v3.25.2
Debt
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Indebtedness DEBT
Long-Term Debt

The following table presents our long-term debt:
  June 30,December 31,
SeriesDue20252024
 (In Thousands)
AES Indiana first mortgage bonds:  
0.65% (1)
August 2025$40,000 $40,000 
0.75% (2)
April 202630,000 30,000 
0.95% (2)
April 202660,000 60,000 
1.40% (1)
August 202955,000 55,000 
5.65%December 2032350,000 350,000 
6.60%January 2034100,000 100,000 
6.05%October 2036158,800 158,800 
6.60%June 2037165,000 165,000 
4.875%November 2041140,000 140,000 
4.65%June 2043170,000 170,000 
4.50%June 2044130,000 130,000 
4.70%September 2045260,000 260,000 
4.05%May 2046350,000 350,000 
4.875%November 2048105,000 105,000 
5.70%April 2054650,000 650,000 
Unamortized discount – net(7,953)(8,093)
Deferred financing costs (24,816)(25,469)
Total AES Indiana first mortgage bonds2,731,031 2,730,238 
Total long-term debt – AES Indiana
2,731,031 2,730,238 
Long-term debt – IPALCO:
  
4.25% Senior Secured Notes
May 2030475,000 475,000 
5.75% Senior Secured Notes
April 2034400,000 400,000 
Unamortized discount – net(1,290)(1,331)
Deferred financing costs (7,863)(8,279)
Total long-term debt – IPALCO
865,847 865,390 
Total consolidated IPALCO long-term debt
3,596,878 3,595,628 
Less: current portion of long-term debt
129,791 39,910 
Net consolidated IPALCO long-term debt (3)
$3,467,087 $3,555,718 
(1)First mortgage bonds issued to the Indiana Finance Authority, to secure the loan of proceeds from tax-exempt bonds issued by the Indiana Finance Authority.
(2)First mortgage bonds issued to the Indiana Finance Authority, to secure the loan of proceeds from tax-exempt bonds issued by the Indiana Finance Authority. The notes have a final maturity date of December 31, 2038, but are subject to a mandatory put in April 2026.
(3)Excludes $0.0 million and $0.2 million (current) and $100.0 million and $86.9 million (non-current) finance lease liabilities included in the respective short and long-term debt line items on the Condensed Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024, respectively. See Note 12, "Leases" for further information.

Line of Credit

AES Indiana entered into a third amendment and restatement of its $500 million revolving Credit Agreement on March 25, 2025 with a syndicate of bank lenders. The AES Indiana Credit Agreement is an unsecured committed line of credit to be used: (i) to finance capital expenditures; (ii) to refinance certain existing indebtedness, (iii) to support working capital; and (iv) for general corporate purposes. This agreement matures on March 25, 2030, and bears interest at variable rates as described in the agreement. It includes an uncommitted $200 million accordion feature to provide AES Indiana with an option to request an increase in the size of the facility at any time prior to March 25, 2029, subject to approval by the lenders. The AES Indiana Credit Agreement also includes two one-year extension options, allowing AES Indiana to extend the maturity date subject to approval by the lenders. As of
June 30, 2025 and December 31, 2024, AES Indiana had $0.0 million and $100.0 million in outstanding borrowings on the committed AES Indiana Credit Agreement, respectively.

AES Indiana Term Loan

In August 2024, AES Indiana entered into an unsecured $400 million 364-day term loan agreement, which was drawn in two tranches. AES Indiana drew $300 million at closing and drew the remaining $100 million in October 2024, with the proceeds being used for general corporate purposes. On June 24, 2025, AES Indiana redeemed $100 million of the $400 million Term Loan Agreement. This agreement was originally set to mature on August 13, 2025, but was amended on July 30, 2025, to extend the maturity date until October 13, 2025, and bears interest at variable rates as described in the $400 million Term Loan Agreement. The $400 million Term Loan Agreement contains customary representations, warranties and covenants, including a leverage covenant consistent with the leverage covenant contained in AES Indiana's Credit Agreement. AES Indiana has classified the $400 million Term Loan Agreement as short-term indebtedness as it matures in October 2025. Management plans to repay the remaining $300 million of the $400 million Term Loan Agreement with proceeds from a long-term debt financing and cash from operations.