

The table below summarizes the types and amounts of TVA's inventories:Inventories, Net(in millions) At June 30, 2025At September 30, 2024Materials and supplies inventory$980 $931 Fuel inventory280 286 Renewable energy certificates/emissions allowance inventory, net10 11 Allowance for inventory obsolescence(86)(73)Inventories, net$1,184 $1,155 

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6. Other Current Assets

Other current assets consisted of the following:Other Current Assets (in millions) At June 30, 2025At September 30, 2024Inventory work-in-progress$52 $41 Prepaid software maintenance33 22 Prepaid