v3.26.3
Debt
 9 Months Ended
Sep. 30, 2026
Debt Disclosure [Abstract]  
Indebtedness DEBT
Long-Term Debt

The following table presents our long-term debt:
September 30,December 31,
SeriesDue20262025
(In Thousands)
AES Indiana first mortgage bonds:
0.750% (1)
April 2026$— $30,000 
0.95% (1)
April 2026— 60,000 
1.40% (2)
August 202955,000 55,000 
5.65%December 2032350,000 350,000 
6.60%January 2034100,000 100,000 
5.05%August 2035350,000 350,000 
6.05%October 2036158,800 158,800 
6.60%June 2037165,000 165,000 
4.90% (1)
December 203830,000 — 
5.15% (1)
December 203860,000 — 
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(8,730)(9,021)
Deferred financing costs(27,933)(27,705)
Total long-term debt – AES Indiana
3,037,137 3,037,074 
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(1,163)(1,249)
Deferred financing costs(6,640)(7,448)
Total long-term debt – IPALCO
867,197 866,303 
Total consolidated IPALCO long-term debt
3,904,334 3,903,377 
Less: current portion of long-term debt
— 89,902 
Net consolidated IPALCO long-term debt (3)
$3,904,334 $3,813,475 
(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. The notes have a final maturity date of December 1, 2038, but were subject to a mandatory put in April 2026. See Significant Transactions below for further details.
(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.
(3)Excludes $0.0 million and $0.2 million (current) and $107.0 million and $107.1 million (non-current) finance lease liabilities included in the respective short-term debt and long-term debt line items on the Condensed Consolidated Balance Sheets as of September 30, 2026 and December 31, 2025, respectively. See Note 13, “Leases” for further information.

Line of Credit

AES Indiana entered into a third amendment and restatement of its $500 million revolving AES Indiana 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 September 30, 2026 and December 31, 2025, AES Indiana had $235.0 million and $0.0 million in outstanding borrowings on the committed AES Indiana Credit Agreement, respectively.

Significant Transactions

On April 1, 2026, AES Indiana purchased at par value the outstanding $30.0 million Series 2020A and $60.0 million Series 2020B tax-exempt Indiana Finance Authority Environmental Facilities Refunding Revenue Bonds that were subject to a mandatory put on April 1, 2026. These bonds were not legally cancelled and could be remarketed at the discretion of AES Indiana in the future. On September 30, 2026, AES Indiana converted the $30.0 million Series 2020A and $60.0 million Series 2020B tax-exempt Indiana Finance Authority Environmental Facilities Refunding Revenue Bonds to fixed rates of 4.90% and 5.15%, respectively, and remarketed the bonds to third-party investors, with a final maturity of December 1, 2038.