The following discussion and analysis of our financial condition and results of operations should be read together with the condensed consolidated financial statements and related notes included in Part I, Item 1. Financial Statements. Business Environment and Outlook Electricity Demand Electricity demand drivers including the rise of large scale data centers, the electrification of oil field operations, and electric vehicle load building are contributing to a projected fast-paced load growth in the regions we serve. Our integrated retail electricity and power generation operations allow us to quickly respond to electricity demand changes. To support growing demand from large‑scale electricity consumers, we continue to engage in discussions with various counterparties regarding the potential long-term sale of power from our generation facilities, and we are progressing a series of development initiatives across our generation portfolio, including nuclear uprates and other capacity expansions. Supply Chain Constraints Our industry continues to face ongoing supply chain constraints and labor shortages, which have reduced the availability of essential equipment and supplies for constructing new generation facilities, increased the lead times for procuring materials, and raised equipment and labor costs associated with maintaining our natural gas, nuclear, and coal fleet. We are proactively managing these constraints by continuously re-evaluating the business cases and timing of our planned development projects. This has led to the deferral or abandonment of some planned capital expenditures for our solar and battery projects and could impact the economic feasibility of additional projects in our new generation development pipeline. We are engaging with suppliers to secure key materials needed to maintain our existing generation facilities before future planned outages. Iran Conflict We are monitoring the conflict involving the United States, Israel, and Iran and related instability in the Middle East, including the potential for further escalation and disruption. Although the Company does not conduct operations in the affected region, prolonged or expanded instability could indirectly affect the Company through broader macroeconomic and commodity-market impacts, including changes in natural gas and power prices, supply-chain disruptions, construction delays, increased inflationary pressures, and capital-market volatility, which could impact our future results of operations. See Factors Affecting Our Financial Condition and Results of Operations — Commodity Prices for additional information on our commodity hedging strategy and estimated hedging levels for the balance of 2026 and 2027. Noteworthy Developments Capacity Markets — PJM Auction Results In July 2026, Vistra received its results from the PJM Capacity Auction for planning year 2028-2029, and the table below lists clearing price per MW-day and our cleared capacity volumes by zone: Zone Clearing Price per MW-day Total MW Cleared RTO $ 325.00 4,130 ComEd $ 325.00 1,174 DEOK $ 325.00 927 EMAAC $ 325.00 1,819 MAAC $ 325.00 585 ATSI $ 325.00 2,069 DOM $ 325.00 220 Total 10,924 52 VISTRA CORP. Strategic Investment in Digital Infrastructure In June 2026, the Company entered into a limited partnership agreement governing KKR Helix C L.P. (the Helix Fund), an open-ended investment fund managed by affiliates of KKR & Co. Inc. (KKR). As a founding investor in the Helix Fund, the Company committed up to $1 billion consisting of (i) an initial $500 million commitment and (ii) an additional $500 million commitment subject to the Helix Fund meeting certain commercial power supply milestones for our existing generation assets or, at the Company's election, regardless of whether such milestones are achieved. The Helix Fund will seek to invest in and manage assets critical to enabling artificial intelligence (AI), including hyperscale data center development and operations; baseload and flexible power generation; transmission and distribution infrastructure; and fiber and connectivity infrastructure, among other assets. This investment reflects our strategy to participate in the growing demand for power generation assets supporting hyperscale data center development, while leveraging our existing fleet and development capabilities. Gas Plants Disposition In June 2026, Vistra Operations entered into a purchase and sale agreement for the sale of our Casco Bay, Beaver Falls, and Syracuse natural gas generation facilities (the Disposal Group). The transaction is expected to close in the second half of 2026, subject to customary closing conditions, including receipt of applicable regulatory approvals. The related assets and liabilities of the Disposal Group were classified as held for sale as of June 30, 2026 and are reported in the East segment. See Note 2 to the Financial Statements for additional information. Planned Gas-Fueled Dispatchable Power in ERCOT In May 2024, we announced our intention to add up to 2,000 MW of dispatchable, natural gas-fueled electricity capacity in west, central, and north Texas consisting of the following projects: •Building up to 860 MW of advanced simple-cycle peaking plants to be located in west Texas to support the increasing power needs of the region, including the state's oil and gas industry. Early development work is underway on this project which we anticipate will be online in 2028. •Repowering the coal-fueled Coleto Creek Power Plant near Goliad, Texas, set to retire in 2026 to comply with EPA rules, as a natural-gas-fueled plant with up to 600 MW of capacity. •Completing upgrades at existing natural-gas-fueled plants that will add more than 500 MW of summer capacity and 100 MW of winter capacity. In June 2026, Permian Power entered into a $583 million loan agreement with the Texas Energy Fund (TxEF) to finance the development of the 860 MW peaking plant in west Texas (TxEF Loan). The loan is non-recourse to Vistra, and interest on the TxEF Loan is calculated at a fixed rate of 3.0% per annum. As of June 30, 2026, $172 million was outstanding under the agreement. Collateral Release On December 2, 2025, S&P upgraded Vistra Operations' issuer credit rating from BB+ to BBB- and revised its outlook from Positive to Stable, and on March 20, 2026, S&P upgraded the Senior Unsecured Notes rating from BB+ to BBB-. On March 16, 2026, Fitch upgraded Vistra Operations' issuer default rating and the Senior Unsecured Notes rating from BB+ to BBB- and revised its outlook from Positive to Stable. As a result of these investment-grade ratings and the satisfaction of certain other conditions specified in the Vistra Operations Senior Secured Indenture, an investment-grade event was deemed to have occurred, and the liens on the collateral securing the Senior Secured Notes were automatically terminated and released in full on April 2, 2026 (Indenture Collateral Release). The Indenture Collateral Release represents the elimination of the collateral and related lien provisions under the Vistra Operations Senior Secured Indenture only and did not modify, refinance, extinguish, or otherwise change the outstanding principal amount, maturity, interest rates, or other material terms of the Senior Secured Notes. Following the Indenture Collateral Release, the Senior Secured Notes are effectively unsecured and rank pari passu with the Senior Unsecured Notes. The Indenture Collateral Release is subject to reversion if the applicable rating agencies withdraw the investment-grade ratings or downgrade the ratings below investment grade, subject to a 60-day grace period. 53 VISTRA CORP. Additionally, Vistra Operations repaid $2.444 billion in outstanding borrowings under the Term Loan B-3 facility in April 2026, and in coordination with the investment-grade ratings, met the collateral suspension provisions of the Vistra Operations Credit Agreement and Commodity-Linked Credit Agreement releasing all liens securing the Vistra Operations Credit Facilities and the Vistra Operations Commodity-Linked Credit Facility (Credit Facility Collateral Release). The Vistra Operations Credit Agreement and Vistra Operations Commodity-Linked Credit Facility were amended in June 2026 to, among other things, remove the collateral reinstatement requirements applicable to the Vistra Operations Credit Agreement and the Vistra Operations Commodity-Linked Credit Facility. The Vistra Operations Credit Agreement was also amended to release each guarantor from its guarantee to the extent related to the revolving credit loans, revolving credit commitments, letters of credit, letters of commitments and/or secured cash management agreements, in each case, under the Vistra Operations Credit Agreement. The Vistra Operations Commodity-Linked Credit Facility was amended to release each guarantor from its guarantee. PJM Nuclear Power Purchase Agreements and Uprates In January 2026, Vistra announced it had entered into 20-year PPAs with Meta, pursuant to which the Company has agreed to supply Meta with a total of 2,609 MW of carbon-free power and capacity from the Company's PJM nuclear power plants as follows: •1,268 MW of energy and capacity from Perry and 908 MW of energy and capacity from Davis-Besse; and •213 MW of uprate energy and capacity from Perry, 80 MW of uprate energy and capacity from Davis-Besse, and 140 MW of uprate energy and capacity from Beaver Valley. Under the terms of the PPAs, the Company anticipates commencing delivery on a portion of the operating energy and capacity in late 2026 and full delivery of the operating energy and capacity by year end 2027. Additionally, the Company anticipates commencing delivery on a portion of the uprate energy and capacity by 2031 and full delivery of the uprate energy and capacity by year end 2034. To achieve the uprates, the Company expects to incur capital expenditures commencing in 2026 and extending through 2034, with less than 20% of the aggregate spend projected to occur by year end 2028. The timing and amount of our planned uprate expenditures will depend on a range of factors, including regulatory approvals, engineering evaluations and capital allocation decisions. Cogentrix Transaction On December 31, 2025, Vistra executed definitive agreements to acquire Cogentrix Energy which consists of 10 modern natural gas generation facilities totaling approximately 5,500 MW of capacity (Cogentrix Transaction). The facilities include three combined cycle gas turbine facilities and two combustion turbine facilities located across PJM, four combined cycle gas turbine facilities in ISO-NE, and one cogeneration facility in ERCOT. Aggregate consideration at closing will consist of approximately (i) $2.3 billion in cash, net of adjustments for the assumption of an estimated $1.5 billion of outstanding indebtedness of Cogentrix as of the closing date, and (ii) 5,000,000 shares of Vistra common stock, par value $0.01, to be issued to the seller, at a mutually agreed-upon value of $185 per share. Consummation of the Cogentrix Transaction is subject to customary closing conditions, including receipt of all requisite regulatory approvals, including approvals of FERC and the expiration or termination of all applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. In August 2026, we received FERC approval. The Cogentrix Transaction is expected to close in late 2026. Lotus Acquisition On October 22, 2025, pursuant to a purchase and sale agreement dated May 15, 2025, Vistra Operations acquired 100% of the membership interests of certain subsidiaries of Lotus (Lotus Acquisition). The Lotus Acquisition resulted in the addition of seven natural gas generation facilities totaling 2,600 MW in Delaware and Pennsylvania (PJM), Rhode Island (ISO-NE), New York (NYISO), and California (CAISO), further geographically diversifying Vistra's natural gas fleet. 54 VISTRA CORP. The aggregate purchase price consisted of a base purchase price of $1.9 billion, subject to certain customary adjustments, including the acquired companies' working capital, cash, indebtedness, and certain other adjustments. Vistra Operations funded the Lotus Acquisition with a combination of cash and the assumption of the acquired companies' indebtedness which consisted of a senior secured credit facility, including an existing term loan with approximately $800 million principal outstanding, which reduced the cash consideration payable at closing. Cash consideration payable at closing, excluding adjustments for the acquired companies' working capital, cash, and certain other adjustments, was $1.1 billion. See Note 2 to the Financial Statements for additional information. Comanche Peak Power Purchase Agreement In September 2025, Vistra announced that we entered into a 20-year PPA (with options to extend for up to an additional 20 years) with Amazon Web Services (AWS), pursuant to which we agreed to supply AWS 1,200 MW of carbon-free power from the Comanche Peak Nuclear Power Plant. Vistra anticipates power delivery to begin in the fourth quarter of 2027 and ramp to full capacity by 2032. Nuclear Plant License Renewal In July 2025, our application for license renewal at our Perry Nuclear Plant was approved by the NRC. The license now extends through 2046. Moss Landing 300 Incident On January 16, 2025, we experienced a fire at our Moss Landing 300 MW energy storage facility at the Moss Landing Power Plant site (the Moss Landing Incident) that resulted in ceasing operations at all facilities at the Moss Landing complex until the fire was contained. See Note 9 to the Financial Statements for additional information. Martin Lake Unit 1 Incident On November 27, 2024, we experienced a fire at Unit 1 of our Martin Lake facility in ERCOT (the Martin Lake Incident), an 815 MW unit. We wrote off the unit's net book value of less than $1 million to depreciation expense in December 2024. The unit returned to service in February 2026. See Note 9 to the Financial Statements for additional information. Inflation Reduction Act of 2022 (IRA) In August 2022, the U.S. enacted the IRA, which, among other things, implements substantial new and modified energy tax credits, including recognizing the value of existing carbon-free nuclear power by providing for a nuclear PTC, a solar PTC, new technology-neutral ITCs and PTCs that apply to various different clean energy technologies, and a first-time stand-alone battery storage ITC. The IRA also implements a 15% corporate alternative minimum tax (CAMT) on book income of certain large corporations, and a 1% excise tax on net stock repurchases. The section 45U nuclear PTC is available to existing nuclear facilities from 2024 through 2032 and provides a federal tax credit of up to $15 per MWh, subject to an annually inflated gross-receipts based phase out. As discussed in Note 5 to the Financial Statements in our 2025 Form 10-K, we recognized transferable nuclear PTC revenues of $220 million and $545 million in the years ended December 31, 2025 and 2024, respectively. U.S. Treasury regulations are expected to further define the scope of the legislation in many important respects, including interpretive guidance on the definition of gross receipts for the nuclear PTC. Any interpretive guidance on the definition of gross receipts that differs from the interpretation used in our estimates could result in a material change to PTC revenues recorded in 2024 and 2025 and would be reflected as a change in estimate in the period in which the guidance is received. Factors Affecting Our Financial Condition and Results of Operations Commodity Prices The price of electricity has a significant impact on our operating revenues and purchased power costs. Electricity prices are typically set by the cost to fuel a generation facility and the amount of fuel needed to generate one unit of electricity (Heat Rate) from the generation facility. Market Heat Rate is the implied relationship between wholesale electricity prices and the commodity price of the marginal supplier (generally natural gas plants). 55 VISTRA CORP. Wholesale electricity prices generally move with natural gas prices, except in certain circumstances, such as when ERCOT power prices increase significantly during extreme weather events due to generation scarcity. Because natural gas prices are volatile, the operating costs of our natural gas‑fueled generation facilities can also be volatile. While changes in natural gas prices do not materially affect the cost of generation at our nuclear‑, lignite‑, and coal‑fueled facilities, such changes generally influence electricity prices and, therefore, the operating margins of these facilities. Other factors that may affect electricity prices include fuel costs, load growth, regional generation supply, weather conditions, competitive dynamics, emerging technologies, and macroeconomic and regulatory developments. The wholesale market price of electricity divided by the market price of natural gas represents the Market Heat Rate. Market Heat Rate can be affected by a number of factors, including generation availability, mix of assets and the efficiency of the marginal supplier (generally natural gas-fueled generation facilities) in generating electricity. Our Market Heat Rate exposure is impacted by changes in the availability of generation resources, such as additions and retirements of generation facilities, and mix of generation assets. For example, increasing renewable (wind and solar) generation capacity generally depresses Market Heat Rates, particularly during periods when total demand is relatively low. However, increasing penetration of renewable generation capacity may also contribute to greater volatility of wholesale market prices independent of changes in the price of natural gas, given their intermittent nature. Due to our exposure to variability in natural gas prices and Market Heat Rates, retail sales and hedging activities are critical to our operating results and cash flow stability. Our integrated power generation and retail electricity business provides flexibility to hedge our generation position by utilizing retail markets as an effective sales channel. As we entered the 2025 and 2026 calendar years, substantially all of our expected generation volumes for these years were hedged. This disciplined hedging strategy supports margin protection and contributes to more stable and predictable earnings. As a result of our hedging strategy, the net income of our segments can be significantly impacted by changes in unrealized gains and losses on commodity derivative instruments which are driven by changes in forward power prices. When power prices increase or decrease compared to what our generation segments have sold forward, the generation segments recognize unrealized losses or gains, respectively. Conversely, the retail segment, which procures power from the generation segments to meet future load obligations, experiences an inverse effect on unrealized mark-to-market valuations compared to the generation segments. 56 VISTRA CORP. The table below summarizes the average around-the-clock settled prices for the periods presented and does not necessarily reflect prices we realized or costs we incurred. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Average Power Price ($/MWh): ERCOT North Hub $ 30.20 $ 32.02 $ 31.19 $ 31.46 ERCOT West Hub $ 24.71 $ 31.44 $ 27.12 $ 30.79 PJM AEP Dayton Hub $ 43.40 $ 40.58 $ 56.95 $ 44.23 PJM Northern Illinois Hub $ 29.30 $ 31.03 $ 40.13 $ 33.10 PJM Western Hub $ 51.43 $ 42.35 $ 74.29 $ 48.10 MISO Indiana Hub $ 39.23 $ 39.35 $ 53.16 $ 42.08 ISONE Massachusetts Hub $ 47.59 $ 40.07 $ 82.25 $ 71.24 New York Zone A $ 33.72 $ 35.73 $ 66.91 $ 52.08 CAISO NP15 $ 17.26 $ 26.62 $ 23.10 $ 33.71 Average Natural Gas Price ($/MMBtu) NYMEX Henry Hub $ 2.93 $ 3.16 $ 3.91 $ 3.71 Houston Ship Channel $ 2.45 $ 2.74 $ 2.85 $ 3.10 Permian Basin $ (3.10) $ 1.10 $ (2.08) $ 1.46 Dominion South $ 2.07 $ 2.32 $ 3.39 $ 3.02 Tetco ELA $ 2.64 $ 2.88 $ 3.77 $ 3.47 Chicago Citygate $ 2.47 $ 2.86 $ 3.90 $ 3.43 Tetco M3 $ 2.15 $ 2.47 $ 5.86 $ 4.43 Algonquin Citygates $ 2.37 $ 2.86 $ 8.19 $ 7.32 PG&E Citygate $ 1.55 $ 2.81 $ 1.81 $ 3.26 Estimated hedging levels for generation volumes in our Texas, East, and West segments as of June 30, 2026 were as follows: Balance of 2026 2027 Nuclear/Renewable/Coal Generation: Texas 100 % 100 % East 98 % 74 % Natural Gas Generation: Texas 100 % 69 % East 99 % 97 % West 100 % 78 % Seasonality The demand for and market prices of electricity and natural gas are affected by weather. As a result, our operating results are impacted by extreme or sustained weather conditions and may fluctuate on a seasonal basis. Typically, demand for and the price of electricity is higher in the summer and winter seasons, when the temperatures are more extreme, and the demand for and price of natural gas is also generally higher in the winter. More severe weather conditions such as heat waves or extreme winter weather have made, and may make, such fluctuations more pronounced. The pattern of this fluctuation may change depending on, among other things, the retail load served and the terms of contracts to purchase or sell electricity. 57 VISTRA CORP. To illustrate the impact of weather variability on our operating results, the following table presents cooling and heating degree days relative to normal levels by segment in the three and six months ended June 30, 2026 and 2025. Three Months Ended June 30, Retail Texas East West 2026 2025 2026 2025 2026 2025 2026 2025 Weather - percent of normal (a): Cooling degree days 113 % 101 % 104 % 111 % 107 % 101 % 102 % 91 % Heating degree days 71 % 84 % 95 % 99 % 96 % 90 % 70 % 131 % Six Months Ended June 30, Retail Texas East West 2026 2025 2026 2025 2026 2025 2026 2025 Weather - percent of normal (a): Cooling degree days 123 % 104 % 114 % 114 % 107 % 102 % 147 % 88 % Heating degree days 73 % 104 % 78 % 112 % 105 % 99 % 65 % 125 % ____________ (a)Reflects cooling degree or heating degree days based on Weather Services International (WSI) data. A degree day compares the average of the hourly outdoor temperatures during each day to a 65° Fahrenheit base temperature. Retail amounts represent weather data for the Dallas-Fort Worth area. Results of Operations The tables and discussion that follow present period‑over‑period changes in our results of operations and highlight the primary drivers of those variances for the periods presented. In analyzing and planning for our business, we supplement our use of GAAP financial measures with non-GAAP financial measures, including EBITDA and Adjusted EBITDA as performance measures. These non-GAAP financial measures reflect an additional way of viewing aspects of our business that, when viewed (i) with our GAAP results and (ii) the accompanying reconciliations to corresponding GAAP financial measures may provide a more complete understanding of factors and trends affecting our business. Because EBITDA and Adjusted EBITDA are financial measures that management uses to allocate resources, determine our ability to fund capital expenditures, assess performance against our peers, and evaluate overall financial performance, we believe they provide useful information for investors. These non-GAAP financial measures should not be relied upon to the exclusion of GAAP financial measures and are, by definition, an incomplete understanding of Vistra and must be considered in conjunction with GAAP measures. In addition, non-GAAP financial measures are not standardized; therefore, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. We strongly encourage investors to review the condensed consolidated financial statements and publicly filed reports in their entirety and not rely on any single financial measure. When EBITDA or Adjusted EBITDA is discussed in reference to performance on a consolidated basis, the most directly comparable GAAP financial measure to EBITDA and Adjusted EBITDA is Net income (loss). 58 VISTRA CORP. Consolidated Results of Operations Three Months Ended June 30, 2026 Compared to the Three Months Ended June 30, 2025 The following table presents Net income (loss), EBITDA and Adjusted EBITDA for the three months ended June 30, 2026: Three Months Ended June 30, 2026 Retail Texas East West Asset Closure Eliminations / Corporate and Other Vistra Consolidated (in millions) Operating revenues $ 3,610 $ 1,418 $ 954 $ 71 $ — $ (2,036) $ 4,017 Fuel, purchased power costs and delivery fees (2,838) (363) (594) (15) — 2,036 (1,774) Operating costs (37) (293) (410) (16) (97) — (853) Depreciation and amortization (10) (184) (216) (14) (3) (18) (445) Selling, general, and administrative expenses (231) (45) (44) (2) (16) (54) (392) Operating income (loss) 494 533 (310) 24 (116) (72) 553 Other income, net — 49 120 — 1 16 186 Interest expense and related charges (10) 10 24 4 (1) (339) (312) Income (loss) before income taxes 484 592 (166) 28 (116) (395) 427 Income tax expense — — — — — (122) (122) Net income (loss) $ 484 $ 592 $ (166) $ 28 $ (116) $ (517) $ 305 Income tax expense — — — — — 122 122 Interest expense and related charges (a) 10 (10) (24) (4) 1 339 312 Depreciation and amortization (b) 10 213 302 14 3 18 560 EBITDA before Adjustments 504 795 112 38 (112) (38) 1,299 Unrealized net (gain) loss resulting from commodity hedging transactions 261 (446) 629 28 — — 472 Purchase accounting impacts 1 — (14) — — (13) (26) Non-cash compensation expenses — — — — — 35 35 Transition and merger expenses 1 — 2 — — 12 15 Insurance income (c) — (48) — — — — (48) Decommissioning-related activities (d) — 4 (95) 1 90 — — Other, net 6 6 8 1 (1) (23) (3) Adjusted EBITDA $ 773 $ 311 $ 642 $ 68 $ (23) $ (27) $ 1,744 ____________ (a)Corporate and Other includes $9 million of unrealized mark-to-market net losses on interest rate swaps. (b)Includes nuclear fuel amortization of $30 million and $86 million, respectively, in the Texas and East segments. (c)Includes involuntary conversion gain recognized from Martin Lake Incident property damage insurance in the Texas segment. (d)Includes NDT (income) loss of the PJM nuclear facilities, ARO and environmental remediation expenses, and other expenses associated with the Moss Landing Incident. 59 VISTRA CORP. The following table presents Net income (loss), EBITDA and Adjusted EBITDA for the three months ended June 30, 2025: Three Months Ended June 30, 2025 Retail Texas East West Asset Closure Eliminations / Corporate and Other Vistra Consolidated (in millions) Operating revenues $ 3,532 $ 1,788 $ 1,480 $ 25 $ 20 $ (2,595) $ 4,250 Fuel, purchased power costs and delivery fees (3,321) (468) (746) (35) — 2,596 (1,974) Operating costs (37) (277) (355) (18) (45) (1) (733) Depreciation and amortization (24) (167) (316) (16) 1 (19) (541) Selling, general, and administrative expenses (256) (43) (58) (7) (19) (36) (419) Impairment of long-lived assets — (68) — — — — (68) Operating income (loss) (106) 765 5 (51) (43) (55) 515 Other income, net — 80 108 — 1 2 191 Interest expense and related charges (17) 18 8 1 (1) (312) (303) Income (loss) before income taxes (123) 863 121 (50) (43) (365) 403 Income tax expense — — (1) — — (75) $ (76) Net income (loss) $ (123) $ 863 $ 120 $ (50) $ (43) $ (440) $ 327 Income tax expense — — 1 — — 75 76 Interest expense and related charges (a) 17 (18) (8) (1) 1 312 303 Depreciation and amortization (b) 24 197 412 16 (1) 20 668 EBITDA before Adjustments (82) 1,042 525 (35) (43) (33) 1,374 Unrealized net (gain) loss resulting from commodity hedging transactions 841 (900) (39) 82 — — (16) Purchase accounting impacts 8 — 9 — — — 17 Non-cash compensation expenses — — — — — 25 25 Transition and merger expenses 5 — — — — 17 22 Impairment of long-lived assets — 68 — — — — 68 Insurance income (c) — (80) — — (21) — (101) Decommissioning-related activities (d) — 4 (81) — 43 — (34) ERP system implementation expenses 3 3 3 — 1 — 10 Other, net (e) (19) 5 1 2 3 (25) (33) Adjusted EBITDA $ 756 $ 142 $ 418 $ 49 $ (17) $ (16) $ 1,332 ____________ (a)Corporate and Other includes $26 million of unrealized mark-to-market net losses on interest rate swaps. (b)Includes nuclear fuel amortization of $30 million and $92 million, respectively, in the Texas and East segments. (c)Includes involuntary conversion gain recognized from Martin Lake Incident property damage insurance in the Texas segment and revenues from Moss Landing Incident business interruption proceeds in the Asset Closure segment. (d)Includes NDT (income) loss of the PJM nuclear facilities, ARO and environmental remediation expenses, and other expenses associated with the Moss Landing Incident. (e)Includes the final application of bill credits to large commercial and industrial customers that curtailed their usage during Winter Storm Uri in the Retail segment. 60 VISTRA CORP. Six Months Ended June 30, 2026 Compared to the Six Months Ended June 30, 2025 The following table presents Net income (loss), EBITDA and Adjusted EBITDA for the six months ended June 30, 2026: Six Months Ended June 30, 2026 Retail Texas East West Asset Closure Eliminations / Corporate and Other Vistra Consolidated (in millions) Operating revenues $ 7,299 $ 4,405 $ 3,214 $ 160 $ 6 $ (5,427) $ 9,657 Fuel, purchased power costs, and delivery fees (6,935) (779) (1,978) (40) — 5,428 (4,304) Operating costs (75) (554) (783) (32) (109) — (1,553) Depreciation and amortization (20) (358) (481) (28) (6) (36) (929) Selling, general, and administrative expenses (487) (104) (94) (5) (31) (98) (819) Operating income (loss) (218) 2,610 (122) 55 (140) (133) 2,052 Other income (deductions), net 1 49 86 — 5 21 162 Interest expense and related charges (23) 24 46 7 (1) (628) (575) Income (loss) before income taxes (240) 2,683 10 62 (136) (740) 1,639 Income tax expense — — — — — (305) (305) Net income (loss) $ (240) $ 2,683 $ 10 $ 62 $ (136) $ (1,045) $ 1,334 Income tax expense — — — — — 305 305 Interest expense and related charges (a) 23 (24) (46) (7) 1 628 575 Depreciation and amortization (b) 20 424 657 28 6 36 1,171 EBITDA before Adjustments (197) 3,083 621 83 (129) (76) 3,385 Unrealized net (gain) loss resulting from commodity hedging transactions 1,026 (2,168) 854 37 — — (251) Purchase accounting impacts 1 — (15) — — (13) (27) Non-cash compensation expenses — — — — — 67 67 Transition and merger expenses — — 2 — — 24 26 Insurance income (c) — (48) — — (6) — (54) Decommissioning-related activities (d) — 8 (35) 1 92 — 66 Other, net 11 22 16 3 1 (46) 7 Adjusted EBITDA $ 841 $ 897 $ 1,443 $ 124 $ (42) $ (44) $ 3,219 ____________ (a)Corporate and Other includes $7 million of unrealized mark-to-market net gains on interest rate swaps. (b)Includes nuclear fuel amortization of $66 million and $176 million, respectively, in the Texas and East segments. (c)Includes involuntary conversion gain recognized from Martin Lake Incident property damage insurance in the Texas segment and revenues from Moss Landing Incident business interruption proceeds in the Asset Closure segment. (d)Includes NDT (income) loss of the PJM nuclear facilities, ARO and environmental remediation expenses, and other expenses associated with the Moss Landing Incident. 61 VISTRA CORP. The following table presents Net income (loss), EBITDA and Adjusted EBITDA for the six months ended June 30, 2025: Six Months Ended June 30, 2025 Retail Texas East West Asset Closure Eliminations / Corporate and Other Vistra Consolidated (in millions) Operating revenues $ 6,700 $ 1,998 $ 2,860 $ 182 $ 24 $ (3,581) $ 8,183 Fuel, purchased power costs, and delivery fees (5,033) (965) (1,918) (87) — 3,582 (4,421) Operating costs (77) (535) (682) (30) (101) (1) (1,426) Depreciation and amortization (47) (317) (632) (31) 2 (38) (1,063) Selling, general, and administrative expenses (499) (84) (116) (9) (36) (66) (810) Impairment of long-lived assets — (68) — — — — (68) Operating income (loss) 1,044 29 (488) 25 (111) (104) 395 Other income (deductions), net — 82 99 — 2 3 186 Interest expense and related charges (35) 32 20 2 (2) (639) (622) Income (loss) before income taxes 1,009 143 (369) 27 (111) (740) (41) Income tax (expense) benefit — — (1) — — 101 100 Net income (loss) $ 1,009 $ 143 $ (370) $ 27 $ (111) $ (639) $ 59 Income tax expense (benefit) — — 1 — — (101) (100) Interest expense and related charges (a) 35 (32) (20) (2) 2 639 622 Depreciation and amortization (b) 47 378 808 31 (2) 39 1,301 EBITDA before Adjustments 1,091 489 419 56 (111) (62) 1,882 Unrealized net (gain) loss resulting from commodity hedging transactions (156) 130 528 50 (1) — 551 Purchase accounting impacts 8 — 23 — — — 31 Non-cash compensation expenses — — — — — 46 46 Transition and merger expenses 5 — 1 — — 34 40 Impairment of long-lived assets — 68 — — — — 68 Insurance income (c) — (80) — — (21) — (101) Decommissioning-related activities (d) — 9 (46) — 89 — 52 ERP system implementation expenses 3 3 3 — 1 — 10 Other, net (e) (11) 13 4 5 2 (44) (31) Adjusted EBITDA $ 940 $ 632 $ 932 $ 111 $ (41) $ (26) $ 2,548 ____________ (a)Corporate and Other includes $74 million of unrealized mark-to-market net losses on interest rate swaps. (b)Includes nuclear fuel amortization of $61 million and $176 million, respectively, in the Texas and East segments. (c)Includes involuntary conversion gain recognized from Martin Lake Incident property damage insurance in the Texas segment and revenues from Moss Landing Incident business interruption proceeds in the Asset Closure segment. (d)Includes NDT (income) loss of the PJM nuclear facilities, ARO and environmental remediation expenses, and other expenses associated with the Moss Landing Incident. (e)Includes the final application of bill credits to large commercial and industrial customers that curtailed their usage during Winter Storm Uri in the Retail segment. Net income for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 decreased by $22 million. Adjusted EBITDA for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 increased by $412 million. Net income for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 increased by $1.275 billion. Adjusted EBITDA for the six months ended June 30, 2026 compared to the six months ended June 30, 2025 increased by $671 million. 62 VISTRA CORP. The primary drivers for the changes in net income and Adjusted EBITDA include: Three Months Ended June 30, 2026 Compared to 2025 Six Months Ended June 30, 2026 Compared to 2025 (in millions) Favorable change in realized revenue net of fuel driven primarily by higher realized capacity prices in East, higher energy margins from optimizing the dispatch of select gas units in response to favorable market conditions in Texas, the addition of plants acquired in the Lotus Acquisition, and Martin Lake Unit 1 return to service $ 480 $ 924 Unfavorable year-to-date retail margins driven by increase in excess volumes sold at lower wholesale prices, partially offset by favorable second quarter margins driven by higher contractual rates 15 (63) Unfavorable change in retail customer consumption due to weather (5) (29) Increase in plant operating costs due primarily to higher maintenance and outage costs and the addition of plants acquired in the Lotus Acquisition (70) (128) Change in SG&A and other primarily due to higher technology and legal costs (8) (33) Change in Adjusted EBITDA $ 412 $ 671 Change in depreciation and amortization, including nuclear fuel amortization 108 130 Change in unrealized net gains (losses) resulting from commodity hedging transactions (488) 802 Impairment of long-lived assets 68 68 Increase in insurance income (53) (47) Decommissioning-related activities (34) (14) Other (including interest expenses and income tax expense) (35) (335) Change in Net income (loss) $ (22) $ 1,275 Results of Operations by Segment The following section presents the results of operations and net income (loss) of Vistra's reportable business segments. See Note 19 of the Financial Statements for a discussion of the Company's segments as defined under the accounting standards for segment reporting. Retail Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Net income (loss) $ 484 $ (123) $ (240) $ 1,009 Adjusted EBITDA $ 773 $ 756 $ 841 $ 940 Retail electricity sales volumes (GWh): Sales volumes in ERCOT 18,326 19,885 34,230 37,850 Sales volumes in Northeast/Midwest 13,474 13,382 27,679 28,740 Total retail electricity sales volumes 31,800 33,267 61,909 66,590 For the three months ended June 30, 2026 compared to three months ended June 30, 2025, Retail net income increased primarily due to a $580 million decrease in unrealized mark-to-market losses on commodity derivative positions, and higher retail margins driven by higher contractual rates, partially offset by a slight decrease in customer consumption due to milder weather. For the six months ended June 30, 2026 compared to the six months ended June 30, 2025, Retail net income decreased due to a $1.2 billion increase in unrealized mark-to-market losses on commodity derivative positions, a decrease in retail margins primarily due to an increase in excess volumes sold at lower wholesale prices and a decrease in customer consumption due to weather. 63 VISTRA CORP. Texas Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Net income $ 592 $ 863 $ 2,683 $ 143 Adjusted EBITDA $ 311 $ 142 $ 897 $ 632 Production volumes (GWh): Natural gas facilities 11,605 11,200 20,864 20,345 Lignite and coal facilities 6,309 4,871 11,729 10,308 Nuclear facilities 4,456 4,490 9,680 9,719 Solar facilities 278 213 512 375 Capacity factors: CCGT facilities 62.5 % 54.8 % 56.2 % 51.5 % Lignite and coal facilities 60.0 % 49.6 % 56.1 % 52.7 % Nuclear facilities 85.0 % 85.7 % 92.9 % 93.2 % For the three months ended June 30, 2026 compared to three months ended June 30, 2025, Texas net income decreased primarily due to a $453 million decrease in unrealized mark-to-market gains on commodity derivative positions, partially offset by higher energy margins from optimizing the dispatch of select gas units in response to favorable market conditions and Martin Lake Unit 1 return to service. For the six months ending June 30, 2026 compared to six months ended June 30, 2025, Texas net income increased primarily due to a $2.3 billion increase in unrealized mark-to-market gains on commodity derivative positions and higher energy margins from optimizing the dispatch of select gas units in response to favorable market conditions and Martin Lake Unit 1 return to service. East Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Net income (loss) $ (166) $ 120 $ 10 $ (370) Adjusted EBITDA $ 642 $ 418 $ 1,443 $ 932 Production volumes (GWh): Natural gas facilities 15,805 12,198 33,255 26,840 Lignite and coal facilities 3,058 4,020 7,472 9,194 Nuclear facilities 7,954 8,017 15,998 15,696 Solar facilities 214 67 269 111 Capacity factors: CCGT facilities 53.7 % 51.2 % 57.6 % 57.2 % Lignite and coal facilities 35.7 % 46.9 % 43.8 % 53.9 % Nuclear facilities 90.0 % 90.7 % 91.0 % 89.3 % For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, East net income decreased primarily due to a $669 million increase in unrealized mark-to-market losses on commodity derivative positions partially offset by higher realized capacity prices and the addition of the plants acquired in the Lotus Acquisition. For the six months ending June 30, 2026 compared to six months ended June 30, 2025, East net income increased primarily due to higher realized capacity prices and the addition of plants acquired in the Lotus Acquisition, partially offset by $327 million increase in unrealized mark-to-market losses on commodity derivative positions. 64 VISTRA CORP. West Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Net income (loss) $ 28 $ (50) $ 62 $ 27 Adjusted EBITDA $ 68 $ 49 $ 124 $ 111 Production volumes (GWh): Natural gas facilities 578 545 965 1,047 Capacity factors: CCGT facilities 25.2 % 24.5 % 21.0 % 23.6 % For the three and six months ended June 30, 2026 compared to the three and six months ended June 30, 2025, West net income increased primarily due to a $54 million and $14 million, respectively, decrease in unrealized mark-to-market losses on commodity derivative positions and higher realized capacity revenue. Asset Closure Segment Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Net loss $ (116) $ (43) $ (136) $ (111) Asset Closure net loss increased primarily due to incremental costs associated with the Moss Landing Incident, net of property damage and business interruption insurance recoveries, recognized in the three and six months ended June 30, 2026. Disaggregated Consolidated Statement of Operations Results Explanations of variations between periods for selected income statement categories are provided below: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Operating revenues $ 4,017 $ 4,250 $ 9,657 $ 8,183 For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, operating revenues decreased primarily due to a $611 million increase in unrealized mark-to-market losses on commodity derivative positions, partially offset by higher retail revenue contractual rates, higher wholesale capacity and energy revenues and the addition of plants acquired in the Lotus Acquisition. For the six months ended June 30, 2026 compared to the six months ended June 30, 2025, operating revenues increased primarily due to a $537 million increase in unrealized mark-to-market gains on commodity derivative positions, higher wholesale capacity and energy revenues and the addition of plants acquired in the Lotus Acquisition. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Fuel, purchased power costs, and delivery fees $ (1,774) $ (1,974) $ (4,304) $ (4,421) For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, fuel, purchased power costs, and delivery fees decreased primarily due to a $123 million increase in unrealized mark-to-market gains on commodity derivative positions and lower realized fuel costs from optimizing the dispatch of select gas units in response to favorable market conditions, partially offset by the addition of plants acquired in the Lotus Acquisition. 65 VISTRA CORP. For the six months ended June 30, 2026 compared to the six months ended June 30, 2025, fuel, purchased power costs, and delivery fees decreased primarily due to a $264 million increase in unrealized mark-to-market gains on commodity derivative positions and lower realized fuel costs from optimizing the dispatch of select gas units in response to favorable market conditions, partially offset by the addition of plants acquired in the Lotus Acquisition. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Operating costs $ (853) $ (733) $ (1,553) $ (1,426) For the three and six months ended June 30, 2026 and 2025, operating costs increased primarily due to higher maintenance and outage costs, the addition of plants acquired in the Lotus Acquisition, and incremental costs associated with the Moss Landing Incident, net of insurance recoveries, recognized in the three and six months ended June 30, 2026. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Depreciation and amortization $ (445) $ (541) $ (929) $ (1,063) For the three and six months ended June 30, 2026 and 2025, depreciation and amortization decreased primarily due to the absence of depreciation and amortization expense recorded for the Moss Landing 300 and 100 MW battery projects and Retail customer relationship intangible assets and other one-time retirements recorded in the six months ended June 30, 2025, partially offset by the addition of plants acquired in the Lotus Acquisition. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Selling, general, and administrative expenses $ (392) $ (419) $ (819) $ (810) For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, selling, general, and administrative expenses decreased primarily due to lower transition and merger costs and legal settlements, partially offset by increases in technology costs of $6 million, stock-based compensation expense of $9 million, and retail selling costs of $10 million. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Impairment of long-lived assets $ — $ (68) $ — $ (68) In the second quarter of 2025, we recognized impairments of $68 million related to development projects we have no plans to complete. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Other income (deductions), net $ 186 $ 191 $ 162 $ 186 For the six months ended June 30, 2026 compared to the six months ended June 30, 2025, other income (deductions), net decreased primarily due to a decrease of $32 million in involuntary conversion gains for Martin Lake insurance proceeds and a decrease in NDT net gains of $10 million consisting of unrealized losses on investments of $95 million partially offset by realized income of $85 million. 66 VISTRA CORP. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Interest expense and related charges $ (312) $ (303) $ (575) $ (622) For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, interest expense and related charges increased primarily due to $35 million in debt extinguishment losses on Term Loan B-3 and senior notes repayments, partially offset by a $17 million decrease in unrealized mark-to-market losses on interest rate swaps and an $11 million gain recognized on the settlement and termination of interest rate swaps in April 2026. For the six months ended June 30, 2026 compared to six months ended June 30, 2025, interest expense and related charges decreased primarily due to an $81 million increase in unrealized mark-to-market gains on interest rate swaps, partially offset by $35 million in debt extinguishment losses on Term Loan B-3 and senior notes repayments. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Income tax benefit (expense) $ (122) $ (76) $ (305) $ 100 Effective tax rate 28.6 % 18.9 % 18.6 % 243.9 % For the three months ended June 30, 2026 compared to the three months ended June 30, 2025, income tax benefit (expense) decreased primarily due to a higher effective tax rate driven by the discrete impact of mark-to-market adjustments accounted for outside of the Company's forecasted annual effective income tax rate and state income taxes. For the six months ended June 30, 2026 compared to the six months ended June 30, 2025, income tax benefit (expense) decreased primarily due to an increase in pretax book income. Liquidity and Capital Resources Our primary sources of liquidity and capital consist of (i) cash and cash equivalents, (ii) net cash provided by operating activities, (iii) available capacity under our credit facilities, and (iv) access to the debt and equity capital markets. Within the bounds of our risk management program and policies, we use a variety of derivative instruments to enhance the stability of future cash flows to maintain sufficient financial resources for working capital, debt service, capital expenditures, debt covenant compliance, and (or) other needs. Our hedging strategy is designed to preserve cash flow certainty while maintaining appropriate risk tolerances across our generation portfolio. We complement our hedging strategy with long‑term contracted revenues, including power purchase agreements, to lower our overall hedging requirements. Sources and Uses of Cash Six Months Ended June 30, 2026 2025 Change (in millions) Net cash provided by operating activities $ 2,222 $ 1,171 $ 1,051 Net cash used in investing activities $ (1,279) $ (1,671) $ 392 Net cash used in financing activities $ (1,284) $ (227) $ (1,057) Operating Cash Flows The change in net cash provided by operating activities was primarily driven by (i) increased realized revenue net of fuel driven primarily by higher realized capacity prices in the East segment, higher energy margins in the Texas segment, the addition of plants acquired in the Lotus Acquisition and Martin Lake Unit 1 return to service and (ii) a $180 million decrease in net margin deposits posted supporting our hedging strategy. 67 VISTRA CORP. Investing Cash Flows The change in net cash used in investing activities is primarily driven by (i) $294 million in lower net purchases of environmental allowances in 2026 and (ii) a $61 million increase in insurance proceeds received in 2026 for recovery of damaged property, plant, and equipment associated with the Moss Landing Incident and Martin Lake Incident. Financing Cash Flows Our significant financing activities during the six months ended June 30, 2026 and 2025 are as follows: •For the six months ended June 30, 2026, we (i) repaid $2.450 billion in outstanding borrowings under the Term Loan B-3 facility, (ii) repaid $1.8 billion under the Vistra Operations Credit Facilities and the Commodity-Linked Facility, (iii) repaid $1.3 billion of senior notes, (iv) repaid $925 million under the accounts receivable financing facilities, (v) paid $709 million to repurchase common stock, (vi) paid $250 million in dividends to common and preferred shareholders and, (vii) repaid $108 million under the BCOP Credit Facility . •For the six months ended June 30, 2026, we issued $6.25 billion in senior notes and borrowed $172 million under the TxEF Loan. •For the six months ended June 30, 2025, we (i) repaid $744 million of senior notes, (ii) paid $589 million to repurchase common stock, and (iii) paid $248 million in dividends to common and preferred shareholders. •For the six months ended June 30, 2025, we borrowed $861 million under the Commodity-Linked Facility, $375 million under the accounts receivable financing facilities, and $209 million under the BCOP Credit Facility. Liquidity The following table summarizes changes in available liquidity for the six months ended June 30, 2026: June 30, 2026 December 31, 2025 Change (in millions) Cash and cash equivalents (a) $ 435 $ 785 $ (350) Vistra Operations Credit Facilities — Revolving Credit Facility (b) 4,408 1,996 2,412 Vistra Operations — Commodity-Linked Facility (c) 1,452 2 1,450 Total available liquidity (d)(e) $ 6,295 $ 2,783 $ 3,512 ____________ (a)See the condensed consolidated statements of cash flows in the Financial Statements and Sources and Uses of Cash above for details of the decrease in cash and cash equivalents for the six months ended June 30, 2026. (b)The increase in availability for the six months ended June 30, 2026 was driven by (a) the June 2026 amendment to the Vistra Operations Credit Agreement which, among other things, increased the revolving credit commitments by $2.060 billion and (b) a $380 million decrease in cash borrowings, partially offset by a $28 million increase in letters of credit outstanding under the Revolving Credit Facility. (c)As of June 30, 2026 and December 31, 2025, the borrowing bases were less than the facility limit of $1.75 billion. As of June 30, 2026, available capacity reflects the borrowing base of $1.452 billion and no cash borrowings. As of December 31, 2025, available capacity reflects the borrowing base of $1.422 billion and $1.420 billion in cash borrowings. (d)Excludes amounts available to be borrowed under the Receivables Facility and the Repurchase Facility, respectively. See Note 12 to the Financial Statements for additional information. (e)Excludes any additional letters of credit that may be issued under the LOC Facilities or the Alternative LOC Facilities. See Note 12 to the Financial Statements for additional information. We believe that we will have access to sufficient liquidity to fund our anticipated cash requirements through at least the next 12 months, including the consummation of the Cogentrix Transaction, the maturity of 2026 and 2027 debt obligations, and the upcoming payments associated with the acquisition of Nuveen's noncontrolling interest in Vistra Vision discussed in Note 12 to the Financial Statements. 68 VISTRA CORP. Additionally, as of June 30, 2026, the $500 million initial commitment associated with our investment in the Helix Fund remains callable by the fund's general partner. The remaining $500 million commitment is contingent on the Helix Fund meeting certain commercial power supply milestones for our existing generation assets which has not occurred as of June 30, 2026. The timing and amount of future capital calls will be determined by the fund's general partner and are not within our control. We expect to have access to sufficient liquidity to fund our initial $500 million commitment when called by the fund's general partner. See Note 7 to the Financial Statements for additional information. Our operational cash flows tend to be seasonal and weighted toward the second half of the year. Liquidity Effects of Commodity Hedging and Trading Activities We have entered into commodity hedging and trading transactions that require us to post collateral if the forward price of the underlying commodity moves such that the hedging or trading instrument we hold has declined in value. We use cash, letters of credit, Eligible Assets (see Note 11 to the Financial Statements for additional information) and other forms of credit support to satisfy such collateral posting obligations. See Note 12 to the Financial Statements for additional information. Exchange cleared transactions typically require initial margin (i.e., the upfront cash and/or letter of credit posted to take into account the size and maturity of the positions and credit quality) in addition to variation margin (i.e., the daily cash margin posted to take into account changes in the value of the underlying commodity). The amount of initial margin required is generally defined by exchange rules. Clearing agents, however, typically have the right to request additional initial margin based on various factors, including market depth, volatility and credit quality, which may be in the form of cash, letters of credit, a guaranty or other forms as negotiated with the clearing agent. Cash collateral received from counterparties is either used for working capital and other business purposes, including reducing borrowings under credit facilities, or is required to be deposited in a separate account and restricted from being used for working capital and other corporate purposes. With respect to over-the-counter transactions, counterparties generally have the right to substitute letters of credit for such cash collateral. In such event, the cash collateral previously posted would be returned to such counterparties, which would reduce liquidity in the event the cash was not restricted. As of June 30, 2026, we received or posted cash, letters of credit, and Eligible Assets for commodity hedging and trading activities as follows: •$1.874 billion in cash and Eligible Assets has been posted with counterparties as compared to $1.577 billion posted as of December 31, 2025; •$122 million in cash has been received from counterparties as compared to $7 million received as of December 31, 2025; •$3.006 billion in letters of credit has been posted with counterparties as compared to $2.489 billion posted as of December 31, 2025; and •$48 million in letters of credit has been received from counterparties as compared to $162 million received as of December 31, 2025. See Note 16 to the Financial Statements for information related to collateral posted in accordance with the PUCT and ISO/RTO rules. Income Tax Payments In the next 12 months, we expect to make approximately $68 million in federal income tax payments, $103 million in state income tax payments, and no material TRA payments, offset by $3 million in federal income tax refunds and $17 million in state tax refunds. We have taken the CAMT and forecasted OBBBA impacts into account when forecasting cash taxes and do not expect Vistra to be subject to the CAMT in the 2026 tax year. For the six months ended June 30, 2026, there were no federal income tax payments and $27 million in state income tax payments, offset by $2 million in state income tax refunds. 69 VISTRA CORP. Financial Covenants and Cross-Default Provisions The Vistra Operations Credit Agreement, Vistra Operations Commodity-Linked Credit Agreement, and LOC Facilities each include a financial covenant. The Vistra Operations Credit Agreement, Vistra Operations Commodity-Linked Credit Agreement, LOC Facilities, and certain of our other financing arrangements include cross-default provisions that could result in an event of default if there were a failure under financing arrangements to meet payment terms or to observe covenants that could result in an acceleration of payments due. See Note 12 to the Financial Statements for additional information. Guarantees See Note 16 to the Financial Statements for additional information. Commitments and Contingencies See Note 16 to the Financial Statements for additional information. Critical Accounting Estimates The Company's discussion and analysis of its financial position and results of operations is based upon its condensed consolidated financial statements. The preparation of these condensed consolidated financial statements requires estimation and judgment that affect the reported amounts of revenue, expenses, assets, and liabilities. The Company bases its estimates on historical experience and on various other factors that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the accounting for assets and liabilities that are not readily apparent from other sources. If the estimates differ materially from actual results, the impact in the condensed consolidated financial statements may be material. The Company's critical accounting estimates are disclosed in our 2025 Form 10-K. Changes in Accounting Standards See Note 1 to the Financial Statements for additional information.