Company: ATO
Filing Date: 2025-11-14
Form Type: 10-K
Source: 0000731802-25-000056
Chunk: 113

Company: ATMOS ENERGY CORP
Filing Date: 2025-11-14
Form: 10-K
Item: Item 8
Chunk 113
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ES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The following table summarizes the impact of AEK on our consolidated statements of comprehensive income, for the periods indicated:Year Ended September 30202520242023 (In thousands)Operating revenues$12,408 $13,660 $2,743 Operation and maintenance expense(559)(427)— Amortization expense(7,717)(8,715)(1,398)Interest expense, net(4,132)(4,518)(1,345)Income before income taxes$— $— $— The following table summarizes the maturities of the securitized long-term debt and the amortization expense related to the securitized intangible asset expected to be recognized in our consolidated statements of comprehensive income:Maturities of Securitized Long-Term DebtAmortization Expense of Securitized Intangible AssetFor the fiscal year ending:(In thousands)2026$8,767 $8,555 20279,086 9,001 20289,561 9,471 202910,060 9,966 203010,585 10,486 Thereafter28,944 27,648 Total$77,003 $75,127 The securitized long-term debt is recorded at carrying value. The fair value of the securitized long-term debt is determined using third party market value quotations, which are considered Level 2 fair value measurements for debt instruments where fair value is determined using the most recent available quoted market price. The carrying value and fair value of the securitized long-term debt as of September 30, 2025 is $77.0 million and $78.8 million, and as of September 30, 2024 is $85.1 million and $87.8 million.TexasIn March 2023, the Texas Natural Gas Securitization Finance Corporation (the Finance Corporation), with the authority of the Texas Public Finance Authority (TPFA), issued $3.5 billion in customer rate relief bonds with varying scheduled final maturities from 12 to 18 years. The bonds are obligations of the Finance Corporation, payable from the customer rate relief charges and other bond collateral, and are not an obligation of Atmos Energy. We collected $2.02 billion of this amount and relieved the regulatory asset that we recorded in fiscal 2021 for costs incurred during Winter Storm Uri.We began