Talen Energy Corp

10. Long-Term Debt and Other Credit Facilities

TES is the borrower/issuer under all the Company’s debt and credit facilities. As of September 30, 2026, TES was not in default under any of its debt or credit agreements.

Long-Term Debt

(a)Computed interest rate as of September 30, 2026, except the interest rate related to the Secured Notes which were redeemed in April 2026.

Revolving Credit and Other Facilities

(a)RCF committed capacity can be used for direct cash borrowings and (or) LCs. Direct cash borrowings are not permitted under the LCF, which can only be used for LCs.

Financing Transactions

During the second quarter 2026, TES entered into various amendments to the Credit Agreement.

Repricing Transactions. In May 2026, TES repriced the RCF, TLB-1 and TLB-2 to each bear interest at:

•A variable interest rate equal to the highest of: (i) the Federal Funds Effective Rate on such day plus 0.50%; (ii) The Wall Street Journal “U.S. Prime Rate;” or (iii) the one-month Adjusted Term SOFR Rate plus 1%; plus in each case, an applicable margin (0.50% with respect to the RCF and 0.75% with respect to the TLB-1 and TLB-2); or

•The Adjusted Term SOFR Rate, plus an applicable margin (1.50% with respect to the RCF and 1.75% with respect to the TLB-1 and TLB-2).

Upsizes and Extensions.

•In June 2026, in connection with the closing of the Cornerstone Acquisition, TES (i) upsized the existing RCF (including its revolving LC capacity) from $900 million to $1.35 billion; and (ii) upsized its existing $1.1 billion LCF to $1.5 billion and extended its maturity from December 2027 to December 2029.

•In May 2026, TES extended its TLB-1 maturity from May 2030 to November 2032. In connection with the TLB-1 extension, approximately $18 million is presented as “Interest expense and other finance charges” on the Consolidated Statement of Operations primarily consisting of the derecognition of TLB-1 capitalized original issuance discount and deferred financing costs.

Unsecured Notes due 2031 and 2033. In April 2026, TES issued in private placement transactions not involving a public offering, and each at par: (i) $1.5 billion in aggregate principal amount of 6.125% Senior Unsecured Notes due 2031, with interest payable on May 1 and November 1 of each year; and (ii) $2.5 billion in aggregate principal amount of 6.375% Senior Unsecured Notes due 2033, with interest payable on May 1 and November 1 of each year. The net proceeds from the issuance and sale of the Unsecured Notes due 2031 and 2033 were used to (i) fund the cash portion of the Cornerstone Acquisition; and (ii) redeem the Company’s outstanding Secured Notes.

Additionally, in June 2026, in connection with the closing of the Cornerstone Acquisition, TES entered into (i) First Supplemental Indentures to each of the indentures governing the Unsecured Notes due 2031 and 2033; and (ii) Second Supplemental Indentures to each of the indentures governing the Unsecured Notes due 2034 and 2036, in each case, to add the entities acquired or formed in connection with the Cornerstone Acquisition as subsidiary guarantors to each series of Unsecured Notes, respectively.

Secured Notes. In April 2026, TES redeemed in full the Company’s outstanding Secured Notes in aggregate principal amount of $1.2 billion, using a portion of the net proceeds from the issuance and sale of the Unsecured Notes due 2031 and 2033. In connection with the redemption, approximately $60 million is presented as “Interest expense and other finance charges” on the Consolidated Statement of Operations primarily consisting of a make-whole payments and the derecognition of capitalized deferred financing costs.

See Note 17 for additional information on the Cornerstone Acquisition.

Other Material Terms; Security Interests

See Note 13 to the Annual Financial Statements for a description of the other material terms of the obligations outlined above and for additional information on the security interests and guarantees supporting these obligations. In addition to the obligations outlined under “Long-Term Debt” and “Revolving Credit and Other Facilities” above, secured obligations included approximately $1.1 billion under Secured ISDAs as of September 30, 2026.