Company: SREA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001032208-25-000065
Chunk: 305

Company: SEMPRA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 305
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 hedges, to lock in interest rates on outstanding debt or in anticipation of future financings.The following table presents the notional amounts of our interest rate derivatives, excluding those in our equity method investments. INTEREST RATE DERIVATIVES(Dollars in millions) September 30, 2025December 31, 2024 Notional amountMaturitiesNotional amountMaturitiesSempra:    Cash flow hedges$258 2025-2034$271 2025-2034Undesignated derivatives(1)3,189 2025-20483,189 2025-2048(1)    At September 30, 2025 and December 31, 2024, undesignated derivatives accrued interest based on a notional amount of $1,876 and $1,598, respectively. FOREIGN CURRENCY DERIVATIVESFrom time to time, Sempra Infrastructure and its equity method investees may use foreign currency derivatives to hedge exposures related to cash flows associated with revenues from contracts denominated in Mexican pesos that are indexed to the U.S. dollar. Oncor uses cross-currency swaps designated as fair value hedges intended to offset foreign currency exchange rate risk related to its Euro and Canadian dollar denominated debt.We are also exposed to exchange rate movements at our Mexican subsidiaries and equity method investees, which have U.S. dollar-denominated cash balances, receivables, payables and debt (monetary assets and liabilities) that give rise to Mexican currency exchange rate movements for Mexican income tax purposes. They also have deferred income tax assets and liabilities denominated in the Mexican peso, which must be translated to U.S. dollars for financial reporting purposes. In addition, monetary assets and liabilities and certain nonmonetary assets and liabilities are adjusted for Mexican inflation for Mexican income tax purposes. We may utilize foreign currency derivatives as a means to manage the risk of exposure to significant fluctuations in our income tax expense and equity earnings from these impacts; however, we generally do not hedge our deferred income tax assets and liabilities or for inflation.The following table presents the notional amounts of our foreign currency derivatives, excluding those in our equity method investments.FOREIGN CURRENCY DERIVATIVES(Dollars in millions) September 30, 2025December 31, 2024 Notional amountMaturitiesNotional amountMaturitiesSempra:    Foreign currency derivatives$158 2025-2027$162 2025-2026