XML 64 R40.htm IDEA: XBRL DOCUMENT v3.23.3
Equity
 9 Months Ended
Sep. 30, 2023
Equity [Abstract]  
Equity Equity
Dividends Declared and Paid (CenterPoint Energy)

Dividends Declared
Per Share		Dividends Paid
Per Share
Three Months Ended September 30,Nine Months Ended September 30,Three Months Ended September 30,Nine Months Ended September 30,
20232022202320222023202220232022
Common Stock$0.390 $0.360 $0.580 $0.530 $0.190 $0.180 $0.570 $0.520 
Series A Preferred Stock30.625 30.625 30.625 30.625 30.625 30.625 61.250 61.250 
Series A Preferred Stock Redemption (CenterPoint Energy)
On September 1, 2023, CenterPoint Energy redeemed 800,000 shares of CenterPoint Energy’s Series A Preferred Stock, in whole for cash at a redemption price of $1,000 per share, plus any accumulated and unpaid dividends thereon to, but excluding, the redemption date.

Preferred Stock (CenterPoint Energy)

Liquidation Preference Per ShareShares Outstanding as ofOutstanding Value as of
September 30, 2023December 31, 2022September 30, 2023December 31, 2022
(in millions, except shares and per share amounts)
Series A Preferred Stock$1,000 — 800,000 $— $790 
— 800,000 $— $790 

Income Allocated to Preferred Shareholders (CenterPoint Energy)
Three Months Ended September 30,Nine Months Ended September 30,
2023202220232022
(in millions)
Series A Preferred Stock$26 $13 $50 $37 
Total income allocated to preferred shareholders
$26 $13 $50 $37 

Temporary Equity (CenterPoint Energy)

On the approval and recommendation of the Compensation Committee and approval of the Board (acting solely through its independent directors), CenterPoint Energy entered into a retention incentive agreement with David J. Lesar, then President and Chief Executive Officer of CenterPoint Energy, dated July 20, 2021. Pursuant to the retention incentive agreement, Mr. Lesar received equity-based awards under CenterPoint Energy’s LTIP covering a total of 1 million shares of Common Stock (Total Stock Award) which were granted in multiple annual awards. Mr. Lesar received 400 thousand restricted stock units in July 2021 that vested in December 2022 and 400 thousand restricted stock units and 200 thousand restricted stock units in February 2022 and February 2023, respectively, that will vest in December 2023. For accounting purposes, the 1 million shares under the Total Stock Award, consisting of the equity-based awards described above, were considered granted in July 2021. In the event that death, disability, termination without cause or resignation for good reason, as defined in the retention incentive agreement, had occurred prior to the full Total Stock Award being awarded, CenterPoint Energy would have paid a lump sum cash payment equal to the value of the unawarded equity-based awards, based on the closing trading price of Common Stock on the date of the event’s occurrence. Because the equity-based awards would have been redeemable for cash prior to being awarded upon events that were not probable at the grant date, the equity associated with any unawarded equity-based awards were classified as Temporary Equity as of December 31, 2022 on CenterPoint Energy’s Condensed Consolidated Balance Sheets. As of September 30, 2023, all restricted stock units have been awarded to Mr. Lesar and no amounts are reflected in Temporary Equity on CenterPoint Energy’s Condensed Consolidated Balance Sheets.
Accumulated Other Comprehensive Income (Loss)

Changes in accumulated comprehensive income (loss) are as follows:
Three Months Ended September 30,
20232022
CenterPoint EnergyHouston ElectricCERCCenterPoint EnergyHouston ElectricCERC
(in millions)
Beginning Balance$(32)$— $15 $(85)$— $10 
Other comprehensive income (loss) before reclassifications:
Remeasurement of pension and other postretirement plans
— — — (10)— — 
Amounts reclassified from accumulated other comprehensive income (loss):
Net deferred gain from cash flow hedges
2 — — — — — 
Prior service cost (1)
1 — — — — — 
Actuarial losses (1)
— — — 2 — — 
Settlement (2)
— — — 1 — — 
Tax benefit (expense)— — — 9 — — 
Net current period other comprehensive income (loss)3 — — 2 — — 
Ending Balance$(29)$— $15 $(83)$— $10 
Nine Months Ended September 30,
20232022
CenterPoint EnergyHouston ElectricCERCCenterPoint EnergyHouston ElectricCERC
(in millions)
Beginning Balance$(31)$— $16 $(64)$— $10 
Other comprehensive income (loss) before reclassifications:
Remeasurement of pension and other postretirement plans
— — — (44)— — 
Amounts reclassified from accumulated other comprehensive income (loss):
Net deferred gain from cash flow hedges
2 — — — — — 
Prior service cost (1)
— — (1)1 — — 
Actuarial losses (1)
— — — 4 — — 
Settlement (2)
— — — 14 — — 
Tax benefit (expense)— — — 5 — — 
Net current period other comprehensive income (loss)2 — (1)(19)— — 
Ending Balance$(29)$— $15 $(83)$— $10 

(1)Amounts are included in the computation of net periodic cost and are reflected in Other income, net in each of the Registrants’ respective Condensed Statements of Consolidated Income.
(2)Amounts presented represent a one-time, non-cash settlement cost (benefit), prior to regulatory deferrals, which are required when the total lump sum distributions or other settlements of plan benefit obligations during a plan year exceed the service cost and interest cost components of the net periodic cost for that year. Amounts presented in the table above are included in Other income (expense), net in CenterPoint Energy’s Statements of Consolidated Income, net of regulatory deferrals.