Derivative Instruments and Hedging Activities

12 Months Ended

Dec. 31, 2023

Derivative Instruments and Hedging Activities

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

DPL previously entered into interest rate derivative contracts to manage interest rate exposure related to anticipated borrowings of fixed-rate debt. The derivative instruments were used for risk management purposes and were designated as cash flow hedges if they qualified under ASC 815 for accounting purposes. These interest rate derivative contracts were settled in 2013 and we continue to amortize amounts out of AOCL into interest expense.

The following tables provide information on gains recognized in AOCL for the cash flow hedges for the periods indicated:

	Years ended December 31,
	2023		2022		2021
$ in millions (net of tax)	Interest Rate Hedge		Interest Rate Hedge		Interest Rate Hedge
Beginning accumulated derivative gain in AOCL	$	12.0	$	12.8	$	13.6
Net gains reclassified to earnings:
Interest expense	(0.8)		(0.8)		(0.8)
Ending accumulated derivative gain in AOCL	$	11.2	$	12.0	$	12.8
Portion expected to be reclassified to earnings in the next twelve months	$	(0.8)