Company: DTK
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000936340-25-000223
Chunk: 58

Company: DTE ENERGY CO
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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TE Energy's variable interests through these long-term purchase and sale contracts.  In addition, there is no material potential exposure to loss as a result of DTE Electric's variable interests through these long-term purchase contracts.

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Table of ContentsDTE Energy Company — DTE Electric CompanyCombined Notes to Consolidated Financial Statements (Unaudited) — (Continued)

DTE Electric previously financed regulatory assets for deferred costs related to certain retired generation plants and its tree trimming surge program through the sale of bonds by wholly-owned special purpose entities, DTE Securitization I and DTE Securitization II (collectively "the DTE Securitization entities").  The DTE Securitization entities are VIEs.  DTE Electric has the power to direct the most significant activities of these entities, including performing servicing activities such as billing and collecting surcharge revenue.  Accordingly, DTE Electric is the primary beneficiary and the DTE Securitization entities are consolidated by the Registrants.  Securitization bond holders have no recourse to the Registrants' assets, except for those held by the DTE Securitization entities.  Surcharges collected by DTE Electric to pay for bond servicing and other qualified costs reflect securitization property solely owned by the DTE Securitization entities.  These surcharges are remitted to a trustee and are not available to other creditors of the Registrants.The maximum risk exposure for consolidated VIEs is reflected on the Registrants' Consolidated Statements of Financial Position.  For non-consolidated VIEs, the maximum risk exposure of the Registrants is generally limited to their investment and notes receivable.The table below summarizes the major Consolidated Statements of Financial Position items for consolidated VIEs as of September 30, 2025 and December 31, 2024.  All assets and liabilities of a consolidated VIE are presented where it has been determined that a consolidated VIE has either (1) assets that can be used only to settle obligations of the VIE or (2) liabilities for which creditors do not have recourse to the general credit of the primary beneficiary.  Assets and liabilities of the DTE Securitization entities have been aggregated due to their similar nature and are separately stated in the table below, comprising the entirety of the DTE Electric amounts.  For all other VIEs, assets and liabilities are also aggregated due to their similar nature and presented together with the DTE Secur