XML 134 R42.htm IDEA: XBRL DOCUMENT v3.20.4
Benefit Plans (Tables)
 12 Months Ended
Dec. 31, 2020
Health Care Trend Rates
December 31,
Health Care Trend Rates20202019
Initial6.50 % 6.00 %
Ultimate4.50 % 4.50 %
Year Ultimate Reached2029 2026
Reconciliation of Changes in Benefit Obligations and Fair Value of Assets
AEPPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$5,236.8 $4,810.3 $1,225.4 $1,194.5 
Service Cost111.9 95.5 10.0 9.5 
Interest Cost167.9 204.4 39.8 50.5 
Actuarial Loss434.7 493.6 39.3 58.8 
Plan Amendments— 0.2 (11.4)(11.0)
Benefit Payments(406.8)(367.2)(131.0)(113.0)
Participant Contributions— — 38.2 35.5 
Medicare Subsidy— — 0.6 0.6 
Benefit Obligation as of December 31,$5,544.5 $5,236.8 $1,210.9 $1,225.4 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$5,015.4 $4,695.9 $1,781.8 $1,534.2 
Actual Gain on Plan Assets832.4 681.1 253.0 321.0 
Company Contributions (a)115.6 5.6 4.7 4.1 
Participant Contributions— — 38.2 35.5 
Benefit Payments(406.8)(367.2)(131.0)(113.0)
Fair Value of Plan Assets as of December 31,$5,556.6 $5,015.4 $1,946.7 $1,781.8 
Funded (Underfunded) Status as of December 31,$12.1 $(221.4)$735.8 $556.4 

(a)Contributions to the qualified pension plan were $110 million and $0 for the years ended December 31, 2020 and 2019, respectively. Contributions to the non-qualified pension plans were $6 million and $6 million for the years ended December 31, 2020 and 2019, respectively.
AEP TexasPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$441.2 $409.3 $97.8 $95.9 
Service Cost10.0 8.6 0.8 0.8 
Interest Cost13.9 17.5 3.2 4.0 
Actuarial Loss28.1 40.1 2.4 3.9 
Plan Amendments— — (1.0)(0.9)
Benefit Payments(40.0)(34.3)(10.0)(8.8)
Participant Contributions— — 3.1 2.9 
Benefit Obligation as of December 31,$453.2 $441.2 $96.3 $97.8 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$435.1 $410.7 $148.1 $129.9 
Actual Gain on Plan Assets67.2 58.3 21.1 24.0 
Company Contributions11.7 0.4 — 0.1 
Participant Contributions— — 3.1 2.9 
Benefit Payments(40.0)(34.3)(10.0)(8.8)
Fair Value of Plan Assets as of December 31,$474.0 $435.1 $162.3 $148.1 
Funded (Underfunded) Status as of December 31,$20.8 $(6.1)$66.0 $50.3 
APCoPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$647.2 $603.1 $203.5 $205.5 
Service Cost10.5 9.4 1.0 1.0 
Interest Cost20.3 25.2 6.6 8.7 
Actuarial Loss40.0 52.9 5.6 4.7 
Plan Amendments— — (1.8)(1.7)
Benefit Payments(47.2)(43.4)(23.2)(20.8)
Participant Contributions— — 6.3 5.9 
Medicare Subsidy— — 0.2 0.2 
Benefit Obligation as of December 31,$670.8 $647.2 $198.2 $203.5 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$637.0 $593.3 $271.0 $238.4 
Actual Gain on Plan Assets104.5 87.1 36.8 45.3 
Company Contributions7.0 — 2.1 2.2 
Participant Contributions— — 6.3 5.9 
Benefit Payments(47.2)(43.4)(23.2)(20.8)
Fair Value of Plan Assets as of December 31,$701.3 $637.0 $293.0 $271.0 
Funded (Underfunded) Status as of December 31,$30.5 $(10.2)$94.8 $67.5 
I&MPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$616.1 $567.0 $142.9 $138.3 
Service Cost15.4 13.4 1.4 1.4 
Interest Cost19.7 23.8 4.7 5.8 
Actuarial Loss44.3 49.8 5.1 8.1 
Plan Amendments— — (1.6)(1.5)
Benefit Payments(42.2)(37.9)(15.9)(13.6)
Participant Contributions— — 4.8 4.4 
Benefit Obligation as of December 31,$653.3 $616.1 $141.4 $142.9 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$630.5 $583.8 $216.3 $187.3 
Actual Gain on Plan Assets103.3 84.6 33.0 38.2 
Company Contributions6.5 — — — 
Participant Contributions— — 4.8 4.4 
Benefit Payments(42.2)(37.9)(15.9)(13.6)
Fair Value of Plan Assets as of December 31,$698.1 $630.5 $238.2 $216.3 
Funded Status as of December 31,$44.8 $14.4 $96.8 $73.4 
OPCoPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$487.8 $453.9 $130.2 $129.5 
Service Cost9.7 7.9 0.9 0.8 
Interest Cost15.4 19.1 4.2 5.5 
Actuarial Loss33.4 40.5 3.1 4.9 
Plan Amendments— — (1.3)(1.2)
Benefit Payments(36.0)(33.6)(15.0)(13.5)
Participant Contributions— — 4.3 4.1 
Medicare Subsidy— — — 0.1 
Benefit Obligation as of December 31,$510.3 $487.8 $126.4 $130.2 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$499.1 $466.1 $197.1 $175.4 
Actual Gain on Plan Assets79.9 66.6 26.6 31.1 
Company Contributions0.1 — — — 
Participant Contributions— — 4.3 4.1 
Benefit Payments(36.0)(33.6)(15.0)(13.5)
Fair Value of Plan Assets as of December 31,$543.1 $499.1 $213.0 $197.1 
Funded Status as of December 31,$32.8 $11.3 $86.6 $66.9 
PSOPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$267.5 $253.8 $64.7 $62.3 
Service Cost7.3 6.5 0.7 0.6 
Interest Cost8.5 10.6 2.1 2.6 
Actuarial Loss17.7 16.8 1.9 3.8 
Plan Amendments— — (0.7)(0.7)
Benefit Payments(21.1)(20.2)(6.8)(5.9)
Participant Contributions— — 2.1 2.0 
Benefit Obligation as of December 31,$279.9 $267.5 $64.0 $64.7 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$276.2 $261.2 $98.0 $84.3 
Actual Gain on Plan Assets44.6 34.7 14.5 17.6 
Company Contributions0.1 0.5 — — 
Participant Contributions— — 2.1 2.0 
Benefit Payments(21.1)(20.2)(6.8)(5.9)
Fair Value of Plan Assets as of December 31,$299.8 $276.2 $107.8 $98.0 
Funded Status as of December 31,$19.9 $8.7 $43.8 $33.3 
SWEPCoPension PlansOPEB
2020201920202019
Change in Benefit Obligation(in millions)
Benefit Obligation as of January 1,$314.2 $291.4 $77.4 $72.7 
Service Cost9.9 8.6 0.8 0.8 
Interest Cost10.2 12.4 2.5 3.1 
Actuarial Loss27.4 25.5 2.5 6.0 
Plan Amendments— — (0.8)(0.8)
Benefit Payments(27.2)(23.7)(7.7)(6.6)
Participant Contributions— — 2.4 2.2 
Benefit Obligation as of December 31,$334.5 $314.2 $77.1 $77.4 
Change in Fair Value of Plan Assets
Fair Value of Plan Assets as of January 1,$296.9 $281.0 $117.2 $98.5 
Actual Gain on Plan Assets48.2 39.5 18.0 23.1 
Company Contributions9.0 0.1 — — 
Participant Contributions— — 2.4 2.2 
Benefit Payments(27.2)(23.7)(7.7)(6.6)
Fair Value of Plan Assets as of December 31,$326.9 $296.9 $129.9 $117.2 
Funded (Underfunded) Status as of December 31,$(7.6)$(17.3)$52.8 $39.8 
Benefit Amounts Recognized on the Balance Sheets
Pension PlansOPEB
December 31,
AEP
2020201920202019
(in millions)
Deferred Charges and Other Noncurrent Assets – Prepaid Benefit Costs
$93.5 $— $771.9 $590.8 
Other Current Liabilities – Accrued Short-term Benefit Liability
(6.7)(6.1)(2.4)(2.6)
Employee Benefits and Pension Obligations – Accrued Long-term Benefit Liability
(74.7)(215.3)(33.7)(31.8)
Funded (Underfunded) Status$12.1 $(221.4)$735.8 $556.4 
Pension PlansOPEB
December 31,
AEP Texas
2020201920202019
(in millions)
Deferred Charges and Other Noncurrent Assets – Prepaid Benefit Costs
$24.7 $— $66.0 $50.3 
Other Current Liabilities – Accrued Short-term Benefit Liability
(0.4)(0.4)— — 
Deferred Credits and Other Noncurrent Liabilities – Accrued Long-term Benefit Liability
(3.5)(5.7)— — 
Funded (Underfunded) Status$20.8 $(6.1)$66.0 $50.3 
Pension PlansOPEB
December 31,
APCo
2020201920202019
(in millions)
Employee Benefits and Pension Assets – Prepaid Benefit Costs$31.0 $— $119.1 $92.0 
Other Current Liabilities – Accrued Short-term Benefit Liability
— — (1.8)(2.0)
Employee Benefits and Pension Obligations – Accrued Long-term Benefit Liability
(0.5)(10.2)(22.5)(22.5)
Funded (Underfunded) Status$30.5 $(10.2)$94.8 $67.5 
Pension PlansOPEB
December 31,
I&M
2020201920202019
(in millions)
Deferred Charges and Other Noncurrent Assets – Prepaid Benefit Costs
$46.5 $15.8 $96.8 $73.4 
Deferred Credits and Other Noncurrent Liabilities – Accrued Long-term Benefit Liability
(1.7)(1.4)— — 
Funded Status$44.8 $14.4 $96.8 $73.4 
 
Pension PlansOPEB
December 31,
OPCo
2020201920202019
(in millions)
Deferred Charges and Other Noncurrent Assets – Prepaid Benefit Costs
$33.3 $11.7 $86.6 $66.9 
Deferred Credits and Other Noncurrent Liabilities – Accrued Long-term Benefit Liability
(0.5)(0.4)— — 
Funded Status$32.8 $11.3 $86.6 $66.9 
Pension PlansOPEB
December 31,
PSO
2020201920202019
(in millions)
Employee Benefits and Pension Assets – Prepaid Benefit Costs
$21.9 $10.6 $43.8 $33.3 
Other Current Liabilities – Accrued Short-term Benefit Liability
(0.1)(0.1)— — 
Deferred Credits and Other Noncurrent Liabilities – Accrued Long-term Benefit Liability
(1.9)(1.8)— — 
Funded Status$19.9 $8.7 $43.8 $33.3 
Pension PlansOPEB
December 31,
SWEPCo
2020201920202019
(in millions)
Deferred Charges and Other Noncurrent Assets – Prepaid Benefit Costs
$— $— $52.8 $39.8 
Other Current Liabilities – Accrued Short-term Benefit Liability
(0.1)(0.1)— — 
Employee Benefits and Pension Obligations – Accrued Long-term Benefit Liability
(7.5)(17.2)— — 
Funded (Underfunded) Status$(7.6)$(17.3)$52.8 $39.8 
Amounts Included in AOCI and Regulatory Assets
AEP
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$1,179.6 $1,406.2 $101.9 $225.8 
Prior Service Cost (Credit)0.2 0.2 (227.3)(285.7)
Recorded as
Regulatory Assets$1,182.4 $1,351.8 $(99.0)$(46.8)
Deferred Income Taxes(0.5)11.5 (5.5)(2.7)
Net of Tax AOCI(2.1)43.1 (20.9)(10.4)
AEP Texas
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$160.5 $184.7 $12.3 $23.5 
Prior Service Credit— — (19.3)(24.2)
Recorded as
Regulatory Assets$151.3 $172.2 $(6.3)$(0.2)
Deferred Income Taxes2.0 2.7 (0.1)(0.1)
Net of Tax AOCI7.2 9.8 (0.6)(0.4)
APCo
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$126.3 $168.3 $11.1 $28.8 
Prior Service Credit— — (33.2)(41.6)
Recorded as
Regulatory Assets$124.7 $166.3 $(10.3)$(5.5)
Deferred Income Taxes0.3 0.3 (2.5)(1.5)
Net of Tax AOCI1.3 1.7 (9.3)(5.8)
I&M
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$39.5 $76.0 $15.6 $32.7 
Prior Service Credit— — (31.0)(39.0)
Recorded as
Regulatory Assets$40.3 $73.7 $(14.6)$(6.2)
Deferred Income Taxes(0.1)0.5 (0.2)— 
Net of Tax AOCI(0.7)1.8 (0.6)(0.1)
OPCo
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$150.0 $178.7 $3.6 $17.2 
Prior Service Credit— — (22.9)(28.6)
Recorded as
Regulatory Assets$150.0 $178.7 $(19.3)$(11.4)
PSO
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$55.9 $73.0 $10.5 $18.2 
Prior Service Credit— — (14.1)(17.8)
Recorded as
Regulatory Assets$55.9 $73.0 $(3.6)$0.4 
SWEPCo
Pension PlansOPEB
December 31,
2020201920202019
Components(in millions)
Net Actuarial Loss$86.9 $97.8 $11.5 $21.1 
Prior Service Credit— — (17.2)(21.6)
Recorded as
Regulatory Assets$86.9 $97.8 $(3.0)$— 
Deferred Income Taxes— — (0.5)— 
Net of Tax AOCI— — (2.2)(0.5)
Components of Change in Amounts Included in AOCI and Regulatory Assets
AEP
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(132.9)$108.6 $(118.0)$(171.9)
Amortization of Actuarial Loss(93.7)(57.6)(5.9)(22.1)
Prior Service (Credit) Cost— 0.2 (11.4)(7.6)
Amortization of Prior Service Credit— — 69.8 69.1 
Change for the Year Ended December 31,$(226.6)$51.2 $(65.5)$(132.5)
AEP Texas
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(16.4)$7.6 $(10.7)$(12.7)
Amortization of Actuarial Loss(7.8)(4.9)(0.5)(1.8)
Prior Service Credit— — (1.0)(0.6)
Amortization of Prior Service Credit— — 5.9 5.9 
Change for the Year Ended December 31,$(24.2)$2.7 $(6.3)$(9.2)
APCo
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(30.8)$3.1 $(16.8)$(26.4)
Amortization of Actuarial Loss(11.2)(7.0)(0.9)(3.7)
Prior Service Credit— — (1.8)(1.3)
Amortization of Prior Service Credit— — 10.2 10.1 
Change for the Year Ended December 31,$(42.0)$(3.9)$(9.3)$(21.3)
I&M
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(25.7)$2.0 $(16.4)$(19.3)
Amortization of Actuarial Loss(10.8)(6.6)(0.7)(2.7)
Prior Service Credit— — (1.5)(1.0)
Amortization of Prior Service Credit— — 9.5 9.4 
Change for the Year Ended December 31,$(36.5)$(4.6)$(9.1)$(13.6)
OPCo
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(20.2)$3.3 $(12.9)$(15.8)
Amortization of Actuarial Loss(8.5)(5.3)(0.7)(2.5)
Prior Service Credit— — (1.3)(0.8)
Amortization of Prior Service Credit— — 7.0 6.9 
Change for the Year Ended December 31,$(28.7)$(2.0)$(7.9)$(12.2)
PSO
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial Gain During the Year$(12.4)$(1.7)$(7.4)$(8.9)
Amortization of Actuarial Loss(4.7)(2.9)(0.3)(1.2)
Prior Service Credit— — (0.7)(0.5)
Amortization of Prior Service Credit— — 4.4 4.3 
Change for the Year Ended December 31,$(17.1)$(4.6)$(4.0)$(6.3)
SWEPCo
Pension PlansOPEB
2020201920202019
Components(in millions)
Actuarial (Gain) Loss During the Year$(5.2)$3.8 $(9.2)$(11.4)
Amortization of Actuarial Loss(5.7)(3.4)(0.4)(1.4)
Prior Service Credit— — (0.8)(0.6)
Amortization of Prior Service Credit— — 5.2 5.2 
Change for the Year Ended December 31,$(10.9)$0.4 $(5.2)$(8.2)
Allocated Assets of Investments
Pension PlanOPEB
December 31,
Company2020201920202019
AEP Texas8.5 %8.7 %8.3 %8.3 %
APCo12.6 %12.7 %15.1 %15.2 %
I&M12.6 %12.6 %12.2 %12.1 %
OPCo9.8 %10.0 %10.9 %11.1 %
PSO5.4 %5.5 %5.5 %5.5 %
SWEPCo5.9 %5.9 %6.7 %6.6 %
Accumulated Benefit Obligation
Accumulated Benefit ObligationAEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Qualified Pension Plan$5,171.3 $424.5 $645.8 $615.8 $479.2 $258.3 $307.1 
Nonqualified Pension Plans72.9 3.6 0.2 0.8 0.2 1.6 1.4 
Total as of December 31, 2020$5,244.2 $428.1 $646.0 $616.6 $479.4 $259.9 $308.5 

Accumulated Benefit ObligationAEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Qualified Pension Plan$4,929.0 $417.5 $627.3 $586.3 $464.2 $248.9 $291.9 
Nonqualified Pension Plans69.7 3.6 0.2 0.6 0.1 1.6 1.3 
Total as of December 31, 2019$4,998.7 $421.1 $627.5 $586.9 $464.3 $250.5 $293.2 
Underfunded Projected Benefit Obligation
AEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Projected Benefit Obligation$81.4 $3.9 $0.5 $1.7 $0.6 $2.0 $334.5 
Fair Value of Plan Assets— — — — — — 326.9 
Underfunded Projected Benefit Obligation as of December 31, 2020
$(81.4)$(3.9)$(0.5)$(1.7)$(0.6)$(2.0)$(7.6)

AEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Projected Benefit Obligation$5,236.8 $441.2 $647.2 $1.5 $0.4 $1.9 $314.2 
Fair Value of Plan Assets5,015.4 435.1 637.0 — — — 296.9 
Underfunded Projected Benefit Obligation as of December 31, 2019
$(221.4)$(6.1)$(10.2)$(1.5)$(0.4)$(1.9)$(17.3)
Underfunded Accumulated Benefit Obligation
AEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Accumulated Benefit Obligation$72.9 $3.6 $0.2 $0.8 $0.2 $1.6 $1.4 
Fair Value of Plan Assets— — — — — — — 
Underfunded Accumulated Benefit Obligation as of December 31, 2020
$(72.9)$(3.6)$(0.2)$(0.8)$(0.2)$(1.6)$(1.4)

AEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
Accumulated Benefit Obligation$69.7 $3.6 $0.2 $0.6 $0.1 $1.6 $1.3 
Fair Value of Plan Assets— — — — — — — 
Underfunded Accumulated Benefit Obligation as of December 31, 2019
$(69.7)$(3.6)$(0.2)$(0.6)$(0.1)$(1.6)$(1.3)
Estimated Contributions and Payments to the Pension and OPEB Plans
CompanyPension PlansOPEB
(in millions)
AEP$132.8 $3.1 
AEP Texas5.1 0.1 
APCo1.8 1.8 
I&M1.3 — 
PSO0.1 — 
SWEPCo7.1 — 
Estimated Payments Expected to be Made by the Pension and OPEB Plans
Pension PlansAEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
2021$385.3 $36.3 $44.7 $40.2 $35.4 $21.8 $25.2 
2022382.8 35.9 45.1 42.4 36.0 21.2 25.4 
2023384.3 36.1 45.1 41.5 34.2 22.3 25.7 
2024384.0 35.9 45.7 42.7 34.0 21.9 25.7 
2025377.1 35.2 44.0 42.7 33.3 21.1 25.3 
Years 2026 to 2030, in Total1,763.1 154.1 209.7 205.2 155.0 94.8 115.7 
 
OPEB Benefit PaymentsAEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
2021$121.6 $9.5 $21.1 $15.1 $13.7 $6.4 $7.5 
2022122.5 9.9 20.8 15.3 13.9 6.7 7.8 
2023117.4 9.7 19.8 14.7 13.2 6.6 7.6 
2024121.9 10.3 20.5 15.3 13.7 6.9 8.2 
2025120.9 10.4 20.0 15.1 13.4 6.9 8.2 
Years 2026 to 2030, in Total573.9 48.6 93.3 70.9 61.7 32.1 39.1 

OPEB Medicare
Subsidy Receipts		AEPAEP TexasAPCoI&MOPCoPSOSWEPCo
(in millions)
2021$0.2 $— $0.1 $— $— $— $— 
20220.2 — 0.1 — — — — 
20230.3 — 0.1 — — — — 
20240.3 — 0.1 — — — — 
20250.3 — 0.1 — — — — 
Years 2026 to 2030, in Total1.5 — 0.6 — — — — 
Components of Net Periodic Benefit Cost
AEP
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$111.9 $95.5 $97.6 $10.0 $9.5 $11.6 
Interest Cost167.9 204.4 187.8 39.8 50.5 47.4 
Expected Return on Plan Assets(264.9)(296.0)(290.3)(95.6)(93.7)(102.2)
Amortization of Prior Service Credit— — — (69.8)(69.1)(69.1)
Amortization of Net Actuarial Loss93.7 57.6 85.2 5.9 22.1 10.5 
Settlements— — 2.6 — — — 
Net Periodic Benefit Cost (Credit)108.6 61.5 82.9 (109.7)(80.7)(101.8)
Capitalized Portion(47.0)(38.6)(41.1)(4.2)(3.8)(4.9)
Net Periodic Benefit Cost (Credit) Recognized in Expense$61.6 $22.9 $41.8 $(113.9)$(84.5)$(106.7)
AEP Texas
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$10.0 $8.6 $9.2 $0.8 $0.8 $0.9 
Interest Cost13.9 17.5 16.0 3.2 4.0 3.8 
Expected Return on Plan Assets(22.7)(25.8)(25.6)(8.0)(7.8)(8.6)
Amortization of Prior Service Credit— — — (5.9)(5.9)(5.9)
Amortization of Net Actuarial Loss7.8 4.9 7.2 0.5 1.8 0.8 
Net Periodic Benefit Cost (Credit)9.0 5.2 6.8 (9.4)(7.1)(9.0)
Capitalized Portion(5.5)(4.5)(4.8)(0.4)(0.4)(0.5)
Net Periodic Benefit Cost (Credit) Recognized in Expense$3.5 $0.7 $2.0 $(9.8)$(7.5)$(9.5)

APCo
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$10.5 $9.4 $9.3 $1.0 $1.0 $1.1 
Interest Cost20.3 25.2 23.5 6.6 8.7 8.2 
Expected Return on Plan Assets(33.6)(37.4)(36.6)(14.4)(14.6)(16.0)
Amortization of Prior Service Credit— — — (10.2)(10.1)(10.0)
Amortization of Net Actuarial Loss11.2 7.0 10.6 0.9 3.7 1.9 
Net Periodic Benefit Cost (Credit)8.4 4.2 6.8 (16.1)(11.3)(14.8)
Capitalized Portion(4.5)(4.0)(3.8)(0.4)(0.4)(0.5)
Net Periodic Benefit Cost (Credit) Recognized in Expense$3.9 $0.2 $3.0 $(16.5)$(11.7)$(15.3)

I&M
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$15.4 $13.4 $13.6 $1.4 $1.4 $1.6 
Interest Cost19.7 23.8 22.1 4.7 5.8 5.4 
Expected Return on Plan Assets(33.3)(36.8)(35.7)(11.7)(11.4)(12.3)
Amortization of Prior Service Credit— — — (9.5)(9.4)(9.5)
Amortization of Net Actuarial Loss10.8 6.6 9.8 0.7 2.7 1.2 
Net Periodic Benefit Cost (Credit)12.6 7.0 9.8 (14.4)(10.9)(13.6)
Capitalized Portion(4.3)(3.4)(5.6)(0.4)(0.4)(0.7)
Net Periodic Benefit Cost (Credit) Recognized in Expense$8.3 $3.6 $4.2 $(14.8)$(11.3)$(14.3)
OPCo
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$9.7 $7.9 $7.7 $0.9 $0.8 $0.9 
Interest Cost15.4 19.1 17.7 4.2 5.5 5.1 
Expected Return on Plan Assets(26.3)(29.3)(28.8)(10.5)(10.8)(11.7)
Amortization of Prior Service Credit— — — (7.0)(6.9)(6.9)
Amortization of Net Actuarial Loss8.5 5.3 8.0 0.7 2.5 1.1 
Net Periodic Benefit Cost (Credit)7.3 3.0 4.6 (11.7)(8.9)(11.5)
Capitalized Portion(5.0)(3.7)(3.6)(0.5)(0.4)(0.4)
Net Periodic Benefit Cost (Credit) Recognized in Expense$2.3 $(0.7)$1.0 $(12.2)$(9.3)$(11.9)

PSO
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$7.3 $6.5 $7.0 $0.7 $0.6 $0.7 
Interest Cost8.5 10.6 9.9 2.1 2.6 2.5 
Expected Return on Plan Assets(14.5)(16.3)(16.1)(5.2)(5.1)(5.6)
Amortization of Prior Service Credit— — — (4.4)(4.3)(4.3)
Amortization of Net Actuarial Loss4.7 2.9 4.4 0.3 1.2 0.5 
Net Periodic Benefit Cost (Credit)6.0 3.7 5.2 (6.5)(5.0)(6.2)
Capitalized Portion(2.8)(2.4)(2.6)(0.3)(0.2)(0.3)
Net Periodic Benefit Cost (Credit) Recognized in Expense$3.2 $1.3 $2.6 $(6.8)$(5.2)$(6.5)

SWEPCo
Pension PlansOPEB
Years Ended December 31,
202020192018202020192018
(in millions)
Service Cost$9.9 $8.6 $9.3 $0.8 $0.8 $0.9 
Interest Cost10.2 12.4 11.3 2.5 3.1 2.8 
Expected Return on Plan Assets(15.7)(17.7)(17.3)(6.3)(5.9)(6.4)
Amortization of Prior Service Credit— — — (5.2)(5.2)(5.2)
Amortization of Net Actuarial Loss5.7 3.4 5.1 0.4 1.4 0.6 
Settlements— — 0.4 — — — 
Net Periodic Benefit Cost (Credit)10.1 6.7 8.8 (7.8)(5.8)(7.3)
Capitalized Portion(3.4)(2.9)(3.1)(0.3)(0.3)(0.3)
Net Periodic Benefit Cost (Credit) Recognized in Expense$6.7 $3.8 $5.7 $(8.1)$(6.1)$(7.6)
Cost for Matching Contributions to the Retirement Savings Plans
Year Ended December 31,
Company202020192018
(in millions)
AEP$81.8 $76.4 $71.8 
AEP Texas6.4 5.9 5.7 
APCo7.7 7.5 7.5 
I&M11.3 11.0 10.5 
OPCo7.3 6.6 6.3 
PSO4.9 4.6 4.5 
SWEPCo6.7 6.2 5.9 
Benefit Obligations [Member]  
Actuarial Assumptions
Pension PlansOPEB
December 31,
Assumption2020201920202019
Discount Rate2.50 %3.25 %2.55 %3.30 %
Interest Crediting Rate4.00 %4.00 %NANA

NA    Not applicable.
Pension Plans
December 31,
Assumption – Rate of Compensation Increase (a)
20202019
AEP5.00 %4.95 %
AEP Texas5.05 %5.00 %
APCo4.85 %4.80 %
I&M5.00 %4.95 %
OPCo5.25 %5.15 %
PSO5.05 %5.05 %
SWEPCo4.90 %4.90 %

(a)Rates are for base pay only.  In addition, an amount is added to reflect target incentive compensation for exempt employees and overtime and incentive pay for nonexempt employees.
Benefit Costs [Member]  
Actuarial Assumptions
Pension PlansOPEB
Year Ended December 31,
Assumption202020192018202020192018
Discount Rate3.25 %4.30 %3.65 %3.30 %4.30 %3.60 %
Interest Crediting Rate4.00 %4.00 %4.00 %NANANA
Expected Return on Plan Assets5.75 %6.25 %6.00 %5.50 %6.25 %6.00 %

NA    Not applicable.
Pension Plans
Year Ended December 31,
Assumption – Rate of Compensation Increase (a)
202020192018
AEP5.00 %4.95 %4.85 %
AEP Texas5.05 %5.00 %4.95 %
APCo4.85 %4.75 %4.75 %
I&M5.00 %4.95 %4.90 %
OPCo5.25 %5.20 %5.00 %
PSO5.05 %5.05 %4.90 %
SWEPCo4.90 %4.90 %4.85 %

(a)Rates are for base pay only.  In addition, an amount is added to reflect target incentive compensation for exempt employees and overtime and incentive pay for nonexempt employees.
Pension Plans [Member]  
Assets within Fair Value Hierarchy
Asset ClassLevel 1Level 2Level 3OtherTotalYear End
Allocation
(in millions)
Equities (a):
Domestic
$542.3 $— $— $— $542.3 9.7 %
International
676.3 — — — 676.3 12.2 %
Common Collective Trusts (c)
— — — 650.0 650.0 11.7 %
Subtotal – Equities1,218.6 — — 650.0 1,868.6 33.6 %
Fixed Income (a):
United States Government and Agency Securities
(1.4)1,134.1 — — 1,132.7 20.4 %
Corporate Debt— 1,425.0 — — 1,425.0 25.6 %
Foreign Debt— 214.0 — — 214.0 3.9 %
State and Local Government— 56.0 — — 56.0 1.0 %
Other – Asset Backed— 0.8 — — 0.8 — %
Subtotal – Fixed Income(1.4)2,829.9 — — 2,828.5 50.9 %
Infrastructure (c)— — — 91.1 91.1 1.6 %
Real Estate (c)— — — 231.6 231.6 4.2 %
Alternative Investments (c)— — — 431.8 431.8 7.8 %
Cash and Cash Equivalents (c)— 49.3 — 58.2 107.5 1.9 %
Other – Pending Transactions and Accrued Income (b)
— — — (2.5)(2.5)— %
Total$1,217.2 $2,879.2 $— $1,460.2 $5,556.6 100.0 %

(a)Includes investment securities loaned to borrowers under the securities lending program. See the “Investments Held in Trust for Future Liabilities” section of Note 1 for additional information.
(b)Amounts in “Other” column primarily represent accrued interest, dividend receivables and transactions pending settlement.
(c)Amounts in “Other” column represent investments for which fair value is measured using net asset value per-share.
Asset ClassLevel 1Level 2Level 3OtherTotalYear End
Allocation
(in millions)
Equities (a):
Domestic
$387.8 $— $— $— $387.8 7.8 %
International
609.1 — — — 609.1 12.1 %
Common Collective Trusts (c)
— — — 547.3 547.3 10.9 %
Subtotal – Equities996.9 — — 547.3 1,544.2 30.8 %
Fixed Income (a):
United States Government and Agency Securities
(5.8)1,248.6 — — 1,242.8 24.8 %
Corporate Debt
— 1,143.7 — — 1,143.7 22.8 %
Foreign Debt
— 211.6 — — 211.6 4.2 %
State and Local Government
— 55.1 — — 55.1 1.1 %
Other – Asset Backed
— 3.6 — — 3.6 0.1 %
Subtotal – Fixed Income(5.8)2,662.6 — — 2,656.8 53.0 %
Infrastructure (c)— — — 85.8 85.8 1.7 %
Real Estate (c)— — — 239.4 239.4 4.8 %
Alternative Investments (c)— — — 448.3 448.3 8.9 %
Cash and Cash Equivalents (c)— 24.4 — 37.2 61.6 1.2 %
Other – Pending Transactions and Accrued Income (b)
— — — (20.7)(20.7)(0.4)%
Total$991.1 $2,687.0 $— $1,337.3 $5,015.4 100.0 %

(a)Includes investment securities loaned to borrowers under the securities lending program. See the “Investments Held in Trust for Future Liabilities” section of Note 1 for additional information.
(b)Amounts in “Other” column primarily represent accrued interest, dividend receivables and transactions pending settlement.
(c)Amounts in “Other” column represent investments for which fair value is measured using net asset value per-share.
Other Postretirement Benefit Plans [Member]  
Assets within Fair Value Hierarchy
Asset ClassLevel 1Level 2Level 3OtherTotalYear End
Allocation
(in millions)
Equities:
Domestic
$399.9 $— $— $— $399.9 20.6 %
International
290.7 — — — 290.7 14.9 %
Common Collective Trusts (b)
— — — 264.7 264.7 13.6 %
Subtotal – Equities690.6 — — 264.7 955.3 49.1 %
Fixed Income:
Common Collective Trust – Debt (b)— — — 186.4 186.4 9.6 %
United States Government and Agency Securities
(0.2)199.7 — — 199.5 10.2 %
Corporate Debt— 248.7 — — 248.7 12.8 %
Foreign Debt— 34.9 — — 34.9 1.8 %
State and Local Government73.9 13.1 — — 87.0 4.5 %
Subtotal – Fixed Income73.7 496.4 — 186.4 756.5 38.9 %
Trust Owned Life Insurance:
International Equities— 64.8 — — 64.8 3.3 %
United States Bonds— 135.9 — — 135.9 7.0 %
Subtotal – Trust Owned Life Insurance— 200.7 — — 200.7 10.3 %
Cash and Cash Equivalents (b)26.3 — — 5.7 32.0 1.6 %
Other – Pending Transactions and Accrued Income (a)
— — — 2.2 2.2 0.1 %
Total$790.6 $697.1 $— $459.0 $1,946.7 100.0 %
 

(a)Amounts in “Other” column primarily represent accrued interest, dividend receivables and transactions pending settlement.
(b)Amounts in “Other” column represent investments for which fair value is measured using net asset value per-share.
Asset ClassLevel 1Level 2Level 3OtherTotalYear End
Allocation
(in millions)
Equities:
Domestic
$312.2 $— $— $— $312.2 17.5 %
International
251.5 — — — 251.5 14.1 %
Common Collective Trusts (b)
— — — 260.8 260.8 14.7 %
Subtotal – Equities563.7 — — 260.8 824.5 46.3 %
Fixed Income:
Common Collective Trust – Debt (b)
— — — 177.6 177.6 10.0 %
United States Government and Agency Securities
(0.1)214.4 — — 214.3 12.0 %
Corporate Debt
— 206.7 — — 206.7 11.6 %
Foreign Debt
— 35.5 — — 35.5 2.0 %
State and Local Government
58.8 14.8 — — 73.6 4.1 %
Other – Asset Backed
— 0.2 — — 0.2 — %
Subtotal – Fixed Income58.7 471.6 — 177.6 707.9 39.7 %
Trust Owned Life Insurance:
International Equities
— 60.2 — — 60.2 3.4 %
United States Bonds
— 151.6 — — 151.6 8.5 %
Subtotal – Trust Owned Life Insurance— 211.8 — — 211.8 11.9 %
Cash and Cash Equivalents (b)26.7 — — 6.7 33.4 1.9 %
Other – Pending Transactions and Accrued Income (a)
— — — 4.2 4.2 0.2 %
Total$649.1 $683.4 $— $449.3 $1,781.8 100.0 %

(a)Amounts in “Other” column primarily represent accrued interest, dividend receivables and transactions pending settlement.
(b)Amounts in “Other” column represent investments for which fair value is measured using net asset value per-share.