Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 364

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 364
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 for equity funds used during construction due to higher construction work in progress in 2024, including the Orange County Advanced Power Station project at Entergy Texas;

•a $15 million charge, recorded by Entergy Louisiana in first quarter 2023, for the LURC’s 1% beneficial interest in the storm trust II established as part of the March 2023 storm cost securitization; and

•an increase of $14 million in intercompany dividend income from affiliated preferred membership interests related to storm cost securitizations.  The intercompany dividend income on the affiliate preferred membership interests is eliminated for consolidation purposes and has no effect on net income since the investment is in another Entergy subsidiary.

See Note 2 to the financial statements for discussion of the Entergy Louisiana storm cost securitizations.

Interest expense increased primarily due to:

•the issuance by Entergy Arkansas of $300 million of 5.30% Series mortgage bonds in August 2023;

•the issuances by Entergy Arkansas of $400 million of 5.75% Series mortgage bonds and $400 million of 5.45% Series mortgage bonds, each in May 2024;

•the issuances by Entergy Louisiana of $500 million of 5.35% Series mortgage bonds and $700 million of 5.70% Series mortgage bonds, each in March 2024;

•the issuance by Entergy Louisiana of $700 million of 5.15% Series mortgage bonds in August 2024;

•the issuance by Entergy Mississippi of $300 million of 5.85% Series mortgage bonds in May 2024;

•the issuance by Entergy Texas of $350 million of 5.80% Series mortgage bonds in August 2023; and

•the issuance by Entergy Texas of $350 million of 5.55% Series mortgage bonds in August 2024.

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Table of ContentsEntergy Corporation and SubsidiariesManagement’s Financial Discussion and Analysis

The increase was partially offset by:

•the repayment by Entergy Arkansas of $375 million of 3.70% Series mortgage bonds in June 2024;

•the repayment by Entergy Louisiana of $325 million of 4.05% Series mortgage bonds in August 2023;

•the repayment by Entergy Louisiana of $300 million of 5.59% Series mortgage bonds in December 2023; and

•the repayment by Entergy Louisiana of $400 million of 5.40