The pension plans of WPD are subject to formal actuarial valuations every three years, which are used to determine funding requirements. Contribution requirements were evaluated in accordance with the valuation performed as of March 31, 2019. Prior to the sale of the U.K. utility business, which was completed on June 14, 2021, WPD made contributions to its pension plans of $124 million in 2021. See Note 9 for additional information on the sale. WPD is currently permitted to recover in current revenues approximately 78% of its pension funding requirements for its primary pension plans.

11. Commitments and Contingencies

Legal Matters

(All Registrants)

PPL and its subsidiaries are involved in legal proceedings, claims and litigation in the ordinary course of business. PPL and its subsidiaries cannot predict the outcome of such matters, or whether such matters may result in material liabilities, unless otherwise noted.

Talen Litigation (PPL)

Background

In September 2013, one of PPL's former subsidiaries, PPL Montana entered into an agreement to sell its hydroelectric generating facilities. In June 2014, PPL and PPL Energy Supply, the parent company of PPL Montana, entered into various definitive agreements with affiliates of Riverstone to spin off PPL Energy Supply and ultimately combine it with Riverstone's competitive power generation businesses to form a stand-alone company named Talen Energy. In November 2014, after executing the spinoff agreements but prior to the closing of the spinoff transaction, PPL Montana closed the sale of its hydroelectric generating facilities. Subsequently, on June 1, 2015, the spinoff of PPL Energy Supply was completed. Following the spinoff transaction, PPL had no continuing ownership interest in or control of PPL Energy Supply. In connection with the spinoff transaction, PPL Montana became Talen Montana, LLC (Talen Montana), a subsidiary of Talen Energy. Talen Energy Marketing also became a subsidiary of Talen Energy as a result of the June 2015 spinoff of PPL Energy Supply. Talen Energy has owned and operated both Talen Montana and Talen Energy Marketing since the spinoff. At the time of the spinoff, affiliates of Riverstone acquired a 35% ownership interest in Talen Energy. Riverstone subsequently acquired the remaining interests in Talen Energy in a take private transaction in December 2016.

Talen Montana Retirement Plan and Talen Energy Marketing, LLC, Individually and on Behalf of All Others Similarly Situated v. PPL Corporation et al.

On October 29, 2018, Talen Montana Retirement Plan and Talen Energy Marketing filed a putative class action complaint on behalf of current and contingent creditors of Talen Montana who allegedly suffered harm or allegedly will suffer reasonably foreseeable harm as a result of a November 2014 distribution of proceeds from the sale of then-PPL Montana's hydroelectric generating facilities. The action was filed in the Sixteenth Judicial District of the State of Montana, Rosebud County, against PPL and certain of its affiliates and current and former officers and directors (Talen Putative Class Action). Plaintiff asserts

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claims for, among other things, fraudulent transfer, both actual and constructive; recovery against subsequent transferees; civil conspiracy; aiding and abetting tortious conduct; and unjust enrichment. Plaintiff is seeking avoidance of the purportedly fraudulent transfer, unspecified damages, including punitive damages, the imposition of a constructive trust, and other relief. In December 2018, PPL removed the Talen Putative Class Action from the Sixteenth Judicial District of the State of Montana to the United States District Court for the District of Montana, Billings Division (MT Federal Court). In January 2019, the plaintiff moved to remand the Talen Putative Class Action back to state court, and dismissed without prejudice all current and former PPL Corporation directors from the case. In September 2019, the MT Federal Court granted plaintiff's motion to remand the case back to state court. Although, the PPL defendants petitioned the Ninth Circuit Court of Appeals to grant an appeal of the remand decision, in November 2019, the Ninth Circuit Court of Appeals denied that request and in December 2019, Talen Montana Retirement Plan filed a Second Amended Complaint in the Sixteenth Judicial District of the State of Montana, Rosebud County, which removed Talen Energy Marketing as a plaintiff. In January 2020, PPL defendants filed a motion to dismiss the Second Amended Complaint or, in the alternative, to stay the proceedings pending the resolution of the below mentioned Delaware Action. The Court held a hearing on June 24, 2020 regarding the motions. On September 11, 2020, the Court granted PPL defendants' alternative Motion for a Stay of the proceedings.

PPL Corporation et al. vs. Riverstone Holdings LLC, Talen Energy Corporation et al.

On November 30, 2018, PPL, certain PPL affiliates, and certain current and former officers and directors (PPL plaintiffs) filed a complaint in the Court of Chancery of the State of Delaware seeking various forms of relief against Riverstone, Talen Energy and certain of their affiliates (Delaware Action), in response to and as part of the defense strategy for an action filed by Talen Montana, LLC (the Talen Direct Action, since dismissed) and the Talen Putative Class Action described above (together, the Montana Actions) originally filed in Montana state court in October 2018. In the complaint, the PPL plaintiffs ask the Delaware Court of Chancery for declaratory and injunctive relief. This includes a declaratory judgment that, under the separation

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agreement governing the spinoff of PPL Energy Supply, all related claims that arise must be heard in Delaware; that the statute of limitations in Delaware and the spinoff agreement bar these claims at this time; that PPL is not liable for the claims in either the Talen Direct Action or the Talen Putative Class Action as PPL Montana was solvent at all relevant times; and that the separation agreement requires that Talen Energy indemnify PPL for all losses arising from the debts of Talen Montana, among other things. PPL's complaint also seeks damages against Riverstone for interfering with the separation agreement and against Riverstone affiliates for breach of the implied covenant of good faith and fair dealing. The complaint was subsequently amended on January 11, 2019 and March 20, 2019, to include, among other things, claims related to indemnification with respect to the Montana Actions, request a declaration that the Montana Actions are time-barred under the spinoff agreements, and allege additional facts to support the tortious interference claim. In April 2019, the defendants filed motions to dismiss the amended complaint. In July 2019, the Court heard oral arguments from the parties regarding the motions to dismiss, and in October 2019, the Delaware Court of Chancery issued an opinion sustaining all of the PPL plaintiffs' claims except for the claim for breach of implied covenant of good faith and fair dealing. As a result of the dismissal of the Talen Direct Action in December 2019, in January 2020, Talen Energy filed a new motion to dismiss five of the remaining eight claims in the amended complaint. The Court heard oral argument on Talen's motion to dismiss on May 28, 2020, and on June 22, 2020, issued an opinion denying the motion in its entirety. Discovery is proceeding, and a trial has been scheduled for February 2022.

With respect to each of the Talen-related matters described above, PPL believes that the 2014 distribution of proceeds was made in compliance with all applicable laws and that PPL Montana was solvent at all relevant times. Additionally, the agreements entered into in connection with the spinoff, which PPL and affiliates of Talen Energy and Riverstone negotiated and executed prior to the 2014 distribution, directly address the treatment of the proceeds from the sale of PPL Montana's hydroelectric generating facilities; in those agreements, Talen Energy and Riverstone definitively agreed that PPL was entitled to retain the proceeds.

PPL believes that it has meritorious defenses to the claims made in the Talen Putative Class Action and intends to continue to vigorously defend against this action. The Talen Putative Class Action was stayed at an early stage of litigation. While the Delaware Action is progressing, at this time PPL cannot predict the outcome of either of these matters or estimate the range of possible losses, if any, that PPL might incur as a result of the claims, although they could be material.

(PPL and LG&E)

Cane Run Environmental Claims

In December 2013, 6 residents, on behalf of themselves and others similarly situated, filed a class action complaint against LG&E and PPL in the U.S. District Court for the Western District of Kentucky (U.S. District Court) alleging violations of the Clean Air Act, RCRA, and common law claims of nuisance, trespass and negligence. In July 2014, the U.S. District Court

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dismissed the RCRA claims and all but 1 Clean Air Act claim, but declined to dismiss the common law tort claims. In February 2017, the U.S. District Court dismissed PPL as a defendant and dismissed the final federal claim against LG&E, and in April 2017, issued an Order declining to exercise supplemental jurisdiction on the state law claims dismissing the case in its entirety. In June 2017, the plaintiffs filed a class action complaint in Jefferson County, Kentucky Circuit Court, against LG&E alleging state law nuisance, negligence and trespass tort claims. The plaintiffs seek compensatory and punitive damages for alleged property damage due to purported plant emissions on behalf of a class of residents within 1 to 3 miles of the plant. On January 8, 2020, the Jefferson Circuit Court issued an order denying the plaintiffs’ request for class certification. On January 14, 2020, the plaintiffs filed a notice of appeal in the Kentucky Court of Appeals. On December 11, 2020, the Court of Appeals issued an order affirming the lower court’s denial of class certification. In December 2020, plaintiffs filed a petition for discretionary review with the Kentucky Supreme Court. On April 20, 2021, the Kentucky Supreme Court denied further review of the lower court order. The case ~~will be~~was remanded to the Jefferson Circuit Court for the claims of the three remaining ~~petitioners to be heard on an individual basis. PPL and~~petitioners. LG&E ~~cannot predict the ultimate outcome~~has agreed to a settlement with each of the three remaining ~~proceedings, but do~~petitioners for an amount that will not ~~anticipate this matter will~~ have a significant impact on LG&E's operations or financial condition.

(PPL and KU)

E.W. Brown Environmental Claims

In July 2017, the Kentucky Waterways Alliance and the Sierra Club filed a citizen suit complaint against KU in the U.S. District Court for the Eastern District of Kentucky (U.S. District Court) alleging discharges at the E.W. Brown plant in violation of the Clean Water Act and the plant's water discharge permit and alleging contamination that may present an imminent and substantial endangerment in violation of the RCRA. The plaintiffs' suit relates to prior notices of intent to file a citizen suit submitted in October and November 2015 and October 2016. These plaintiffs sought injunctive relief ordering KU

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to take all actions necessary to comply with the Clean Water Act and RCRA, including ceasing the discharges in question, abating effects associated with prior discharges and eliminating the alleged imminent and substantial endangerment. These plaintiffs also sought assessment of civil penalties and an award of litigation costs and attorney fees. In December 2017, the U.S. District Court issued an Order dismissing the Clean Water Act and RCRA complaints against KU in their entirety. In January 2018, the plaintiffs appealed the dismissal Order to the U.S. Court of Appeals for the Sixth Circuit. In September 2018, the U.S. Court of Appeals for the Sixth Circuit issued its ruling affirming the lower court's decision to dismiss the Clean Water Act claims but reversing its dismissal of the RCRA claims against KU and remanding the latter to the U.S. District Court. In ~~November 2018, the U.S. Court of Appeals for the Sixth Circuit denied KU's petition for rehearing regarding the RCRA claims. In~~ January 2019, KU filed an answer to plaintiffs’ complaint in the U.S. District Court. Discovery is complete and the parties' filed motions for partial summary judgment. In December 2020, the U.S. District Court delayed the trial scheduled for February 2, 2021 indefinitely due to pandemic considerations. In May 2021, the U.S. District Court issued an order granting KU's motion for summary judgment and dismissed the case. In June 2021, the plaintiffs appealed the district court's order to the U.S. Court of Appeals for the Sixth Circuit. ~~The~~In September 2021, the parties ~~are conducting certain~~entered into a settlement ~~discussions. PPL~~agreement, providing for dismissal of the appellate proceedings and ~~KU cannot predict the outcome~~release of ~~these matters and an estimate or range of possible losses cannot be determined.~~other claims.

KU is undertaking extensive remedial measures at the E.W. Brown plant including closure of the former ash pond, implementation of a groundwater remedial action plan and performance of a corrective action plan including aquatic study of adjacent surface waters and risk assessment. The aquatic study and risk assessment are being undertaken pursuant to a 2017 agreed Order with the Kentucky Energy and Environment Cabinet (KEEC). KU conducted sampling of Herrington Lake in 2017 and 2018. In June 2019, KU submitted to the KEEC the required aquatic study and risk assessment, conducted by an independent third-party consultant, finding that discharges from the E.W. Brown plant have not had any significant impact on Herrington Lake and that the water in the lake is safe for recreational use and meets safe drinking water standards. On May 31, 2021, the KEEC approved the report and released a response to public comments. ~~PPL~~On August 6, 2021, KU submitted a Supplemental Remedial Alternatives Analysis (SRAA) report to the KEEC that outlines proposed additional fish, water, and ~~KU are currently performing an evaluation addressing whether additional remedial measures~~sediment testing. The KEEC will ~~be required at~~review the ~~E.W. Brown plant.~~submitted SRAA report.

Air

Sulfuric Acid Mist Emissions (PPL and LG&E)

In June 2016, the EPA issued a notice of violation under the Clean Air Act alleging that LG&E violated applicable rules relating to sulfuric acid mist emissions at its Mill Creek plant. The notice alleges failure to install proper controls, failure to operate the facility consistent with good air pollution control practice and causing emissions exceeding applicable requirements or constituting a nuisance or endangerment. LG&E believes it has complied with applicable regulations during the relevant time period. On July 31, 2020, the U.S. Department of Justice and Louisville Metro Air Pollution Control District filed a complaint in the U.S. District Court for the Western District of Kentucky alleging violations specified in the EPA notice of violation and

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seeking civil penalties and injunctive relief. In October 2020, LG&E filed a motion to dismiss the complaint. In December 2020, the U.S. Department of Justice and the Louisville Metro Air Pollution Control District filed an amended complaint. In February 2021, LG&E filed a renewed motion to dismiss regarding the amended complaint. In June 2021, the U.S. District Court approved the parties' request for a three-month stay in connection with settlement discussions occurring among the parties. In September 2021, the parties reached a tentative agreement providing for dismissal of the court action, the payment by LG&E of a penalty amount and performance of a supplemental environmental project (SEP). The parties are currently in the process of obtaining required approvals from the U.S. Department of Justice, the U.S. District Court, the EPA and Louisville Metro Air Pollution Control District for the resulting consent decree. PPL and LG&E are unable to predict the final outcome of this matter but do not believe the matter, including the agreed penalty and SEP, will have a significant impact on LG&E's operations or financial condition.

Water/Waste

(PPL, LG&E and KU)

ELGs

In 2015, the EPA finalized ELGs for wastewater discharge permits for new and existing steam electricity generating facilities. These guidelines require deployment of additional control technologies providing physical, chemical and biological treatment and mandate operational changes including "no discharge" requirements for certain wastewaters. The implementation date for individual generating stations was to be determined by the states on a case-by-case basis according to criteria provided by the EPA. Legal challenges to the final rule were consolidated before the U.S. Court of Appeals for the Fifth Circuit. In April 2017, the EPA announced that it would grant petitions for reconsideration of the rule. In September 2017, the EPA issued a rule to postpone the compliance date for certain requirements. On October 13, 2020, the EPA published final revisions to its best available technology standards for certain wastewaters and potential extensions to compliance ~~dates.~~ dates (the Reconsideration Rule).

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The rule is expected to be implemented by the states or applicable permitting authorities in the course of their normal permitting activities. LG&E and KU are currently implementing responsive compliance strategies and schedules. Certain aspects of these compliance plans and estimates relate to developments in state water quality standards, which are separate from the ELG rule or its implementation. Certain costs are included in the Registrants' capital plans and expected to be recovered from customers through rate recovery mechanisms, but additional costs and recovery will depend on further regulatory developments at the state level. In August 2021, the EPA published a notice of rulemaking initiative announcing that it will propose revisions to the Reconsideration Rule and determine "whether more stringent limitations and standards are appropriate." Compliance with the Reconsideration Rule is required during the pendency of the rulemaking process.

CCRs

In 2015, the EPA issued a final rule governing management of CCRs which include fly ash, bottom ash and sulfur dioxide scrubber wastes. The CCR Rule imposes extensive new requirements for certain CCR impoundments and landfills, including public notifications, location restrictions, design and operating standards, groundwater monitoring and corrective action requirements, and closure and post-closure care requirements, and specifies restrictions relating to the beneficial use of CCRs. In July 2018, the EPA issued a final rule extending the deadline for closure of certain impoundments and adopting other substantive changes. In August 2018, the D.C. Circuit Court of Appeals vacated and remanded portions of the CCR Rule. In December 2019, the EPA addressed the deficiencies identified by the court and proposed amendments to change the closure deadline. In August 2020, the EPA published a final rule extending the deadline to initiate closure to April 11, 2021, while providing for certain extensions. The EPA is conducting ongoing rulemaking actions regarding various other amendments to the rule. Certain ongoing legal challenges to various provisions of the CCR Rule have been held in abeyance pending review by the EPA pursuant to the President's executive order. PPL, LG&E and KU are unable to predict the outcome of the ongoing litigation and rulemaking or potential impacts on current LG&E and KU compliance plans. The Registrants are currently finalizing closure plans and schedules.

In January 2017, Kentucky issued a new state rule relating to CCR management, effective May 2017, aimed at reflecting the requirements of the federal CCR rule. As a result of a subsequent legal challenge, in January 2018, the Franklin County, Kentucky Circuit Court issued an opinion invalidating certain procedural elements of the rule. LG&E and KU presently operate their facilities under continuing permits authorized under the former program and do not currently anticipate material impacts as a result of the judicial ruling. The Kentucky Energy and Environmental Cabinet has announced it intends to propose new state rules aimed at addressing procedural deficiencies identified by the court and providing the regulatory framework necessary for operation of the state program in lieu of the federal CCR Rule. Associated costs are expected to be subject to rate recovery.

LG&E and KU received KPSC approval for a compliance plan providing for the closure of impoundments at the Mill Creek, Trimble County, E.W. Brown, and Ghent stations, and construction of process water management facilities at those plants. In addition to the foregoing measures required for compliance with the federal CCR rule, KU also received KPSC approval for its plans to close impoundments at the retired Green River, Pineville and Tyrone plants to comply with applicable state law. As of April 2021, LG&E and KU have commenced closure of all of the subject impoundments and have completed closure of some of their smaller impoundments. LG&E and KU generally expect to complete impoundment closures within five years of

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commencement, although a longer period may be required to complete closure of some facilities. Associated costs are expected to be subject to rate recovery.

In connection with the final CCR rule, LG&E and KU recorded adjustments to existing AROs beginning in 2015 and continue to record adjustments as required. See Note 16 for additional information. Further changes to AROs, current capital plans or operating costs may be required as estimates are refined based on closure developments, groundwater monitoring results, and regulatory or legal proceedings. Costs relating to this rule are subject to rate recovery.

(All Registrants)

Superfund and Other Remediation

PPL Electric, LG&E and KU are potentially responsible for investigating and remediating contamination under the federal Superfund program and similar state programs. Actions are under way at certain sites including former coal gas manufacturing plants in Pennsylvania and Kentucky previously owned or operated by, or currently owned by predecessors or affiliates of, PPL Electric, LG&E and KU. PPL Electric is potentially responsible for a share of clean-up costs at certain sites including the Columbia Gas Plant site and the Brodhead site. Cleanup actions have been or are being undertaken at these sites as requested by governmental agencies, the costs of which have not been and are not expected to be significant to PPL Electric.

As of ~~June~~September 30, 2021 and December 31, 2020, PPL Electric had a recorded liability of $10 million representing its best estimate of the probable loss incurred to remediate the sites identified above. Depending on the outcome of investigations at

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identified sites where investigations have not begun or been completed, or developments at sites for which information is incomplete, additional costs of remediation could be incurred. PPL Electric, LG&E and KU lack sufficient information about such additional sites to estimate any potential liability or range of reasonably possible losses, if any, related to these sites. Such costs, however, are not currently expected to be significant.

The EPA is evaluating the risks associated with polycyclic aromatic hydrocarbons and naphthalene, chemical by-products of coal gas manufacturing. As a result, individual states may establish stricter standards for water quality and soil cleanup, that could require several PPL subsidiaries to take more extensive assessment and remedial actions at former coal gas manufacturing plants. The Registrants cannot reasonably estimate a range of possible losses, if any, related to these matters.

Regulatory Issues

(All Registrants)

See Note 7 for information on regulatory matters related to utility rate regulation.

Electricity - Reliability Standards

The NERC is responsible for establishing and enforcing mandatory reliability standards (Reliability Standards) regarding the bulk electric system in North America. The FERC oversees this process and independently enforces the Reliability Standards.

The Reliability Standards have the force and effect of law and apply to certain users of the bulk electric system, including electric utility companies, generators and marketers. Under the Federal Power Act, the FERC may assess civil penalties for certain violations.

PPL Electric, LG&E and KU monitor their compliance with the Reliability Standards and self-report or self-log potential violations of applicable reliability requirements whenever identified, and submit accompanying mitigation plans, as required. The resolution of a small number of potential violations is pending. Penalties incurred to date have not been significant. Any Regional Reliability Entity determination concerning the resolution of violations of the Reliability Standards remains subject to the approval of the NERC and the FERC.

In the course of implementing their programs to ensure compliance with the Reliability Standards by those PPL affiliates subject to the standards, certain other instances of potential non-compliance may be identified from time to time. The Registrants cannot predict the outcome of these matters, and an estimate or range of possible losses cannot be determined.

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Gas - Security Directives (PPL and LG&E)

In May and July of 2021, the Department of Homeland Security’s (DHS) Transportation Security Administration (TSA) released two security directives applicable to certain notified owners and operators of natural gas pipeline facilities (including local distribution companies) that TSA has determined to be critical. The first security directive required notified owners/operators to implement cybersecurity incident reporting to the DHS, designate a cybersecurity coordinator, and perform a gap assessment of current entity cybersecurity practices against certain voluntary TSA security guidelines and report relevant results and proposed mitigation to applicable DHS agencies. The second security directive requires notified entities to implement a significant number of specified cyber security controls and processes. ~~PPL and~~ LG&E ~~are currently evaluating the impact of~~does not believe the security ~~directives. The~~directives will have a significant impact on LG&E’s operations or ~~an estimate or range of possible costs cannot be determined.~~financial condition.

Other

Labor Union Agreements

(PPL and PPL Electric)

For PPL and PPL Electric, labor agreement negotiations with the IBEW are expected to commence in the ~~second half~~first quarter of ~~2021.~~2022. The current five-year agreement expires in May 2022.

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(KU)

KU has 70 employees that are represented by the IBEW labor union. On August 1, 2021, KU and the IBEW ratified a three-year labor agreement through August 2024. The terms of the new labor agreement are not expected to have a significant impact on the financial results of KU.

Guarantees and Other Assurances

(All Registrants)

In the normal course of business, the Registrants enter into agreements that provide financial performance assurance to third parties on behalf of certain subsidiaries. Such agreements include, for example, guarantees, stand-by letters of credit issued by financial institutions and surety bonds issued by insurance companies. These agreements are entered into primarily to support or enhance the creditworthiness attributed to a subsidiary on a stand-alone basis or to facilitate the commercial activities in which these subsidiaries engage.

(PPL)

PPL fully and unconditionally guarantees all of the debt securities and loan obligations of PPL Capital Funding.

(All Registrants)

The table below details guarantees provided as of ~~June~~September 30, 2021. "Exposure" represents the estimated maximum potential amount of future payments that could be required to be made under the guarantee. The probability of expected payment/performance under each of these guarantees is remote. For reporting purposes, ~~amounts for PPL~~ on a consolidated basis, ~~include~~the guarantees of PPL ~~Electric, LG&E and KU.~~include the guarantees of its subsidiary Registrants.

Exposure at June 30, 2021

Expiration
Date

Exposure at September 30, 2021

Expiration
Date

PPL

Indemnifications related to the sale of the U.K. utility business

7,881

(a)

2021

Indemnifications related to the sale of the U.K. utility business

7,881

(a)

2021

Indemnifications related to certain tax liabilities related to the sale of the U.K. utility business

(b)

2028

Indemnifications related to certain tax liabilities related to the sale of the U.K. utility business

(b)

2028

LKE indemnification of WKE lease termination and other divestitures

200

(c)

2021

LG&E and KU

LG&E and KU obligation of shortfall related to OVEC

(d)

LG&E and KU obligation of shortfall related to OVEC

(c)

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•~~Higher taxes, other than income for the three and six month periods primarily due to a favorable settlement of 2008-2010 gross receipts tax assessments in 2020.~~

Reconciliation of Earnings from Ongoing Operations

The following tables contain after-tax gains (losses), in total, which management considers special items, that are excluded from Earnings from Ongoing Operations and a reconciliation to PPL's "Net Income" for the periods ended ~~June~~September 30.


	2021 Three Months
	KY Regulated		PA Regulated		Corporate and Other		Discontinued Operations (a)		Total
Net Income	$	159	$	126	$	(76)	$	(2)	$	207
Less: Special Item (expense) benefit:
Income (loss) from Discontinued Operations (a)	—		—		—		(2)		(2)
Talen litigation costs, net of tax of $1 (b)	—		—		(1)		—		(1)
Strategic corporate initiatives, net of tax of $0 (c)	—		—		(1)		—		(1)


Acquisition integration, net of tax of $3 (e)	—		—		(9)		—		(9)


Loss on early extinguishment of debt, net of tax of $16 (h)	—		—		(57)		—		(57)

Total Special Items	—		—		(68)		(2)		(70)
Earnings from Ongoing Operations	$	159	$	126	$	(8)	$	—	$	277

	2020 Three Months
	KY Regulated		PA Regulated		Corporate and Other (i)		Discontinued Operations (a)		Total
Net Income	$	129	$	135	$	(147)	$	164	$	281
Less: Special Item (expense) benefit:
Income (loss) from Discontinued Operations (a)	—		—		—		164		164
Talen litigation costs, net of tax of $1 (b)	—		—		(2)		—		(2)
COVID-19 impact, net of tax of $0, $0, $0	—		(1)		(1)		—		(2)
Strategic corporate initiatives, net of tax of $2 (c)	—		—		(5)		—		(5)
U.K. tax rate change (f)	—		—		(102)		—		(102)





Total Special Items	—		(1)		(110)		164		53
Earnings from Ongoing Operations	$	129	$	136	$	(37)	$	—	$	228

	2021 Nine Months
	KY Regulated		PA Regulated		Corporate and Other		Discontinued Operations (a)		Total
Net Income	$	389	$	335	$	(848)	$	(1,490)	$	(1,614)
Less: Special Items (expense) benefit:
Income (loss) from Discontinued Operations (a)	—		—		—		(1,494)		(1,494)
Talen litigation costs, net of tax of $3 (b)	—		—		(10)		—		(10)
Strategic corporate initiatives, net of tax of $1 (c)	—		—		(3)		—		(3)
Valuation allowance adjustment (d)	4		—		(4)		4		4
Transmission formula rate return on equity reserve, net of tax of $8	—		(20)		—		—		(20)
Acquisition integration, net of tax of $4 (e)	—		—		(11)		—		(11)
U.K. tax rate change (f)	—		—		(383)		—		(383)
Solar panel impairment, net of tax of $9 (g)	—		—		(28)		—		(28)
Loss on early extinguishment of debt, net of tax of $83 (h)	—		—		(312)		—		(312)

Total Special Items	4		(20)		(751)		(1,490)		(2,257)
Earnings from Ongoing Operations	$	385	$	355	$	(97)	$	—	$	643

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2021 Three Months
KY
Regulated PA
Regulated Corporate
and Other Discontinued Operations (a) Total
Net Income $ 84 $ 96 $ (716) $ 555 $ 19
Less: Special Item (expense) benefit:
Income (Loss) from Discontinued Operations (a) — — — 555 555
Talen litigation costs, net of tax of $1 (b) — — (6) — (6)
Strategic corporate initiatives, net of tax of $1 (c) — — (2) — (2)
Challenge to transmission formula rate return on equity reserve, net of tax of $2 — (7) — — (7)
Acquisition integration, net of tax of $1 (e) — — (2) — (2)
U.K. tax rate change (f) — — (383) — (383)
Solar panel impairment, net of tax of $9 (g) — — (28) — (28)
Loss on early extinguishment of debt, net of tax of $67 (h) — — (255) — (255)
Total Special Items — (7) (676) 555 (128)
Earnings from Ongoing Operations $ 84 $ 103 $ (40) $ — $ 147
2020 Three Months
KY
Regulated PA
Regulated Corporate
and Other (i) Discontinued Operations (a) Total
Net Income $ 74 $ 118 $ (39) $ 191 $ 344
Less: Special Item (expense) benefit:
Income (Loss) from Discontinued Operations (a) — — — 191 191
Talen litigation costs, net of tax of $0 (b) — — (2) — (2)
COVID-19 impact, net of tax of $1 (4) — — — (4)
Total Special Items (4) — (2) 191 185
Earnings from Ongoing Operations $ 78 $ 118 $ (37) $ — $ 159
2021 Six Months
KY
Regulated PA
Regulated Corporate
and Other Discontinued Operations (a) Total
Net Income $ 230 $ 209 $ (772) $ (1,488) $ (1,821)
Less: Special Items (expense) benefit:
Income (Loss) from Discontinued Operations (a) — — — (1,492) (1,492)
Talen litigation costs, net of tax of $2 (b) — — (9) — (9)
Strategic corporate initiatives, net of tax of $1 (c) — — (2) — (2)
Valuation allowance adjustment (d) 4 — (4) 4 4
Challenge to transmission formula rate return on equity reserve, net of tax of $8 — (20) — — (20)
Acquisition integration, net of tax of $1 (e) — — (2) — (2)
U.K. tax rate change (f) — — (383) — (383)
Solar panel impairment, net of tax of $9 (g) — — (28) — (28)
Loss on early extinguishment of debt, net of tax of $67 (h) — — (255) — (255)
Total Special Items 4 (20) (683) (1,488) (2,187)
Earnings from Ongoing Operations $ 226 $ 229 $ (89) $ — $ 366

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		2020 Six Months											2020 Nine Months
		KY Regulated		PA Regulated		Corporate and Other (i)		Discontinued Operations (a)		Total				KY Regulated		PA Regulated		Corporate and Other (i)		Discontinued Operations (a)		Total
Net Income	Net Income	$	201	$	236	$	(80)	$	541	$	898	Net Income		$	330	$	371	$	(227)	$	705	$	1,179
Less: Special Items (expense) benefit:	Less: Special Items (expense) benefit:											Less: Special Items (expense) benefit:
Income (Loss) from Discontinued Operations (a)		—		—		—		541		541
Talen litigation costs, net of tax of $1 (b)		—		—		(4)		—		(4)
COVID-19 impact, net of tax of $1		(4)		—		—		—		(4)
Income (loss) from Discontinued Operations (a)												Income (loss) from Discontinued Operations (a)		—		—		—		705		705
Talen litigation costs, net of tax of $2 (b)												Talen litigation costs, net of tax of $2 (b)		—		—		(6)		—		(6)
COVID-19 impact, net of tax of $1, $0, $0												COVID-19 impact, net of tax of $1, $0, $0		(4)		(1)		(1)		—		(6)
Strategic corporate initiatives, net of tax of $2 (c)												Strategic corporate initiatives, net of tax of $2 (c)		—		—		(5)		—		(5)
U.K. tax rate change (f)												U.K. tax rate change (f)		—		—		(102)		—		(102)

Total Special Items	Total Special Items	(4)		—		(4)		541		533		Total Special Items		(4)		(1)		(114)		705		586
Earnings from Ongoing Operations	Earnings from Ongoing Operations	$	205	$	236	$	(76)	$	—	$	365	Earnings from Ongoing Operations		$	334	$	372	$	(113)	$	—	$	593


Commission File Number	Registrant; State of Incorporation; Address and Telephone Number	IRS Employer Identification No.

1-11459	PPL Corporation (Exact name of Registrant as specified in its charter) Pennsylvania Two North Ninth Street Allentown, PA 18101-1179 (610) 774-5151	23-2758192

1-905	PPL Electric Utilities Corporation (Exact name of Registrant as specified in its charter) Pennsylvania Two North Ninth Street Allentown, PA 18101-1179 (610) 774-5151	23-0959590


1-2893	Louisville Gas and Electric Company (Exact name of Registrant as specified in its charter) Kentucky 220 West Main Street Louisville, KY 40202-1377 (502) 627-2000	61-0264150

1-3464	Kentucky Utilities Company (Exact name of Registrant as specified in its charter) (Kentucky and Virginia) One Quality Street Lexington, KY 40507-1462 (502) 627-2000	61-0247570


Title of each class	Trading Symbol:	Name of each exchange on which registered
Common Stock of PPL Corporation	PPL	New York Stock Exchange

Junior Subordinated Notes of PPL Capital Funding, Inc.
2007 Series A due 2067	PPL/67	New York Stock Exchange


				Page
GLOSSARY OF TERMS AND ABBREVIATIONS				i
FORWARD-LOOKING INFORMATION				1
PART I. FINANCIAL INFORMATION
	Item 1. Financial Statements
		PPL Corporation and Subsidiaries
			Condensed Consolidated Statements of Income (Loss)	3
			Condensed Consolidated Statements of Comprehensive Income (Loss)	4
			Condensed Consolidated Statements of Cash Flows	5
			Condensed Consolidated Balance Sheets	6
			Condensed Consolidated Statements of Equity	8
		PPL Electric Utilities Corporation and Subsidiaries
			Condensed Consolidated Statements of Income	10
			Condensed Consolidated Statements of Cash Flows	11
			Condensed Consolidated Balance Sheets	12
			Condensed Consolidated Statements of Equity	14
		Louisville Gas and Electric Company
			Condensed Statements of Income	16
			Condensed Statements of Cash Flows	17
			Condensed Balance Sheets	18
			Condensed Statements of Equity	20
		Kentucky Utilities Company
			Condensed Statements of Income	22
			Condensed Statements of Cash Flows	23
			Condensed Balance Sheets	24
			Condensed Statements of Equity	26


		Three Months Ended June 30,				Six Months Ended June 30,					Three Months Ended September 30,				Nine Months Ended September 30,
		2021		2020		2021		2020			2021		2020		2021		2020
Operating Revenues	Operating Revenues	$	1,288	$	1,263	$	2,786	$	2,703	Operating Revenues	$	1,512	$	1,400	$	4,298	$	4,103

Operating Expenses	Operating Expenses									Operating Expenses
Operation	Operation									Operation
Fuel	Fuel	159		138		336		301		Fuel	195		177		531		478
Energy purchases	Energy purchases	137		133		357		334		Energy purchases	167		136		524		470
Other operation and maintenance	Other operation and maintenance	404		353		771		708		Other operation and maintenance	393		346		1,164		1,054
Depreciation	Depreciation	269		255		536		505		Depreciation	274		257		810		762
Taxes, other than income	Taxes, other than income	49		37		101		84		Taxes, other than income	52		47		153		131
Total Operating Expenses	Total Operating Expenses	1,018		916		2,101		1,932		Total Operating Expenses	1,081		963		3,182		2,895

Operating Income	Operating Income	270		347		685		771		Operating Income	431		437		1,116		1,208

Other Income (Expense) - net	Other Income (Expense) - net	13		10		13		5		Other Income (Expense) - net	12		6		25		11

Interest Expense	Interest Expense	474		164		627		318		Interest Expense	183		161		810		479

Income (Loss) from Continuing Operations Before Income Taxes	Income (Loss) from Continuing Operations Before Income Taxes	(191)		193		71		458		Income (Loss) from Continuing Operations Before Income Taxes	260		282		331		740

Income Taxes	Income Taxes	345		40		404		101		Income Taxes	51		165		455		266

Income (Loss) from Continuing Operations After Income Taxes	Income (Loss) from Continuing Operations After Income Taxes	(536)		153		(333)		357		Income (Loss) from Continuing Operations After Income Taxes	209		117		(124)		474

Income (Loss) from Discontinued Operations (net of income taxes) (Note 9)	Income (Loss) from Discontinued Operations (net of income taxes) (Note 9)	555		191		(1,488)		541		Income (Loss) from Discontinued Operations (net of income taxes) (Note 9)	(2)		164		(1,490)		705

Net Income (Loss)	Net Income (Loss)	$	19	$	344	$	(1,821)	$	898	Net Income (Loss)	$	207	$	281	$	(1,614)	$	1,179

Earnings Per Share of Common Stock:	Earnings Per Share of Common Stock:									Earnings Per Share of Common Stock:

Basic and Diluted	Basic and Diluted									Basic and Diluted
Income (Loss) from Continuing Operations After Income Taxes	Income (Loss) from Continuing Operations After Income Taxes	$	(0.69)	$	0.20	$	(0.44)	$	0.47	Income (Loss) from Continuing Operations After Income Taxes	$	0.27	$	0.15	$	(0.16)	$	0.62
Income (Loss) from Discontinued Operations (net of income taxes)	Income (Loss) from Discontinued Operations (net of income taxes)	0.72		0.25		(1.93)		0.70		Income (Loss) from Discontinued Operations (net of income taxes)	—		0.22		(1.94)		0.91
Net Income (Loss) Available to PPL Common Shareowners	Net Income (Loss) Available to PPL Common Shareowners	$	0.03	$	0.45	$	(2.37)	$	1.17	Net Income (Loss) Available to PPL Common Shareowners	$	0.27	$	0.37	$	(2.10)	$	1.53

Weighted-Average Shares of Common Stock Outstanding (in thousands)	Weighted-Average Shares of Common Stock Outstanding (in thousands)									Weighted-Average Shares of Common Stock Outstanding (in thousands)
Basic	Basic	769,466		768,768		769,313		768,358		Basic	767,733		768,786		768,781		768,502
Diluted	Diluted	769,466		769,408		769,313		769,073		Diluted	769,849		769,660		768,781		769,270


		Three Months Ended June 30,				Six Months Ended June 30,					Three Months Ended September 30,				Nine Months Ended September 30,
		2021		2020		2021		2020			2021		2020		2021		2020
Net income (loss)	Net income (loss)	$	19	$	344	$	(1,821)	$	898	Net income (loss)	$	207	$	281	$	(1,614)	$	1,179

Other comprehensive income (loss):	Other comprehensive income (loss):									Other comprehensive income (loss):
Amounts arising during the period - gains (losses), net of tax (expense) benefit:	Amounts arising during the period - gains (losses), net of tax (expense) benefit:									Amounts arising during the period - gains (losses), net of tax (expense) benefit:
Foreign currency translation adjustments, net of tax of ($43), $1, ($123), $1		69		(291)		372		(352)
Foreign currency translation adjustments, net of tax of $0, $0, ($123), $1										Foreign currency translation adjustments, net of tax of $0, $0, ($123), $1	—		643		372		291

Qualifying derivatives, net of tax of ($5), ($6), $11, ($8)		(9)		28		(39)		36
Qualifying derivatives, net of tax of $0, $12, $11, $4										Qualifying derivatives, net of tax of $0, $12, $11, $4	—		(52)		(39)		(16)
Defined benefit plans:	Defined benefit plans:									Defined benefit plans:

Net actuarial gain (loss), net of tax of $2, $1, $2, $1		(6)		(1)		(6)		(1)
Net actuarial gain (loss), net of tax of $4, $5, $6, $6										Net actuarial gain (loss), net of tax of $4, $5, $6, $6	(12)		(16)		(18)		(17)
Reclassifications from AOCI - (gains) losses, net of tax expense (benefit):	Reclassifications from AOCI - (gains) losses, net of tax expense (benefit):									Reclassifications from AOCI - (gains) losses, net of tax expense (benefit):

Qualifying derivatives, net of tax of $10, $4, ($4), $4		(1)		(20)		24		(23)
Qualifying derivatives, net of tax of $0, ($12), ($4), ($8)										Qualifying derivatives, net of tax of $0, ($12), ($4), ($8)	1		48		25		25

Defined benefit plans:	Defined benefit plans:									Defined benefit plans:
Prior service costs, net of tax of $2, $0, $2, $0		(7)		1		(7)		2
Net actuarial (gain) loss, net of tax of ($4), ($11), ($26), ($23)		67		47		107		94
Prior service costs, net of tax of ($3), ($1), ($1), ($1)										Prior service costs, net of tax of ($3), ($1), ($1), ($1)	9		—		2		2
Net actuarial (gain) loss, net of tax of ($4), ($12), ($30), ($35)										Net actuarial (gain) loss, net of tax of ($4), ($12), ($30), ($35)	10		52		117		146
Reclassifications from AOCI due to sale of the U.K. utility business - (gains) losses, net of tax expense (benefit):	Reclassifications from AOCI due to sale of the U.K. utility business - (gains) losses, net of tax expense (benefit):									Reclassifications from AOCI due to sale of the U.K. utility business - (gains) losses, net of tax expense (benefit):
Foreign currency translation adjustments, net of tax of $140, $0, $140, $0		786		0		786		0
Foreign currency translation adjustments, net of tax of $0, $0, $140, $0										Foreign currency translation adjustments, net of tax of $0, $0, $140, $0	—		—		786		—
Qualifying derivatives, net of tax of $0, $0, $0, $0	Qualifying derivatives, net of tax of $0, $0, $0, $0	15		0		15		0		Qualifying derivatives, net of tax of $0, $0, $0, $0	—		—		15		—
Defined benefit plans:	Defined benefit plans:									Defined benefit plans:
Prior service costs, net of tax of ($2), $0, ($2), $0		8		0		8		0
Net actuarial (gain) loss, net of tax of ($798), $0, ($798), $0		2,769		0		2,769		0
Prior service costs, net of tax of $0, $0, ($2), $0										Prior service costs, net of tax of $0, $0, ($2), $0	—		—		8		—
Net actuarial (gain) loss, net of tax of $0, $0, ($798), $0										Net actuarial (gain) loss, net of tax of $0, $0, ($798), $0	—		—		2,769		—
Total other comprehensive income (loss)	Total other comprehensive income (loss)	3,691		(236)		4,029		(244)		Total other comprehensive income (loss)	8		675		4,037		431

Comprehensive income (loss)	Comprehensive income (loss)	$	3,710	$	108	$	2,208	$	654	Comprehensive income (loss)	$	215	$	956	$	2,423	$	1,610


	June 30, 2021		December 31, 2020
Assets

Current Assets
Cash and cash equivalents	$	7,629	$	442
Accounts receivable (less reserve: 2021, $66; 2020, $71)
Customer	569		603
Other	89		86
Unbilled revenues (less reserve: 2021, $3; 2020, $4)	247		301
Fuel, materials and supplies	265		302
Prepayments	119		53

Other current assets	100		130
Current assets held for sale (Note 9)	0		18,983
Total Current Assets	9,018		20,900

Property, Plant and Equipment
Regulated utility plant	29,757		29,040
Less: accumulated depreciation - regulated utility plant	6,314		6,008
Regulated utility plant, net	23,443		23,032
Non-regulated property, plant and equipment	246		237
Less: accumulated depreciation - non-regulated property, plant and equipment	40		37
Non-regulated property, plant and equipment, net	206		200
Construction work in progress	1,296		1,268
Property, Plant and Equipment, net	24,945		24,500

Other Noncurrent Assets
Regulatory assets	1,281		1,262
Goodwill	716		716
Other intangibles	347		351
Pension benefit asset	67		24
Other noncurrent assets (less reserve for accounts receivable: 2021, $5; 2020 $0)	385		363
Total Other Noncurrent Assets	2,796		2,716

Total Assets	$	36,759	$	48,116


	June 30, 2021		December 31, 2020
Liabilities and Equity

Current Liabilities
Short-term debt	$	0	$	1,168
Long-term debt due within one year	2,200		1,074
Accounts payable	683		745
Taxes	261		69
Interest	96		113
Dividends	320		319
Regulatory liabilities	198		79
Other current liabilities	414		465
Current liabilities held for sale (Note 9)	0		11,023
Total Current Liabilities	4,172		15,055

Long-term Debt	11,095		13,615

Deferred Credits and Other Noncurrent Liabilities
Deferred income taxes	3,079		2,536
Investment tax credits	120		122
Accrued pension obligations	189		189
Asset retirement obligations	140		132
Regulatory liabilities	2,468		2,530
Other deferred credits and noncurrent liabilities	544		564
Total Deferred Credits and Other Noncurrent Liabilities	6,540		6,073

Commitments and Contingent Liabilities (Notes 7 and 11)	0		0

Equity
Common stock - $0.01 par value (a)	8		8
Additional paid-in capital	12,281		12,270
Earnings reinvested	2,854		5,315
Accumulated other comprehensive loss	(191)		(4,220)
Total Equity	14,952		13,373

Total Liabilities and Equity	$	36,759	$	48,116


	Common stock shares outstanding (a)	Common stock		Additional paid-in capital		Earnings reinvested		Accumulated other comprehensive loss		Total
March 31, 2021	769,427	$	8	$	12,273	$	3,155	$	(3,882)	$	11,554
Common stock issued	137			4						4
Stock-based compensation				4						4
Net income (loss)						19				19
Dividends and dividend equivalents (b)						(320)				(320)

Other comprehensive income (loss)								3,691		3,691

June 30, 2021	769,564	$	8	$	12,281	$	2,854	$	(191)	$	14,952

December 31, 2020	768,907	$	8	$	12,270	$	5,315	$	(4,220)	$	13,373
Common stock issued	657			20						20
Stock-based compensation				(9)						(9)
Net income (loss)						(1,821)				(1,821)
Dividends and dividend equivalents (b)						(640)				(640)

Other comprehensive income (loss)								4,029		4,029

June 30, 2021	769,564	$	8	$	12,281	$	2,854	$	(191)	$	14,952

March 31, 2020	768,266	$	8	$	12,239	$	5,360	$	(4,366)	$	13,241
Common stock issued	517			13						13
Stock-based compensation				3						3
Net income (loss)						344				344
Dividends and dividend equivalents (b)						(321)				(321)

Other comprehensive income (loss)								(236)		(236)

June 30, 2020	768,783	$	8	$	12,255	$	5,383	$	(4,602)	$	13,044

December 31, 2019	767,233	$	8	$	12,214	$	5,127	$	(4,358)	$	12,991
Common stock issued	1,550			47						47
Stock-based compensation				(6)						(6)
Net income (loss)						898				898
Dividends and dividend equivalents (b)						(640)				(640)

Other comprehensive income (loss)								(244)		(244)
Adoption of financial instrument credit losses guidance cumulative effect adjustment						(2)				(2)
June 30, 2020	768,783	$	8	$	12,255	$	5,383	$	(4,602)	$	13,044


	September 30, 2021		December 31, 2020
Assets

Current Assets
Cash and cash equivalents	$	4,767	$	442
Accounts receivable (less reserve: 2021, $61; 2020, $71)
Customer	578		603
Other	73		86
Unbilled revenues (less reserve: 2021, $2; 2020, $4)	233		301
Fuel, materials and supplies	304		302
Prepayments	90		53

Other current assets	92		130
Current assets held for sale (Note 9)	—		18,983
Total Current Assets	6,137		20,900

Property, Plant and Equipment
Regulated utility plant	30,056		29,040
Less: accumulated depreciation - regulated utility plant	6,434		6,008
Regulated utility plant, net	23,622		23,032
Non-regulated property, plant and equipment	269		237
Less: accumulated depreciation - non-regulated property, plant and equipment	41		37
Non-regulated property, plant and equipment, net	228		200
Construction work in progress	1,356		1,268
Property, Plant and Equipment, net	25,206		24,500

Other Noncurrent Assets
Regulatory assets	1,286		1,262
Goodwill	716		716
Other intangibles	344		351

Other noncurrent assets (less reserve for accounts receivable: 2021, $5; 2020 $0)	482		387
Total Other Noncurrent Assets	2,828		2,716

Total Assets	$	34,171	$	48,116


		Common stock shares outstanding (a)	Common stock		Additional paid-in capital		Earnings reinvested		Total			Common stock shares outstanding (a)	Common stock		Additional paid-in capital		Earnings reinvested		Total
March 31, 2021		66,368	$	364	$	3,753	$	1,005	$	5,122
June 30, 2021											June 30, 2021	66,368	$	364	$	4,503	$	1,015	$	5,882
Net income	Net income						96		96		Net income						126		126
Capital contributions from parent	Capital contributions from parent				750				750		Capital contributions from parent				325				325

Return of capital to parent											Return of capital to parent				(500)				(500)
Dividends declared on common stock	Dividends declared on common stock						(86)		(86)		Dividends declared on common stock						(50)		(50)
June 30, 2021		66,368	$	364	$	4,503	$	1,015	$	5,882
September 30, 2021											September 30, 2021	66,368	$	364	$	4,328	$	1,091	$	5,783

December 31, 2020	December 31, 2020	66,368	$	364	$	3,753	$	1,007	$	5,124	December 31, 2020	66,368	$	364	$	3,753	$	1,007	$	5,124
Net income	Net income						209		209		Net income						335		335
Capital contributions from parent	Capital contributions from parent				750				750		Capital contributions from parent				1,075				1,075
Return of capital to parent											Return of capital to parent				(500)				(500)
Dividends declared on common stock											Dividends declared on common stock						(251)		(251)
September 30, 2021											September 30, 2021	66,368	$	364	$	4,328	$	1,091	$	5,783

Dividends declared on common stock							(201)		(201)
June 30, 2021		66,368	$	364	$	4,503	$	1,015	$	5,882

March 31, 2020		66,368	$	364	$	3,558	$	863	$	4,785
June 30, 2020											June 30, 2020	66,368	$	364	$	3,553	$	900	$	4,817
Net income	Net income						118		118		Net income						134		134
Capital contributions from parent	Capital contributions from parent				255				255		Capital contributions from parent				485				485
Return of capital to parent	Return of capital to parent				(260)				(260)		Return of capital to parent				(485)				(485)
Dividends declared on common stock	Dividends declared on common stock						(81)		(81)		Dividends declared on common stock						(77)		(77)
June 30, 2020		66,368	$	364	$	3,553	$	900	$	4,817
September 30, 2020											September 30, 2020	66,368	$	364	$	3,553	$	957	$	4,874

December 31, 2019	December 31, 2019	66,368	$	364	$	3,558	$	910	$	4,832	December 31, 2019	66,368	$	364	$	3,558	$	910	$	4,832
Net income	Net income						236		236		Net income						370		370

Capital contributions from PPL	Capital contributions from PPL				255				255		Capital contributions from PPL				740				740
Return of capital to parent	Return of capital to parent				(260)				(260)		Return of capital to parent				(745)				(745)
Dividends declared on common stock	Dividends declared on common stock						(246)		(246)		Dividends declared on common stock						(323)		(323)
June 30, 2020		66,368	$	364	$	3,553	$	900	$	4,817
September 30, 2020											September 30, 2020	66,368	$	364	$	3,553	$	957	$	4,874


		Balance at Beginning of Period		Charged to Income		Deductions (a)		Balance at End of Period			Balance at Beginning of Period		Charged to Income		Deductions (a)		Balance at End of Period
PPL	PPL									PPL
Accounts Receivable - Customer and Unbilled Revenue (c)	Accounts Receivable - Customer and Unbilled Revenue (c)	$	44	$	2	$	4	$	42	Accounts Receivable - Customer and Unbilled Revenue (c)	$	44	$	9	$	17	$	36
Other (b)	Other (b)	28		1		0		29		Other (b)	28		1		—		29

PPL Electric	PPL Electric									PPL Electric
Accounts Receivable - Customer and Unbilled Revenue (c)	Accounts Receivable - Customer and Unbilled Revenue (c)	$	39	$	1	$	2	$	38	Accounts Receivable - Customer and Unbilled Revenue (c)	$	39	$	4	$	11	$	32
Other	Other	1		0		0		1		Other	1		—		—		1

LG&E	LG&E									LG&E
Accounts Receivable - Customer and Unbilled Revenue	Accounts Receivable - Customer and Unbilled Revenue	$	3	$	0	$	1	$	2	Accounts Receivable - Customer and Unbilled Revenue	$	3	$	1	$	2	$	2

Other										Other	—		1		—		1

KU	KU									KU
Accounts Receivable - Customer and Unbilled Revenue	Accounts Receivable - Customer and Unbilled Revenue	$	2	$	1	$	1	$	2	Accounts Receivable - Customer and Unbilled Revenue	$	2	$	4	$	4	$	2


		Three Months				Six Months					Three Months				Nine Months
		2021		2020		2021		2020			2021		2020		2021		2020

Operating Revenues from external customers	Operating Revenues from external customers									Operating Revenues from external customers
Kentucky Regulated	Kentucky Regulated	$	741	$	700	$	1,626	$	1,525	Kentucky Regulated	$	879	$	806	$	2,505	$	2,331
Pennsylvania Regulated	Pennsylvania Regulated	537		554		1,142		1,162		Pennsylvania Regulated	627		586		1,769		1,748
Corporate and Other	Corporate and Other	10		9		18		16		Corporate and Other	6		8		24		24
Total	Total	$	1,288	$	1,263	$	2,786	$	2,703	Total	$	1,512	$	1,400	$	4,298	$	4,103

Net Income	Net Income									Net Income

Kentucky Regulated (a)	Kentucky Regulated (a)	$	84	$	74	$	230	$	201	Kentucky Regulated (a)	$	159	$	129	$	389	$	330
Pennsylvania Regulated (a)	Pennsylvania Regulated (a)	96		118		209		236		Pennsylvania Regulated (a)	126		135		335		371
Corporate and Other ~~(d)~~(c)	Corporate and Other ~~(d)~~(c)	(716)		(39)		(772)		(80)		Corporate and Other ~~(d)~~(c)	(76)		(147)		(848)		(227)
Discontinued Operations ~~(b)~~(d)	Discontinued Operations ~~(b)~~(d)	555		191		(1,488)		541		Discontinued Operations ~~(b)~~(d)	(2)		164		(1,490)		705
Total	Total	$	19	$	344	$	(1,821)	$	898	Total	$	207	$	281	$	(1,614)	$	1,179


	PPL		PPL Electric		LG&E		KU
Contract liabilities at December 31, 2020	$	40	$	23	$	5	$	6
Contract liabilities at June 30, 2021	31		16		5		5
Revenue recognized during the six months ended June 30, 2021 that was included in the contract liability balance at December 31, 2020	24		11		5		6

Contract liabilities at December 31, 2019	$	37	$	21	$	5	$	4
Contract liabilities at June 30, 2020	30		16		4		5
Revenue recognized during the six months ended June 30, 2020 that was included in the contract liability balance at December 31, 2019	21		9		5		4


(PPL Electric)
	Three Months				Six Months
	2021		2020		2021		2020
Federal income tax on Income Before Income Taxes at statutory tax rate - 21%	$	27	$	33	$	59	$	67
Increase (decrease) due to:
State income taxes, net of federal income tax benefit	10		12		22		25

Depreciation and other items not normalized	(2)		(2)		(4)		(4)
Amortization of excess deferred federal and state income taxes	(3)		(5)		(6)		(8)


Other	2		2		0		1
Total increase (decrease)	7		7		12		14
Total income tax expense (benefit)	$	34	$	40	$	71	$	81


(LG&E)
(PPL Electric)										(PPL Electric)
		Three Months				Six Months					Three Months				Nine Months
		2021		2020		2021		2020			2021		2020		2021		2020
Federal income tax on Income Before Income Taxes at statutory tax rate - 21%	Federal income tax on Income Before Income Taxes at statutory tax rate - 21%	$	12	$	12	$	32	$	32	Federal income tax on Income Before Income Taxes at statutory tax rate - 21%	$	36	$	37	$	95	$	104
Increase (decrease) due to:	Increase (decrease) due to:									Increase (decrease) due to:
State income taxes, net of federal income tax benefit	State income taxes, net of federal income tax benefit	2		2		6		6		State income taxes, net of federal income tax benefit	13		14		36		39

Federal and state income tax return adjustments										Federal and state income tax return adjustments	—		(4)		—		(4)
Depreciation and other items not normalized										Depreciation and other items not normalized	—		—		(4)		(4)
Amortization of excess deferred federal and state income taxes	Amortization of excess deferred federal and state income taxes	(3)		(2)		(6)		(5)		Amortization of excess deferred federal and state income taxes	(5)		(4)		(11)		(12)

Other	Other	1		0		(1)		(2)		Other	1		1		—		2
Total increase (decrease)	Total increase (decrease)	0		0		(1)		(1)		Total increase (decrease)	9		7		21		21
Total income tax expense (benefit)	Total income tax expense (benefit)	$	12	$	12	$	31	$	31	Total income tax expense (benefit)	$	45	$	44	$	116	$	125


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	~~Six Months~~
	Loss on sale for the nine month period ended September 30, 2021
Sales proceeds, net of realized foreign currency hedge losses (a)	$	10,732
Unrealized foreign currency hedge losses recognized in 2020	125
Less: Costs to sell (b)	69
Less: Carrying value (c)	12,397
Loss on sale	$	(1,609)


	Held for Sale at December 31, 2020
Cash and cash equivalents	$	266
Accounts receivable and unbilled revenues	389
Price risk management assets	146
Property, plant and equipment, net (a)	14,392
Goodwill	2,558
Other intangibles	413
Pension benefit asset	682
Other assets	137
Total Assets	$	18,983

Short-term debt and long-term debt due within one year	$	994
Accounts payable	220
Customer deposits	217
Accrued interest	190

Long-term debt	7,938
Total deferred income taxes	1,032
Price risk management liabilities	137
Other deferred credits and liabilities	295
Total Liabilities	$	11,023

Net assets (b)	$	7,960


	Pension Benefits
	Three Months								Six Months
	U.S.				U.K. (a)				U.S.				U.K. (a)
	2021		2020		2021		2020		2021		2020		2021		2020
PPL
Service cost	$	15	$	15	$	31	$	21	$	28	$	28	$	56	$	44
Interest cost	29		36		33		35		61		74		62		71
Expected return on plan assets	(66)		(63)		(207)		(151)		(127)		(123)		(384)		(309)
Amortization of:
Prior service cost	2		2		0		0		4		4		0		0
Actuarial loss	24		24		62		52		49		44		116		106



Net periodic defined benefit costs (credits)	$	4	$	14	$	(81)	$	(43)	$	15	$	27	$	(150)	$	(88)


		Other Postretirement Benefits									Other Postretirement Benefits
		Three Months				Six Months					Three Months				Nine Months
		2021		2020		2021		2020			2021		2020		2021		2020
PPL	PPL									PPL
Service cost	Service cost	$	1	$	1	$	3	$	3	Service cost	$	2	$	2	$	5	$	5
Interest cost	Interest cost	4		5		8		10		Interest cost	4		4		12		14
Expected return on plan assets	Expected return on plan assets	(7)		(6)		(12)		(11)		Expected return on plan assets	(6)		(5)		(18)		(16)
Amortization of:	Amortization of:									Amortization of:
Prior service cost	Prior service cost	1		1		1		1		Prior service cost	—		—		1		1

Actuarial loss										Actuarial loss	(1)		—		(1)		—
Net periodic defined benefit costs	Net periodic defined benefit costs	$	(1)	$	1	$	0	$	3	Net periodic defined benefit costs	$	(1)	$	1	$	(1)	$	4


	June 30, 2021				December 31, 2020
	Carrying Amount (a)		Fair Value		Carrying Amount (a)		Fair Value
PPL	$	13,295	$	15,393	$	14,689	$	17,774
PPL Electric	4,885		5,732		4,236		5,338
LG&E	2,006		2,394		2,007		2,499
KU	2,618		3,160		2,618		3,334


Derivatives Not Designated as Hedging Instruments	Location of Gain (Loss) Recognized in Income on Derivative	Three Months		Six Months
Foreign currency contracts	Income (Loss) from Discontinued Operations (net of taxes)	$	(241)	$	(266)
Interest rate swaps	Interest expense	(1)		(2)
	Total	$	(242)	$	(268)
Derivatives Not Designated as Hedging Instruments	Location of Gain (Loss) Recognized as Regulatory Liabilities/Assets	Three Months		Six Months
Interest rate swaps	Regulatory assets - noncurrent	$	(3)	$	3


		Location and Amount of Gain (Loss) Recognized in Income on Hedging Relationships
		Three Months				Six Months				Location and Amount of Gain (Loss) Recognized in Income on Hedging Relationships
		Interest Expense		Income (Loss) from Discontinued Operations (net of income taxes)		Interest Expense		Income (Loss) from Discontinued Operations (net of income taxes)					Three Months						Nine Months
											Interest Expense				Income (Loss) from Discontinued Operations (net of income taxes)			Interest Expense			Income (Loss) from Discontinued Operations (net of income taxes)
Total income and expense line items presented in the income statement in which the effect of cash flow hedges are recorded	Total income and expense line items presented in the income statement in which the effect of cash flow hedges are recorded	$	474	$	555	$	627	$	(1,488)			Total income and expense line items presented in the income statement in which the effect of cash flow hedges are recorded	$	183		$	(2)		$	810		$	(1,490)
The effects of cash flow hedges:	The effects of cash flow hedges:											The effects of cash flow hedges:
Gain (Loss) on cash flow hedging relationships:	Gain (Loss) on cash flow hedging relationships:											Gain (Loss) on cash flow hedging relationships:
Interest rate swaps:	Interest rate swaps:											Interest rate swaps:
Amount of gain (loss) reclassified from AOCI to income	Amount of gain (loss) reclassified from AOCI to income	14		(1)		13		(2)				Amount of gain (loss) reclassified from AOCI to income	(1)			—			12			(2)
Cross-currency swaps:	Cross-currency swaps:											Cross-currency swaps:
Hedged items	Hedged items	0		2		0		39				Hedged items	—			—			—			39
Amount of gain (loss) reclassified from AOCI to Income	Amount of gain (loss) reclassified from AOCI to Income	0		(2)		0		(39)				Amount of gain (loss) reclassified from AOCI to Income	—			—			—			(39)


		Assets								Liabilities									Assets								Liabilities
				Eligible for Offset								Eligible for Offset									Eligible for Offset								Eligible for Offset
		Gross		Derivative Instruments		Cash Collateral Received		Net		Gross		Derivative Instruments		Cash Collateral Pledged		Net			Gross		Derivative Instruments		Cash Collateral Received		Net		Gross		Derivative Instruments		Cash Collateral Pledged		Net
June 30, 2021
September 30, 2021																		September 30, 2021
Treasury Derivatives	Treasury Derivatives																	Treasury Derivatives
PPL	PPL	$	0	$	0	$	0	$	0	$	20	$	0	$	0	$	20	PPL	$	—	$	—	$	—	$	—	$	19	$	—	$	—	$	19
LG&E	LG&E	0		0		0		0		20		0		0		20		LG&E	—		—		—		—		19		—		—		19


		PPL		LG&E		KU			PPL		LG&E		KU
Balance at December 31, 2020	Balance at December 31, 2020	$	182	$	67	$	115	Balance at December 31, 2020	$	182	$	67	$	115
Accretion	Accretion	8		3		5		Accretion	12		4		8

Changes in estimated timing or cost	Changes in estimated timing or cost	15		5		10		Changes in estimated timing or cost	50		34		16

Obligations settled	Obligations settled	(33)		(15)		(18)		Obligations settled	(43)		(16)		(27)
Balance at June 30, 2021		$	172	$	60	$	112
Balance at September 30, 2021								Balance at September 30, 2021	$	201	$	89	$	112


		Foreign currency translation adjustments		Unrealized gains (losses) on qualifying derivatives			Defined benefit plans									Foreign currency translation adjustments		Unrealized gains (losses) on qualifying derivatives			Defined benefit plans
						Prior service costs			Actuarial gain (loss)			Total								Prior service costs			Actuarial gain (loss)			Total
PPL	PPL																PPL
March 31, 2021		$	(855)	$	(5)		$	(16)		$	(3,006)		$	(3,882)
June 30, 2021															June 30, 2021	$	—	$	—		$	(15)		$	(176)		$	(191)
Amounts arising during the period	Amounts arising during the period	69		(9)			0			(6)			54		Amounts arising during the period	—		—			—			(12)			(12)
Reclassifications from AOCI	Reclassifications from AOCI	0		(1)			(7)			67			59		Reclassifications from AOCI	—		1			9			10			20
Reclassifications from AOCI due to the sale of the U.K. utility business (Note 9)		786		15			8			2,769			3,578

Net OCI during the period	Net OCI during the period	855		5			1			2,830			3,691		Net OCI during the period	—		1			9			(2)			8
June 30, 2021		$	0	$	0		$	(15)		$	(176)		$	(191)
September 30, 2021															September 30, 2021	$	—	$	1		$	(6)		$	(178)		$	(183)

December 31, 2020	December 31, 2020	$	(1,158)	$	0		$	(16)		$	(3,046)		$	(4,220)	December 31, 2020	$	(1,158)	$	—		$	(16)		$	(3,046)		$	(4,220)
Amounts arising during the period	Amounts arising during the period	372		(39)			0			(6)			327		Amounts arising during the period	372		(39)			—			(18)			315
Reclassifications from AOCI	Reclassifications from AOCI	0		24			(7)			107			124		Reclassifications from AOCI	—		25			2			117			144
Reclassifications from AOCI due to the sale of the U.K. utility business (Note 9)	Reclassifications from AOCI due to the sale of the U.K. utility business (Note 9)	786		15			8			2,769			3,578		Reclassifications from AOCI due to the sale of the U.K. utility business (Note 9)	786		15			8			2,769			3,578
Net OCI during the period	Net OCI during the period	1,158		0			1			2,870			4,029		Net OCI during the period	1,158		1			10			2,868			4,037
June 30, 2021		$	0	$	0		$	(15)		$	(176)		$	(191)
September 30, 2021															September 30, 2021	$	—	$	1		$	(6)		$	(178)		$	(183)

March 31, 2020		$	(1,486)	$	0		$	(17)		$	(2,863)		$	(4,366)
June 30, 2020															June 30, 2020	$	(1,777)	$	8		$	(16)		$	(2,817)		$	(4,602)
Amounts arising during the period	Amounts arising during the period	(291)		28			0			(1)			(264)		Amounts arising during the period	643		(52)			—			(16)			575
Reclassifications from AOCI	Reclassifications from AOCI	0		(20)			1			47			28		Reclassifications from AOCI	—		48			—			52			100
Net OCI during the period	Net OCI during the period	(291)		8			1			46			(236)		Net OCI during the period	643		(4)			—			36			675
June 30, 2020		$	(1,777)	$	8		$	(16)		$	(2,817)		$	(4,602)
September 30, 2020															September 30, 2020	$	(1,134)	$	4		$	(16)		$	(2,781)		$	(3,927)

December 31, 2019															December 31, 2019	$	(1,425)	$	(5)		$	(18)		$	(2,910)		$	(4,358)
Amounts arising during the period															Amounts arising during the period	291		(16)			—			(17)			258
Reclassifications from AOCI															Reclassifications from AOCI	—		25			2			146			173
Net OCI during the period															Net OCI during the period	291		9			2			129			431
September 30, 2020															September 30, 2020	$	(1,134)	$	4		$	(16)		$	(2,781)		$	(3,927)


		Three Months				Six Months				Affected Line Item on the		Three Months				Nine Months				Affected Line Item on the
Details about AOCI	Details about AOCI	2021		2020		2021		2020		Statements of Income	Details about AOCI	2021		2020		2021		2020		Statements of Income
Qualifying derivatives	Qualifying derivatives										Qualifying derivatives
Interest rate swaps	Interest rate swaps	$	14	$	(2)	$	13	$	(4)	Interest Expense	Interest rate swaps	$	(1)	$	(3)	$	12	$	(7)	Interest Expense

		(1)		0		(2)		(1)		Income (Loss) from Discontinued Operations (net of income taxes)		—		(1)		(2)		(2)		Income (Loss) from Discontinued Operations (net of income taxes)
Cross-currency swaps	Cross-currency swaps	(2)		26		(39)		32		Income (Loss) from Discontinued Operations (net of income taxes)	Cross-currency swaps	—		(56)		(39)		(24)		Income (Loss) from Discontinued Operations (net of income taxes)

Total Pre-tax	Total Pre-tax	11		24		(28)		27			Total Pre-tax	(1)		(60)		(29)		(33)
Income Taxes	Income Taxes	(10)		(4)		4		(4)			Income Taxes	—		12		4		8
Total After-tax	Total After-tax	1		20		(24)		23			Total After-tax	(1)		(48)		(25)		(25)

Defined benefit plans	Defined benefit plans										Defined benefit plans
Prior service costs (a)	Prior service costs (a)	9		(1)		9		(2)			Prior service costs (a)	(12)		(1)		(3)		(3)
Net actuarial loss (a)	Net actuarial loss (a)	(71)		(58)		(133)		(117)			Net actuarial loss (a)	(14)		(64)		(147)		(181)
Total Pre-tax	Total Pre-tax	(62)		(59)		(124)		(119)			Total Pre-tax	(26)		(65)		(150)		(184)
Income Taxes	Income Taxes	2		11		24		23			Income Taxes	7		13		31		36
Total After-tax	Total After-tax	(60)		(48)		(100)		(96)			Total After-tax	(19)		(52)		(119)		(148)

Sale of the U.K. utility business (Note 9)	Sale of the U.K. utility business (Note 9)										Sale of the U.K. utility business (Note 9)
Foreign currency translation adjustments	Foreign currency translation adjustments	(646)		0		(646)		0		Income (Loss) from Discontinued Operations (net of income taxes)	Foreign currency translation adjustments	—		—		(646)		—		Income (Loss) from Discontinued Operations (net of income taxes)
Qualifying derivatives	Qualifying derivatives	(15)		0		(15)		0		Income (Loss) from Discontinued Operations (net of income taxes)	Qualifying derivatives	—		—		(15)		—		Income (Loss) from Discontinued Operations (net of income taxes)
Defined benefit plans	Defined benefit plans	(3,577)		0		(3,577)		0		Income (Loss) from Discontinued Operations (net of income taxes)	Defined benefit plans	—		—		(3,577)		—		Income (Loss) from Discontinued Operations (net of income taxes)
Total Pre-tax	Total Pre-tax	(4,238)		0		(4,238)		0			Total Pre-tax	—		—		(4,238)		—
Income Taxes	Income Taxes	660		0		660		0			Income Taxes	—		—		660		—
Total After-tax	Total After-tax	(3,578)		0		(3,578)		0			Total After-tax	—		—		(3,578)		—
Total reclassifications during the period	Total reclassifications during the period	$	(3,637)	$	(28)	$	(3,702)	$	(73)		Total reclassifications during the period	$	(20)	$	(100)	$	(3,722)	$	(173)


		Income Statement Line Item		Three Months								Six Months								Income Statement Line Item			Three Months								Nine Months
			2021			2020				2021				2020								2021			2020				2021				2020

Valuation allowance adjustment (a)	Valuation allowance adjustment (a)		Income Taxes			$	—			$	—			$	4			$	—		Valuation allowance adjustment (a)	Income Taxes			$	—			$	—			$	4			$	—
COVID-19 impact, net of tax of $0, $1, $0, $1 (b)		Other operation and maintenance		—				(4)				—				(4)
COVID-19 impact, net of tax of $0, $0, $0, $1 (b)																		COVID-19 impact, net of tax of $0, $0, $0, $1 (b)		Other operation and maintenance			—				—				—				(4)

Total Special Items	Total Special Items			$	—			$	(4)			$	4			$	(4)	Total Special Items					$	—			$	—			$	4			$	(4)


	2021 Three Months
	Kentucky Adjusted Gross Margins		Pennsylvania Adjusted Gross Margins		Other (a)		Operating Income (b)
Operating Revenues	$	879	$	628	$	5	$	1,512
Operating Expenses
Fuel	195		—		—		195
Energy purchases	24		143		—		167

Other operation and maintenance	22		35		336		393
Depreciation	12		12		250		274
Taxes, other than income	1		30		21		52
Total Operating Expenses	254		220		607		1,081
Total	$	625	$	408	$	(602)	$	431

	2020 Three Months
	Kentucky Adjusted Gross Margins		Pennsylvania Adjusted Gross Margins		Other (a)		Operating Income (b)
Operating Revenues	$	806	$	586	$	8	$	1,400
Operating Expenses
Fuel	177		—		—		177
Energy purchases	18		118		—		136

Other operation and maintenance	25		23		298		346
Depreciation	39		13		205		257
Taxes, other than income	1		28		18		47
Total Operating Expenses	260		182		521		963
Total	$	546	$	404	$	(513)	$	437

	2021 Nine Months
	Kentucky Adjusted Gross Margins		Pennsylvania Adjusted Gross Margins		Other (a)		Operating Income (b)
Operating Revenues	$	2,505	$	1,797	$	(4)	$	4,298
Operating Expenses
Fuel	531		—		—		531
Energy purchases	122		402		—		524

Other operation and maintenance	71		86		1,007		1,164
Depreciation	93		44		673		810
Taxes, other than income	4		84		65		153
Total Operating Expenses	821		616		1,745		3,182
Total	$	1,684	$	1,181	$	(1,749)	$	1,116


	Three Months		Six Months
Additions of PP&E, net	$	5	$	12
Cost of removal and salvage amortization	3		6
Total	$	8	$	18


	Three Months		Six Months
Volumes (a)	$	6	$	32

Fuel and other energy prices (b)	7		12




Demand	5		6
Other	5		10
Total	$	23	$	60


	Committed Capacity		Borrowed		Letters of Credit and Commercial Paper Issued		Unused Capacity
PPL Capital Funding Credit Facilities	$	1,550	$	—	$	15	$	1,535
PPL Electric Credit Facility	650		—		1		649


LG&E Credit Facilities	500		—		—		500
KU Credit Facilities	400		—		—		400
Total Credit Facilities (a)	$	3,100	$	—	$	16	$	3,084


		Committed Capacity		Borrowed		Commercial Paper Program Capacity		Unused Capacity			Committed Capacity		Borrowed		Commercial Paper Program Capacity		Unused Capacity

LG&E Money Pool (a)	LG&E Money Pool (a)	$	750	$	282	$	425	$	43	LG&E Money Pool (a)	$	750	$	284	$	425	$	41
KU Money Pool (a)	KU Money Pool (a)	650		226		350		74		KU Money Pool (a)	650		208		350		92


	Capacity		Commercial Paper Issuances		Unused Capacity
PPL Capital Funding	$	1,500	$	—	$	1,500
PPL Electric	650		—		650

LG&E (a)	425		—		425
KU	350		—		350
Total PPL	$	2,925	$	—	$	2,925


		Exposure Hedged		Fair Value, Net - Asset (Liability) (a)		Effect of a 10% Adverse Movement in Rates (b)		Maturities Ranging Through		Exposure Hedged		Fair Value, Net - Asset (Liability) (a)		Effect of a 10% Adverse Movement in Rates (b)		Maturities Ranging Through
PPL	PPL								PPL

Economic hedges	Economic hedges								Economic hedges
Interest rate swaps (c)	Interest rate swaps (c)	$	64	$	(20)	$	(1)	2033	Interest rate swaps (c)	$	64	$	(19)	$	(1)	2033
LG&E	LG&E								LG&E
Economic hedges	Economic hedges								Economic hedges
Interest rate swaps (c)	Interest rate swaps (c)	64		(20)		(1)		2033	Interest rate swaps (c)	64		(19)		(1)		2033


	10% Adverse Movement in Rates
PPL	$	~~468~~390
PPL Electric	~~178~~164
LG&E	7973
KU	~~124~~113