XML 99 R39.htm IDEA: XBRL DOCUMENT v3.25.0.1

Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2024

Fair Value Disclosures [Abstract]

Schedule of Estimated Carrying Amounts and Fair Values

The carrying amount and estimated fair value of the Company’s recorded financial instrument not carried at fair market value or that does not approximate fair value is as follows:

			As of December 31, 2024												As of December 31, 2023
			Carrying Amount						Fair Value						Carrying Amount						Fair Value
			(In millions)
Liabilities:
Long-term debt, including current portion (a)			$	7,237					$	6,715					$	8,102					$	7,611

(a) Excludes net debt issuance costs, which are recorded as a reduction to long-term debt on the Company’s consolidated balance sheets.

Schedule of Fair Value Option, Disclosures

The following table presents the level within the fair value hierarchy for long-term debt, including current portion:

			As of December 31, 2024												As of December 31, 2023
			Level 2						Level 3						Level 2						Level 3
			(In millions)
Long-term debt, including current portion			$	1,922					$	4,793					$	1,939					$	5,672

Schedule of Fair Value, Assets and Liabilities

The following table presents assets and liabilities measured and recorded at fair value on the Company’s consolidated balance sheets on a recurring basis and their level within the fair value hierarchy:

									As of December 31, 2024												As of December 31, 2023
									Fair Value (a)												Fair Value (a)
(In millions)									Level 2 (b)						Level 3						Level 2 (b)						Level 3
Derivative assets
Energy-related commodity contracts (c)									$	—					$	9					$	2					$	—
Interest rate contracts									166						—						121						—
Other financial instruments (d)									—						10						—						13
Total assets									$	166					$	19					$	123					$	13
Derivative liabilities
Energy-related commodity contracts (e)									$	—					$	371					$	—					$	330
Interest rate contracts									—						—						2						—
Total liabilities									$	—					$	371					$	2					$	330

(a) There were no derivative assets or liabilities classified as Level 1 as of December 31, 2024 and 2023.

(b) The Company’s interest rate swaps are measured at fair value using an income approach, which use readily observable inputs, such as forward interest rates (e.g., SOFR) and contractual terms to estimate fair value.

(c) Includes long-term backbone transportation service contracts classified as Level 2 and heat rate call option contracts classified as Level 3.

(d) Includes SREC contract.

(e) Includes long-term power commodity contracts and heat rate call option contracts classified as Level 3. As of December 31, 2024 and 2023, $366 million and $325 million related to long-term power commodity contracts, respectively, and $5 million related to heat rate call option contracts.

The following table reconciles the beginning and ending balances for instruments that are recognized at fair value in the consolidated financial statements using significant unobservable inputs:

												Year ended December 31,
																		2024						2023
(In millions)												Fair Value Measurement Using Significant Unobservable Inputs (Level 3)
Beginning balance																		$	(317)					$	(336)
Settlements																		(2)						28
Total losses for the period included in earnings																		(33)						(9)
Ending balance																		$	(352)					$	(317)
Change in unrealized losses included in earnings for derivatives and other financial instruments held as of December 31,																		$	(33)					$	(9)

The following tables quantify the significant unobservable inputs used in developing the fair value of the Company’s Level 3 positions:

			December 31, 2024
			Fair Value												Input/Range
			Assets			Liabilities			Valuation Technique			Significant Unobservable Input			Low			High			Weighted Average
			(In millions)
Long-term Power Commodity Contracts			$	—		$	366		Discounted Cash Flow			Forward Market Price (per MWh)			$	21.60		$	80.82		$	45.44
Heat Rate Call Option Commodity Contracts			9			5			Option Model			Forward Market Price (per MWh)			$	(19.30)		$	1,011.79		$	45.87
									Option Model			Forward Market Price (per MMBtu)			$	0.85		$	10.55		$	3.25
Other Financial Instruments			10			—			Discounted Cash Flow			Forecast annual generation levels of certain DG solar facilities			59,425 MWh			118,850 MWh			111,091 MWh

			December 31, 2023
			Fair Value												Input/Range
			Assets			Liabilities			Valuation Technique			Significant Unobservable Input			Low			High			Weighted Average
			(In millions)
Long-term Power Commodity Contracts			$	—		$	325		Discounted Cash Flow			Forward Market Price (per MWh)			$	18.18		$	81.62		$	39.91
Heat Rate Call Option Commodity Contracts			—			5			Option Model			Forward Market Price (per MWh)			$	(43.96)		$	343.61		$	64.34
									Option Model			Forward Market Price (per MMBtu)			$	1.25		$	13.69		$	4.93
Other Financial Instruments			13			—			Discounted Cash Flow			Forecast annual generation levels of certain DG solar facilities			60,801 MWh			121,602 MWh			115,622 MWh

Schedule of Fair Value Measurement Inputs and Valuation Techniques

The following table provides the impact on the fair value measurements to increases/(decreases) in significant unobservable inputs as of December 31, 2024 and 2023:

Type

Significant Observable Input

Position

Change In Input

Impact on Fair Value Measurement

Energy-Related Commodity Contracts

Forward Market Price Power

Sell

Increase/(Decrease)

Lower/(Higher)

Energy-Related Commodity Contracts

Forward Market Price Gas

Sell

Increase/(Decrease)

Higher/(Lower)

Other Financial Instruments

Forecast Generation Levels

Sell

Increase/(Decrease)

Higher/(Lower)

X

- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 103
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482078/820-10-55-103

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (bbb)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (bbb)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisValuationTechniquesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-11

+ Details

Name:	us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_FairValueDisclosuresAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of information about asset and liability measured at fair value under fair value option.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 30
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-30

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 825
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 28
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-28

Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 825
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 31
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-31

Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 825
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-32

+ Details

Name:	us-gaap_FairValueOptionQuantitativeDisclosuresTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration