Company: SOJE
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000092122-25-000042
Chunk: 48

Company: SOUTHERN CO
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 1
Chunk 48
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 Power's effective tax rate was 22.9% for the three months ended March 31, 2025 compared to 17.3% for the corresponding period in 2024. The effective tax rate increase was primarily due to a decrease in the flowback of certain excess deferred income taxes.Southern PowerSouthern Power's effective tax benefit rate was (5.3)% for the three months ended March 31, 2025 compared to (57.1)% for the corresponding period in 2024. The effective tax rate increase was primarily due to a change in pre-tax earnings attributable to Southern Power, including the impact of accelerated depreciation related to the repowering of the Kay Wind facility. See Note (K) under "Southern Power – Wind Repowering Projects" herein for additional information.Southern Company GasSouthern Company Gas' effective tax rate was 23.7% for the three months ended March 31, 2025 compared to 25.2% for the corresponding period in 2024. The effective tax rate decrease was primarily due to an increase in the flowback of excess state deferred income taxes.

(H) RETIREMENT BENEFITS

The Southern Company system has a qualified defined benefit, trusteed, pension plan covering substantially all employees, with the exception of employees at PowerSecure. The qualified pension plan is funded in accordance with requirements of the Employee Retirement Income Security Act of 1974, as amended. No mandatory contributions to the qualified pension plan are anticipated for the year ending December 31, 2025. The Southern Company system also provides certain non-qualified defined benefits for a select group of management and highly compensated employees, which are funded on a cash basis. In addition, the Southern Company system provides certain medical care and life insurance benefits for retired employees through other postretirement benefit plans. The traditional electric operating companies fund other postretirement trusts to the extent required by their respective regulatory commissions.See Note 11 to the financial statements in Item 8 of the Form 10-K for additional information.On each Registrant's condensed statements of income, the service cost component of net periodic benefit costs is included in other operations and maintenance expenses and all other components of net periodic benefit costs are included in other income (expense), net. Components of the net periodic benefit costs for the three months ended March 31, 2025 and 2024 are presented in the following tables.

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    Table of Contents                                Index to Financial StatementsNOTES TO THE CONDENSE