Derivative Instruments and Hedging Activities

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosures [Line Items]

Derivative Instruments and Hedging Activities

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

For further information on our derivative and hedge accounting policies, see Note 1 – OVERVIEW AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Financial Derivatives and Note 5 – DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES of Item 8 – Financial Statements and Supplementary Data in our Form 10-K.

Cash Flow Hedges

DPL previously used derivative financial instruments primarily to manage the interest rate risk associated with our long-term debt. These interest rate derivative contracts were settled in 2013, and we continue to amortize amounts out of AOCL into interest expense.

The following tables provide information concerning gains or losses recognized in AOCL for the cash flow hedges for the three months ended March 31, 2023 and 2022:

	Three months ended
	March 31, 2023		March 31, 2022
	Interest		Interest
$ in millions (net of tax)	Rate Hedge		Rate Hedge
Beginning accumulated derivative gains in AOCL	$	12.0	$	12.8
Net gains reclassified to earnings
Interest expense	(0.2)		(0.1)
Ending accumulated derivative gains in AOCL	$	11.8	$	12.7
Portion expected to be reclassified to earnings in the next twelve months	$	(0.8)