RETIREMENT, OTHER POSTRETIREMENT BENEFITS, AND DEFINED CONTRIBUTION PLANS (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)

Qualified Pension Plans

Entergy has defined benefit qualified pension plans, including the Entergy Corporation Retirement Plan for Non-Bargaining Employees (Non-Bargaining Plan I), the Entergy Corporation Retirement Plan for Bargaining Employees (Bargaining Plan I), the Entergy Corporation Retirement Plan II for Non-Bargaining Employees (Non-Bargaining Plan II), the Entergy Corporation Retirement Plan II for Bargaining Employees (Bargaining Plan II), the Entergy Corporation Retirement Plan III (Plan III), the Entergy Corporation Retirement Plan IV for Bargaining Employees, Entergy Corporation Retirement Plan VI for Non-Bargaining Employees (Non-Bargaining Plan VI), and the Entergy Corporation Retirement Plan VI for Bargaining Employees (Bargaining Plan VI). The Entergy Corporation Cash Balance Plan for Non-Bargaining Employees (Non-Bargaining Cash Balance Plan) was merged with and into Non-Bargaining Plan I effective January 1, 2022. The Entergy Corporation Cash Balance Plan for Bargaining Employees (Bargaining Cash Balance Plan) was merged with and into Bargaining Plan I effective January 1, 2025. Effective January 1, 2024, Non-Bargaining Plan I was amended to spin-off predominately inactive participants into a new qualified pension plan, Non-Bargaining Plan VI. Effective January 1, 2025, Bargaining Plan I was amended to spin-off predominately inactive participants into a new qualified pension plan, Bargaining Plan VI.

The Registrant Subsidiaries participate in these plans: Non-Bargaining Plan I, Bargaining Plan I, Plan III, Non-Bargaining Plan VI, and Bargaining Plan VI.

Non-bargaining and bargaining employees whose most recent date of hire was prior to June 30, 2014 (or such later date provided for in their applicable collective bargaining agreement) participate in a noncontributory final average pay formula that provides pension benefits based on the employee’s credited service and compensation during employment. Non-bargaining and bargaining employees whose most recent date of hire is after June 30, 2014 and before January 1, 2021 (or such later date provided for in their applicable collective bargaining agreement) do not participate in a final average pay formula, but instead participate in a cash balance formula. Effective January 1, 2021, the Non-Bargaining Cash Balance Plan and Bargaining Cash Balance Plan were amended to close participation in each plan to those employees whose most recent hire date is after December 31, 2020 (or such later date provided for in their applicable collective bargaining agreement). Employees hired after this date instead may be eligible to participate in and receive a discretionary employer contribution under an Entergy sponsored tax-qualified defined contribution plan that includes a 401(k) feature.

The assets of the defined benefit qualified pension plans are held in a master trust established by Entergy. Each pension plan has an undivided beneficial interest in each of the investment accounts in the master trust that is maintained by a trustee. Use of the master trust permits the commingling of the trust assets of the pension plans of Entergy Corporation and its Registrant Subsidiaries for investment and administrative purposes. Although assets in the master trust are commingled, the trustee maintains supporting records for the purpose of allocating the trust level equity in net earnings (loss) and the administrative expenses of the investment accounts in the trust to the various participating pension plans in the trust. The fair value of the trust’s assets is determined by the trustee and certain investment managers. The trustee calculates a daily earnings factor, including realized and unrealized gains or losses, collected and accrued income, and administrative expenses, and allocates earnings to each plan in the master trust on a pro rata basis.

Within each pension plan, the record of each Registrant Subsidiary’s beneficial interest in the plan assets is maintained by the plan’s actuary and is updated quarterly. Assets for each Registrant Subsidiary are increased for investment net income and contributions and are decreased for benefit payments. A plan’s investment net income/loss (i.e., interest and dividends, realized and unrealized gains and losses and expenses) is allocated to the Registrant Subsidiaries participating in that plan based on the value of assets for each Registrant Subsidiary at the beginning of the quarter adjusted for contributions and benefit payments made during the quarter.

Entergy Corporation and its subsidiaries fund pension plans in an amount not less than the minimum required contribution under the Employee Retirement Income Security Act of 1974, as amended, and the Internal Revenue Code of 1986, as amended. The assets of the plans include common and preferred stocks, fixed-income securities, interest in a money market fund, and insurance contracts. The Registrant Subsidiaries’ pension costs are recovered from customers as a component of cost of service in each of their respective jurisdictions.

Components of Qualified Net Pension Cost and Other Amounts Recognized as a Regulatory Asset and/or Accumulated Other Comprehensive Income (AOCI)

Entergy Corporation and its subsidiaries’ total 2025, 2024, and 2023 qualified pension costs and amounts recognized as a regulatory asset and/or other comprehensive income, including amounts capitalized, included the following components:


	2025	2024	2023
	(In Thousands)
Net periodic pension cost:
Service cost - benefits earned during the period	$94,143	$93,468	$101,182
Interest cost on projected benefit obligation	235,650	249,757	298,281
Expected return on assets	(301,327)	(338,619)	(388,030)

Recognized net loss	52,791	58,590	81,919
Settlement charges	23,874	328,277	160,387
Asset transfer gain (a)	(5,880)	—	—
Net pension cost	$99,251	$391,473	$253,739
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Net gain	($85,196)	($101,445)	($213,636)
Amounts reclassified from regulatory asset and/or AOCI to net periodic pension cost in the current year:
Amortization of net loss	(52,791)	(58,590)	(81,919)
Settlement charges	(23,874)	(328,277)	(160,387)
Total	($161,861)	($488,312)	($455,942)
Total recognized as net periodic pension cost, regulatory asset, and/or AOCI (before tax)	($62,610)	($96,839)	($202,203)

(a) See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

The Registrant Subsidiaries’ total 2025, 2024, and 2023 qualified pension costs and amounts recognized as a regulatory asset and/or other comprehensive income, including amounts capitalized, for their current and former employees included the following components:


2025	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Net periodic pension cost:
Service cost - benefits earned during the period	$17,624	$21,714	$5,200	$1,642	$4,063	$5,448
Interest cost on projected benefit obligation	54,788	58,102	14,720	6,521	11,780	14,163
Expected return on assets	(70,933)	(75,755)	(19,976)	(8,241)	(15,557)	(18,360)
Recognized net loss	17,923	9,270	3,144	2,237	1,815	4,136
Settlement charges	1,454	5,982	146	6,195	617	512
Asset transfer gain (a)	—	(2,408)	—	(1,983)	—	—
Net pension cost	$20,856	$16,905	$3,234	$6,371	$2,718	$5,899
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Net (gain) loss	($34,076)	($48,025)	($8,698)	$1,767	($7,431)	($7,439)
Amounts reclassified from regulatory asset and/or AOCI to net periodic pension cost in the current year:
Amortization of net loss	(17,923)	(9,270)	(3,144)	(2,237)	(1,815)	(4,136)
Settlement charges	(1,454)	(5,982)	(146)	(6,195)	(617)	(512)
Total	($53,453)	($63,277)	($11,988)	($6,665)	($9,863)	($12,087)
Total recognized as net periodic pension cost, regulatory asset, and/or AOCI (before tax)	($32,597)	($46,372)	($8,754)	($294)	($7,145)	($6,188)

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Net periodic pension cost:
Service cost - benefits earned during the period	$16,398	$22,204	$5,135	$1,760	$3,846	$5,525
Interest cost on projected benefit obligation	52,870	55,843	14,084	6,276	11,324	13,525
Expected return on assets	(72,620)	(77,786)	(20,451)	(8,814)	(16,308)	(18,485)
Recognized net loss	22,983	10,407	4,562	1,881	1,574	4,638
Settlement charges	—	—	—	—	—	615
Net pension cost	$19,631	$10,668	$3,330	$1,103	$436	$5,818
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Net gain	($49,352)	($55,010)	($10,857)	($8,990)	($6,190)	($9,812)
Amounts reclassified from regulatory asset and/or AOCI to net periodic pension cost in the current year:
Amortization of net loss	(22,983)	(10,407)	(4,562)	(1,881)	(1,574)	(4,638)
Settlement charges	—	—	—	—	—	(615)
Total	($72,335)	($65,417)	($15,419)	($10,871)	($7,764)	($15,065)
Total recognized as net periodic pension cost, regulatory asset, and/or AOCI (before tax)	($52,704)	($54,749)	($12,089)	($9,768)	($7,328)	($9,247)


2023	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Net periodic pension cost:
Service cost - benefits earned during the period	$18,461	$24,716	$5,775	$1,955	$4,328	$5,749
Interest cost on projected benefit obligation	56,026	60,346	15,402	6,747	12,726	13,852
Expected return on assets	(70,574)	(75,757)	(19,423)	(8,798)	(16,641)	(17,585)
Recognized net loss	19,400	19,797	5,719	1,694	4,075	4,236
Settlement charges	26,137	40,437	12,242	2,080	11,230	6,375
Net pension cost	$49,450	$69,539	$19,715	$3,678	$15,718	$12,627
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Net gain	($30,674)	($71,016)	($20,220)	($3,183)	($16,759)	($3,268)
Amounts reclassified from regulatory asset and/or AOCI to net periodic pension cost in the current year:
Amortization of net loss	(19,400)	(19,797)	(5,719)	(1,694)	(4,075)	(4,236)
Settlement charges	(26,137)	(40,437)	(12,242)	(2,080)	(11,230)	(6,375)
Total	($76,211)	($131,250)	($38,181)	($6,957)	($32,064)	($13,879)
Total recognized as net periodic pension cost, regulatory asset, and/or AOCI (before tax)	($26,761)	($61,711)	($18,466)	($3,279)	($16,346)	($1,252)

Qualified Pension Obligations, Plan Assets, Funded Status, and Amounts Recognized in the Balance Sheet

Qualified pension obligations, plan assets, funded status, and amounts recognized in the Consolidated Balance Sheets for Entergy Corporation and its Subsidiaries as of December 31, 2025 and 2024 are as follows:


	2025	2024
	(In Thousands)
Change in Projected Benefit Obligation (PBO)
Balance at January 1	$4,520,691	$5,915,404
Service cost	94,143	93,468
Interest cost	235,650	249,757
Actuarial (gain) loss	145,056	(156,248)
Settlement liability transfer (a)	(49,339)	—
Benefits paid (including settlement lump sum benefit payments of ($1,205,195) in 2024	(361,890)	(1,581,690)
Balance at December 31	$4,584,311	$4,520,691
Change in Plan Assets
Fair value of assets at January 1	$4,432,732	$5,460,601
Actual return on plan assets	531,580	283,816
Employer contributions	240,001	270,005
Transfer (a)	(43,459)	—
Benefits paid (including settlement lump sum benefit payments of ($1,205,195) in 2024	(361,890)	(1,581,690)
Fair value of assets at December 31	$4,798,964	$4,432,732
Funded status	$214,653	($87,959)
Amount recognized in the balance sheet (funded status)
Non-current assets	$217,131	$70,671
Non-current liabilities (b)	(2,478)	(158,630)
Total funded status	$214,653	($87,959)
Amount recognized as a regulatory asset
Net loss (c)	$1,056,610	$1,217,402
Amount recognized as AOCI (before tax)
Net loss	$88,462	$89,531

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

(b)Includes ($4.0) million at Entergy as of December 31, 2024 of non-current liabilities related to the natural gas distribution businesses classified as held for sale and included in other non-current liabilities on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

(c)Includes $13.9 million at Entergy as of December 31, 2024 of regulatory assets related to the natural gas distribution businesses classified as held for sale and included in “Non-current assets held for sale” on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

Qualified pension obligations, plan assets, funded status, and amounts recognized in the Balance Sheets for the Registrant Subsidiaries as of December 31, 2025 and 2024 are as follows:


2025	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Change in Projected Benefit Obligation (PBO)
Balance at January 1	$1,061,063	$1,123,024	$283,071	$127,133	$229,942	$275,117
Service cost	17,624	21,714	5,200	1,642	4,063	5,448
Interest cost	54,788	58,102	14,720	6,521	11,780	14,163
Actuarial loss	21,393	10,104	6,438	5,537	4,963	7,626
Settlement liability transfer (a)	—	(16,391)	—	(21,723)	—	—
Benefits paid	(85,881)	(87,398)	(24,249)	(17,388)	(26,307)	(25,321)
Balance at December 31	$1,068,987	$1,109,155	$285,180	$101,722	$224,441	$277,033
Change in Plan Assets
Fair value of assets at January 1	$1,043,188	$1,111,601	$294,458	$125,805	$228,053	$269,899
Actual return on plan assets	126,402	133,886	35,112	12,011	27,951	33,425
Employer contributions	35,544	41,253	8,064	5,016	7,725	15,668
Transfer (a)	—	(13,984)	—	(19,740)	—	—
Benefits paid	(85,881)	(87,398)	(24,249)	(17,388)	(26,307)	(25,321)
Fair value of assets at December 31	$1,119,253	$1,185,358	$313,385	$105,704	$237,422	$293,671
Funded status	$50,266	$76,203	$28,205	$3,982	$12,981	$16,638
Amounts recognized in the balance sheet (funded status)
Non-current assets	$50,266	$76,203	$28,205	$3,982	$12,981	$16,638


Amounts recognized as regulatory asset
Net loss	$359,324	$195,570	$74,801	$27,375	$46,038	$84,844
Amounts recognized as AOCI (before tax)
Net loss	$—	$8,149	$—	$—	$—	$—

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Change in Projected Benefit Obligation (PBO)
Balance at January 1	$1,117,585	$1,173,283	$295,942	$133,950	$239,984	$286,558
Service cost	16,398	22,204	5,135	1,760	3,846	5,525
Interest cost	52,870	55,843	14,084	6,276	11,324	13,525
Actuarial gain	(48,020)	(46,895)	(10,071)	(6,098)	(6,102)	(8,908)
Benefits paid (a)	(77,770)	(81,411)	(22,019)	(8,755)	(19,110)	(21,583)
Balance at December 31	$1,061,063	$1,123,024	$283,071	$127,133	$229,942	$275,117
Change in Plan Assets
Fair value of assets at January 1	$991,894	$1,058,711	$280,260	$117,923	$222,496	$255,443
Actual return on plan assets	73,952	85,900	21,237	11,706	16,395	19,389
Employer contributions	55,112	48,401	14,980	4,931	8,272	16,650
Benefits paid (a)	(77,770)	(81,411)	(22,019)	(8,755)	(19,110)	(21,583)
Fair value of assets at December 31	$1,043,188	$1,111,601	$294,458	$125,805	$228,053	$269,899
Funded status	($17,875)	($11,423)	$11,387	($1,328)	($1,889)	($5,218)
Amounts recognized in the balance sheet (funded status)
Non-current assets	$29,521	$10,010	$19,666	$3,299	$6,064	$3,135
Non-current liabilities (b)	(47,396)	(21,433)	(8,279)	(4,627)	(7,953)	(8,353)
Total funded status	($17,875)	($11,423)	$11,387	($1,328)	($1,889)	($5,218)
Amounts recognized as regulatory asset
Net loss (c)	$412,777	$256,316	$86,790	$34,039	$55,902	$96,932
Amounts recognized as AOCI (before tax)
Net loss	$—	$10,680	$—	$—	$—	$—

(a)Including settlement lump sum benefit payments of ($2.1) million at System Energy.

(b)Includes ($2.0) million at Entergy Louisiana and ($1.2) million at Entergy New Orleans as of December 31, 2024 of non-current liabilities related to the respective natural gas distribution businesses classified as held for sale and included in other non-current liabilities on the respective consolidated balance sheets. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

(c)Includes $4.5 million at Entergy Louisiana and $6.7 million at Entergy New Orleans as of December 31, 2024 of regulatory assets related to the respective natural gas distribution businesses classified as held for sale and included in “Non-current assets held for sale” on the respective consolidated balance sheets. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

The qualified pension plans incurred actuarial gains during 2025 primarily due to asset gains due to an actual return on assets higher than the expected return on assets, partially offset by liability losses due to a fall in bond yields that resulted in decreases to the discount rates used to develop the benefit obligations. The qualified pension plans incurred net actuarial gains during 2024 primarily due to liability gains due to a rise in bond yields that resulted in

increases to the discount rates used to develop the benefit obligations; partially offset by asset losses resulting from an actual return on assets lower than the expected return on assets in some plans.

The accumulated benefit obligation for Entergy’s qualified pension plans was $4.2 billion and $4.1 billion at December 31, 2025 and 2024, respectively.

Information for Entergy’s qualified pension plans with an accumulated benefit obligation in excess of plan assets as of December 31, 2025 and 2024 was as follows:


	2025	2024
	(In Thousands)
Accumulated benefit obligation	$84,637	$912,174
Fair value of plan assets	$82,882	$864,795

Information for Entergy’s qualified pension plans with a projected benefit obligation in excess of plan assets as of December 31, 2025 and 2024 was as follows:


	2025	2024
	(In Thousands)
Projected benefit obligation	$238,058	$2,701,323
Fair value of plan assets	$235,580	$2,542,693

The qualified pension accumulated benefit obligation for each of the Registrant Subsidiaries for their current and former employees as of December 31, 2025 and 2024 was as follows:


	2025	2024
	(In Thousands)
Entergy Arkansas	$988,724	$980,559
Entergy Louisiana	$1,014,433	$1,024,433
Entergy Mississippi	$259,995	$257,759
Entergy New Orleans	$96,241	$118,620
Entergy Texas	$207,772	$212,935
System Energy	$253,108	$252,397

Each of the Registrant Subsidiaries’ qualified pension plans had plan assets in excess of the accumulated benefit obligation as of December 31, 2025.

Information for each of the Registrant Subsidiaries qualified pension plans with an accumulated benefit obligation in excess of plan assets as of December 31, 2024 was as follows:


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy Texas	System Energy
	(In Thousands)
Accumulated benefit obligation	$304,518	$123,735	$105,285	$58,082	$44,286
Fair value of plan assets	$297,161	$115,446	$103,380	$55,953	$40,146

Each of the Registrant Subsidiaries qualified pension plans had plan assets in excess of the projected benefit obligation as of December 31, 2025.

Information for each of the Registrant Subsidiaries qualified pension plans with a projected benefit obligation in excess of plan assets as of December 31, 2024 was as follows:


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Projected benefit obligation	$1,009,496	$580,451	$111,659	$108,354	$128,652	$247,186
Fair value of plan assets	$962,101	$559,017	$103,380	$103,727	$120,700	$238,833

Other Postretirement Benefits

Entergy also currently offers retiree medical, dental, vision, and life insurance benefits (other postretirement benefits) for eligible retired employees. Employees who commenced employment before July 1, 2014 and who satisfy certain eligibility requirements (including retiring from Entergy after a certain age and/or years of service with Entergy and immediately commencing their Entergy pension benefit), may become eligible for other postretirement benefits.

In March 2020, Entergy announced changes to its other postretirement benefits. Effective January 1, 2021, certain retired, former non-bargaining employees age 65 and older who are eligible for Entergy-sponsored retiree welfare benefits, and their eligible spouses who are age 65 and older (collectively, Medicare-eligible participants), are eligible to participate in an Entergy-sponsored retiree health plan, and are no longer eligible for retiree coverage under the Entergy Corporation Companies’ Benefits Plus Medical, Dental and Vision Plans. Under the Entergy-sponsored retiree health plan, Medicare-eligible participants are eligible to participate in a health reimbursement arrangement which they may use towards the purchase of various types of qualified insurance offered through a Medicare exchange provider and for other qualified medical expenses. The changes affecting active bargaining unit employees were negotiated with the unions prior to implementation, where necessary, and to the extent required by law.

Effective January 1, 1993, Entergy adopted an accounting standard requiring a change from a cash method to an accrual method of accounting for postretirement benefits other than pensions. Entergy Arkansas, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy have received regulatory approval to recover accrued other postretirement benefits costs through rates. The LPSC ordered Entergy Louisiana to continue the use of the pay-as-you-go method for ratemaking purposes for postretirement benefits other than pensions. However, the LPSC retains the flexibility to examine individual companies’ accounting for other postretirement benefits to determine if special exceptions to this order are warranted. Pursuant to regulatory directives, Entergy Arkansas, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy contribute the other postretirement benefits costs collected in rates into external trusts. System Energy is funding, on behalf of Entergy Operations, other postretirement benefits associated with employees who work or worked at Grand Gulf.

Trust assets contributed by participating Registrant Subsidiaries are in master trusts, established by Entergy Corporation and maintained by a trustee. Each plan has an undivided beneficial interest in each of the investment accounts in its respective master trust that is maintained by a trustee. Each participating Registrant Subsidiary holds a beneficial interest in the plans’ investment accounts. The assets in the master trusts are commingled for investment and administrative purposes. Although assets are commingled, supporting records are maintained for the purpose of allocating the beneficial interest in net earnings/(losses) and the administrative expenses of the investment accounts to the various participating plans and participating Registrant Subsidiaries. Beneficial interest in an investment account’s net income/(loss) is comprised of interest and dividends, realized and unrealized gains and losses, and expenses. Beneficial interest from these investments is allocated to the plans and participating Registrant Subsidiary based on their portion of net assets in the pooled accounts.

Components of Net Other Postretirement Benefits Cost and Other Amounts Recognized as a Regulatory Asset and/or AOCI

Entergy Corporation’s and its subsidiaries’ total 2025, 2024, and 2023 other postretirement benefits (income) costs, including amounts capitalized and amounts recognized as a regulatory asset and/or other comprehensive income, included the following components:


	2025	2024	2023
	(In Thousands)
Other postretirement costs:
Service cost - benefits earned during the period	$10,919	$12,503	$14,654
Interest cost on accumulated postretirement benefits obligation (APBO)	38,273	39,408	42,272
Expected return on assets	(40,079)	(42,277)	(36,732)
Amortization of prior service credit	(22,763)	(22,880)	(22,558)
Recognized net gain	(15,099)	(11,045)	(11,446)
Settlement credit	(2,958)	—	—
Curtailment credit	(2,202)	—	—
Asset transfer loss (a)	13,630	—	—
Net other postretirement benefits income	($20,279)	($24,291)	($13,810)
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Prior service credit for the period	$—	$—	($4,434)
Net (gain) loss	44,287	(73,123)	(44,441)
Amounts reclassified from regulatory asset and/or AOCI to net periodic benefit cost in the current year:
Amortization of prior service credit	22,763	22,880	22,558
Acceleration of prior service credit due to curtailment	2,202	—	—
Settlement credit	2,958	—	—
Amortization of net gain	15,099	11,045	11,446
Total	$87,309	($39,198)	($14,871)
Total recognized as net periodic other postretirement benefits (income) cost, regulatory asset, and/or AOCI (before tax)	$67,030	($63,489)	($28,681)

(a) See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

Total 2025, 2024, and 2023 other postretirement benefits (income) costs of the Registrant Subsidiaries, including amounts capitalized and deferred, for their current and former employees included the following components:


2025	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Other postretirement costs:
Service cost - benefits earned during the period	$2,286	$2,606	$647	$168	$634	$697
Interest cost on APBO	7,099	7,888	1,955	904	2,326	1,576
Expected return on assets	(16,901)	—	(5,310)	(5,020)	(9,806)	(2,808)
Amortization of prior service cost (credit)	2,097	(4,545)	(955)	(798)	(4,371)	(293)
Recognized net (gain) loss	(1,412)	(6,622)	(229)	(220)	613	(27)
Settlement credit	—	(1,014)	—	(1,345)	—	—
Curtailment credit	—	(1,094)	—	(268)	—	—
Asset transfer (gain) loss (a)	—	(2,831)	—	18,908	—	—
Net other postretirement benefits (income) cost	($6,831)	($5,612)	($3,892)	$12,329	($10,604)	($855)
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:

Net (gain) loss	($2,921)	$22,730	($1,144)	($4,037)	($8,005)	$2,656
Amounts reclassified from regulatory asset and/or AOCI to net periodic benefit cost in the current year:
Amortization of prior service credit (cost)	(2,097)	4,545	955	798	4,371	293
Acceleration of prior service credit due to curtailment	—	1,094	—	268	—	—
Settlement credit	—	1,014	—	1,345	—	—
Amortization of net gain (loss)	1,412	6,622	229	220	(613)	27
Total	($3,606)	$36,005	$40	($1,406)	($4,247)	$2,976
Total recognized as net periodic other postretirement benefits (income) cost, regulatory asset, and/or AOCI (before tax)	($10,437)	$30,393	($3,852)	$10,923	($14,851)	$2,121

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Other postretirement costs:
Service cost - benefits earned during the period	$2,569	$2,800	$736	$205	$670	$699
Interest cost on APBO	7,331	7,995	1,945	1,012	2,411	1,593
Expected return on assets	(17,535)	—	(5,486)	(5,915)	(10,156)	(2,912)
Amortization of prior service cost (credit)	2,097	(4,544)	(955)	(916)	(4,371)	(293)
Recognized net (gain) loss	—	(6,952)	61	74	591	—
Net other postretirement benefits income	($5,538)	($701)	($3,699)	($5,540)	($10,855)	($913)
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:

Net gain	($20,074)	($7,273)	($3,915)	($2,217)	($4,683)	($3,476)
Amounts reclassified from regulatory asset and/or AOCI to net periodic benefit cost in the current year:
Amortization of prior service credit (cost)	(2,097)	4,544	955	916	4,371	293
Amortization of net gain (loss)	—	6,952	(61)	(74)	(591)	—
Total	($22,171)	$4,223	($3,021)	($1,375)	($903)	($3,183)
Total recognized as net periodic other postretirement (income) cost, regulatory asset, and/or AOCI (before tax)	($27,709)	$3,522	($6,720)	($6,915)	($11,758)	($4,096)


2023	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Other postretirement costs:
Service cost - benefits earned during the period	$2,965	$3,379	$878	$235	$809	$754
Interest cost on APBO	8,002	8,931	2,170	1,160	2,597	1,726
Expected return on assets	(15,113)	—	(4,716)	(5,263)	(8,776)	(2,535)
Amortization of prior service cost (credit)	2,096	(3,804)	(955)	(916)	(4,371)	(293)
Recognized net (gain) loss	171	(7,057)	85	466	914	—
Net other postretirement benefits (income) cost	($1,879)	$1,449	($2,538)	($4,318)	($8,827)	($348)
Other changes in plan assets and benefit obligations recognized as a regulatory asset and/or AOCI (before tax)
Arising this period:
Prior service credit for the period	$—	($4,434)	$—	$—	$—	$—
Net gain	(23,033)	(458)	(6,883)	(7,606)	(8,790)	(3,942)
Amounts reclassified from regulatory asset and/or AOCI to net periodic benefit cost in the current year:
Amortization of prior service credit (cost)	(2,096)	3,804	955	916	4,371	293
Amortization of net gain (loss)	(171)	7,057	(85)	(466)	(914)	—
Total	($25,300)	$5,969	($6,013)	($7,156)	($5,333)	($3,649)
Total recognized as net periodic other postretirement (income) cost, regulatory asset, and/or AOCI (before tax)	($27,179)	$7,418	($8,551)	($11,474)	($14,160)	($3,997)

Other Postretirement Benefits Obligations, Plan Assets, Funded Status, and Amounts Not Yet Recognized and Recognized in the Balance Sheet

Other postretirement benefits obligations, plan assets, funded status, and amounts not yet recognized and recognized in the Consolidated Balance Sheets of Entergy Corporation and its Subsidiaries as of December 31, 2025 and 2024 are as follows:


	2025	2024
	(In Thousands)
Change in APBO
Balance at January 1	$754,682	$837,644
Service cost	10,919	12,503
Interest cost	38,273	39,408

Settlement liability transfer (a)	(9,439)	—
Plan participant contributions	19,666	21,473
Actuarial (gain) loss	76,474	(66,320)
Benefits paid	(86,648)	(90,492)
Medicare Part D subsidy received	409	466
Balance at December 31	$804,336	$754,682
Change in Plan Assets
Fair value of assets at January 1	$698,602	$673,141
Actual return on plan assets	72,266	49,080
Employer contributions	45,200	45,400
Plan participant contributions	19,666	21,473
Transfer (a)	(23,069)	—
Benefits paid	(86,648)	(90,492)
Fair value of assets at December 31	$726,017	$698,602
Funded status	($78,319)	($56,080)
Amounts recognized in the balance sheet
Current liabilities	($40,416)	($42,530)
Non-current liabilities (b)	(37,903)	(13,550)
Total funded status	($78,319)	($56,080)
Amounts recognized as a regulatory asset (c)
Prior service credit	($3,220)	($12,729)
Net gain	(63,249)	(78,520)
	($66,469)	($91,249)
Amounts recognized as AOCI (before tax)
Prior service credit	($5,299)	($20,755)
Net gain	(86,181)	(133,253)
	($91,480)	($154,008)

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

(b)Includes $14.7 million at Entergy as of December 31, 2024 of non-current assets related to the natural gas distribution businesses classified as held for sale and included in “Non-current assets held for sale” on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

(c)Includes ($1.9) million at Entergy as of December 31, 2024 of regulatory assets related to the natural gas distribution businesses classified as held for sale and included in “Non-current assets held for sale” on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

Other postretirement benefits obligations, plan assets, funded status, and amounts not yet recognized and recognized in the Balance Sheets of the Registrant Subsidiaries as of December 31, 2025 and 2024 are as follows:


2025	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Change in APBO
Balance at January 1	$138,212	$156,831	$38,143	$19,701	$45,609	$30,553
Service cost	2,286	2,606	647	168	634	697
Interest cost	7,099	7,888	1,955	904	2,326	1,576

Settlement liability transfer (a)	—	(2,831)	—	(4,161)	—	—
Plan participant contributions	3,661	5,450	972	411	913	1,061
Actuarial (gain) loss	10,928	22,730	3,274	595	(1,105)	4,785
Benefits paid	(14,340)	(21,210)	(4,197)	(1,997)	(6,215)	(3,891)
Medicare Part D subsidy received	29	56	6	3	11	14
Balance at December 31	$147,875	$171,520	$40,800	$15,624	$42,173	$34,795
Change in Plan Assets
Fair value of assets at January 1	$284,095	$—	$89,144	$105,600	$167,744	$46,997
Actual return on plan assets	30,750	—	9,728	9,652	16,706	4,937
Employer contributions	1,080	15,760	223	97	(171)	1,226
Plan participant contributions	3,661	5,450	972	411	913	1,061
Transfer (a)	—	—	—	(23,069)	—	—
Benefits paid	(14,340)	(21,210)	(4,197)	(1,997)	(6,215)	(3,891)
Fair value of assets at December 31	$305,246	$—	$95,870	$90,694	$178,977	$50,330
Funded status	$157,371	($171,520)	$55,070	$75,070	$136,804	$15,535
Amounts recognized in the balance sheet
Non-current assets	$157,371	$—	$55,070	$75,070	$136,804	$15,535
Current liabilities	—	(14,140)	—	—	—	—
Non-current liabilities	—	(157,380)	—	—	—	—
Total funded status	$157,371	($171,520)	$55,070	$75,070	$136,804	$15,535
Amounts recognized in regulatory asset
Prior service cost (credit)	$789	$—	($772)	$—	($3,048)	$90
Net loss (gain)	(39,563)	—	(9,706)	(10,606)	650	(681)
	($38,774)	$—	($10,478)	($10,606)	($2,398)	($591)
Amounts recognized in AOCI (before tax)
Prior service credit	$—	($2,462)	$—	$—	$—	$—
Net gain	—	(45,664)	—	—	—	—
	$—	($48,126)	$—	$—	$—	$—

(a)See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Change in APBO
Balance at January 1	$155,987	$170,139	$41,344	$21,685	$51,617	$33,778
Service cost	2,569	2,800	736	205	670	699
Interest cost	7,331	7,995	1,945	1,012	2,411	1,593

Plan participant contributions	4,200	5,867	696	519	681	1,297
Actuarial gain	(17,007)	(7,273)	(3,008)	(1,063)	(3,763)	(2,897)
Benefits paid	(14,917)	(22,774)	(3,584)	(2,658)	(6,021)	(3,934)
Medicare Part D subsidy received	49	77	14	1	14	17
Balance at December 31	$138,212	$156,831	$38,143	$19,701	$45,609	$30,553
Change in Plan Assets
Fair value of assets at January 1	$274,814	$—	$85,662	$100,536	$161,318	$45,402
Actual return on plan assets	20,602	—	6,393	7,069	11,076	3,491
Employer contributions	(604)	16,907	(23)	134	690	741
Plan participant contributions	4,200	5,867	696	519	681	1,297
Benefits paid	(14,917)	(22,774)	(3,584)	(2,658)	(6,021)	(3,934)
Fair value of assets at December 31	$284,095	$—	$89,144	$105,600	$167,744	$46,997
Funded status	$145,883	($156,831)	$51,001	$85,899	$122,135	$16,444
Amounts recognized in the balance sheet
Non-current assets (a)	$145,883	$—	$51,001	$85,899	$122,135	$16,444
Current liabilities	—	(14,377)	—	—	—	—
Non-current liabilities (b)	—	(142,454)	—	—	—	—
Total funded status	$145,883	($156,831)	$51,001	$85,899	$122,135	$16,444
Amounts recognized in regulatory asset (c)
Prior service cost (credit)	$2,886	$—	($1,727)	($1,066)	($7,419)	($203)
Net loss (gain)	(38,054)	—	(8,791)	(8,134)	9,268	(3,364)
	($35,168)	$—	($10,518)	($9,200)	$1,849	($3,567)
Amounts recognized in AOCI (before tax)
Prior service credit	$—	($8,101)	$—	$—	$—	$—
Net gain	—	(76,030)	—	—	—	—
	$—	($84,131)	$—	$—	$—	$—

(a)Includes $19.5 million of non-current assets at Entergy New Orleans as of December 31, 2024 related to the natural gas distribution business classified as held for sale and included in “Non-current assets held for sale” on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

(b)Includes ($2.5) million of non-current liabilities at Entergy Louisiana as of December 31, 2024 related to the natural gas distribution business classified as held for sale and included in other non-current liabilities on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale

of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

(c)Includes ($1.9) million at Entergy New Orleans as of December 31, 2024 of regulatory assets related to the natural gas distribution business classified as held for sale and included in “Non-current assets held for sale” on the consolidated balance sheet. See Note 14 to the financial statements for further discussion of the sale of the Entergy New Orleans and Entergy Louisiana natural gas distribution businesses on July 1, 2025 and the classification as held for sale as of December 31, 2024.

The other postretirement plans incurred net actuarial losses during 2025 primarily due to liability losses resulting from revisions to retiree life assumptions and a fall in bond yields that resulted in decreases to the discount rates used to develop the benefit obligations, partially offset by asset gains due to an actual return on assets higher than the expected return on assets. The other postretirement plans incurred net actuarial gains during 2024 primarily due to liability gains due to a rise in bond yields that resulted in increases to the discount rates used to develop the benefit obligations and an actual return on assets higher than the expected return on assets.

Non-Qualified Pension Plans

Entergy also sponsors non-qualified, non-contributory defined benefit pension plans that provide benefits to certain key employees. Entergy recognized net periodic pension cost related to these plans of $13.5 million in 2025, $12.2 million in 2024, and $43.8 million in 2023. In 2025, 2024, and 2023, Entergy recognized $3.8 million, $1.5 million, and $27.9 million, respectively, in settlement charges related to the payment of lump sum benefits out of the plan that is included in the non-qualified pension plan cost above.

The projected benefit obligation was $96.3 million as of December 31, 2025 of which $22.8 million was a current liability and $73.5 million was a non-current liability. The projected benefit obligation was $94.1 million as of December 31, 2024 of which $22.3 million was a current liability and $71.8 million was a non-current liability. The accumulated benefit obligation was $79.9 million and $81.2 million as of December 31, 2025 and 2024, respectively. The unamortized prior service cost and net loss are recognized in regulatory assets ($32.3 million at December 31, 2025 and $29.8 million at December 31, 2024) and accumulated other comprehensive income before taxes ($4.8 million at December 31, 2025 and $4.7 million at December 31, 2024).

A Rabbi Trust was established for the benefit of certain participants in Entergy’s non-qualified, non-contributory defined benefit pension plans. The Rabbi Trust assets were invested in money-market funds which were recorded at fair value with all gains and losses recognized immediately in income. All of the investments were classified as Level 1 investments for purposes of Fair Value Measurements. At December 31, 2025, the fair value of the assets held in the Rabbi Trust was $25 million.

The following Registrant Subsidiaries participate in Entergy’s non-qualified, non-contributory defined benefit pension plans that provide benefits to certain key employees. The net periodic pension cost for their current and former employees for the non-qualified plans for 2025, 2024, and 2023, was as follows:


	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
2025	$184	$140	$558	$137	$157
2024	$269	$256	$326	$122	$248
2023	$637	$99	$808	$132	$253

Included in the 2025 net periodic pension cost above are settlement charges of $215 thousand for Entergy Mississippi related to the lump sum benefits paid out of the plan. Included in the 2024 net periodic pension cost above are settlement charges of $55 thousand for Entergy Louisiana related to the lump sum benefits paid out of the

plan. Included in the 2023 net periodic pension cost above are settlement charges of $379 thousand and $453 thousand for Entergy Arkansas and Entergy Mississippi, respectively, related to the lump sum benefits paid out of the plan.

The projected benefit obligation for their current and former employees for the non-qualified plans as of December 31, 2025 and 2024 was as follows:


	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
2025	$2,105	$1,886	$3,858	$1,335	$2,844
2024	$1,721	$1,405	$3,566	$1,143	$2,734

The accumulated benefit obligation for their current and former employees for the non-qualified plans as of December 31, 2025 and 2024 was as follows:


	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
2025	$1,654	$1,299	$3,464	$1,163	$2,832
2024	$1,468	$1,197	$3,322	$939	$2,710

The following amounts were recorded on the balance sheet as of December 31, 2025 and 2024:


2025	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
Current liabilities	($538)	($191)	($344)	($95)	($390)
Non-current liabilities	(1,567)	(1,695)	(3,514)	(1,240)	(2,454)
Total funded status	($2,105)	($1,886)	($3,858)	($1,335)	($2,844)
Regulatory asset (liability)	$441	$1,079	$1,764	$81	($3,102)
Accumulated other comprehensive income (before taxes)	$—	$45	$—	$—	$—


2024	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
Current liabilities	($524)	($190)	($419)	($104)	($386)
Non-current liabilities	(1,197)	(1,215)	(3,147)	(1,039)	(2,348)
Total funded status	($1,721)	($1,405)	($3,566)	($1,143)	($2,734)
Regulatory asset (liability)	$119	$493	$1,292	$9	($3,429)
Accumulated other comprehensive income (before taxes)	$—	$21	$—	$—	$—

The non-qualified plans incurred an actuarial loss during 2025 primarily as a result of liability losses due to salary increases in excess of expectations, as well as a decline in bond yields that resulted in decreases to the discount rate used to develop the benefit obligations. The non-qualified pension plans incurred an actuarial loss during 2024

primarily as a result of liability losses due to differences in recent retirement and lump sum experience relative to actuarial assumptions, as well as salary increases in excess of expectations.

Reclassification out of Accumulated Other Comprehensive Income (Loss)

Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) as of December 31, 2025:


	Qualified Pension Costs	Other Postretirement Costs	Non-Qualified Pension Costs	Total
	(In Thousands)
Entergy
Amortization of prior service credit (cost)	$—	$13,979	($125)	$13,854
Amortization of gain (loss)	(1,658)	11,712	(410)	9,644
Settlement loss	(167)	—	(253)	(420)
	($1,825)	$25,691	($788)	$23,078
Entergy Louisiana
Amortization of prior service credit	$—	$4,545	$—	$4,545
Amortization of gain (loss)	(371)	6,622	(2)	6,249
Settlement loss	(106)	—	—	(106)
	($477)	$11,167	($2)	$10,688

Entergy and Entergy Louisiana reclassified the following costs out of accumulated other comprehensive income (loss) (before taxes and including amounts capitalized) as of December 31, 2024:


	Qualified Pension Costs	Other Postretirement Costs	Non-Qualified Pension Costs	Total
	(In Thousands)
Entergy
Amortization of prior service credit (cost)	$—	$14,055	($159)	$13,896
Amortization of gain (loss)	(2,820)	10,459	(312)	7,327
Settlement loss	(319,920)	—	(58)	(319,978)
	($322,740)	$24,514	($529)	($298,755)
Entergy Louisiana
Amortization of prior service credit	$—	$4,544	$—	$4,544
Amortization of gain (loss)	(416)	6,952	(3)	6,533
Settlement loss	—	—	(2)	(2)
	($416)	$11,496	($5)	$11,075

Accounting for Pension and Other Postretirement Benefits

Accounting standards require an employer to recognize in its balance sheet the funded status of its benefit plans. This is measured as the difference between plan assets at fair value and the benefit obligation. Entergy uses a December 31 measurement date for its pension and other postretirement plans. Employers are to record previously unrecognized gains and losses, prior service costs, and any remaining transition asset or obligation (that resulted from adopting prior pension and other postretirement benefits accounting standards) as comprehensive income and/or as a regulatory asset reflective of the recovery mechanism for pension and other postretirement benefits costs in the Registrant Subsidiaries’ respective regulatory jurisdictions. For the portion of Entergy

Louisiana that is not regulated, the unrecognized prior service cost, gains and losses, and transition asset/obligation for its pension and other postretirement benefits obligations are recorded as other comprehensive income. Entergy Louisiana recovers other postretirement benefits costs on a pay-as-you-go basis and records the unrecognized prior service cost, gains and losses, and transition obligation for its other postretirement benefits obligation as other comprehensive income. Accounting standards also require that changes in the funded status be recorded as other comprehensive income and/or a regulatory asset in the period in which the changes occur.

With regard to pension and other postretirement costs, Entergy calculates the expected return on pension and other postretirement benefits plan assets by multiplying the long-term expected rate of return on assets by the market-related value (MRV) of plan assets. Entergy determines the MRV of its pension plan assets, except for the long duration fixed income assets, by calculating a value that uses a 20-quarter phase-in of the difference between actual and expected returns. For the long duration fixed income assets in the pension trust and for its other postretirement benefits plan assets Entergy uses fair value as the MRV.

In accordance with accounting standards, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations and are presented by Entergy in miscellaneous - net in other income. In addition, non-service benefit costs previously eligible for capitalization into property, plant, and equipment are being deferred to a regulatory asset/liability and will be amortized over the estimated lives of the respective assets.

Qualified Pension Settlement Costs

The Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees were remeasured with the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025, resulting in settlement charges of $12.1 million as a result of ongoing payments of lump sum benefits from the plans and settlement charges of $11.8 million as a result of the sale. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy each participate in one or both of the Entergy Corporation Retirement Plan for Bargaining Employees and the Entergy Corporation Retirement Plan for Non-Bargaining Employees and incurred settlement costs. See Note 14 to the financial statements for discussion of the sale of the Entergy Louisiana and Entergy New Orleans natural gas distribution businesses on July 1, 2025.

In May 2024, Entergy Corporation entered into a commitment agreement by and between Entergy Corporation, Newport Trust Company, LLC, as independent fiduciary of Entergy Corporation Retirement Plan II for Non-Bargaining Employees, Entergy Corporation Retirement Plan II for Bargaining Employees, Entergy Corporation Retirement Plan III, and Entergy Corporation Retirement Plan IV for Bargaining Employees (the Pension Plans), and the Metropolitan Life Insurance Company (MetLife), under which the Pension Plans purchased a nonparticipating single premium group annuity contract from MetLife to settle approximately $1.2 billion of benefit liabilities of the Pension Plans.

The group annuity contract primarily covers a population that includes approximately 3,400 non-utility business retirees, joint annuitants, beneficiaries, and alternate payees who commenced benefit payments from the Pension Plans on or before March 1, 2024 (Transferred Participants). MetLife irrevocably guarantees and assumes the sole obligation to make future monthly pension benefit payments to the Transferred Participants as provided under its group annuity contract, with direct payments that began September 1, 2024. The aggregate amount of each Transferred Participant’s payment under the group annuity contract will be equal to the amount of each individual’s payment under the Pension Plans.

The purchase of the group annuity contract was funded directly by assets of the Pension Plans. The transferred pension liability required no additional funding prior to transfer, as the liability was fully funded. As a result of the transaction, Entergy recognized a one-time non-cash pension settlement charge of $328 million in 2024, of which $8 million was recorded at Utility, as described below, and $320 million was recorded at Parent &

Other. The $320 million settlement charge at Parent & Other is reflected in Miscellaneous - net in Other income (deductions) on the consolidated income statements.

Year-to-date lump sum benefit payments from Non-Bargaining Plan I, Bargaining Plan I, Non-Bargaining Plan II, and Bargaining Plan II exceeded the sum of the Plans’ service and interest cost, resulting in settlement costs during 2023. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy participate in one or both of Non-Bargaining Plan I and Bargaining Plan I and incurred settlement costs.

In accordance with accounting standards, settlement accounting requires immediate recognition of the portion of previously unrecognized losses associated with the settled portion of the plan’s pension liability. Similar to other pension costs, the settlement costs were included with employee labor costs and charged to expense and capital in the same manner that labor costs were charged. Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans each received regulatory approval to defer the expense portion of settlement costs, with future amortization of the deferred settlement expense over the period in which the expense otherwise would be recorded had the immediate recognition not occurred.

Entergy Mississippi Other Postretirement Benefits

Pursuant to an order from the MPSC, Entergy Mississippi was directed to cease including other postretirement benefit credits in other operation and maintenance expense or allocating to capital expenditures for ratemaking purposes effective January 1, 2024. The credits are being deferred as a regulatory liability. In addition, beginning in July 2024, Entergy Mississippi is recovering the December 31, 2023 other postretirement benefit asset in rate base over five years and accruing a regulatory liability. At December 31, 2025, the balance in these regulatory liability accounts was approximately $18.6 million.

Entergy New Orleans Other Postretirement Benefits

Pursuant to an order from the City Council, Entergy New Orleans received approval to exclude other postretirement benefit expense credits from the formula rate plan evaluation filing. To comply with the order, Entergy New Orleans began recording the other postretirement benefit expense credits to a regulatory liability account in September 2024. At December 31, 2025, the balance in this regulatory liability account was approximately $2.4 million.

Entergy Texas Reserve

In September 2020, Entergy Texas elected to establish a reserve, in accordance with PUCT regulations, to track the surplus or deficit in the annual amount of actuarially determined pension and other postretirement benefits chargeable to Entergy Texas’s expense. The reserve amounts recorded are evaluated in each rate case filed by Entergy Texas and an amortization period is determined at that time. At December 31, 2025, the balance in this reserve was approximately $863 thousand.

Qualified Pension and Other Postretirement Plans’ Assets

The Plan Administrator’s trust asset investment strategy is to invest the assets in a manner whereby long-term earnings on the assets (plus cash contributions) provide adequate funding for retiree benefit payments. The mix of assets is based on an optimization study that identifies asset allocation targets in order to achieve the maximum return for an acceptable level of risk, while minimizing the expected contributions and pension and postretirement expense.

In the optimization studies, the Plan Administrator formulates assumptions about characteristics, such as expected asset class investment returns, volatility (risk), and correlation coefficients among the various asset

classes. The future market assumptions used in the optimization study are determined by examining historical market characteristics of the various asset classes and making adjustments to reflect future conditions expected to prevail over the study period.

The target asset allocation for pension adjusts dynamically based on the funded status of each plan within the trust. The current targets are shown below. The expectation is that the allocation to fixed income securities will increase as the pension plans’ funded status increases. The following ranges were established to produce an acceptable, economically efficient plan to manage around the targets.

For postretirement assets the target and range asset allocations (as shown below) reflect recommendations made in the latest optimization study. The target asset allocations for postretirement assets adjust dynamically based on the funded status of each sub-account within each trust. The current weighted-average targets shown below represent the aggregate of all targets for all sub-accounts within all trusts.

Entergy’s qualified pension and postretirement weighted-average asset allocations by asset category at December 31, 2025 and 2024 and the target asset allocation and ranges for 2025 are as follows:


Pension Asset Allocation	Target	Range			Actual 2025	Actual 2024
Domestic Equity Securities	19%	10%	to	22%	19%	23%
International Equity Securities	11%	7%	to	15%	12%	13%
Intermediate Fixed Income Securities	4%	3%	to	5%	4%	5%
Long Duration Fixed Income Securities	66%	62%	to	70%	64%	59%
Other	—%	—%	to	10%	1%	—%


Postretirement Asset Allocation	Non-Taxable and Taxable
	Target	Range			Actual 2025	Actual 2024
Domestic Equity Securities	14%	9%	to	19%	16%	16%
International Equity Securities	9%	4%	to	14%	10%	9%
Fixed Income Securities	77%	72%	to	82%	74%	75%
Other	—%	—%	to	5%	—%	—%

In determining its expected long-term rate of return on plan assets used in the calculation of benefit plan costs, Entergy reviews past performance, current and expected future asset allocations, and capital market assumptions of its investment consultant and some investment managers.

The expected long-term rate of return for the qualified pension plans’ assets is based primarily on the geometric average of the historical annual performance of a representative portfolio weighted by the target asset allocation defined in the table above, along with other indications of expected return on assets. The time period reflected is a long-dated period spanning several decades.

The expected long-term rate of return for the non-taxable postretirement trust assets is determined using the same methodology described above for pension assets, but the aggregate asset allocation specific to the non-taxable postretirement assets is used.

For the taxable postretirement trust assets, the investment allocation includes tax-exempt fixed income securities. This asset allocation, in combination with the same methodology employed to determine the expected return for other postretirement assets (as described above), and with a modification to reflect applicable taxes, is used to produce the expected long-term rate of return for taxable postretirement trust assets.

Concentrations of Credit Risk

Entergy’s investment guidelines mandate the avoidance of risk concentrations. Types of concentrations specified to be avoided include, but are not limited to, investment concentrations in a single entity, type of industry, foreign country, geographic area, and individual security issuance. As of December 31, 2025, all investment managers and assets were materially in compliance with the approved investment guidelines, therefore there were no significant concentrations (defined as greater than 10 percent of plan assets) of credit risk in Entergy’s pension and other postretirement benefits plan assets.

Fair Value Measurements

Accounting standards provide the framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).

The three levels of the fair value hierarchy are described below:

•Level 1 - Level 1 inputs are unadjusted quoted prices for identical assets or liabilities in active markets that the Plan has the ability to access at the measurement date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.

•Level 2 - Level 2 inputs are inputs other than quoted prices included in Level 1 that are, either directly or indirectly, observable for the asset or liability at the measurement date. Assets are valued based on prices derived by an independent party that uses inputs such as benchmark yields, reported trades, broker/dealer quotes, and issuer spreads. Prices are reviewed and can be challenged with the independent parties and/or overridden if it is believed such would be more reflective of fair value. Level 2 inputs include the following:

- quoted prices for similar assets or liabilities in active markets;

- quoted prices for identical assets or liabilities in inactive markets;

- inputs other than quoted prices that are observable for the asset or liability; or

- inputs that are derived principally from or corroborated by observable market data by correlation or other means.

If an asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability.

•Level 3 - Level 3 refers to securities valued based on significant unobservable inputs.

Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following tables set forth by level within the fair value hierarchy, measured at fair value on a recurring basis at December 31, 2025, and December 31, 2024, a summary of the investments held in the master trusts for Entergy’s qualified pension and other postretirement plans in which the Registrant Subsidiaries participate.

Qualified Defined Benefit Pension Plan Trusts


2025	Level 1		Level 2		Level 3	Total
	(In Thousands)
Equity securities:
Corporate stocks:
Preferred	$448	(b)	$—		$—	$448
Common	393,885	(b)	—		—	393,885
Common collective trusts (c)						1,136,233
Fixed income securities:
U.S. Government securities	—		1,628,119	(a)	—	1,628,119
Corporate debt instruments	—		413,001	(a)	—	413,001
Registered investment companies (e)	27,905	(d)	2,921	(d)	—	1,546,320
Other	—		54,553	(f)	—	54,553
Other:
Insurance company general account (unallocated contracts)	—		6,058	(g)	—	6,058
Total investments	$422,238		$2,104,652		$—	$5,178,617
Cash						4,181
Other pending transactions						(314,791)
Less: Other postretirement assets included in total investments						(69,043)
Total fair value of qualified pension assets						$4,798,964


2024	Level 1		Level 2		Level 3	Total
	(In Thousands)
Equity securities:
Corporate stocks:
Preferred	$932	(b)	$—		$—	$932
Common	403,146	(b)	—		—	403,146
Common collective trusts (c)						1,206,983
Fixed income securities:
U.S. Government securities	—		1,145,994	(a)	—	1,145,994
Corporate debt instruments	—		307,666	(a)	—	307,666
Registered investment companies (e)	30,293	(d)	2,735	(d)	—	1,512,994
Other	—		44,691	(f)	—	44,691
Other:
Insurance company general account (unallocated contracts)	—		5,918	(g)	—	5,918
Total investments	$434,371		$1,507,004		$—	$4,628,324
Cash						2,026
Other pending transactions						(133,550)
Less: Other postretirement assets included in total investments						(64,068)
Total fair value of qualified pension assets						$4,432,732

Other Postretirement Trusts


2025	Level 1		Level 2		Level 3	Total
	(In Thousands)
Equity securities:
Common collective trust (c)						$169,496
Fixed income securities:
U.S. Government securities	$141,859	(b)	$108,977	(a)	$—	250,836
Corporate debt instruments	—		161,171	(a)	—	161,171
Registered investment companies	2,412	(d)	—		—	2,412
Other	—		70,547	(f)	—	70,547
Total investments	$144,271		$340,695		$—	$654,462
Other pending transactions						2,512
Plus: Other postretirement assets included in the investments of the qualified pension trust						69,043
Total fair value of other postretirement assets						$726,017


2024	Level 1		Level 2		Level 3	Total
	(In Thousands)
Equity securities:
Common collective trust (c)						$161,726
Fixed income securities:
U.S. Government securities	$107,547	(b)	$112,780	(a)	$—	220,327
Corporate debt instruments	—		166,208	(a)	—	166,208
Registered investment companies	2,295	(d)	—		—	2,295
Other	—		80,561	(f)	—	80,561
Total investments	$109,842		$359,549		$—	$631,117
Other pending transactions						3,417
Plus: Other postretirement assets included in the investments of the qualified pension trust						64,068
Total fair value of other postretirement assets						$698,602

(a)Certain fixed income debt securities (corporate, government, and securitized) are stated at fair value as determined by broker quotes.

(b)Common stocks, preferred stocks, and certain fixed income debt securities (government) are stated at fair value determined by quoted market prices.

(c)The common collective trusts hold investments in accordance with stated objectives. The investment strategy of the trusts is to capture the growth potential of equity markets by replicating the performance of a specified index. The issuer of these funds allows daily trading at the net asset value and trades settle at a later date, with no other trading restrictions. Net asset value per share of common collective trusts estimate fair value. Common collective trusts are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. Accordingly, these funds are not assigned a level in the fair value table, but are included in the total.

(d)Registered investment companies are money market mutual funds with a stable net asset value of one dollar per share. Registered investment companies may hold investments in domestic and international bond markets or domestic equities valued at the daily closing price as reported by the fund. These funds are required to publish their daily net asset value and to transact at that price. The money market mutual funds held by the trusts are deemed to be actively traded. Certain registered investment companies are recorded at contract value, which approximates fair value.

(e)Certain of these registered investment companies are not publicly quoted and are valued by the fund administrators using net asset value as a practical expedient. The issuer of these funds allows daily trading at the net asset value and trades settle at a later date, with no other trading restrictions. Accordingly, these funds are not assigned a level in the fair value table, but are included in the total.

(f)The other remaining assets are U.S. municipal and foreign government bonds stated at fair value as determined by broker quotes.

(g)The unallocated insurance contract investments are recorded at contract value, which approximates fair value. The contract value represents contributions made under the contract, plus interest, less funds used to pay benefits and contract expenses, and less distributions to the master trust.

Estimated Future Benefit Payments

Based upon the assumptions used to measure Entergy’s qualified pension and other postretirement benefits obligations at December 31, 2025, and including pension and other postretirement benefits attributable to estimated future employee service, Entergy expects that benefits to be paid over the next ten years for Entergy Corporation and its subsidiaries will be as follows:


	Estimated Future Benefits Payments
	Qualified Pension	Non-Qualified Pension	Other Postretirement
	(In Thousands)
Year(s)
2026	$405,257	$22,798	$64,582
2027	$377,144	$8,738	$63,069
2028	$375,819	$10,507	$61,732
2029	$373,409	$8,250	$59,968
2030	$372,900	$8,575	$59,569
2031 - 2035	$1,845,801	$40,642	$298,101

Based upon the same assumptions, Entergy expects that benefits to be paid over the next ten years for the Registrant Subsidiaries for their current and former employees will be as follows:


Estimated Future Qualified Pension Benefits Payments	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Year(s)
2026	$93,808	$99,918	$26,878	$9,197	$22,960	$25,290
2027	$91,254	$93,767	$26,048	$9,077	$21,128	$23,750
2028	$90,558	$93,224	$25,693	$8,802	$20,459	$22,987
2029	$89,116	$91,966	$25,798	$8,668	$20,023	$23,243
2030	$89,462	$91,351	$24,871	$8,434	$19,230	$22,668
2031 - 2035	$436,323	$448,573	$117,545	$40,445	$90,024	$110,793


Estimated Future Non-Qualified Pension Benefits Payments	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
Year(s)
2026	$538	$191	$344	$95	$390
2027	$104	$176	$875	$304	$364
2028	$197	$163	$673	$246	$339
2029	$164	$160	$508	$198	$313
2030	$157	$142	$1,465	$662	$287
2031 - 2035	$893	$891	$284	$61	$1,100


Estimated Future Other Postretirement Benefits Payments	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Year(s)
2026	$11,587	$14,140	$3,187	$1,610	$3,915	$2,499
2027	$11,331	$13,710	$3,132	$1,509	$3,746	$2,434
2028	$11,203	$13,257	$3,156	$1,400	$3,563	$2,411
2029	$11,189	$12,947	$3,105	$1,322	$3,413	$2,437
2030	$11,156	$12,772	$3,073	$1,270	$3,399	$2,462
2031 - 2035	$56,327	$63,275	$15,314	$5,779	$15,729	$12,685

Contributions

Entergy currently expects to contribute approximately $200 million to its qualified pension plans and approximately $40.9 million to its other postretirement plans in 2026. The Registrant Subsidiaries currently expect to contribute the following approximate amounts to their qualified pension and other postretirement plans for their current and former employees in 2026:


	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas	System Energy
	(In Thousands)
Pension Contributions	$29,716	$41,599	$3,991	$3,304	$5,931	$13,249
Other Postretirement Contributions	$710	$14,140	$176	$336	$149	$49

The 2026 required pension contributions will be known with more certainty when the January 1, 2026 valuations are completed, which is expected by April 1, 2026.

Actuarial Assumptions

The significant actuarial assumptions used in determining the pension PBO and the other postretirement benefits APBO as of December 31, 2025 and 2024 were as follows:


	2025	2024
Weighted-average discount rate:
Qualified pension	5.51% - 5.94% Blended 5.65%	5.67% - 5.89% Blended 5.75%
Other postretirement	5.50%	5.66%
Non-qualified pension	4.82%	5.23%
Weighted-average rate of increase in future compensation levels	3.98% - 4.45%	3.98% - 4.45%
Interest crediting rate	4.80%	4.80%
Assumed health care trend rate:
Pre-65	8.50%	8.15%
Post-65	10.63%	10.13%
Ultimate health care cost trend rate	4.75%	4.75%
Year ultimate health care cost trend rate is reached and beyond:
Pre-65	2036	2035
Post-65	2036	2035

The significant actuarial assumptions used in determining the net periodic pension and other postretirement benefits costs for 2025, 2024, and 2023 were as follows:


	2025	2024	2023
Weighted-average discount rate:
Qualified pension:
Service cost	5.75%	5.08%	5.26%
Interest cost	5.46%	4.97%	5.16%
Other postretirement:
Service cost	5.50%	4.82%	5.00%
Interest cost	5.36%	4.91%	5.09%
Non-qualified pension:
Service cost	4.83%	5.01%	5.31%
Interest cost	4.44%	4.86%	5.30%
Weighted-average rate of increase in future compensation levels	3.98% - 4.45%	3.98% - 4.40%	3.98% - 4.40%
Expected long-term rate of return on plan assets:
Pension assets	6.00% - 7.00% Blended 6.75%	6.00% - 7.25% Blended 6.75%	7.00%
Other postretirement non-taxable assets	6.00% - 7.00%	6.50% - 7.25%	6.00% - 7.00%
Other postretirement taxable assets	4.75%	5.25%	5.25%
Assumed health care trend rate:
Pre-65	8.15%	6.95%	6.65%
Post-65	10.13%	7.88%	7.50%
Ultimate health care cost trend rate	4.75%	4.75%	4.75%
Year ultimate health care cost trend rate is reached and beyond:
Pre-65	2035	2032	2032
Post-65	2035	2032	2032

With respect to the mortality assumptions, Entergy used the Pri-2012 Employee and Healthy Annuitant Table, projected generationally using Scale MP-2021 with Aon’s Endemic Adjustment, in determining its December 31, 2025 and 2024 pension plans’ PBOs and other postretirement benefits’ APBO.

Defined Contribution Plans

Entergy sponsors the Savings Plan of Entergy Corporation and Subsidiaries (System Savings Plan). The System Savings Plan is a defined contribution plan covering eligible employees of Entergy and certain of its subsidiaries. The participating Entergy subsidiary makes matching contributions to the System Savings Plan for all eligible participating employees in an amount equal to either 70% or 100% of the participants’ basic contributions, up to 6% of their eligible earnings per pay period. The matching contribution is allocated to investments as directed by the employee.

Entergy sponsored the Savings Plan of Entergy Corporation and Subsidiaries VI (Savings Plan VI) (established in April 2007) and the Savings Plan of Entergy Corporation and Subsidiaries VII (Savings Plan VII) (established in April 2007) to which matching contributions were made. The plans were defined contribution plans that covered eligible employees, as defined by each plan, of Entergy and certain of its subsidiaries. Effective December 31, 2023, employees participating in Savings Plan VI and Savings Plan VII were transferred into the System Savings Plan when Savings Plan VI and Savings Plan VII merged into the System Savings Plan.

Entergy also sponsors the Savings Plan of Entergy Corporation and Subsidiaries VIII (established January 2021) and the Savings Plan of Entergy Corporation and Subsidiaries IX (established January 2021) to which company contributions are made. The participating Entergy subsidiary makes matching contributions to these defined contribution plans for all eligible participating employees in an amount equal to 100% of the participants’ basic contributions, up to 5% of their eligible earnings per pay period. Eligible participants may also receive a discretionary annual company contribution up to 4% of the participant’s eligible earnings (subject to vesting).

Entergy’s subsidiaries’ contributions to defined contribution plans collectively were $77.4 million in 2025, $72.3 million in 2024, and $65.1 million in 2023. The majority of the contributions were to the System Savings Plan.

The Registrant Subsidiaries’ 2025, 2024, and 2023 contributions to defined contribution plans for their employees were as follows:


Year	Entergy Arkansas	Entergy Louisiana	Entergy Mississippi	Entergy New Orleans	Entergy Texas
	(In Thousands)
2025	$7,550	$9,529	$4,524	$1,555	$4,385
2024	$6,822	$8,784	$4,048	$1,584	$3,907
2023	$5,866	$7,757	$3,534	$1,383	$3,380

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