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LEASES (Tables)
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Schedule of Lease Rental Costs and Supplemental Lease Information The components of rental costs were as follows:
Year Ended December 31, 2025AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Operating Lease Cost
$137 $18 $1 $20 $20 $17 $14 $20 
Finance Lease Cost:
Amortization of Right-of-Use Assets
51 8 — 9 6 4 3 4 
Interest on Lease Liabilities
10 2 — 1 2 1 1 1 
Total Lease Rental Costs (a)$198 $28 $1 $30 $28 $22 $18 $25 
Year Ended December 31, 2024AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Operating Lease Cost
$146 $32 $1 $18 $20 $17 $14 $18 
Finance Lease Cost:
Amortization of Right-of-Use Assets
64 8 — 9 7 5 3 13 
Interest on Lease Liabilities
12 1 — 2 2 1 1 1 
Total Lease Rental Costs (a)$222 $41 $1 $29 $29 $23 $18 $32 
Year Ended December 31, 2023AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Operating Lease Cost
$150 $34 $1 $19 $20 $17 $14 $18 
Finance Lease Cost:
Amortization of Right-of-Use Assets
69 8 — 8 7 5 3 20 
Interest on Lease Liabilities
12 1 — 2 2 1 1 1 
Total Lease Rental Costs (a)$231 $43 $1 $29 $29 $23 $18 $39 

(a)Excludes variable and short-term lease costs, which were immaterial.
Supplemental information related to leases are shown in the tables below:
December 31, 2025AEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
Weighted-Average Remaining Lease Term (years):
Operating Leases
17.334.333.2913.033.734.0425.5929.02
Finance Leases
4.534.800.004.425.124.244.615.60
Weighted-Average Discount Rate:
Operating Leases
4.74 %4.57 %4.51 %5.08 %4.61 %4.36 %4.48 %4.96 %
Finance Leases
6.36 %5.99 %— %5.73 %9.04 %5.74 %5.71 %5.90 %

December 31, 2024AEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
Weighted-Average Remaining Lease Term (years):
Operating Leases
12.804.452.295.394.434.6423.6821.97
Finance Leases
4.815.040.004.094.834.585.446.14
Weighted-Average Discount Rate:
Operating Leases
3.89 %4.29 %4.55 %4.20 %4.11 %4.17 %3.76 %3.60 %
Finance Leases
6.43 %5.73 %— %6.69 %9.07 %5.59 %5.48 %5.73 %

Year Ended December 31, 2025AEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating Cash Flows Used for Operating Leases
$135 $18 $1 $20 $20 $17 $13 $20 
Operating Cash Flows Used for Finance Leases
10 1 — 1 2 1 1 1 
Financing Cash Flows Used for Finance Leases
51 8 — 9 6 4 3 4 
Non-cash Acquisitions Under Operating Leases$190 $12 $1 $44 $17 $4 $28 $70 

Year Ended December 31, 2024AEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating Cash Flows Used for Operating Leases
$144 $32 $1 $18 $20 $17 $13 $17 
Operating Cash Flows Used for Finance Leases
12 1 — 2 2 1 1 2 
Financing Cash Flows Used for Finance Leases
65 8 — 9 7 5 3 14 
Non-cash Acquisitions Under Operating Leases$82 $6 $1 $9 $15 $5 $3 $27 
Schedule of Property, Plant, and Equipment Under Finance Leases and Noncurrent Assets Under Operating Leases
The following tables show property, plant and equipment under finance leases and noncurrent assets under operating leases and related obligations recorded on the balance sheets.  Unless shown as a separate line on the balance sheets due to materiality, net operating lease assets are included in Deferred Charges and Other Noncurrent Assets, current finance lease obligations are included in Other Current Liabilities and long-term finance lease obligations are included in Deferred Credits and Other Noncurrent Liabilities on the balance sheets. Lease obligations are not recognized on the balance sheets for lease agreements with a lease term of less than twelve months.
December 31, 2025AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Property, Plant and Equipment Under Finance Leases:
Generation$48 $— $— $40 $5 $— $1 $2 
Other Property, Plant and Equipment291 53 — 19 38 28 23 29 
Total Property, Plant and Equipment339 53 — 59 43 28 24 31 
Accumulated Amortization184 29 — 44 25 15 13 14 
Net Property, Plant and Equipment Under Finance Leases
$155 $24 $— $15 $18 $13 $11 $17 
Obligations Under Finance Leases:
Noncurrent Liability$112 $17 $— $10 $13 $8 $8 $13 
Liability Due Within One Year43 7 — 4 4 4 3 4 
Total Obligations Under Finance Leases
$155 $24 $— $14 $17 $12 $11 $17 

December 31, 2024AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Property, Plant and Equipment Under Finance Leases:
Generation$74 $— $— $42 $17 $— $1 $2 
Other Property, Plant and Equipment284 53 — 19 38 30 23 30 
Total Property, Plant and Equipment358 53 — 61 55 30 24 32 
Accumulated Amortization194 28 — 42 33 16 12 13 
Net Property, Plant and Equipment Under Finance Leases
$164 $25 $— $19 $22 $14 $12 $19 
Obligations Under Finance Leases:
Noncurrent Liability$117 $18 $— $11 $16 $10 $9 $15 
Liability Due Within One Year47 7 — 8 6 4 3 4 
Total Obligations Under Finance Leases
$164 $25 $— $19 $22 $14 $12 $19 

December 31, 2025AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Operating Lease Assets
$661 $52 $3 $95 $52 $50 $126 $198 
Obligations Under Operating Leases:
Noncurrent Liability$578 $40 $2 $81 $37 $37 $122 $195 
Liability Due Within One Year100 14 1 15 17 13 11 7 
Total Obligations Under Operating Leases
$678 $54 $3 $96 $54 $50 $133 $202 
December 31, 2024AEPAEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Operating Lease Assets
$580 $54 $2 $67 $52 $60 $106 $141 
Obligations Under Operating Leases:
Noncurrent Liability$504 $43 $1 $54 $40 $48 $102 $138 
Liability Due Within One Year92 13 1 14 12 12 10 8 
Total Obligations Under Operating Leases
$596 $56 $2 $68 $52 $60 $112 $146 
Schedule of Finance Lease Liabilities Rolling Future Minimum Lease Payments
Future minimum lease payments consisted of the following as of December 31, 2025:
Finance LeasesAEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
2026$52 $8 $— $5 $5 $4 $4 $5 
202741 6 — 3 5 3 3 4 
202830 4 — 2 4 2 2 3 
202921 3 — 2 3 1 1 3 
203015 2 — 1 2 1 1 2 
After 203021 5 — 2 3 1 2 4 
Total Future Minimum Lease Payments
180 28 — 15 22 12 13 21 
Less: Imputed Interest
25 4 — 1 5 — 2 4 
Estimated Present Value of Future Minimum Lease Payments$155 $24 $— $14 $17 $12 $11 $17 

Operating LeasesAEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
2026$133 $17 $1 $20 $19 $16 $13 $21 
2027114 14 1 19 15 14 12 19 
202899 11 1 16 13 12 11 17 
202971 7 — 12 8 7 9 14 
203047 5 — 8 2 3 7 12 
After 2030607 7 — 68 2 3 178 339 
Total Future Minimum Lease Payments
1,071 61 3 143 59 55 230 422 
Less: Imputed Interest393 7 — 47 5 5 97 220 
Estimated Present Value of Future Minimum Lease Payments$678 $54 $3 $96 $54 $50 $133 $202 
Schedule of Operating Lease Liabilities Rolling Future Minimum Lease Payments
Future minimum lease payments consisted of the following as of December 31, 2025:
Finance LeasesAEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
2026$52 $8 $— $5 $5 $4 $4 $5 
202741 6 — 3 5 3 3 4 
202830 4 — 2 4 2 2 3 
202921 3 — 2 3 1 1 3 
203015 2 — 1 2 1 1 2 
After 203021 5 — 2 3 1 2 4 
Total Future Minimum Lease Payments
180 28 — 15 22 12 13 21 
Less: Imputed Interest
25 4 — 1 5 — 2 4 
Estimated Present Value of Future Minimum Lease Payments$155 $24 $— $14 $17 $12 $11 $17 

Operating LeasesAEPAEP Texas AEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
2026$133 $17 $1 $20 $19 $16 $13 $21 
2027114 14 1 19 15 14 12 19 
202899 11 1 16 13 12 11 17 
202971 7 — 12 8 7 9 14 
203047 5 — 8 2 3 7 12 
After 2030607 7 — 68 2 3 178 339 
Total Future Minimum Lease Payments
1,071 61 3 143 59 55 230 422 
Less: Imputed Interest393 7 — 47 5 5 97 220 
Estimated Present Value of Future Minimum Lease Payments$678 $54 $3 $96 $54 $50 $133 $202 
Schedule of Maximum Potential Loss As of December 31, 2025, the maximum potential loss by the Registrants for these lease agreements assuming the fair value of the equipment is zero at the end of the lease term was as follows:
CompanyMaximum
Potential Loss
(in millions)
AEP$38 
AEP Texas9 
APCo5 
I&M4 
OPCo6 
PSO4 
SWEPCo4