Vistra Corp

17. SUPPLEMENTARY FINANCIAL INFORMATION

Impairment of Long-Lived Assets

In the first quarter of 2023, we recognized an impairment loss of $49 million related to our Kincaid generation facility in Illinois as a result of a significant decrease in the projected operating margins of the facility, primarily driven by a decrease in projected power prices. The impairment is reported in our Sunset segment and includes write-downs of property, plant and equipment of $45 million, write-downs of inventory of $2 million and write-downs of operating lease right-of-use assets of $2 million.

In determining the fair value of the impaired asset group, we utilized the income approach described in ASC 820, Fair Value Measurement.

Interest Expense and Related Charges

The weighted average interest rate applicable to the Vistra Operations Credit Facilities, taking into account the interest rate swaps discussed in Note 10, was 5.52% and 5.57% as of September 30, 2024 and 2023, respectively.

Other Income and Deductions

(a)Includes interest, dividends, and net realized and unrealized gains and losses associated with the NDTs of the PJM nuclear facilities. Reported in the East segment.

(b)For three and nine months ended September 30, 2024, $20 million reported in the Texas segment, and $1 million and $2 million reported in the West segment, respectively. For the three and nine months ended September 30, 2023, $8 million and $17 million, respectively, reported in the West segment and $4 million and $4 million, respectively, reported in the Asset Closure segment.

(c)For the three and nine months ended September 30, 2024 and the three months ended September 30, 2023, amounts reported in the Asset Closure segment. For the nine months ended September 30, 2023, $94 million reported in the Asset Closure segment and $1 million reported in the Texas segment.

(d)Reported in Corporate and Other.

Restricted Cash

Inventories by Major Category

Investments

Property, Plant and Equipment

Depreciation expenses totaled $421 million and $335 million for the three months ended September 30, 2024 and 2023, respectively, and $1.179 billion and $989 million for nine months ended September 30, 2024 and 2023, respectively.

Other Noncurrent Liabilities and Deferred Credits

The balance of other noncurrent liabilities and deferred credits consists of the following:

(a)Includes future bill credits related to large commercial and industrial customers that curtailed during Winter Storm Uri.

(b)As of September 30, 2024 and December 31, 2023, the fair value of the assets contained in the Comanche Peak NDT was higher than the carrying value of our ARO related to our nuclear generation plant decommissioning and recorded as a regulatory liability of $470 million and $209 million, respectively, in other noncurrent liabilities and deferred credits.

Fair Value of Debt

We determine fair value in accordance with accounting standards as discussed in Note 11. We obtain security pricing from an independent party who uses broker quotes and third-party pricing services to determine fair values. Where relevant, these prices are validated through subscription services, such as Bloomberg.

Supplemental Cash Flow Information

The following table reconciles cash, cash equivalents and restricted cash reported in the condensed consolidated statements of cash flows to the amounts reported in the condensed consolidated balance sheets as of September 30, 2024 and December 31, 2023:

The following table summarizes our supplemental cash flow information for the nine months ended September 30, 2024 and 2023. See Note 2 for other non-cash investing and financing activity related to the Energy Harbor Merger.

For the nine months ended September 30, 2024 and 2023, we paid federal income tax of $2 million andzero, respectively, paid state income taxes of $52 million and $31 million respectively, and received state tax refunds of $8 million and $12 million, respectively.