Company: TVC
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001376986-25-000044
Chunk: 426

Company: Tennessee Valley Authority
Filing Date: 2025-07-29
Form: 10-Q
Item: Part II, Item 5
Chunk 426
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 ended June 30, 2025, $12 million and $52 million were reported in Fuel expense and Purchased power expense, respectively, and of the amount recognized for the nine months ended June 30, 2024, $186 million and $41 million were reported in Fuel expense and Purchased power expense, respectively.Fair Values of TVA Derivatives(in millions) At June 30, 2025At September 30, 2024Derivatives That Receive Hedge Accounting Treatment:BalanceBalance Sheet PresentationBalanceBalance Sheet PresentationCurrency swaps    £250 million Sterling$(35)Accounts payable and accrued liabilities $(4); Other long-term liabilities $(31)$(49)Accounts payable and accrued liabilities $(4); Other long-term liabilities $(45)£150 million Sterling(56)Accounts payable and accrued liabilities $(2); Other long-term liabilities $(54)(67)Accounts payable andaccrued liabilities $(3); Other long-term liabilities $(64)Derivatives That Do Not Receive Hedge Accounting Treatment:BalanceBalance Sheet PresentationBalanceBalance Sheet PresentationInterest rate swaps    $1.0 billion notional$(508)Accounts payable andaccrued liabilities $(30); Accrued interest $(8); Other long-term liabilities$(470)$(622)Accounts payable andaccrued liabilities $(10); Accrued interest $(26); Other long-term liabilities $(586)$476 million notional(165)Accounts payable andaccrued liabilities $(12); Accrued interest $(1);Other long-term liabilities$(152)(218)Accounts payable andaccrued liabilities $(3); Accrued interest $(9);Other long-term liabilities$(206)Commodity contract derivatives1 Other current assets $6; Accounts payable and accrued liabilities $(3); Other long-term liabilities $(2)2 Other current assets $5; Other long-term assets $2; Accounts payable and accrued liabilities $(3); Other long-term liabilities $(2)Commodity derivatives under the FHP(1)Other long-term assets $17; Other current assets $7; Accounts payable and accrued liabilities $(19); Other long-term liabilities $(6)(161)Accounts payable and accrued liabilities $(99); Other long-term liabilities $(62)

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Table of Contents                               Draft 4.0                    07/24/2025 5:00 PM

Cash Flow Hedging Strategy for Currency SwapsTo protect against exchange rate risk related to British pound sterling denominated Bond transactions, TVA entered