10q10k10q10k.net

What changed in Entergy's 10-K — 2022 vs 2023

vs

Paragraph-level year-over-year comparison of Entergy's 2022 and 2023 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2023 report.

+2069 added−639 removedSource: 10-K (2024-02-23) vs 10-K (2023-02-24)

Top changes in Entergy's 2023 10-K

2069 paragraphs added · 639 removed · 262 edited across 7 sections

Item 1. Business

Business — how the company describes what it does

234 edited+369 added−55 removed206 unchanged
Biggest changeThe Lewis Creek generating station of Entergy Texas was acquired by merger with a subsidiary of Entergy Texas and is currently not subject to the lien of the Entergy Texas indenture. 265 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Fuel Supply The average fuel cost per kWh for the Utility operating companies and System Energy for the years 2020-2022 were: Year Natural Gas Nuclear Coal Renewables (a) Purchased Power MISO Purchases (b) 2022 (Cents Per kWh) Entergy Arkansas 4.98 0.52 2.93 2.11 10.90 (2.65) Entergy Louisiana 5.50 0.57 2.84 10.70 6.95 6.45 Entergy Mississippi 4.38 — 2.85 0.04 6.53 6.68 Entergy New Orleans (c) 5.10 — — (5.16) — 7.21 Entergy Texas 5.77 — 2.83 6.26 5.61 6.68 System Energy — 0.65 — — — — Utility 5.27 0.57 2.89 7.00 6.54 5.95 2021 Entergy Arkansas 4.11 0.56 2.43 2.85 2.53 3.87 Entergy Louisiana 3.77 0.56 2.62 10.87 5.52 4.04 Entergy Mississippi 2.71 — 2.53 1.22 2.70 4.16 Entergy New Orleans (c) 3.47 — — (2.82) — 4.50 Entergy Texas 4.65 — 2.60 3.97 4.53 4.10 System Energy — 0.55 — — — — Utility 3.75 0.56 2.48 9.07 4.76 4.08 2020 Entergy Arkansas 1.78 0.62 2.35 2.28 7.39 0.63 Entergy Louisiana 1.98 0.58 3.27 9.99 3.48 2.65 Entergy Mississippi 1.73 — 2.52 0.25 3.23 2.26 Entergy New Orleans 1.56 — — 0.02 — 2.99 Entergy Texas 2.23 — 3.17 3.61 3.29 2.71 System Energy — 0.39 — — — — Utility 1.92 0.57 2.54 8.28 3.35 2.48 (a) Includes average fuel costs from both owned and purchased power resources.
Biggest changeFuel Supply The average fuel cost per kWh for the Utility operating companies and System Energy for the years 2021-2023 were: Year Natural Gas Nuclear Coal Renewables (a) Purchased Power MISO Purchases (b) 2023 (Cents Per kWh) Entergy Arkansas 1.98 0.50 3.09 1.98 11.57 0.77 Entergy Louisiana 2.34 0.60 3.22 10.38 3.76 2.50 Entergy Mississippi 2.21 — 2.82 0.03 5.86 1.84 Entergy New Orleans (c) 2.05 — — 3.24 — 2.33 Entergy Texas 2.29 — 3.17 2.25 5.64 3.18 System Energy — 0.68 — — — — Utility 2.25 0.58 3.06 6.14 4.03 2.61 2022 Entergy Arkansas 4.98 0.52 2.93 2.11 10.90 (2.65) Entergy Louisiana 5.50 0.57 2.84 10.70 6.95 6.45 Entergy Mississippi 4.38 — 2.85 0.04 6.53 6.68 Entergy New Orleans (c) 5.10 — — (5.16) — 7.21 Entergy Texas 5.77 — 2.83 6.26 5.61 6.68 System Energy — 0.65 — — — — Utility 5.27 0.57 2.89 7.00 6.54 5.95 2021 Entergy Arkansas 4.11 0.56 2.43 2.85 2.53 3.87 Entergy Louisiana 3.77 0.56 2.62 10.87 5.52 4.04 Entergy Mississippi 2.71 — 2.53 1.22 2.70 4.16 Entergy New Orleans (c) 3.47 — — (2.82) — 4.50 Entergy Texas 4.65 — 2.60 3.97 4.53 4.10 System Energy — 0.55 — — — — Utility 3.75 0.56 2.48 9.07 4.76 4.08 (a) Includes average fuel costs from both owned and purchased power resources.
Fuel Recovery Entergy New Orleans’s electric rate schedules include a fuel adjustment tariff designed to reflect no more than targeted fuel and purchased power costs, adjusted by a surcharge or credit for deferred fuel expense arising from the monthly reconciliation of actual fuel and purchased power costs incurred with fuel cost revenues billed to customers, including carrying charges.
Fuel and Purchased Power Cost Recovery Entergy New Orleans’s electric rate schedules include a fuel adjustment tariff designed to reflect no more than targeted fuel and purchased power costs, adjusted by a surcharge or credit for deferred fuel expense arising from the monthly reconciliation of actual fuel and purchased power costs incurred with fuel cost revenues billed to customers, including carrying charges.
Since commercial operation of Grand Gulf began, payments under the Unit Power Sales Agreement to System Energy have exceeded the amounts payable under the Availability Agreement and, therefore, no payments under the Availability Agreement have ever been required.
Since commercial operation of Grand Gulf began, payments under the Unit Power Sales Agreement to System Energy have exceeded the amounts payable under the Availability Agreement and, therefore, no payments under the Availability Agreement to System Energy have ever been required.
Section 316(b) of the Clean Water Act regulates cooling water intake structures, section 401 of the Clean Water Act requires a water quality certification from the state in support of certain federal actions and approvals, and section 404 regulates the dredge and fill of waters of the United States, including jurisdictional wetlands.
Section 316(b) of the Clean Water Act regulates cooling water intake structures, section 401 of the Clean Water Act requires a water quality certification from the state in support of certain federal actions and approvals, and section 404 of the Clean Water Act regulates the dredge and fill of waters of the United States, including jurisdictional wetlands.
Entergy Louisiana, as successor in interest to Entergy Gulf States Louisiana, now holds the agreement with Agrilectric; • In September 2013, Entergy Louisiana executed a 10-year agreement with TX LFG Energy, LP, a wholly-owned subsidiary of Montauk Energy Holdings, LLC, to purchase approximately 3 MW from its landfill gas-fueled power generation facility located in Cleveland, Texas; • Entergy Mississippi’s cost-based purchase, beginning in January 2013, of 90 MW from Entergy Arkansas’s share of Grand Gulf (only 60 MW of this PPA came through the RFP process).
Entergy Louisiana, as successor in interest to Entergy Gulf States Louisiana, now holds the agreement with Agrilectric; • In September 2013, Entergy Louisiana and TX LFG Energy, LP, a wholly-owned subsidiary of Montauk Energy Holdings, LLC, executed a 10-year agreement to purchase approximately 3 MW from its landfill gas-fueled power generation facility located in Cleveland, Texas; • Entergy Mississippi’s cost-based purchase, beginning in January 2013, of 90 MW from Entergy Arkansas’s share of Grand Gulf (only 60 MW of this PPA came through the RFP process).
Nuclear Operating, Shutdown, and Regulatory Risks • The results of operations, financial condition, and liquidity of Entergy Arkansas, Entergy Louisiana, and System Energy could be materially affected by the following: ◦ inability to consistently operate their nuclear power plants at high capacity factors; ◦ refueling outages that last materially longer than anticipated or unplanned outages; ◦ risks related to the purchase of uranium fuel (and its conversion, enrichment, and fabrication); ◦ the risk that the NRC will change or modify its regulations, suspend or revoke their licenses, or increase oversight of their nuclear plants; ◦ risks and costs related to operating and maintaining their nuclear power plants; ◦ the costs associated with the storage of the spent nuclear fuel, as well as the costs of and their ability to fully decommission their nuclear power plants; ◦ the potential requirement to pay substantial retrospective premiums imposed under the Price-Anderson Act and/or by Nuclear Electric Insurance Limited (NEIL) in the event of a nuclear incident, and losses not covered by insurance; ◦ the risk that the decommissioning trust fund assets for the nuclear power plants may not be adequate to meet decommissioning obligations if market performance and other changes decrease the value of assets in the decommissioning trusts; and ◦ new or existing safety concerns regarding operating nuclear power plants and nuclear fuel.
Nuclear Operating, Shutdown, and Regulatory Risks • The results of operations, financial condition, and liquidity of Entergy Arkansas, Entergy Louisiana, and System Energy could be materially affected by the following: ◦ inability to consistently operate their nuclear power plants at high capacity factors; ◦ refueling outages that last materially longer than anticipated or unplanned outages; ◦ risks related to the purchase of uranium fuel (and its conversion, enrichment, and fabrication); ◦ the risk that the NRC will change or modify its regulations, suspend or revoke their licenses, or increase oversight of their nuclear plants; ◦ risks and costs related to operating and maintaining their nuclear power plants; ◦ the costs associated with the storage of the spent nuclear fuel, as well as the costs of and their ability to fully decommission their nuclear power plants; ◦ the potential requirement to pay substantial retrospective premiums and/or assessments imposed under the Price-Anderson Act and/or by Nuclear Electric Insurance Limited (NEIL) in the event of a nuclear incident, and losses not covered by insurance; ◦ the risk that the decommissioning trust fund assets may not be adequate to meet decommissioning obligations if market performance and other changes decrease the value of assets in the decommissioning trusts; and ◦ new or existing safety concerns regarding operating nuclear power plants and nuclear fuel.
Entergy Texas is also subject to regulation by the PUCT as to the following: • retail rates and charges, including depreciation rates, and terms and conditions of service in unincorporated areas of its service territory, and in municipalities that have ceded jurisdiction to the PUCT; • fuel recovery, including reconciliations (audits) of the fuel adjustment charges; • service standards; • certification of certain transmission and generation projects; • utility service areas, including extensions into new areas; • avoided cost payments to non-exempt Qualifying Facilities; • net energy metering; and • utility mergers, sales/acquisitions/leases of plants over $10 million, sales of greater than 50% voting stock of utilities, and transfers of controlling interest in or operation of utilities. 277 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Regulation of the Nuclear Power Industry Atomic Energy Act of 1954 and Energy Reorganization Act of 1974 Under the Atomic Energy Act of 1954 and the Energy Reorganization Act of 1974, the operation of nuclear plants is heavily regulated by the NRC, which has broad power to impose licensing and safety-related requirements.
Entergy Texas is also subject to regulation by the PUCT as to the following: • retail rates and charges, including depreciation rates, and terms and conditions of service in unincorporated areas of its service territory, and in municipalities that have ceded jurisdiction to the PUCT; • fuel recovery, including reconciliations (audits) of the fuel adjustment charges; • service standards; • certification of certain transmission and generation projects; • utility service areas, including extensions into new areas; • avoided cost payments to non-exempt Qualifying Facilities; • net energy metering; and • utility mergers, sales/acquisitions/leases of plants over $10 million, sales of greater than 50% voting stock of utilities, and transfers of controlling interest in or operation of utilities. 271 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Regulation of the Nuclear Power Industry Atomic Energy Act of 1954 and Energy Reorganization Act of 1974 Under the Atomic Energy Act of 1954 and the Energy Reorganization Act of 1974, the operation of nuclear plants is heavily regulated by the NRC, which has broad power to impose licensing and safety-related requirements.
The RFP process has also resulted in the selection, or confirmation of the economic merits of, long-term purchased power agreements (PPAs), including, among others: • River Bend’s 30% life-of-unit PPA between Entergy Louisiana and Entergy New Orleans for 100 MW related to Entergy Louisiana’s unregulated portion of the River Bend nuclear station, which portion was formerly owned by Cajun; • Entergy Arkansas’s wholesale base load capacity life-of-unit PPAs executed in 2003 totaling approximately 220 MW between Entergy Arkansas and Entergy Louisiana (110 MW) and between Entergy Arkansas and Entergy New Orleans (110 MW) related to the sale of a portion of Entergy Arkansas’s coal and nuclear base load resources (which had not been included in Entergy Arkansas’s retail rates); • In September 2012, Entergy Gulf States Louisiana executed a 20-year agreement for 28 MW, with the potential to purchase an additional 9 MW when available, from Rain CII Carbon LLC’s petroleum coke calcining facility in Sulphur, Louisiana.
The RFP process has also resulted in the selection, or confirmation of the economic merits of, long-term purchased power agreements (PPAs), including, among others: • River Bend’s 30% life-of-unit PPA between Entergy Louisiana and Entergy New Orleans for 100 MW related to Entergy Louisiana’s unregulated portion of the River Bend nuclear station, which portion was formerly owned by Cajun; • Entergy Arkansas’s wholesale base load capacity life-of-unit PPAs executed in 2003 totaling approximately 220 MW between Entergy Arkansas and Entergy Louisiana (110 MW) and between Entergy Arkansas and Entergy New Orleans (110 MW) related to the sale of a portion of Entergy Arkansas’s coal and nuclear base load resources (which had not been included in Entergy Arkansas’s retail rates); • In September 2012, Entergy Gulf States Louisiana and Rain CII Carbon LLC executed a 20-year agreement for 28 MW, with the potential to purchase an additional 9 MW when available, from a petroleum coke calcining facility in Sulphur, Louisiana.
In late-2017, Entergy determined that certain in-ground wastewater treatment system recycle ponds at its White Bluff and Independence facilities require management under the new EPA regulations. Consequently, in order to move away from using the recycle ponds, White Bluff and Independence each have installed a new permanent bottom ash handling system that does not fall under the CCR rule.
In late-2017, Entergy determined that certain in-ground wastewater treatment system recycle ponds at its White Bluff and Independence facilities require management under the new EPA regulations. Consequently, in order to move away from using the recycle ponds, White Bluff and Independence each installed a new permanent bottom ash handling system that does not fall under the CCR rule.
Entergy Texas continues to deploy certain customer-sited distributed generators under an existing PUCT-approved tariff. In August 2022, Entergy Texas filed an application for PUCT approval of voluntary Rate Schedule Utility Owned Distributed Generation (UODG) through which it would charge host customers for back-up service from customer-sited Power Through generators.
Entergy Texas continues to deploy certain customer-sited distributed generators under an existing PUCT-approved tariff. In August 2022, Entergy Texas filed an application for PUCT approval of voluntary Rate Schedule Utility Owned Distributed Generation through which it would charge host customers for back-up service from customer-sited Power Through generators.
In December 2018 the PUCT approved a settlement that eliminated River Bend decommissioning collections for the Texas jurisdictional share of the plant based on a determination by Entergy Texas that the existing decommissioning fund was adequate following license renewal. In July 2022, Entergy Texas filed a rate case that proposed continuation of the cessation of River Bend decommissioning collections.
In December 2018 the PUCT approved a settlement that eliminated River Bend decommissioning collections for the Texas jurisdictional share of the plant based on a determination by Entergy Texas that the existing decommissioning fund was adequate following license renewal. In July 2022, Entergy Texas filed a base rate case that proposed continuation of the cessation of River Bend decommissioning collections.
Based upon currently planned fuel cycles, the Utility nuclear units have a diversified portfolio of contracts and inventory that provides substantially adequate nuclear fuel materials and conversion and enrichment services at what Entergy believes are reasonably predictable or fixed prices through most of 2027.
Based upon currently planned fuel cycles, the Utility nuclear units have a diversified portfolio of contracts and inventory that provides substantially adequate nuclear fuel materials and conversion and enrichment services at what Entergy believes are reasonably predictable or fixed prices through 2027.
As of November 2020, both sites are operating the new system and no longer are sending waste to the recycle ponds. Each site has commenced closure of its two recycle ponds (four ponds total), prior to the April 11, 2021 deadline under the finalized CCR rule for unlined recycle ponds.
As of November 2020, both sites are operating the new system and no longer are sending waste to the recycle ponds. Each site commenced closure of its two recycle ponds (four ponds total) prior to the April 11, 2021 deadline under the finalized CCR rule for unlined recycle ponds.
Under a settlement agreement entered into with the APSC in 1985 and amended in 1988, Entergy Arkansas retains 22% of its 36% share of Grand Gulf-related costs and recovers the remaining 78% of its share in rates.
Under a settlement agreement entered into with the APSC in 1985 and amended in 1988, Entergy Arkansas retains 22% of its 36% share of Grand Gulf-related costs and recovers the remaining 78% of its share in retail rates.
The gas is delivered through a combination of intrastate and interstate pipelines. 269 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy As a result of the implementation of FERC-mandated interstate pipeline restructuring in 1993, curtailments of interstate gas supply could occur if Entergy Louisiana’s or Entergy New Orleans’s suppliers failed to perform their obligations to deliver gas under their supply agreements.
The gas is delivered through a combination of intrastate and interstate pipelines. 263 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy As a result of the implementation of FERC-mandated interstate pipeline restructuring in 1993, curtailments of interstate gas supply could occur if Entergy Louisiana’s or Entergy New Orleans’s suppliers failed to perform their obligations to deliver gas under their supply agreements.
If needed, additional Powder River Basin (PRB) coal will be purchased through contracts with a term of less than one year to provide the remaining supply needs. Based on the high cost of alternate sources, modes of transportation, and infrastructure improvements necessary for its delivery, no alternative coal consumption is expected at Entergy Arkansas during 2023.
If needed, additional Powder River Basin (PRB) coal will be purchased through contracts with a term of less than one year to provide the remaining supply needs. Based on the high cost of alternate sources, modes of transportation, and infrastructure improvements necessary for its delivery, no alternative coal consumption is expected at Entergy Arkansas during 2024.
These companies own the materials and services in this shared regulated 268 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy uranium pool on a pro rata fractional basis determined by the nuclear generation capability of each company. Any liabilities for obligations of the pooled contracts are on a several but not joint basis.
These companies own the materials and services in this shared regulated 262 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy uranium pool on a pro rata fractional basis determined by the nuclear generation capability of each company. Any liabilities for obligations of the pooled contracts are on a several but not joint basis.
The Symmetry Energy Solutions gas supply is transported to Entergy New Orleans pursuant to a transportation service agreement with Gulf South Pipeline Co. This service is subject to FERC-approved rates. Entergy New Orleans also makes interruptible spot market purchases. Entergy Louisiana purchased natural gas for resale in 2022 under a firm contract from Sequent Energy Management L.P.
The Symmetry Energy Solutions gas supply is transported to Entergy New Orleans pursuant to a transportation service agreement with Gulf South Pipeline Co. This service is subject to FERC-approved rates. Entergy New Orleans also makes interruptible spot market purchases. Entergy Louisiana purchased natural gas for resale in 2023 under a firm contract from Sequent Energy Management L.P.
Short-term contracts and spot-market purchases satisfy additional gas requirements. 267 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Entergy Texas owns a gas storage facility and Entergy Louisiana has a firm storage service agreement that provide reliable and flexible natural gas service to certain generating stations.
Short-term contracts and spot-market purchases satisfy additional gas requirements. 261 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Entergy Texas owns a gas storage facility and Entergy Louisiana has a firm storage service agreement that provide reliable and flexible natural gas service to certain generating stations.
Entergy uses its website, http://www.entergy.com, as a routine channel for distribution of important information, including news releases, analyst presentations and financial information. Filings made with the SEC are posted and available without charge on Entergy’s website as soon as reasonably practicable after they are electronically filed with, or furnished to, the SEC.
Entergy uses its website, https://www.entergy.com, as a routine channel for distribution of important information, including news releases, analyst presentations, and financial information. Filings made with the SEC are posted and available without charge on Entergy’s website as soon as reasonably practicable after they are electronically filed with, or furnished to, the SEC.
If needed, additional PRB coal will be purchased through contracts with a term of less than one year to provide the remaining supply needs. For the same reasons as the Entergy Arkansas plants, no alternative coal consumption is expected at Nelson Unit 6 during 2023.
If needed, additional PRB coal will be purchased through contracts with a term of less than one year to provide the remaining supply needs. For the same reasons as the Entergy Arkansas plants, no alternative coal consumption is expected at Nelson Unit 6 during 2024.
These subsidiaries have been, and continue to be, involved in litigation to recover the damages caused by the DOE’s delay in performance. See Note 8 to the financial statements for discussion of final judgments recorded by Entergy in 2020, 2021, and 2022 related to Entergy’s nuclear owner licensee subsidiaries’ litigation with the DOE.
These subsidiaries have been, and continue to be, involved in litigation to recover the damages caused by the DOE’s delay in performance. See Note 8 to the financial statements for discussion of final judgments recorded by Entergy in 2021, 2022, and 2023 related to Entergy’s nuclear owner/licensee subsidiaries’ litigation with the DOE.
Some of the Utility’s gas-fired plants are also capable of using fuel oil, if necessary. Although based on current economics the Utility does not expect fuel oil use in 2023, it is possible that various operational events including weather or pipeline maintenance may require the use of fuel oil.
Some of the Utility’s gas-fired plants are also capable of using fuel oil, if necessary. Although based on current economics the Utility does not expect fuel oil use in 2024, it is possible that various operational events including weather or pipeline maintenance may require the use of fuel oil.
In November 2022, Entergy Arkansas filed a revised decommissioning cost recovery tariff for ANO indicating that ANO 1’s decommissioning trust was adequately funded, but that ANO 2’s fund had a projected shortage as a result of a decline in decommissioning trust fund investment values over the past year. The filing proposes a reinstatement of decommissioning cost recovery for ANO 2.
In November 2022, Entergy Arkansas filed a revised decommissioning cost recovery tariff for ANO indicating that ANO 1’s decommissioning trust was adequately funded, but that ANO 2’s fund had a projected shortage as a result of a decline in decommissioning trust fund investment values over the past year. The filing proposed a reinstatement of decommissioning cost recovery for ANO 2.
Gas Property As of December 31, 2022, Entergy New Orleans distributed and transported natural gas for distribution within New Orleans, Louisiana, through approximately 2,600 miles of gas pipeline. As of December 31, 2022, the gas properties of Entergy Louisiana, which are located in and around Baton Rouge, Louisiana, were not material to Entergy Louisiana’s financial position.
Gas Property As of December 31, 2023, Entergy New Orleans distributed and transported natural gas for distribution within New Orleans, Louisiana, through approximately 2,600 miles of gas pipeline. As of December 31, 2023, the gas properties of Entergy Louisiana, which are located in and around Baton Rouge, Louisiana, were not material to Entergy Louisiana’s financial position.
The formula rate plan continues to include exceptions from the rate cap and sharing requirements for certain large capital investment projects, including acquisition or construction of generating facilities and purchase power agreements approved by the LPSC, certain transmission investments, and most recently, certain distribution investments, among other items.
The formula rate plan continues to include exceptions from the rate cap and sharing requirements for certain large capital investment projects, including acquisition or construction of generating facilities and purchase power agreements approved by the LPSC, certain transmission investments, and certain distribution investments, among other items.
Entergy offers all of its generation into the MISO energy market on a day-ahead and real-time basis and bids for power in the MISO energy market to serve the demand of its customers, with MISO making dispatch decisions. The MISO purchases metric provided for 2022 is not projected for 2023.
Entergy offers all of its generation into the MISO energy market on a day-ahead and real-time basis and bids for power in the MISO energy market to serve the demand of its customers, with MISO making dispatch decisions. The MISO purchases metric provided for 2023 is not projected for 2024.
(b) Represents Simple Cycle Combustion Turbine units and Combined Cycle Gas Turbine units. Summer peak load for the Utility has averaged 21,602 MW over the previous decade. The Utility operating companies’ load and capacity projections are reviewed periodically to assess the need and timing for additional generating capacity and interconnections.
(b) Represents Simple Cycle Combustion Turbine units and Combined Cycle Gas Turbine units. Summer peak load for the Utility has averaged 21,775 MW over the previous decade. The Utility operating companies’ load and capacity projections are reviewed periodically to assess the need and timing for additional generating capacity and interconnections.
The operator of Big Cajun 2 - Unit 3, Louisiana Generating, LLC, has advised Entergy Louisiana and Entergy Texas that it has adequate rail car and barge capacity to meet the volumes of PRB coal requested for 2023, but is also currently experiencing delivery constraints.
The operator of Big Cajun 2 - Unit 3, Louisiana Generating, LLC, has advised Entergy Louisiana and Entergy Texas that it has adequate rail car and barge capacity to meet the volumes of PRB coal requested for 2024, but is also currently experiencing delivery constraints.
These filings include annual and quarterly reports on Forms 10-K and 10-Q and current reports on Form 8-K (including related filings in XBRL format); proxy statements; and any amendments to those reports or statements. All such postings and filings are available on Entergy’s Investor Relations website free of charge.
These filings include annual and quarterly reports on Forms 10-K and 10-Q and current reports on Form 8-K (including related filings in XBRL format); proxy statements; and any amendments to such filings. All such postings and filings are available on Entergy’s Investor Relations website free of charge.
The facility began commercial operation in December 2020; • In December 2020, Entergy Texas selected the self-build alternative, Orange County Advanced Power Station, out of the 2020 Entergy Texas combined-cycle, gas turbine RFP. Regulatory approval was received in November 2022 and construction has commenced.
The facility began commercial operation in January 2021; • In December 2020, Entergy Texas selected the self-build alternative, Orange County Advanced Power Station, out of the 2020 Entergy Texas combined-cycle, gas turbine RFP. Regulatory approval was received in November 2022 and construction has commenced.
Talent Management Entergy’s focus on talent management is organized in three areas: developing and attracting a diverse pool of talent, equipping its leaders to develop the organization, and building premier utility capability through employee performance management and succession programs.
Talent Management Entergy’s focus on talent management is organized in three areas: developing and attracting a highly qualified, diverse pool of talent, equipping its leaders to develop the organization, and building premier utility capability through employee performance management and succession programs.
Carefully consider all of the information in this report and, in particular, the following principal risks and all of the other specific factors described in Item 1A. of this report, “Risk Factors,” before deciding whether to invest in Entergy or the Registrant Subsidiaries.
Carefully consider all of the information in this report and, in particular, the following principal risks and all of the other specific factors described in Part I, Item 1A of this report, “Risk Factors,” before deciding whether to invest in Entergy or the Registrant Subsidiaries.
Entergy New Orleans has a “no-notice” service gas purchase contract with Symmetry Energy Solutions which guarantees Entergy New Orleans gas delivery at specific delivery points and at any volume within the minimum and maximum set forth in the contract amounts.
Entergy New Orleans has a “no-notice” service gas purchase contract with Symmetry Energy Solutions which ensures Entergy New Orleans gas delivery at specific delivery points and at any volume within the minimum and maximum set forth in the contract amounts.
Through 2022, Entergy’s subsidiaries have won and collected on judgments against the government totaling approximately $1 billion. Pending DOE acceptance and disposal of spent nuclear fuel, the owners of nuclear plants are providing their own spent fuel storage.
Through 2023, Entergy’s subsidiaries have won and collected on judgments against the government totaling approximately $1 billion. Pending DOE acceptance and disposal of spent nuclear fuel, the owners of nuclear plants are providing their own spent fuel storage.
The SEC maintains an internet site that contains reports, proxy and information statements, and other information regarding registrants that file electronically with the SEC at http://www.sec.gov. Copies of the reports that Entergy files with the SEC can be obtained at the SEC’s website.
The SEC maintains an internet site that contains reports, proxy and information statements, and other information regarding registrants that file electronically with the SEC at https://www.sec.gov. Copies of the reports that Entergy files with the SEC can be obtained at the SEC’s website.
In March 2021 filings with the NRC were made reporting on decommissioning funding for all of Entergy’s subsidiaries’ nuclear plants. Those reports showed that decommissioning funding for each of the nuclear plants met the NRC’s financial assurance requirements.
In March 2023 filings with the NRC were made reporting on decommissioning funding for all of Entergy’s subsidiaries’ nuclear plants. Those reports showed that decommissioning funding for each of the nuclear plants met the NRC’s financial assurance requirements.
The facility began commercial operation in May 2013. Entergy Louisiana, as successor in interest to Entergy Gulf States Louisiana, now holds the agreement with the facility; • In March 2013, Entergy Gulf States Louisiana executed a 20-year agreement for 8.5 MW from Agrilectric Power Partners, LP’s refurbished rice hull-fueled electric generation facility located in Lake Charles, Louisiana.
The facility began commercial operation in May 2013. Entergy Louisiana, as successor in interest to Entergy Gulf States Louisiana, now holds the agreement with the facility; • In March 2013, Entergy Gulf States Louisiana and Agrilectric Power Partners, LP executed a 20-year agreement for 8.5 MW from a refurbished rice hull-fueled electric generation facility located in Lake Charles, Louisiana.
The DOE is required by law to proceed with the licensing (the DOE filed the license application in June 2008) and, after the license is granted by the NRC, proceed with the repository construction and commencement of receipt of spent fuel.
The DOE is required by law to proceed with the licensing of the Yucca Mountain repository (the DOE filed the license application in June 2008) and, after the license is granted by the NRC, proceed with the repository construction and commencement of receipt of spent fuel.
Natural Gas The Utility operating companies have long-term firm and short-term interruptible gas contracts for both supply and transportation. Over 50% of the Utility operating companies’ power plants maintain some level of long-term firm transportation.
Natural Gas The Utility operating companies have long-term firm and short-term interruptible gas contracts for both supply and transportation. Over 70% of the Utility operating companies’ power plants maintain some level of long-term firm transportation.
If Entergy Arkansas or Entergy Mississippi fails to make its Unit Power Sales Agreement payments, and System Energy is unable to obtain funds from other sources, Entergy Louisiana and Entergy New Orleans could become subject to claims or demands by System Energy or certain of its creditors for payments or advances under the Availability Agreement (or the assignments thereof) equal to the difference between their required Unit Power Sales Agreement payments and their required Availability Agreement payments because their Availability Agreement obligations exceed their Unit Power Sales Agreement obligations.
However, if Entergy Arkansas or Entergy Mississippi fails to make its Unit Power Sales Agreement payments, and System Energy is unable to obtain funds from other sources, Entergy Louisiana and Entergy New Orleans could become subject to claims or demands by System Energy or certain of its creditors for payments or advances under the Availability Agreement (or the assignments thereof) equal to the difference between their required Unit Power Sales Agreement payments and their required Availability Agreement payments because their allocated shares under the Availability Agreement exceed their allocated shares under the Unit Power Sales Agreement.
This rule establishes a series of 10-year planning periods, with states required to develop State Implementation Plans (SIPs) for each planning period, with each SIP including such air pollution control measures as may be necessary to achieve the ultimate goal of the CAVR by the year 2064.
This rule establishes a series of 10-year planning periods, with states required to develop SIPs for each planning period, with each SIP including such air pollution control measures as may be necessary to achieve the ultimate goal of the CAVR by the year 2064.
Additionally, some of the Utility operating companies also offer customer services and products that include resources interconnected to both the distribution and transmission systems that also participate in the wholesale market. Entergy’s Utility operating companies are MISO market participants and the companies’ transmission systems are interconnected with those of many neighboring utilities.
Additionally, some of the Utility operating companies also offer customer services and products that include generating and demand response resources that are interconnected to both the distribution and transmission systems and that also participate in the wholesale market. Entergy’s Utility operating companies are MISO market participants and the companies’ transmission systems are interconnected with those of many neighboring utilities.
The following table illustrates the Utility operating companies’ 2022 combined electric sales volume as a percentage of total electric sales volume, and 2022 combined electric revenues as a percentage of total 2022 electric revenue, each by customer class.
The following table illustrates the Utility operating companies’ 2023 combined electric sales volume as a percentage of total electric sales volume, and 2023 combined electric revenues as a percentage of total 2023 electric revenue, each by customer class.
Fuel Recovery Entergy Texas’s rate schedules include a fixed fuel factor to recover fuel and purchased power costs, including interest, that are not included in base rates. Semi-annual revisions of the fixed fuel factor are made in March and September based on the market price of natural gas and changes in fuel mix.
Fuel and Purchased Power Cost Recovery Entergy Texas’s rate schedules include a fixed fuel factor to recover fuel and purchased power costs, including interest, that are not included in base rates. Historically, semi-annual revisions of the fixed fuel factor have been made in March and September based on the market price of natural gas and changes in fuel mix.
Because the DOE has not begun accepting spent fuel, it is in non-compliance with the Nuclear Waste Policy Act of 1982 and has breached its spent fuel disposal contracts. The DOE continues to delay meeting its obligation.
Because the DOE has not begun accepting spent fuel, it is in non-compliance with the Nuclear Waste Policy Act of 1982 and is in partial breach of its spent fuel disposal contracts. The DOE continues to delay meeting its obligation.
Disruptions in the capital and credit markets may adversely affect Entergy’s and its subsidiaries’ ability to meet liquidity needs, access capital and operate and grow their businesses, and the cost of capital. 246 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy • A downgrade in Entergy’s or its Registrant Subsidiaries’ credit ratings could, among other things, negatively affect Entergy’s and its Registrant Subsidiaries’ ability to access capital and the cost of such capital. • Entergy or its Registrant Subsidiaries may be materially adversely affected by negative publicity or the inability to meet their stated goals or commitments, among other potential causes. • Changes in tax legislation and taxation as well as the inherent difficulty in quantifying potential tax effects of business decisions could negatively impact Entergy’s and the Registrant Subsidiaries’ results of operations, financial condition, and liquidity. • Entergy and its subsidiaries’ ability to successfully execute on their business strategies, including their ability to complete capital projects, other capital improvements, and strategic transactions, is subject to significant risks, and, as a result, they may be unable to achieve some or all of the anticipated results of such strategies. • Failure to attract, retain, and manage an appropriately qualified workforce could negatively affect Entergy or its subsidiaries’ results of operations. • Entergy and Entergy’s subsidiaries, including the Utility operating companies and System Energy, may incur substantial costs (i) to fulfill their obligations related to environmental and other matters or (ii) related to reliability standards. • Entergy could be negatively affected by the effects of climate change, including physical risks, such as increased frequency and intensity of hurricanes and other severe weather, and transition risks, such as environmental and regulatory obligations intended to combat the effects of climate change, including by compelling greenhouse gas emission reductions or reporting, or increasing clean or renewable energy requirements, or placing a price on greenhouse gas emissions. • Entergy and its subsidiaries are dependent on the continued and future availability and quality of water for cooling, process, and sanitary uses. • Entergy and its subsidiaries may not be adequately hedged against changes in commodity prices. • The Utility operating companies and Entergy’s non-regulated operations are exposed to the risk that counterparties may not meet their obligations. • Market performance and other changes may decrease the value of benefit plan assets, which then could require additional funding and result in increased benefit plan costs. • The litigation environment in the states in which the Registrant Subsidiaries operate poses a significant risk to those businesses. • Terrorist attacks, physical attacks, cyber attacks, system failures, or data breaches of Entergy’s and its subsidiaries’ or their suppliers’ physical infrastructure or technology systems may adversely affect Entergy’s results of operations. • Entergy and the Registrant Subsidiaries are subject to risks associated with their ability to obtain adequate insurance at acceptable costs. • Significant increases in commodity prices, other materials and supplies, and operation and maintenance expenses may adversely affect Entergy’s results of operations, financial condition, and liquidity. • The effect of higher purchased gas cost charges to customers taking gas service may adversely affect Entergy New Orleans’s results of operations and liquidity. • System Energy owns and, through an affiliate, operates a single nuclear generating facility, and it is dependent on sales to affiliated companies for all of its revenues.
Disruptions in the capital and credit markets or a downgrade in Entergy’s or its Registrant Subsidiaries’ credit ratings could, among other things, adversely affect their ability to meet liquidity needs, or to access capital to operate and grow their businesses, and the cost of capital. 239 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy • The reputation of Entergy or its Registrant Subsidiaries may be materially adversely affected by negative publicity or the inability to meet their stated goals or commitments, among other potential causes. • Changes in tax legislation and taxation as well as the inherent difficulty in quantifying potential tax effects of business decisions could negatively impact Entergy’s and the Registrant Subsidiaries’ results of operations, financial condition, and liquidity. • Entergy and its subsidiaries’ ability to successfully execute on their business strategies, including their ability to complete capital projects, other capital improvements, and strategic transactions, is subject to significant risks, and, as a result, they may be unable to achieve some or all of the anticipated results of such strategies. • Failure to attract, retain, and manage an appropriately qualified workforce could negatively affect Entergy or its subsidiaries’ results of operations. • Entergy and its subsidiaries, including the Utility operating companies and System Energy, may incur substantial costs (i) to fulfill their obligations related to environmental and other matters or (ii) related to reliability standards. • Entergy could be negatively affected by the effects of climate change, including physical risks, such as increased frequency and intensity of hurricanes, availability of water, droughts, and other severe weather and wildfires, and transition risks, such as environmental and regulatory obligations intended to combat the effects of climate change, including by compelling greenhouse gas emission reductions or reporting, or increasing clean or renewable energy requirements, or placing a price on greenhouse gas emissions. • Market performance and other changes may decrease the value of benefit plan assets, which then could require additional funding of such benefit plans and result in increased benefit plan costs. • The litigation environment in the states in which the Registrant Subsidiaries operate poses a significant risk to those businesses. • Terrorist attacks and sabotage, physical attacks, cyber attacks, system failures, data breaches or other disruptions of Entergy’s and its subsidiaries’ or their suppliers’ physical infrastructure or technology systems may adversely affect Entergy’s business and results of operations. • Entergy and the Registrant Subsidiaries are subject to risks associated with their ability to obtain adequate insurance at acceptable costs. • Significant increases in commodity prices, other materials and supplies, and operation and maintenance expenses may adversely affect Entergy’s results of operations, financial condition, and liquidity. • The effect of higher purchased gas cost charges to customers taking gas service may adversely affect Entergy New Orleans’s results of operations and liquidity. • System Energy owns and, through an affiliate, operates a single nuclear generating facility, and it is dependent on sales to affiliated companies for all of its revenues.
As of December 31, 2022, Entergy has recorded asset retirement obligations related to CCR management of $27 million. Pursuant to the EPA Rule, Entergy operates groundwater monitoring systems surrounding its coal combustion residual landfills located at White Bluff, Independence, and Nelson.
As of December 31, 2023, Entergy has recorded asset retirement obligations related to CCR management of $28 million. Pursuant to the EPA Rule, Entergy operates groundwater monitoring systems surrounding its coal combustion residual landfills located at White Bluff, Independence, and Nelson.
The committee also receives updates on Entergy’s performance to date on key workforce, workplace, and marketplace measures, including progress in the representation of women and underrepresented minorities, both in the total workforce and in director level and above placements, progress in key diversity, inclusion, and belonging initiatives and diverse supplier spend.
The committee also receives updates on Entergy’s performance to date on key diversity, culture, and commerce measures, including the representation of women and underrepresented minorities, both in the total workforce and in director level and above placements, progress in key diversity, inclusion, and belonging initiatives and diverse supplier spend.
New legislation or regulations applicable to 285 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy stationary sources could take the form of market-based cap-and-trade programs, direct requirements for the installation of air emission controls onto air emission sources, or other or combined regulatory programs; • efforts in Congress or at the EPA to establish a federal carbon dioxide emission tax, control structure, or unit performance standards; • revisions to the estimates of the Social Cost of Carbon and its use for regulatory impact analysis of federal laws and regulations; • implementation of the regional cap and trade programs to limit carbon dioxide and other greenhouse gases; • efforts on the local, state, and federal level to codify renewable portfolio standards, clean energy standards, or a similar mechanism requiring utilities to produce or purchase a certain percentage of their power from defined renewable energy sources or energy sources with lower emissions; • efforts to develop more stringent state water quality standards, effluent limitations for Entergy’s industry sector, stormwater runoff control regulations, and cooling water intake structure requirements; • efforts to restrict the previously-approved continued use of oil-filled equipment containing certain levels of polychlorinated biphenyls (PCBs); • efforts by certain external groups to encourage reporting and disclosure of environmental, social, and governance risk; • the listing of additional species as threatened or endangered, the protection of critical habitat for these species, and developments in the legal protection of eagles and migratory birds; • the regulation of the management, disposal, and beneficial reuse of coal combustion residuals; and • the regulation of the management and disposal and recycling of equipment associated with renewable and clean energy sources such as used solar panels, wind turbine blades, hydrogen usage, or battery storage.
New legislation or regulations applicable to stationary sources could take the form of market-based cap-and-trade programs, direct requirements for the installation of air emission controls onto air emission sources, or other or combined regulatory programs; • efforts in Congress or at the EPA to establish a federal carbon dioxide emission tax, control structure, or unit performance standards; • revisions to the estimates of the Social Cost of Carbon and its use for regulatory impact analysis of federal laws and regulations; • implementation of the regional cap and trade programs to limit carbon dioxide and other greenhouse gases; • efforts on the local, state, and federal level to codify renewable portfolio standards, clean energy standards, or a similar mechanism requiring utilities to produce or purchase a certain percentage of their power from defined renewable energy sources or energy sources with lower emissions; • efforts to develop more stringent state water quality standards, effluent limitations for Entergy’s industry sector, stormwater runoff control regulations, and cooling water intake structure requirements; • efforts to restrict the previously-approved continued use of oil-filled equipment containing certain levels of polychlorinated biphenyls (PCBs) and increased regulation of per- and polyfluorinated substances or other chemicals; • efforts by certain external groups to encourage reporting and disclosure of environmental, social, and governance risk; • the listing of additional species as threatened or endangered, the protection of critical habitat for these species, and developments in the legal protection of eagles and migratory birds; • the regulation of the management, disposal, and beneficial reuse of coal combustion residuals; and • the regulation of the management and disposal and recycling of equipment associated with renewable and clean energy sources such as used solar panels, wind turbine blades, hydrogen usage, or battery storage.
Calpine began construction on the plant in early 2019 and Entergy Louisiana purchased the plant upon completion in November 2020. The Hardin County Peaking Facility, an existing 147 MW simple-cycle gas-fired peaking power plant in Kountze, Texas, previously owned by East Texas Electric Cooperative, was acquired by Entergy Texas in June 2021.
Calpine began construction on the plant in early 2019 and Entergy Louisiana purchased the plant upon completion in November 2020; • In June 2021, Entergy Texas’s acquisition of the Hardin County Peaking Facility, an existing 147 MW simple-cycle gas-fired peaking power plant in Kountze, Texas, previously owned by East Texas Electric Cooperative.
Management cannot predict the outcome of this filing. In July 2010 the LPSC approved increased decommissioning collections for Waterford 3 and the Louisiana regulated share of River Bend to address previously identified funding shortfalls. This LPSC decision contemplated that the level of decommissioning collections could be revisited should the NRC grant license extensions for both Waterford 3 and River Bend.
In July 2010 the LPSC approved increased decommissioning collections for Waterford 3 and the Louisiana regulated share of River Bend to address previously identified funding shortfalls. This LPSC decision contemplated that the level of decommissioning collections could be revisited should the NRC grant license extensions for both Waterford 3 and River Bend.
Entergy Louisiana’s electric and gas business is subject to regulation by the LPSC as to the following: • utility service; • retail rates and charges, including depreciation rates; • fuel cost recovery, including audits of the fuel adjustment clause, environmental adjustment charge, and purchased gas adjustment charge; • terms and conditions of service; • service standards; • certification of certain transmission projects; • certification of capacity acquisitions, both for owned capacity and for purchase power contracts that exceed either 5 MW or one year in term; • procurement process to acquire capacity over 50 MW; • audits of the energy efficiency rider; • avoided cost payment to non-exempt Qualifying Facilities; • integrated resource planning; • net energy metering; and • utility mergers and acquisitions and other changes of control. 276 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Entergy Mississippi is subject to regulation by the MPSC as to the following: • utility service; • utility service areas; • retail rates and charges, including depreciation rates; • fuel cost recovery, including audits of the energy cost recovery mechanism; • terms and conditions of service; • service standards; • certification of generating facilities and certain transmission projects; • avoided cost payments to non-exempt Qualifying Facilities; • integrated resource planning; • net energy metering; and • utility mergers, acquisitions, and other changes of control.
Entergy Louisiana’s electric and gas business is subject to regulation by the LPSC as to the following: • utility service; • retail rates and charges, including depreciation rates; • fuel cost recovery, including audits of the fuel adjustment clause, environmental adjustment charge, and purchased gas adjustment charge; • terms and conditions of service; • service standards; • certification of certain transmission projects; • certification of capacity acquisitions, both for owned capacity and for purchase power contracts that exceed either 5 MW or one year in term; • procurement process to acquire capacity at or above 50 MW; • audits of the energy efficiency rider; • avoided cost payment to non-exempt Qualifying Facilities; • integrated resource planning; • net energy metering; and • utility mergers and acquisitions and other changes of control. 270 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Entergy Mississippi is subject to regulation by the MPSC as to the following: • utility service; • utility service areas; • retail rates and charges, including depreciation rates; • fuel cost recovery, including audits of the energy cost recovery mechanism; • terms and conditions of service; • service standards; • certification of generating facilities, certain transmission projects, and certain distribution projects with construction costs greater than $10 million; • avoided cost payments to non-exempt Qualifying Facilities; • integrated resource planning; • net energy metering; and • utility mergers, acquisitions, and other changes of control.
Plants in Column 1 are subject to normal NRC inspection activities. Plants in Column 2, Column 3, or Column 4 are subject to progressively increasing levels of inspection by the NRC. Continued plant operation is not permitted for plants in Column 5.
Plants in Column 1 are subject to normal NRC inspection activities. Plants in Column 2, Column 3, or Column 4 are subject to progressively increasing levels of inspection by the NRC with, in general, progressively increasing levels of associated costs. Continued plant operation is not permitted for plants in Column 5.
Entergy Arkansas is the only one of the Utility operating companies that generated electric power with nuclear fuel prior to that date and has a recorded liability as of December 31, 2022 of $195.0 million for the one-time fee. The fees payable to the DOE may be adjusted in the future to assure full recovery.
Entergy Arkansas is the only one of the Utility operating companies that generated electric power with nuclear fuel prior to that date and has a recorded liability as of December 31, 2023 of $205.2 million for the one-time fee. The fees payable to the DOE may be adjusted in the future to assure full recovery.
The Utility operating companies’ long-term resource strategy (Portfolio Transformation Strategy) calls for the bulk of capacity needs to be met through long-term resources, whether owned or contracted. Over the past decade, the Portfolio Transformation Strategy has resulted in the addition of about 8,975 MW of new long-term resources and the deactivation of about 4,881 MW of legacy generation.
The Utility operating companies’ long-term resource strategy (Portfolio Transformation Strategy) calls for the bulk of capacity needs to be met through long-term resources, whether owned or contracted. Over the past decade, the Portfolio Transformation Strategy has resulted in the addition of about 7,963 MW of new long-term resources and the deactivation of about 4,241 MW of legacy generation.
Entergy received information collection requests from the Arkansas and Louisiana Departments of Environmental Quality requesting an evaluation of technical and economic feasibility of various NO x and SO 2 control technologies for Independence, Nelson 6, Nelson Industrial Steam Company (NISCO), and Ninemile. Responses to the information collection requests have been submitted to the respective state agencies.
Entergy received information collection requests from the Arkansas and Louisiana Departments of Environmental Quality requesting an evaluation of technical and economic feasibility of various NO x and SO 2 control technologies for Independence, Nelson 6, NISCO, and Ninemile. Responses to the information collection requests were submitted to the respective state agencies.
Coal will be transported to Arkansas via an existing Union Pacific transportation agreement that is expected to provide all of Entergy Arkansas’s rail transportation requirements for 2023. Entergy Louisiana has committed to four two- to three-year contracts that will supply approximately 90% of Nelson Unit 6 coal needs in 2023.
Coal will be transported to Arkansas via an existing Union Pacific transportation agreement that is expected to provide all of Entergy Arkansas’s rail transportation requirements for 2024. Entergy Louisiana has committed to three two- to three-year contracts that will supply at least 90% of Nelson Unit 6 coal needs in 2024.
Coal Entergy Arkansas has committed to six two- to three-year contracts that will supply approximately 85% of the total coal supply needs in 2023. These contracts are staggered in term so that not all contracts have to be renewed the same year.
Coal Entergy Arkansas has committed to six two- to three-year contracts that will supply at least 85% of the total coal supply needs in 2024. These contracts are staggered in term so that not all contracts have to be renewed the same year.
In January 2018, Entergy Louisiana filed an application with the LPSC to suspend these seasonal hedging programs and implement financial hedges with terms up to five years for a portion of its natural gas exposure, which was approved in November 2018.
The hedge quantity was reviewed on an annual basis. In January 2018, Entergy Louisiana filed an application with the LPSC to suspend these seasonal hedging programs and implement financial hedges with terms up to five years for a portion of its natural gas exposure, which was approved in November 2018.
Bernard Parish and Evangeline Parish in Louisiana are designated as nonattainment. In August 2017 the EPA issued a letter indicating that East Baton Rouge and St. Charles parishes would be designated by December 31, 2020, as monitors were installed to determine compliance. In March 2021 the EPA published a final rule designating East Baton Rouge, St. Charles, St.
In August 2017 the EPA issued a letter indicating that East Baton Rouge and St. Charles parishes would be designated by December 31, 2020, as monitors were installed to determine compliance. In March 2021 the EPA published a final rule designating East Baton Rouge, St. Charles, St.
Utility Regulatory Risks • The terms and conditions of service, including electric and gas rates, of the Utility operating companies and System Energy are determined through regulatory approval proceedings that can be lengthy and subject to appeal, potentially resulting in lengthy litigation, and uncertainty as to ultimate results. • Entergy’s business could experience adverse effects related to changes to state or federal legislation or regulation. • The Utility operating companies recover fuel, purchased power, and associated costs through rate mechanisms that are subject to risks of delay or disallowance in regulatory proceedings. • The Utility operating companies are subject to risks associated with participation in the MISO markets and the allocation of transmission upgrade costs. • The continued impacts of the COVID-19 pandemic and responsive measures taken are highly uncertain and cannot be predicted. • A delay or failure in recovering amounts for storm restoration costs incurred as a result of severe weather could have material effects on Entergy and its Utility operating companies affected by severe weather. • Weather, economic conditions, technological developments, and other factors may have a material impact on electricity and gas usage and otherwise materially affect the Utility operating companies’ results of operations.
Utility Regulatory Risks • The terms and conditions of service, including electric and gas rates, of the Registrant Subsidiaries are determined through regulatory approval proceedings that can be lengthy and subject to appeal, potentially resulting in lengthy litigation, and uncertainty as to ultimate results. • Entergy’s business could experience adverse effects related to changes to state or federal legislation or regulation, or experience risks associated with participation in the MISO markets and allocation of transmission upgrade costs. • The Utility operating companies recover fuel, purchased power, and associated costs through rate mechanisms that are subject to risks of delay or disallowance in regulatory proceedings. • A delay or failure in recovering amounts for storm restoration costs incurred as a result of severe weather could have material effects on Entergy and its Utility operating companies affected by severe weather. • Weather, economic conditions, technological developments, and other factors may have a material impact on electricity and gas usage and otherwise materially affect the Utility operating companies’ results of operations.
Interconnections The Utility operating companies’ generating units are interconnected to a transmission system operating at various voltages up to 500 kV.
Interconnections The Utility operating companies’ generating units are interconnected to the transmission system which operates at various voltages up to 500 kV.
These generating units consist of steam-turbine generators fueled by natural gas and coal, combustion-turbine generators, and reciprocating internal combustion engine generators that are fueled by natural gas, generators powered by pressurized and boiling water nuclear reactors and inverter-based resources interconnecting both solar photovoltaic systems and energy storage devices that operate in the MISO wholesale electric market.
These generating units consist of steam-turbine generators fueled by natural gas, coal, and pressurized and boiling water nuclear reactors; combustion-turbine generators, combined-cycle combustion turbine generators and reciprocating internal combustion engine generators that are fueled by natural gas; an d inverter-based resources interconnecting both solar photovoltaic systems and energy storage devices that participate in the MISO wholesale electric market.
In 2019, in connection with a climate scenario analysis following the recommendations of the Task Force on Climate-related Financial Disclosures describing climate-related governance, strategy, risk management, and metrics and targets, Entergy announced a 2030 carbon dioxide emission rate goal focused on a 50% reduction from Entergy’s base year - 2000. Entergy now anticipates achieving this reduction several years early.
In 2019, in connection with a climate scenario analysis following the recommendations of the Task Force on Climate-related Financial Disclosures describing climate-related governance, strategy, risk management, and metrics and targets, Entergy announced a 2030 carbon dioxide emission rate goal focused on a 50% reduction from Entergy’s base year - 2000.
Entergy has enhanced dramatically leadership efforts and field presence to further its objective of zero fatalities, which it achieved in 2022. Also in 2022, there was a significant decrease in the number of serious injuries. The recordable incident rate equals the number of recordable incidents per 100 full-time equivalents.
Entergy has enhanced dramatically leadership efforts and field presence to further its objective of zero fatalities, which it achieved in 2022 and 2023, although in early 2024 Entergy experienced a contractor fatality. Also in 2023, there was a significant decrease in the number of serious injuries. The recordable incident rate equals the number of recordable incidents per 100 full-time equivalents.
Congress amended and renewed the Price-Anderson Act in 2005 for a term through 2025. The Price-Anderson Act limits the contingent liability for a single nuclear incident to a maximum assessment of approximately $137.6 million per reactor (with 96 nuclear industry reactors currently participating).
Congress amended and renewed the Price-Anderson Act in 2005 for a term through 2025. The Price-Anderson Act limits the contingent liability for a single nuclear incident to a maximum assessment of approximately $165.9 million per reactor (with 95 nuclear industry reactors currently participating).
(c) Entergy New Orleans’s renewables include liquidated damage payments of $2.9 million in 2022 and $1 million in 2021 due to the delay of in-service dates related to purchased power agreements. 266 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Actual 2022 and projected 2023 sources of generation for the Utility operating companies and System Energy, including certain power purchases from affiliates under life of unit power purchase agreements, including the Unit Power Sales Agreement, are: 2022 CT / CCGT (b) Legacy Gas Nuclear Coal Renewables (c) Purchased Power (d) MISO Purchases (e) Entergy Arkansas 30 % 1 % 50 % 12 % 3 % — % 4 % Entergy Louisiana 44 % 9 % 23 % 3 % 2 % 8 % 11 % Entergy Mississippi 59 % 6 % 18 % 7 % 1 % — % 9 % Entergy New Orleans 54 % 1 % 35 % 1 % 1 % 1 % 7 % Entergy Texas 31 % 20 % 11 % 5 % — % 9 % 24 % System Energy (a) — % — % 100 % — % — % — % — % Utility 42 % 8 % 27 % 5 % 2 % 5 % 11 % 2023 CT / CCGT (b) Legacy Gas Nuclear Coal Renewables (c) Purchased Power (d) MISO Purchases (e) Entergy Arkansas 26 % — % 58 % 13 % 3 % — % — % Entergy Louisiana 47 % 5 % 30 % 3 % 3 % 12 % — % Entergy Mississippi 63 % — % 26 % 10 % 1 % — % — % Entergy New Orleans 48 % 1 % 45 % 2 % 3 % 1 % — % Entergy Texas 44 % 31 % 15 % 9 % — % 1 % — % System Energy (a) — % — % 100 % — % — % — % — % Utility 44 % 6 % 36 % 7 % 2 % 5 % — % (a) Capacity and energy from System Energy’s interest in Grand Gulf is allocated as follows under the Unit Power Sales Agreement: Entergy Arkansas - 36%; Entergy Louisiana - 14%; Entergy Mississippi - 33%; and Entergy New Orleans - 17%.
(c) Entergy New Orleans’s renewables include liquidated damage payments of $0.1 million in 2023, $2.9 million in 2022, and $1 million in 2021 due to the delay of in-service dates related to purchased power agreements. 260 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Actual 2023 and projected 2024 sources of generation for the Utility operating companies and System Energy, including certain power purchases from affiliates under life of unit power purchase agreements, including the Unit Power Sales Agreement, are: 2023 CT / CCGT (b) Legacy Gas Nuclear Coal Renewables (c) Purchased Power (d) MISO Purchases (e) Entergy Arkansas 26 % 1 % 57 % 9 % 3 % — % 4 % Entergy Louisiana 47 % 7 % 20 % 2 % 2 % 10 % 12 % Entergy Mississippi 63 % 1 % 23 % 7 % 1 % — % 5 % Entergy New Orleans 55 % 1 % 36 % 1 % 2 % 1 % 4 % Entergy Texas 32 % 25 % 6 % 3 % — % 4 % 30 % System Energy (a) — % — % 100 % — % — % — % — % Utility 43 % 7 % 27 % 4 % 2 % 5 % 12 % 2024 CT / CCGT (b) Legacy Gas Nuclear Coal Renewables (c) Purchased Power (d) MISO Purchases (e) Entergy Arkansas 26 % — % 59 % 12 % 3 % — % — % Entergy Louisiana 48 % 6 % 30 % 2 % 3 % 11 % — % Entergy Mississippi 64 % — % 24 % 10 % 2 % — % — % Entergy New Orleans 51 % 1 % 43 % 1 % 3 % 1 % — % Entergy Texas 43 % 31 % 17 % 6 % 3 % — % — % System Energy (a) — % — % 100 % — % — % — % — % Utility 45 % 6 % 35 % 6 % 3 % 5 % — % (a) Capacity and energy from System Energy’s interest in Grand Gulf is allocated as follows under the Unit Power Sales Agreement: Entergy Arkansas - 36%; Entergy Louisiana - 14%; Entergy Mississippi - 33%; and Entergy New Orleans - 17%.
These programs include: • new source review and preconstruction permits for new sources of criteria air pollutants, greenhouse gases, and significant modifications to existing facilities; • acid rain program for control of sulfur dioxide (SO 2 ) and nitrogen oxides (NO x ); • nonattainment area programs for control of criteria air pollutants, which could include fee assessments for air pollutant emission sources under Section 185 of the Clean Air Act if attainment is not reached in a timely manner; • hazardous air pollutant emissions reduction programs; • Interstate Air Transport; • operating permit programs and enforcement of these and other Clean Air Act programs; • Regional Haze programs; and • new and existing source standards for greenhouse gas and other air emissions.
These programs include: • new source review and preconstruction permits for new sources of criteria air pollutants, greenhouse gases, and significant modifications to existing facilities; • acid rain program for control of sulfur dioxide (SO 2 ) and nitrogen oxides (NO x ); • nonattainment area programs for control of criteria air pollutants, which could include fee assessments for air pollutant emission sources under Section 185 of the Clean Air Act if attainment is not reached in a timely manner; • hazardous air pollutant emissions reduction programs; 275 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy • Interstate Air Transport; • operating permit programs and enforcement of these and other Clean Air Act programs; • Regional Haze programs; and • new and existing source standards for greenhouse gas and other air emissions.
The Utility has a diverse power generation portfolio, including increasingly carbon-free energy sources, which is consistent with Entergy’s strong support for the environment. 248 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Customers As of December 31, 2022, the Utility operating companies provided retail electric and gas service to customers in Arkansas, Louisiana, Mississippi, and Texas, as follows: Electric Customers Gas Customers Area Served (In Thousands) (%) (In Thousands) (%) Entergy Arkansas Portions of Arkansas 730 24 % Entergy Louisiana Portions of Louisiana 1,101 37 % 95 47 % Entergy Mississippi Portions of Mississippi 461 15 % Entergy New Orleans City of New Orleans 211 7 % 109 53 % Entergy Texas Portions of Texas 499 17 % Total customers 3,002 100 % 204 100 % Electric and Natural Gas Energy Sales Electric Energy Sales The total electric energy sales of the Utility operating companies are subject to seasonal fluctuations, with the peak sales period normally occurring during the third quarter of each year.
The Utility has a diverse power generation portfolio, including increasingly carbon-free energy sources, which is consistent with Entergy’s strong support for the environment. 241 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Customers As of December 31, 2023, the Utility operating companies provided retail electric and gas service to customers in Arkansas, Louisiana, Mississippi, and Texas, as follows: Electric Customers Gas Customers Area Served (In Thousands) (%) (In Thousands) (%) Entergy Arkansas Portions of Arkansas 730 24 Entergy Louisiana Portions of Louisiana 1,105 37 96 47 Entergy Mississippi Portions of Mississippi 459 15 Entergy New Orleans City of New Orleans 208 7 108 53 Entergy Texas Portions of Texas 512 17 Total 3,014 100 204 100 Electric and Natural Gas Energy Sales Electric Energy Sales The total electric energy sales of the Utility operating companies are subject to seasonal fluctuations, with the peak sales period normally occurring during the third quarter of each year.
On June 24, 2022, Entergy reached a 2022 peak demand of 22,301 MWh, compared to the 2021 peak of 22,051 MWh recorded on August 23, 2021.
On August 23, 2023, Entergy reached a 2023 peak demand of 23,319 MWh, compared to the 2022 peak of 22,301 MWh recorded on June 24, 2022.
Coal will be transported to Nelson via an existing transportation agreement that is expected to provide all of Entergy Louisiana’s rail transportation requirements for 2023. Coal transportation delivery rates to Entergy Arkansas- and Entergy Louisiana-operated coal-fired units became constrained and were unable to fully meet supply needs and obligations beginning in August 2021.
Coal will be transported to Nelson via an existing transportation agreement that is expected to provide all of Entergy Louisiana’s rail transportation requirements for 2024. Coal transportation delivery rates to Entergy Arkansas- and Entergy Louisiana-operated coal-fired units were able to fully meet supply needs and obligations in 2023.
The first docket is captioned “In re: Investigation of double leveraging issues for all LPSC-jurisdictional utilities,” and the second is captioned “In re: Investigation of tax structure issues for all LPSC-jurisdictional utilities.” In April 2016 the LPSC clarified that the concerns giving rise to the two dockets arose as a result of its review of the structure of the Cleco-Macquarie transaction and that the specific intent of the directives is to seek more information regarding intra-corporate debt financing of a utility’s capital structure as well as the use of investment tax credits to mitigate the tax 253 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy obligation at the parent level of a consolidated entity.
The first docket is captioned “In re: Investigation of double leveraging issues for all LPSC-jurisdictional utilities,” and the second is captioned “In re: Investigation of tax structure issues for all LPSC-jurisdictional utilities.” In April 2016 the LPSC clarified that the concerns giving rise to the two dockets arose as a result of its review of the structure of the Cleco-Macquarie transaction and that the specific intent of the directives is to seek more information regarding intra-corporate debt financing of a utility’s capital structure as well as the use of investment tax credits to mitigate the tax obligation at the parent level of a consolidated entity.
Customer Class % of Sales Volume % of Revenue Residential 27.3 35.2 Commercial 20.6 23.4 Industrial (a) 38.6 28.2 Governmental 1.8 2.2 Wholesale/Other 11.7 11.0 (a) Major industrial customers are primarily in the petroleum refining and chemical industries. 249 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Natural Gas Energy Sales Entergy New Orleans and Entergy Louisiana provide both electric power and natural gas to retail customers.
Customer Class % of Sales Volume % of Revenue Residential 26.9 38.4 Commercial 20.9 25.3 Industrial (a) 39.1 26.8 Governmental 1.8 2.3 Wholesale/Other 11.3 7.2 (a) Major industrial customers are primarily in the petroleum refining and chemical industries. 242 Table of Contents Part I Item 1 Entergy Corporation, Utility operating companies, and System Energy Natural Gas Energy Sales Entergy New Orleans and Entergy Louisiana provide both electric power and natural gas to retail customers.
Entergy Texas typically obtains 25-year franchise agreements as existing agreements expire. Entergy Texas’s electric franchises expire over the period 2023-2058. The business of System Energy is limited to wholesale power sales.
Entergy Texas typically obtains 25-year franchise agreements as existing agreements expire. Entergy Texas’s electric franchises expire over the period 2024-2058. The business of System Energy is limited to wholesale power sales. It has no distribution franchises.
The Talent and Compensation Committee (formerly Personnel Committee) establishes priorities and each quarter reviews strategies and results on a range of topics covering the workforce, the workplace, and the marketplace. It oversees Entergy’s incentive plan design and administers its executive compensation plans to incentivize the behaviors and outcomes that support achievement of Entergy’s corporate objectives.
The Talent and Compensation Committee establishes priorities and each quarter reviews strategies and results on a range of topics covering diversity, culture, and commerce. It oversees Entergy’s incentive plan design and administers its executive compensation plans to incentivize the behaviors and outcomes that support achievement of Entergy’s corporate objectives.
The status of material retail rate proceedings is described in Note 2 to the financial statements. Certain aspects of the Utility operating companies’ retail rate mechanisms are discussed below.
The status of material retail rate proceedings is described in Note 2 to the financial statements. Certain aspects of the Utility operating companies and System Energy’s retail rate mechanisms are discussed below.
Louisiana has issued its draft SIP which, at this time, does not propose any additional air emissions controls for the affected Entergy units in Louisiana. Some public commenters, however, believe additional air controls are cost-effective.
Louisiana issued its draft SIP which did not propose any additional air emissions controls for the affected Entergy units in Louisiana. Some public commenters, however, believe additional air controls are cost-effective.
In October 2021 the APSC issued an order approving the acquisition of the West Memphis Solar facility. The counter-party notified Entergy Arkansas that it was seeking changes to certain terms of the build-own-transfer agreement, including both cost and schedule. In January 2023, Entergy Arkansas made a supplemental filing with the APSC.
In October 2021 the APSC issued an order approving the acquisition of the West Memphis Solar facility. In March 2022 the counterparty notified Entergy Arkansas that it was seeking changes to certain terms of the build-own-transfer agreement, including both cost and schedule. In January 2023, Entergy Arkansas filed a supplemental application with the APSC.
The Availability Agreement may be terminated, amended, or modified by mutual agreement of the parties thereto, without further consent of any assignees or other creditors. Service Companies Entergy Services, a limited liability company wholly-owned by Entergy Corporation, provides management, administrative, accounting, legal, engineering, and other services primarily to the Utility operating companies, but also provides services to Entergy Wholesale Commodities.
The Availability Agreement may be terminated, amended, or modified by mutual agreement of the parties thereto, without further consent of any assignees or other creditors. Service Companies Entergy Services, a limited liability company wholly-owned by Entergy Corporation, provides management, administrative, accounting, legal, engineering, and other services primarily to the Utility operating companies, as well as to Entergy’s non-utility operations business.

… 578 more changes not shown on this page.

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

12 edited+1437 added−320 removed0 unchanged
Biggest changeFor further information regarding nuclear decommissioning costs, management’s decision to exit the merchant power business, and the impairment charges that resulted from such decision, see the “ Critical Accounting Estimates - Nuclear Decommissioning Costs ” section of Management’s Financial Discussion and Analysis for Entergy, Entergy Arkansas, Entergy Louisiana, and System Energy, the “ Entergy Wholesale Commodities Exit from the Merchant Power Business ” section of Management’s Financial Discussion and Analysis for Entergy Corporation and Subsidiaries, and Notes 9, 14, and 16 to the financial statements.
Biggest changeNuclear Decommissioning Costs See “ Nuclear Decommissioning Costs ” in the “ Critical Accounting Estimates ” section of Entergy Corporation and Subsidiaries Management’s Financial Discussion and Analysis for discussion of the estimates inherent in accounting for nuclear decommissioning costs.
The Unit Power Sales Agreement is currently the subject of several litigation proceedings at the FERC, including a challenge with respect to System Energy’s uncertain tax positions, sale leaseback arrangement, authorized return on equity and capital structure, a broader investigation of rates under the Unit Power Sales Agreement, and a prudence complaint challenging the extended power uprate completed at Grand Gulf in 2012 and the operation and management of Grand Gulf, particularly in the 2016-2020 time period.
System Energy and the Unit Power Sales Agreement are currently the subject of several litigation proceedings at the FERC (or on appeal from the FERC to the United States Court of Appeals for the Fifth Circuit) , including challenges with respect to System Energy’s authorized return on equity and capital structure, renewal of its sale-leaseback arrangement, treatment of uncertain tax positions, a broader investigation of rates under the Unit Power Sales Agreement, and two prudence complaints, one challenging the extended power uprate completed at Grand Gulf in 2012 and the operation and management of Grand Gulf, particularly in the 2016-2020 time period, and the second challenging the operation and management of Grand Gulf in the 2021-2022 time period.
For further discussion of the effects of the Inflation Reduction Act of 2022, see the “ Income Tax Legislation ” section of Entergy Corporation and Subsidiaries Management’s Financial Discussion and Analysis and Note 3 to the financial statements.
Income Tax Legislation and Regulation See the “ Income Tax Legislation and Regulation ” section of Entergy Corporation and Subsidiaries Management’s Financial Discussion and Analysis for discussion of income tax legislation and regulation.
For further information regarding Entergy’s pension and other postretirement benefit plans, refer to the “ Critical Accounting Estimates – Qualified Pension and Other Postretirement Benefits ” section of Management’s Financial Discussion and Analysis for Entergy and each of its Registrant Subsidiaries and Note 11 to the financial statements.
See “ Critical Accounting Estimates – Qualified Pension and Other Postretirement Benefits ” below and Note 11 to the financial statements for further discussion of pension and other postretirement benefits costs.
In the event of an adverse decision in one or more of these proceedings requiring the payment of substantial additional refunds, System Energy would be required to seek financing to pay such refunds which financing may not be available on terms acceptable to System Energy, or may not be available at all, when required.
In the event of an adverse decision in one or more of these proceedings requiring the payment of additional refunds, System Energy may be required to seek financing to pay such refunds, the cost and availability of which are unknown. Fo llowing are discussions of these proceedings. 444 Table of Contents System Energy Resources, Inc.
A change in the classification of a plant owned by one of these companies under the NRC’s Reactor Oversight Process, which is the NRC’s program to collect information about plant performance, assess the information for its safety significance, and provide for appropriate licensee and NRC response, also could cause the owner of the plant to incur material additional costs as a result of the increased oversight activity and potential response costs associated with the change in classification.
NRC Reactor Oversight Process The NRC’s Reactor Oversight Process is a program to collect information about plant performance, assess the information for its safety significance, and provide for appropriate licensee and NRC response.
For further information regarding spent fuel storage, see the “ Critical Accounting Estimates – Nuclear Decommissioning Costs – Spent Fuel Disposal ” section of Management’s Financial Discussion and Analysis for Entergy, Entergy Arkansas, Entergy Louisiana, and System Energy and Note 8 to the financial statements.
Nuclear Decommissioning Costs See “ Nuclear Decommissioning Costs ” in the “ Critical Accounting Estimates ” section of Entergy Corporation and Subsidiaries Management’s Financial Discussion and Analysis for discussion of the estimates inherent in accounting for nuclear decommissioning costs.
The claims in these proceedings include claims for refunds and claims for rate adjustments. The aggregate amount of refunds claimed in these proceedings substantially exceeds the current net book value of System Energy. Entergy Corporation is not obligated to provide funding to System Energy to enable it to pay any such refunds.
The claims in these proceedings include claims for refunds and claims for rate adjustments; the aggregate amount of refunds claimed in these proceedings, after reduction for settlements reached with the MPSC and the APSC (subject in the latter case to approval by the FERC), exceeds the current net book value of System Energy .
If one or more of the foregoing events occurs, System Energy may be required to explore other options or protections available to it to extend, restructure, or retire its indebtedness and to prioritize its obligations. System Energy’s operating revenues are derived from the allocation of the capacity, energy, and related costs associated with its 90% ownership/leasehold interest in Grand Gulf.
System Energy’s operating revenues are derived from the allocation of the capacity, energy, and related costs associated with its 90% interest in Grand Gulf pursuant to the Unit Power Sales Agreement. Payments under the Unit Power Sales Agreement are System Energy’s only source of operating revenues.
In August 2021, Hurricane Ida caused extensive damage to the Entergy distribution and, to a lesser extent, transmission systems across Louisiana, resulting in storm costs of $2.5 billion. Entergy Louisiana began recovering a portion of these costs through securitization financings in 2022.
In February 2021 two winter storms (collectively, Winter Storm Uri) brought freezing rain and ice to Louisiana. In August 2021, Hurricane Ida caused extensive damage to Entergy Louisiana’s distribution and, to a lesser extent, transmission systems resulting in widespread power outages. In April 2022, Entergy Louisiana filed an application with the LPSC relating to Hurricane Ida restoration costs.
For a description of fuel and purchased power recovery mechanisms and information regarding the regulatory proceedings for fuel and purchased power cost recovery, see Note 2 to the financial statements. The Utility operating companies are subject to economic risks associated with participation in the MISO markets and the allocation of transmission upgrade costs.
See Note 2 to the financial statements for a discussion of fuel and purchased power cost recovery.
See Note 3 to the financial statements for discussion of the effects of the Tax Cuts and Jobs Act on 2022, 2021, and 2020 results of operations and financial condition, the provisions of the Tax Cuts and Jobs Act, and the uncertainties associated with accounting for the Tax Cuts and Jobs Act, and Note 2 to the financial statements for discussion of the regulatory proceedings that have considered the effects of the Tax Cuts and Jobs Act.
See Note 2 to the financial statements for discussion of regulatory activity regarding the Tax Cuts and Jobs Act. The volume/weather variance is primarily due to the effect of more favorable weather on residential and commercial sales.
Removed
Item 1A. RISK FACTORS See “ RISK FACTORS SUMMARY ” in Part I Item 1 for a summary of Entergy’s and the Registrant Subsidiaries’ risk factors. Investors should review carefully the following risk factors and the other information in this Form 10-K. The risks that Entergy faces are not limited to those in this section.
Added
Risk Factors ” in Part I, Item 1A for a detailed description of the risks related to cybersecurity. 310 Table of Contents Part I Item 1A, 1B, and 1C Entergy Corporation, Utility operating companies, and System Energy Corporate Governance The Board of Directors is responsible for oversight of the identification, management, and mitigation of enterprise-wide risk, including cybersecurity risk.
Removed
There may be additional risks and uncertainties (either currently unknown or not currently believed to be material) that could adversely affect Entergy’s financial condition, results of operations, and liquidity.
Added
The Audit Committee has the primary responsibility for overseeing risk management, including oversight of cybersecurity risk management practices and performance. The Audit Committee generally receives reports at each regular quarterly meeting provided by the Chief Information Officer, the CSO, the CISO, and the General Auditor on the cybersecurity management program.
Removed
See “ FORWARD-LOOKING INFORMATION .” Utility Regulatory Risks (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy) The terms and conditions of service, including electric and gas rates, of the Utility operating companies and System Energy are determined through regulatory approval proceedings that can be lengthy and subject to appeal, potentially resulting in delays in effecting rate changes, lengthy litigation, the risk of disallowance of recovery of certain costs, and uncertainty as to ultimate results.
Added
The reports focus on the programs and protocols in place to mitigate cybersecurity risks, led by the CSO.
Removed
The Utility operating companies are regulated on a cost-of-service and rate of return basis and are subject to statutes and regulatory commission rules and procedures. The rates that the Utility operating companies and System Energy charge reflect their capital expenditures, operations and maintenance costs, allowed rates of return, financing costs, and related costs of service.
Added
Among other things, the reports may include: recent cyber risk and cybersecurity developments; industry engagement activities; legislative and regulatory developments; cyber-risk governance and oversight; selected cyber risk metrics and activities; cyber risk incident response plans and strategies; cybersecurity drills and exercises; assessments by third party experts and Internal Audit; and major projects and initiatives.
Removed
These rates significantly influence the financial condition, results of operations, and liquidity of Entergy and each of the Utility operating companies and System Energy. These rates are determined in regulatory proceedings and are subject to periodic regulatory review and adjustment, including adjustment upon the initiative of a regulator or, in some cases, affected stakeholders.
Added
While the Board of Directors and Audit Committee oversee cybersecurity risk management, Entergy’s management is responsible for managing cybersecurity risk. Entergy and the Registrant Subsidiaries’ security-risk-management system, as discussed above, is comprised of a three lines of defense model to enhance risk management efforts and define roles in the security program.
Removed
Regulators in a future rate proceeding may alter the timing or amount of certain costs for which recovery is allowed or modify the current authorized rate of return. Rate refunds may also be required, subject to applicable law.
Added
The first line of defense, comprised of business units performing operational functions, including the CISO, is responsible for identification and management of security and reliability risks directly through design, implementation, and execution of control activities.
Removed
In addition, regulators have initiated and may initiate additional proceedings to investigate the prudence of costs in the Utility operating companies’ and System Energy’s base rates and examine, among other things, the reasonableness or prudence of the companies’ operation and maintenance practices, level of expenditures (including storm costs and costs associated with capital projects), allowed rates of return and rate base, proposed resource acquisitions, and previously incurred capital expenditures that the operating companies seek to place in rates.
Added
The second line of defense, comprised of the CSO and Chief Security Office, performs and supports security and reliability risk management and governs and oversees the execution of security and reliability controls by the first line of defense.
Removed
The regulators may disallow costs subject to their jurisdiction found not to have been prudently incurred or found not to have been incurred in compliance with applicable tariffs, creating some risk to the ultimate recovery of those costs. Regulatory proceedings relating to rates and other matters typically involve multiple parties seeking to limit or reduce rates.
Added
Ownership of specific security operations may migrate from a business unit in the first line of defense to the second line of defense, as determined to be appropriate by the Chief Security Office.
Removed
Traditional base rate proceedings, as opposed to formula rate plans, generally have long timelines, are primarily based on historical costs, and may or may not be limited in scope or duration by statute.
Added
The third line of defense, which includes Internal Audit, independent third parties, and certain regulatory constructs, such as the NERC Reliability Standards and the NRC Cyber Rule, provides assurance of selective actions taken by the first and second lines of defense to senior management and the Board of Directors.
Removed
The length of these base rate proceedings can cause the Utility operating companies and System Energy to experience regulatory lag in recovering costs through rates, such that the Utility operating companies may not fully recover all costs during the rate effective period and may, therefore, earn less than their allowed returns.
Added
Entergy’s CSO is responsible for overseeing physical, cyber, and reliability risk, including governance, compliance, and threat intelligence. The CSO’s background includes serving as the Global Lead Business Information Security Officer for a multinational pharmaceutical and biotechnology company, Vice President of Cybersecurity Solutions for an international consulting firm, and an operations manager for a multinational technology company.
Removed
Decisions are typically subject to appeal, potentially leading to additional uncertainty associated with rate case proceedings. For a discussion of such appeals and related litigation for both the Utility operating companies and System Energy, see Note 2 to the financial statements.
Added
The CSO is also a former intelligence officer in the U.S. Marine Corps, with experience in the Fleet Marine Force, Joint Staff J-2/Defense Intelligence Agency, and Headquarters Marine Corps Command, Control, Communications, and Computers (C4I). The CSO participated in numerous exercises and crisis operations during his time in the military.
Removed
The Utility operating companies have large customer and stakeholder bases and, as a result, could be the subject of public criticism or adverse publicity focused on issues including the operation and maintenance of their assets and infrastructure, their preparedness for major storms or other extreme weather events and/or the time it takes to restore service after such events, or the quality of their service or the reasonableness of the cost of their 292 Table of Contents Part I Item 1A and 1B Entergy Corporation, Utility operating companies, and System Energy service.
Added
The CSO is a certified Information Security Manager from the Information Systems Audit and Control Association and a certified Information Privacy Manager from the International Association of Privacy Professionals. The CSO also completed the Harvard Kennedy School Executive Education Program in Cybersecurity and the FBI Domestic Security Executive Academy.
Removed
Criticism or adverse publicity of this nature could render legislatures and other governing bodies, public service commissions and other regulatory authorities, and government officials less likely to view the applicable operating company in a favorable light and could potentially negatively affect legislative or regulatory processes or outcomes, as well as lead to increased regulatory oversight or more stringent legislative or regulatory requirements or other legislation or regulatory actions that adversely affect the Utility operating companies.
Added
Entergy’s CISO is responsible for enterprise strategic and operational cybersecurity, physical security systems, and regulatory compliance. The CISO oversees investments in tools, resources, and processes that allow for the continuous improvement and maturity of Entergy’s cybersecurity posture. The CISO has expertise spanning more than 25 years in the realm of information technology, information security, and cyber/physical security management.
Removed
The Utility operating companies and System Energy, and the energy industry as a whole, have experienced a period of rising costs and investments and an upward trend in spending, especially with respect to infrastructure investments, which is likely to continue in the foreseeable future and could result in more frequent rate cases and requests for, and the continuation of, cost recovery mechanisms, all of which could face resistance from customers and other stakeholders especially in a rising cost environment, whether due to inflation or high fuel prices or otherwise, and/or in periods of economic decline or hardship.
Added
The CISO’s background includes serving as the Vice President and Chief Information Security Officer for an electric utility with responsibility for enterprise cybersecurity covering corporate, electric, nuclear, and gas operations. Additionally, the CISO served as the Chief Security Officer for the Electric Reliability Council of Texas with overall responsibility for its cybersecurity, physical security, and emergency management programs.
Removed
Significant increases in costs could increase financing needs and otherwise adversely affect Entergy, the Utility operating companies, and System Energy’s business, financial position, results of operation, or cash flows. For information regarding rate case proceedings and formula rate plans applicable to the Utility operating companies, see Note 2 to the financial statements.
Added
Her previous experience includes multiple technical, managerial, and strategic roles within industries ranging from energy, telecommunication, software development, and cybersecurity consulting.
Removed
Changes to state or federal legislation or regulation affecting electric generation, electric and natural gas transmission, distribution, and related activities could adversely affect Entergy and the Utility operating companies’ financial position, results of operations, or cash flows and their utility businesses.
Added
The CISO is a Certified Information Systems Security Professional, Certified Information Security Manager, and Certified in Risk and Information Systems Control. 311 Table of Contents Part I Item 1A, 1B, and 1C Entergy Corporation, Utility operating companies, and System Energy In the event of a suspected or actual cybersecurity incident, the Security Incident Response Team (SIRT), which includes the CISO, has primary responsibility for initial identification and evaluation of potential business impacts and escalation of the incident’s severity classification using pre-established criteria with a specified communication matrix and escalation thresholds.
Removed
If legislative and regulatory structures evolve in a manner that erodes the Utility operating companies’ exclusive rights to serve their regulated customers, they could lose customers and sales and their results of operations, financial position, or cash flows could be materially affected.
Added
The Security Incident Commander, which role is served by rotating leaders in the CISO organization, provides tactical leadership and oversight management at the cross-functional level for the incident. The SIRT remains engaged throughout the incident response lifecycle, including detection and analysis, containment, eradication and recovery, and post-incident remediation, and coordinates with the impacted business functions, if warranted.
Removed
Additionally, technological advances in energy efficiency and distributed energy resources are reducing the costs of these technologies and, together with ongoing state and federal subsidies, the increasing penetration of these technologies could result in reduced sales by the Utility operating companies.
Added
Once a cyber incident is confirmed, the SIRT is responsible for maintaining situational awareness and continuous monitoring of the need for escalation or de-escalation of the incident’s severity classification.
Removed
Such loss of sales, due to the methodology used to determine cost of service rates or otherwise, could put upward pressure on rates, possibly resulting in adverse regulatory actions to mitigate such effects on rates.
Added
As certain escalation thresholds are exceeded, additional levels of management notification are required by the SIRT, including notification of and recurring communication with Entergy’s Incident Response Team, which includes the Chief Executive Officer, the Chief Operating Officer, the CSO, other executive management, and members of the affected business functions.
Removed
Further, the failure of regulatory structures to evolve to accommodate the changing needs and desires of customers with respect to the sourcing and use of electricity also could diminish sales by the operating companies.
Added
Depending upon the facts, analysis, materiality, and anticipated or current impacts, the Chief Executive Officer and the General Counsel will determine the timing and cadence for communication of the cyber incident with the Board of Directors or Audit Committee. 312 Table of Contents ENTERGY ARKANSAS, LLC AND SUBSIDIARIES MANAGEMENT’S FINANCIAL DISCUSSION AND ANALYSIS Results of Operations 2023 Compared to 2022 Net Income Net income increased $104 million primarily due to a $159.6 million reduction in income tax expense in 2023 as a result of the resolution of the 2016-2018 IRS audit, higher retail electric price, lower other operation and maintenance expenses, and higher other income.
Removed
Entergy and the Utility operating companies cannot predict if or when they may be subject to changes in legislation or regulation, or the extent and timing of reductions of the cost of distributed energy resources, nor can they predict the impact of these changes on their results of operations, financial position, or cash flows.
Added
The increase was partially offset by write-offs of $78.4 million ($58.8 million net-of-tax) in third quarter 2023 as a result of Entergy Arkansas’s approved motion to forgo recovery related to the 2013 ANO stator incident, higher interest expense, lower volume/weather, and higher depreciation and amortization expenses.
Removed
The Utility operating companies recover fuel, purchased power, and associated costs through rate mechanisms that are subject to risks of delay or disallowance in regulatory proceedings, and sudden or prolonged increases in fuel and purchased power costs could lead to increased customer arrearages or bad debt expenses.
Added
See Note 3 to the financial statements for further discussion of the resolution of the 2016-2018 IRS audit. See Note 8 to the financial statements for further discussion of the ANO stator incident and the approved motion to forgo recovery.
Removed
The Utility operating companies recover their fuel, purchased power, and associated costs from their customers through rate mechanisms subject to periodic regulatory review and adjustment.
Added
Operating Revenues Following is an analysis of the change in operating revenues comparing 2023 to 2022: Amount (In Millions) 2022 operating revenues $2,673.2 Fuel, rider, and other revenues that do not significantly affect net income (75.0) Volume/weather (31.4) Retail electric price 79.6 2023 operating revenues $2,646.4 Entergy Arkansas’s results include revenues from rate mechanisms designed to recover fuel, purchased power, and other costs such that the revenues and expenses associated with these items generally offset and do not affect net income.
Removed
Because regulatory review can result in the disallowance of incurred costs found not to have been prudently incurred or not reflected in rates as permitted by approved rate schedules and accounting rules, including the cost of replacement power purchased when generators experience outages or when planned outages are extended, with the possibility of refunds to ratepayers, there exists some risk to the ultimate recovery of those costs, particularly when there are substantial or sudden increases in such costs.
Added
“Fuel, rider, and other revenues that do not significantly affect net income” includes the revenue variance associated with these items. The volume/weather variance is primarily due to the effect of less favorable weather on residential sales and a decrease in weather-adjusted residential usage, partially offset by an increase in industrial usage.
Removed
Regulators also may initiate proceedings to investigate the continued usage or the adequacy and operation of the fuel and purchased power recovery clauses of the Utility operating companies and, therefore, there can be no assurance that existing recovery mechanisms will remain unchanged or in effect at all.
Added
The increase in industrial usage is primarily due to an increase in demand from small industrial customers and an increase in demand from expansion projects, primarily in the metals industry. The retail electric price variance is primarily due to an increase in formula rate plan rates effective January 2023.
Removed
The Utility operating companies’ cash flows can be negatively affected by the time delays between when gas, power, or other commodities are purchased and the ultimate recovery from customers of the costs in rates.
Added
See Note 2 to the financial statements for further discussion of the 2022 form ula rate plan filing. 313 Table of Contents Entergy Arkansas, LLC and Subsidiaries Management’s Financial Discussion and Analysis Total electric energy sales for Entergy Arkansas for the years ended December 31, 2023 and 2022 are as follows: 2023 2022 % Change (GWh) Residential 7,610 8,147 (7) Commercial 5,584 5,615 (1) Industrial 9,095 8,493 7 Governmental 192 218 (12) Total retail 22,481 22,473 — Sales for resale: Associated companies 2,218 1,906 16 Non-associated companies 5,777 6,520 (11) Total 30,476 30,899 (1) See Note 19 to the financial statements for additional discussion of Entergy Arkansas’s operating revenues.
Removed
On occasion, when the level of incurred costs for fuel and purchased power rises very dramatically, some 293 Table of Contents Part I Item 1A and 1B Entergy Corporation, Utility operating companies, and System Energy of the Utility operating companies may agree to defer recovery of a portion of that period’s fuel and purchased power costs for recovery at a later date, which could increase the near-term working capital and borrowing requirements of those companies.
Added
Other Income Statement Variances Other operation and maintenance expenses decreased primarily due to: • a decrease of $17.1 million in compensation and benefits costs primarily due to a decrease in net periodic pension and other postretirement benefits service costs as a result of an increase in the discount rates used to value the benefits liabilities, lower health and welfare costs, including highe r prescription drug rebates in second quarter 2023, and a revision to estimated incentive compensation expense in first quarter 2023.
Removed
The Utility operating companies also may experience, and in some instances have experienced, an increase in customer bill arrearages and bad debt expenses due to, among other reasons, increases in fuel and purchased power costs, especially in periods of economic decline or hardship.
Added
See “ Critical Accounting Estimates ” below and Note 11 to the financial statements for further discussion of pension and other postretirement benefits costs; • a decrease of $10.5 million in transmission costs allocated by MISO; • the effects of recording a final judgment in first quarter 2023 to resolve claims in the ANO damages case against the DOE related to spent nuclear fuel storage costs.
Removed
The operation of the Utility operating companies’ transmission system pursuant to the MISO RTO tariff and their participation in the MISO RTO’s wholesale markets may be adversely affected by regulatory or market design changes, as well as liability under, or any future inability to comply with, existing or future regulations or requirements.
Added
The damages awarded include the reimbursement of approximately $10.3 million of spent nuclear fuel storage costs previously recorded as other operation and maintenance expenses.
Removed
On December 19, 2013, the Utility operating companies integrated into the MISO RTO. MISO maintains functional control over the combined transmission systems of its members and administers wholesale energy and ancillary services markets for market participants in the MISO region, including the Utility operating companies.
Added
See Note 8 to the financial statements for discussion of the spent nuclear fuel litigation; and • a decrease of $9.6 million in non-nuclear generation expenses primarily due to a lower scope of work, including during plant outages, performed in 2023 as compared to 2022.
Removed
The Utility operating companies sell capacity, energy, and ancillary services on a bilateral basis to certain wholesale customers and offer available electricity production of their owned and controlled generating facilities into the MISO resource adequacy construct (the annual Planning Resource Auction, discussed below), as well as the day-ahead and real-time energy markets pursuant to the MISO tariff and market rules.
Added
The decrease was partially offset by: • an increase of $10.4 million in contract costs related to operational performance, customer service, and organizational health initiatives; • an increase of $9.2 million in insurance expenses primarily due to lower nuclear insurance refunds received in 2023; • an increase of $5.2 million in nuclear generation expenses primarily due to a higher scope of work performed in 2023 as compared to 2022 and higher nuclear labor costs; and • several individually insignificant items.
Removed
The Utility operating companies are subject to economic risks associated with participation in the MISO markets and resource adequacy construct.
Added
Asset write-offs includes the effects of Entergy Arkansas forgoing recovery of identified costs resulting from the 2013 ANO stator incident.
Removed
MISO tariff rules and system conditions, including transmission congestion, could affect the Utility operating companies’ ability to sell capacity, energy, and/or ancillary services in certain regions and/or the economic value of such sales, or the cost of serving the Utility operating companies’ respective loads.
Added
In third quarter 2023, Entergy Arkansas recorded write-offs of its regulatory asset for deferred fuel of $68.9 million and the undepreciated balance of $9.5 million in capital costs related to the 314 Table of Contents Entergy Arkansas, LLC and Subsidiaries Management’s Financial Discussion and Analysis ANO stator incident.
Removed
MISO market rules may change or be interpreted in ways that cause additional cost and risk, including compliance risk.
Added
See Note 8 to the financial statements for further discussion of the ANO stator incident and the approved motion to forgo recovery. Depreciation and amortization expenses increased primarily due to additions to plant in service.

… 1689 more changes not shown on this page.

Item 2. Properties

Properties — owned and leased real estate

1 edited+0 added−0 removed0 unchanged
Biggest changeItem 2. Properties Information regarding the registrant’s properties is included in Part I. Item 1. - Entergy’s Business under the sections titled “ Utility - Property and Other Generation Resources ” and “ Entergy Wholesale Commodities - Property ” in this report.
Biggest changeItem 2. Properties Information regarding the registrant’s properties is included in Part I, Item 1. - Entergy’s Business under the sections titled “ Utility - Property and Other Generation Resources ” and “ Other Business Activities - Property ” in this report.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

1 edited+0 added−0 removed0 unchanged
Biggest changeItem 3. Legal Proceedings Details of the registrant’s material environmental regulation and proceedings and other regulatory proceedings and litigation that are pending or those terminated in the fourth quarter of 2021 are discussed in Part I. Item 1. - Entergy’s Business under the sections titled “ Retail Rate Regulation ,” “ Environmental Regulation ,” and “ Litigation .”
Biggest changeItem 3. Legal Proceedings Details of the registrant’s material environmental regulation and proceedings and other regulatory proceedings and litigation that are pending or those terminated in the fourth quarter of 2023 are discussed in Part I, Item 1. - Entergy’s Business under the sections titled “ Retail Rate Regulation ,” “ Environmental Regulation ,” and “ Litigation .”

Item 4. Mine Safety Disclosures

Mine Safety Disclosures — required of mining issuers

9 edited+0 added−2 removed0 unchanged
Biggest changeWest (a) 54 Group President Utility Operations of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2017-Present President, Chief Executive Officer, and Director of System Energy 2017-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2017-Present President and Chief Executive Officer of Entergy New Orleans 2018 Jason Chapman 52 Acting Senior Vice President, Corporate Business Services of Entergy Services 2023-Present Vice President, Enterprise Shared Services of Entergy Services 2019-2023 Vice President, Global Business Services, Xylem, Inc. 2016-2019 Kimberly Cook-Nelson (a) 50 Executive Vice President and Chief Nuclear Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy 2022-Present Director of System Energy 2022-Present Chief Operating Officer, Nuclear Operations of Entergy Services 2021-2022 Vice President, System Planning of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2019-2021 Vice President, Operations Support of Entergy Services 2016-2019 Kathryn A.
Biggest changeWest (a) 55 Group President Utility Operations of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2017-Present President, Chief Executive Officer, and Director of System Energy 2017-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2017-Present Jason Chapman (a) 53 Senior Vice President, Chief Technology and Business Services Officer of Entergy Corporation 2023-Present Acting Senior Vice President, Corporate Business Services of Entergy Services 2023 Vice President, Enterprise Shared Services of Entergy Services 2019-2023 Vice President, Global Business Services, Xylem, Inc. 2016-2019 Kathryn A.
Jackson (a) 56 Senior Vice President and Chief Accounting Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2022-Present Vice President, Internal Audit and General Auditor of Entergy Services 2020-2022 Director, Real Estate and Security of Entergy Services 2014-2020 (a) In addition, this officer is an executive officer and/or director of various other wholly owned subsidiaries of Entergy Corporation and its operating companies.
Jackson (a) 57 Senior Vice President and Chief Accounting Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2022-Present Vice President, Internal Audit and General Auditor of Entergy Services 2020-2022 Director, Real Estate and Security of Entergy Services 2014-2020 (a) In addition, this officer is an executive officer and/or director of various other wholly owned subsidiaries of Entergy Corporation and its operating companies.
Marsh (a) 51 Chief Executive Officer of Entergy Corporation 2022-Present Chairman of the Board of Entergy Corporation 2023-Present Executive Vice President and Chief Financial Officer of Entergy Corporation 2013-2022 Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2013-2022 Executive Vice President and Chief Financial Officer of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2014-2022 A.
Marsh (a) 52 Chief Executive Officer of Entergy Corporation 2022-Present Chairman of the Board of Entergy Corporation 2023-Present Executive Vice President and Chief Financial Officer of Entergy Corporation 2013-2022 Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2013-2022 Executive Vice President and Chief Financial Officer of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2014-2022 Marcus V.
Each officer of Entergy Corporation is elected yearly by the Board of Directors. Each officer’s age and title are provided as of December 31, 2022. 477 Table of Contents PART II
Each officer of Entergy Corporation is elected yearly by the Board of Directors. Each officer’s age and title are provided as of December 31, 2023. 475 Table of Contents PART II
Fontan (a) 49 Executive Vice President and Chief Financial Officer of Entergy Corporation 2022-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy Texas, and System Energy 2022-Present Executive Vice President and Chief Financial Officer of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2022-Present Senior Vice President and Chief Accounting Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2019-2022 Vice President, System Planning of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2017-2019 Roderick K.
Fontan (a) 50 Executive Vice President and Chief Financial Officer of Entergy Corporation 2022-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy Texas, and System Energy 2022-Present Executive Vice President and Chief Financial Officer of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2022-Present Senior Vice President and Chief Accounting Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2019-2022 Vice President, System Planning of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2017-2019 473 Table of Contents Name Age Position Period Roderick K.
Brown (a) 61 Executive Vice President and General Counsel of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2013-Present 475 Table of Contents Name Age Position Period Kimberly A.
Brown (a) 62 Executive Vice President and General Counsel of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy 2013-Present Kimberly A.
(a) 57 Executive Vice President and Chief Operating Officer of Entergy Corporation 2022-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2022-Present Senior Vice President, Operations and Development of Entergy Corporation 2022 Senior Vice President, Sustainable Planning, Development and Operations of Entergy Corporation 2021-2022 Senior Vice President, Transformation of Entergy Corporation 2018-2021 Senior Vice President, Power Generation of Entergy Services 2017-2018 Reginald T.
(a) 58 Executive Vice President and Chief Operating Officer of Entergy Corporation 2022-Present Director of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2022-Present Senior Vice President, Operations and Development of Entergy Corporation 2022 Senior Vice President, Sustainable Planning, Development and Operations of Entergy Corporation 2021-2022 Senior Vice President, Transformation of Entergy Corporation 2018-2021 474 Table of Contents Name Age Position Period Reginald T.
Item 4. Mine Safety Disclosures Not applicable. INFORMATION ABOUT EXECUTIVE OFFICERS OF ENTERGY CORPORATION Executive Officers Name Age Position Period Leo P. Denault (a) 63 Chairman of the Board of Entergy Corporation 2013-2023 Chief Executive Officer of Entergy Corporation 2013-2022 Andrew S.
Item 4. Mine Safety Disclosures Not applicable. INFORMATION ABOUT EXECUTIVE OFFICERS OF ENTERGY CORPORATION Executive Officers Name Age Position Period Andrew S.
Harbert (a) 49 Senior Vice President, Corporate Business Services of Entergy Corporation 2019-2023 Vice President, Shared Services of Entergy Services 2017-2019 476 Table of Contents Name Age Position Period Anastasia Minor 53 Chief Transformation Officer of Entergy Services 2023-Present Senior Vice President, Strategy and Financial Planning of Entergy Services 2022-2023 Vice President, Financial Business Partners of Entergy Services 2017-2022 Peter S.
Collins 60 Senior Vice President and Chief Human Resources Officer of Entergy Corporation 2020-Present Chief Human Resources Officer, Arcosa, Inc. 2018-2020 Vice President, Human Resources, Trinity, Inc. 2014-2018 Kimberly Cook-Nelson (a) 51 Executive Vice President and Chief Nuclear Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy 2022-Present Director of System Energy 2022-Present Chief Operating Officer, Nuclear Operations of Entergy Services 2021-2022 Vice President, System Planning of Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, and Entergy Texas 2019-2021 Vice President, Operations Support of Entergy Services 2016-2019 Anastasia Minor 54 Chief Transformation Officer of Entergy Services 2023-Present Senior Vice President, Strategy and Financial Planning of Entergy Services 2022-2023 Vice President, Financial Business Partners of Entergy Services 2017-2022 Peter S.
Removed
Christopher Bakken, III (a) 61 Executive Vice President, Entergy Infrastructure of Entergy Corporation 2022-Present Executive Vice President and Chief Nuclear Officer of Entergy Corporation, Entergy Arkansas, Entergy Louisiana, and System Energy 2016-2022 Marcus V.
Removed
Collins 59 Senior Vice President and Chief Human Resources Officer of Entergy Corporation 2020-Present Chief Human Resources Officer, Arcosa, Inc. 2018-2020 Vice President, Human Resources, Trinity, Inc. 2014-2018 Julie E.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

4 edited+1 added−0 removed5 unchanged
Biggest changeIn addition, in the first quarter 2022, Entergy withheld 79,738 shares of its common stock at $110.35 per share, 77,207 shares of its common stock at $111.16 per share, 35,940 shares of its common stock at $111.77 per share, 1,219 shares of its common stock at $109.01 per share, 577 shares of its common stock at $106.62 per share, 232 shares of its common stock at $110.77 per share, 87 shares of its common stock at $109.01 per share, and 82 shares of its common stock at $111.47 per share to pay income taxes due upon vesting of restricted stock granted and payout of performance units as part of its long-term incentive program.
Biggest changeIn addition, in the first quarter 2023, Entergy withheld 71,722 shares of its common stock at $108.71 per share, 27,533 shares of its common stock at $107.69 per share, 12,265 shares of its common stock at $107.59 per share, 551 shares of its common stock at $103.72 per share, 232 shares of its common stock at $106.07 per share, and 100 shares of its common stock at $105.79 per share to pay income taxes due upon vesting of restricted stock granted and payout of performance units as part of its long-term incentive program.
Issuer Purchases of Equity Securities (1) Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of a Publicly Announced Plan Maximum $ Amount of Shares that May Yet be Purchased Under a Plan (2) 10/01/2022 - 10/31/2022 — $— — $350,052,918 11/01/2022 - 11/30/2022 — $— — $350,052,918 12/01/2022 - 12/31/2022 — $— — $350,052,918 Total — $— — In accordance with Entergy’s stock-based compensation plans, Entergy periodically grants stock options to key employees, which may be exercised to obtain shares of Entergy’s common stock.
Issuer Purchases of Equity Securities (1) Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of a Publicly Announced Plan Maximum $ Amount of Shares that May Yet be Purchased Under a Plan (2) 10/01/2023 - 10/31/2023 — $— — $350,052,918 11/01/2023 - 11/30/2023 — $— — $350,052,918 12/01/2023 - 12/31/2023 — $— — $350,052,918 Total — $— — In accordance with Entergy’s stock-based compensation plans, Entergy periodically grants stock options to key employees, which may be exercised to obtain shares of Entergy’s common stock.
Item 5. Market for Registrants’ Common Equity and Related Stockholder Matters Entergy Corporation The shares of Entergy Corporation’s common stock are listed on the New York Stock and Chicago Stock Exchanges under the ticker symbol ETR. As of January 31, 2023, there were 20,696 stockholders of record of Entergy Corporation.
Item 5. Market for Registrants’ Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities Entergy Corporation The shares of Entergy Corporation’s common stock are listed on the New York Stock and Chicago Stock Exchanges under the ticker symbol ETR. As of January 31, 2024, there were 19,887 stockholders of record of Entergy Corporation.
(1) See Note 12 to the financial statements for additional discussion of the stock-based compensation plans. (2) Maximum amount of shares that may yet be repurchased relates only to the $500 million plan and does not include an estimate of the amount of shares that may be purchased to fund the exercise of grants under the stock-based compensation plans.
(2) Maximum amount of shares that may yet be repurchased relates only to the $500 million share repurchase program plan and does not include an estimate of the amount of shares that may be purchased to fund the exercise of grants under the stock-based compensation plans.
Added
(1) See Note 12 to the financial statements for additional discussion of the stock-based compensation plans.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

1 edited+0 added−0 removed0 unchanged
Biggest changeItem 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations Refer to “MANAGEMENT’S FINANCIAL DISCUSSION AND ANALYSIS OF ENTERGY CORPORATION AND SUBSIDIARIES, ENTERGY ARKANSAS, LLC AND SUBSIDIARIES, ENTERGY LOUISIANA, LLC AND SUBSIDIARIES, ENTERGY MISSISSIPPI, LLC AND SUBSIDIARIES, ENTERGY NEW ORLEANS, LLC AND SUBSIDIARIES, ENTERGY TEXAS, INC. AND SUBSIDIARIES, and SYSTEM ENERGY RESOURCES, INC.”
Biggest changeItem 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations Refer to “MANAGEMENT’S FINANCIAL DISCUSSION AND ANALYSIS” of each of ENTERGY CORPORATION AND SUBSIDIARIES, ENTERGY ARKANSAS, LLC AND SUBSIDIARIES, ENTERGY LOUISIANA, LLC AND SUBSIDIARIES, ENTERGY MISSISSIPPI, LLC AND SUBSIDIARIES, ENTERGY NEW ORLEANS, LLC AND SUBSIDIARIES, ENTERGY TEXAS, INC. AND SUBSIDIARIES, and SYSTEM ENERGY RESOURCES, INC.

Other ETR 10-K year-over-year comparisons