Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 126

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 126
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 |    — |   |     |       |    — |   |     |                     | (114 | ) |     |           |    — |   |     |       | (114 | ) |
| Total (losses) gains included in earnings before income taxes                      |     |                     | — |     |           |  (32 | ) |     |       |  (32 | ) |     |                     | (256 | ) |     |           |   19 |   |     |       | (237 | ) |
| Unrealized (losses) gains included in                                              
 earnings before income taxes relating to net assets (liabilities) held at year end |     |                     | — |     |           |   (9 | ) |     |       |   (9 | ) |     |                     |    — |   |     |           |  288 |   |     |       |  288 |   |

| (1) | New contracts added in 2024 represent the contracts acquired from Heartland. |

| (2) | The Company has a long-term fixed price power sale contract in the U.S. for delivery of power. The                                                                                       
 fair value was transferred out of Level III to Level II as at Dec. 31, 2023 as the forward price curve was based on observable market prices for the remaining duration of the contract. |

The Company has a Commodity Exposure Management Policy that governs both the commodity transactions undertaken in its proprietary trading business and those undertaken to manage commodity price exposures in its generation business. This Policy defines and specifies the controls and management responsibilities associated with commodity trading activities, as well as the nature and frequency of required reporting of such activities. The Company’s risk management department determines methodologies and procedures regarding commodity risk management Level III fair value measurements. Level III fair values are primarily calculated within the Company’s energy trading risk management processes. These calculations are based on underlying contractual data as well as observable and non-observableinputs. Development of non-observableinputs requires the use of judgment. To ensure reasonability, the Level III fair value measurements are reviewed and validated by the risk management and finance departments. Review occurs formally on a quarterly basis or more frequently if daily review and monitoring procedures identify unexpected changes to fair value or changes to key parameters. As at Dec. 31, 2024, the total Level III risk management asset balance was $110 million (Dec. 31, 2023 – $56 million) and the Level III risk management