Estimated Payments Under Purchased Power Agreement in Year Two and Thereafter

[Table of Contents](#i6266d2788e5849989ad57be380853c2d_7)Entergy Corporation and SubsidiariesNotes to Financial Statements  
  
  
  


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| (a) | These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and other postretirement cost. See Note 11 to the financial statements for additional details. |

  
Total reclassifications out of accumulated other comprehensive income (loss) (AOCI) for Entergy Louisiana for the years ended December 31, 2021 and 2020 are as follows:

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|  |  | Amounts reclassified from AOCI |  | Income Statement Location |
|  |  | 2021 |   | 2020 |  |   |
|  |  | (In Thousands) |  |  |
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| Pension and other postretirement liabilities |  |  |   |  |  |  |
| Amortization of prior-service costs |   | $4,920  |  |   | $6,179  |  |  | (a) |
|  |  |  |  |  |  |  |
| Amortization of loss |  | (2,322) |  |  | (1,557) |  |  | (a) |
| Settlement loss |  | (2,484) |  |  | (243) |  |  | (a) |
| Total amortization |  | 114  |  |  | 4,379  |  |  |  |
| Income taxes |  | 19  |  |  | (1,142) |  |  | Income taxes |
| Total amortization (net of tax) |  | 133  |  |  | 3,237  |  |  |  |
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| Total reclassifications for the period (net of tax) |   | $133  |  |   | $3,237  |  |  |  |

  


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| --- | --- | --- | --- | --- | --- |
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| (a) | These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and other postretirement cost. See Note 11 to the financial statements for additional details. |

      
NOTE 8.  COMMITMENTS AND CONTINGENCIES (Entergy Corporation, Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, Entergy New Orleans, Entergy Texas, and System Energy)  
Entergy and the Registrant Subsidiaries are involved in a number of legal, regulatory, and tax proceedings before various courts, regulatory authorities, and governmental agencies in the ordinary course of business.  While management is unable to predict with certainty the outcome of such proceedings, management does not believe that the ultimate resolution of these matters will have a material adverse effect on Entergy’s results of operations, cash flows, or financial condition.  Entergy discusses regulatory proceedings in Note 2 to the financial statements and discusses tax proceedings in Note 3 to the financial statements.  
Vidalia Purchased Power Agreement  
Entergy Louisiana has an agreement extending through the year 2031 to purchase energy generated by a hydroelectric facility known as the Vidalia project.  Entergy Louisiana made payments under the contract of approximately $128.5 million in 2021, $132.7 million in 2020, and $135.5 million in 2019.  If the maximum percentage (94%) of the energy is made available to Entergy Louisiana, current production projections would require estimated payments of approximately $137 million in 2022, and a total of $1.23 billion for the years 2023 through 2031.  Entergy Louisiana currently recovers the costs of the purchased energy through its fuel adjustment clause.  
In an LPSC-approved settlement related to tax benefits from the tax treatment of the Vidalia contract, Entergy Louisiana agreed to credit rates by $11 million each year for up to 10 years, beginning in October 2002.  In 144
