Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 328

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 328
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 of credit and cash collateral                                                                        
 or third- party credit insurance if a counterparty goes over its limits. Such security instruments can be collected if a counterparty fails to fulfil its obligation; and |

| • |     | Reporting our exposure using a variety of methods that allow key decision-makers to assess credit                                                          
 exposure by counterparty. This reporting allows us to assess credit limits for counterparties and the mix of counterparties based on their credit ratings. |

If established credit exposure limits are exceeded, we take steps to reduce this exposure, such as by requesting collateral, if applicable, or by halting commercial activities with the affected counterparty. However, there can be no assurances that we will be successful in avoiding losses as a result of a contract counterparty not meeting its obligations. As needed, additional risk mitigation tactics will be taken to reduce the risk to TransAlta. These risk mitigation tactics may include, but are not limited to, immediate follow-upon overdue amounts, adjusting payment terms to ensure a portion of funds are received sooner, requiring additional collateral, reducing transaction terms and working closely with impacted counterparties on negotiated solutions. Our credit risk management profile and practices have not changed materially from Dec. 31, 2023. We had no material counterparty losses in 2024. We continue to keep a close watch on changes and trends in the market and the impact these changes could have on our energy trading business and hedging activities and will take appropriate actions as required, although no assurance can be given that we will always be successful.

| M150 |     | TransAlta Corporation |     | 2024 Integrated Report |

Management’s Discussion and Analysis The following table outlines our maximum exposure to credit risk without taking into account collateral held or right of set-off, including the distribution of credit ratings, as at Dec. 31, 2024:

|                                     |     | Investment 
 grade      
 (per cent) |     |     | Non-investment 
 grade          
 (per cent)     |     |     | Total      
 (per cent) |     |     | Total  
 amount 
 ($)    |       |
| Trade and other receivables(1,2)    |     |            |  87 |     |                |  13 |     |            | 100 |     |        |   767 |
| Long-term finance lease receivables |     |            | 100 |     |                |   — |     |            | 100 |     |        |   305 |