Financing Activities (Tables)

9 Months Ended

Sep. 30, 2023

Long-term Debt

Type of Debt	September 30, 2023		December 31, 2022
	(in millions)
Senior Unsecured Notes	$	32,881.6	$	30,174.8
Pollution Control Bonds	1,771.0		1,770.2
Notes Payable	141.5		269.7
Securitization Bonds	407.0		487.8
Spent Nuclear Fuel Obligation (a)	296.3		285.6
Junior Subordinated Notes (b)	2,386.6		2,381.3
Other Long-term Debt	1,605.1		1,431.6
Total Long-term Debt Outstanding	39,489.1		36,801.0
Long-term Debt Due Within One Year	2,773.6		2,486.4
Long-term Debt	$	36,715.5	$	34,314.6

(a)Pursuant to the Nuclear Waste Policy Act of 1982, I&M, a nuclear licensee, has an obligation to the United States Department of Energy for SNF disposal. The obligation includes a one-time fee for nuclear fuel consumed prior to April 7, 1983. Trust fund assets related to this obligation were $345 million and $330 million as of September 30, 2023 and December 31, 2022, respectively, and are included in Spent Nuclear Fuel and Decommissioning Trusts on the balance sheets.

(b)See “Equity Units” section below for additional information.

Long-term Debt Issuances

		Principal		Interest
Company	Type of Debt	Amount (a)		Rate	Due Date
Issuances:		(in millions)		(%)
AEP	Senior Unsecured Notes	$	850.0	5.63	2033
AEPTCo	Senior Unsecured Notes	700.0		5.40	2053
AEP Texas	Pollution Control Bonds	60.0		4.25	2030
AEP Texas	Senior Unsecured Notes	450.0		5.40	2033
APCo	Other Long-term Debt	200.0		Variable	2024
I&M	Senior Unsecured Notes	500.0		5.63	2053
OPCo	Senior Unsecured Notes	400.0		5.00	2033
PSO	Senior Unsecured Notes	475.0		5.25	2033
SWEPCo	Senior Unsecured Notes	350.0		5.30	2033
Non-Registrant:
KPCo	Pollution Control Bonds	65.0		4.70	2026
Transource Energy	Other Long-term Debt	14.0		Variable	2025
Total Issuances		$	4,064.0

(a)Amounts indicated on the statements of cash flows are net of issuance costs and premium or discount and will not tie to the issuance amounts.

Retirements and Principal Payments

		Principal		Interest
Company	Type of Debt	Amount Paid		Rate	Due Date
Retirements and Principal Payments:		(in millions)		(%)
AEP	Senior Unsecured Notes	$	600.0	Variable	2023
AEP Texas	Pollution Control Bonds	60.0		0.90	2023
AEP Texas	Senior Unsecured Notes	125.0		3.09	2023
AEP Texas	Securitization Bonds	31.5		2.85	2024
AEP Texas	Securitization Bonds	23.5		2.06	2025
APCo	Securitization Bonds	9.7		2.01	2023
APCo	Securitization Bonds	16.8		3.77	2028
I&M	Senior Unsecured Notes	250.0		3.20	2023
I&M	Notes Payable	1.8		Variable	2023
I&M	Notes Payable	3.7		Variable	2024
I&M	Notes Payable	13.8		Variable	2025
I&M	Notes Payable	12.0		0.93	2025
I&M	Notes Payable	20.6		3.44	2026
I&M	Notes Payable	20.5		5.93	2027
I&M	Other Long-term Debt	1.7		6.00	2025
OPCo	Other Long-term Debt	0.6		1.15	2028
PSO	Other Long-term Debt	0.4		3.00	2027
SWEPCo	Notes Payable	25.0		6.37	2024
SWEPCo	Notes Payable	30.9		4.58	2032
SWEPCo	Other Long-Term Debt	38.2		4.68	2028
Non-Registrant:
KPCo	Pollution Control Bonds	65.0		2.35	2023
Transource Energy	Senior Unsecured Notes	2.6		2.75	2050
Total Retirements and Principal Payments		$	1,353.3

Utility Money Pool Participants' Money Pool Activity and Authorized Borrowing Limits

	Maximum					Average				Net Loans to
	Borrowings			Maximum		Borrowings		Average		(Borrowings from)		Authorized
	from the			Loans to the		from the		Loans to the		the Utility Money		Short-term
	Utility			Utility		Utility		Utility		Pool as of		Borrowing
Company	Money Pool			Money Pool		Money Pool		Money Pool		September 30, 2023		Limit
	(in millions)
AEP Texas	$	477.5		$	42.0	$	250.4	$	42.0	$	42.0	$	500.0
AEPTCo	471.3			309.4		134.3		76.0		7.2		820.0		(a)
APCo	388.6			19.8		280.8		19.0		(183.2)		500.0
I&M	475.3			112.2		126.0		49.3		21.2		500.0
OPCo	485.7			64.7		207.1		40.2		(113.3)		500.0
PSO	375.0			121.5		106.3		53.9		9.2		400.0
SWEPCo	401.6		(b)	25.8		165.3		16.5		(48.9)		400.0

(a)    Amount represents the combined authorized short-term borrowing limit the State Transcos have from FERC or state regulatory commissions.

(b)    SWEPCo’s maximum borrowings from the Utility Money Pool exceeded the authorized short-term borrowing limit by $1.6 million on March 15, 2023. On March 16, 2023, SWEPCo’s borrowings from the Utility Money Pool were reduced below the $400 million authorized limit and borrowings have continued to remain below the authorized limit.

Nonutility Money Pool Activity

		Maximum Loans		Average Loans		Loans to the Nonutility
		to the Nonutility		to the Nonutility		Money Pool as of
Company		Money Pool		Money Pool		September 30, 2023
	(in millions)
AEP Texas		$	7.0	$	6.9	$	7.0
SWEPCo		2.7		2.3		2.7

Direct Borrowing Activity

Maximum

Maximum

Average

Average

Borrowings from

Loans to

Authorized

Borrowings

Loans

Borrowings

Loans

AEP as of

AEP as of

Short-term

from AEP

to AEP

from AEP

to AEP

September 30, 2023

September 30, 2023

Borrowing Limit

(in millions)

$

37.9

$

158.1

$

3.0

$

67.5

$

33.4

$

—

$

50.0

(a)

(a)    Amount represents the combined authorized short-term borrowing limit the State Transcos have from FERC or state regulatory commissions.

Maximum and Minimum Interest Rates for Funds Either Borrowed from or Loaned to Utility Money Pool

	Nine Months Ended September 30,
	2023		2022
Maximum Interest Rate	5.81	%	3.39	%
Minimum Interest Rate	4.66	%	0.10	%

Average Interest Rates for Funds Borrowed from and Loaned to Utility Money Pool

	Average Interest Rate for Funds				Average Interest Rate for Funds
	Borrowed from the Utility Money Pool				Loaned to the Utility Money Pool
	for Nine Months Ended September 30,				for Nine Months Ended September 30,
Company	2023		2022		2023		2022
AEP Texas	5.44	%	0.90	%	5.70	%	1.82	%
AEPTCo	5.29	%	1.03	%	5.52	%	2.14	%
APCo	5.47	%	1.39	%	5.47	%	2.13	%
I&M	5.13	%	1.38	%	5.54	%	1.46	%
OPCo	5.37	%	1.81	%	5.60	%	1.22	%
PSO	5.48	%	1.70	%	5.24	%	0.75	%
SWEPCo	5.25	%	1.67	%	5.72	%	0.55	%

Maximum Minimum Average Interest Rates for Funds Borrowed from Loaned to Nonutility Money Pool

Nine Months Ended September 30, 2023

Nine Months Ended September 30, 2022

Maximum

Minimum

Average

Maximum

Minimum

Average

Interest Rate

Interest Rate

Interest Rate

Interest Rate

Interest Rate

Interest Rate

for Funds

for Funds

for Funds

for Funds

for Funds

for Funds

Loaned to

Loaned to

Loaned to

Loaned to

Loaned to

Loaned to

the Nonutility

the Nonutility

the Nonutility

the Nonutility

the Nonutility

the Nonutility

Company

Money Pool

Money Pool

Money Pool

Money Pool

Money Pool

Money Pool

AEP Texas

5.81

%

4.66

%

5.47

%

3.39

%

0.46

%

1.51

%

SWEPCo

5.81

%

4.66

%

5.49

%

3.39

%

0.46

%

1.52

%

Maximum Minimum and Average Interest Rates for Funds Borrowed from and Loaned to AEP

	Maximum		Minimum		Maximum		Minimum		Average		Average
	Interest Rate		Interest Rate		Interest Rate		Interest Rate		Interest Rate		Interest Rate
Nine Months	for Funds		for Funds		for Funds		for Funds		for Funds		for Funds
Ended	Borrowed		Borrowed		Loaned		Loaned		Borrowed		Loaned
September 30,	from AEP		from AEP		to AEP		to AEP		from AEP		to AEP
2023	5.81	%	4.53	%	5.81	%	4.53	%	5.43	%	5.46	%
2022	3.39	%	0.46	%	3.37	%	0.46	%	1.56	%	1.38	%

Short Term Debt

		September 30, 2023				December 31, 2022
		Outstanding		Interest		Outstanding		Interest
Company	Type of Debt	Amount		Rate (a)		Amount		Rate (a)
		(dollars in millions)
AEP	Securitized Debt for Receivables (b)	$	900.0	5.60	%	$	750.0	4.67	%
AEP	Commercial Paper	1,826.5		5.64	%	2,862.2		4.80	%
AEP	Term Loan	—		—	%	150.0		5.17	%
AEP	Term Loan	—		—	%	125.0		5.17	%
AEP	Term Loan	—		—	%	100.0		5.23	%
AEP	Term Loan	—		—	%	125.0		4.87	%
SWEPCo	Notes Payable	3.9		7.67	%	—		—	%
	Total Short-term Debt	$	2,730.4			$	4,112.2

(a)Weighted-average rate as of September 30, 2023 and December 31, 2022, respectively.

(b)Amount of securitized debt for receivables as accounted for under the “Transfers and Servicing” accounting guidance.

Comparative Accounts Receivable Information

	Three Months Ended September 30,						Nine Months Ended September 30,
	2023			2022			2023			2022
	(dollars in millions)
Effective Interest Rates on Securitization of Accounts Receivable	5.55		%	2.25		%	5.23		%	1.16		%
Net Uncollectible Accounts Receivable Written-Off	$	8.8		$	9.5		$	22.9		$	23.1

Customer Accounts Receivable Managed Portfolio

	September 30, 2023		December 31, 2022
	(in millions)
Accounts Receivable Retained Interest and Pledged as Collateral Less Uncollectible Accounts	$	1,257.0	$	1,167.7
Short-term – Securitized Debt of Receivables	900.0		750.0
Delinquent Securitized Accounts Receivable	59.5		44.2
Bad Debt Reserves Related to Securitization	42.2		39.7
Unbilled Receivables Related to Securitization	301.8		360.9

Accounts Receivable and Accrued Unbilled Revenues

Company	September 30, 2023		December 31, 2022
	(in millions)
APCo	$	170.5	$	194.4
I&M	176.2		166.9
OPCo	479.3		478.6
PSO	211.5		155.5
SWEPCo	210.2		194.0

Fees Paid to AEP Credit for Customer Accounts Receivable Sold

	Three Months Ended September 30,				Nine Months Ended September 30,
Company	2023		2022		2023		2022
	(in millions)
APCo	$	4.1	$	2.8	$	13.3	$	5.6
I&M	4.4		2.8		12.2		6.5
OPCo	7.4		7.3		22.3		22.2
PSO	4.6		2.4		11.3		4.6
SWEPCo	5.2		3.2		13.9		6.0

Proceeds on Sale of Receivables to AEP Credit

	Three Months Ended September 30,				Nine Months Ended September 30,
Company	2023		2022		2023		2022
	(in millions)
APCo	$	451.6	$	360.4	$	1,372.7	$	1,114.9
I&M	553.3		558.5		1,575.9		1,574.3
OPCo	850.3		874.1		2,518.6		2,284.0
PSO	633.8		588.5		1,510.3		1,380.4
SWEPCo	558.4		593.6		1,456.5		1,425.3