Marked against last year's 10-K:
cut words struck through, new words highlighted and underlined.
Risk Factors 178 words changed in this paragraph; it is 73% similar to last year's version.
Williams relies on its information technology infrastructure to process, transmit, and store electronic information, including information used to safely operate Williams’, Transco’s, and NWP’s assets. Transco and NWP rely on Williams for their information technology infrastructure. The Williams Board of Directors has oversight responsibility with regard to cybersecurity risks, and reviews management’s efforts to address and mitigate cybersecurity risks, including the establishment and implementation of policies to address cybersecurity threats. Williams has invested, and expects to continue to invest, significant time, manpower, and capital in its information technology infrastructure. However, the age, operating systems, or condition of the current information technology infrastructure and software assets and the ability to maintain and upgrade such assets could affect Williams’, and thus Transco’s and NWP’s, ability to resist cybersecurity threats. While Williams believes that it maintains appropriate information security policies, practices, and protocols, Williams regularly faces cybersecurity and other security threats to its information technology infrastructure, including risks that may be enhanced through the use of artificial intelligence, which could include threats to operational industrial control systems and safety systems that operate its pipelines, plants, and assets. Williams faces unlawful attempts to gain access to its information technology infrastructure, including coordinated attacks from hackers, whether state-sponsored groups, “hacktivists”, or private individuals. Williams faces the threat of theft and misuse of sensitive data and information, including customer and employee information. Williams also faces attempts to gain access to information related to its assets through attempts to obtain unauthorized access by targeting acts of deception against individuals with legitimate access to physical locations or information. Williams is also subject to cybersecurity risks arising from the fact that Williams’, Transco’s, and NWP’s business operations are interconnected with third parties, including third-party pipelines, other facilities and contractors and vendors. In addition, the breach of certain business systems could affect Williams’ ability to correctly record, process, and report financial information. Breaches in Williams’, Transco’s, and NWP’s information technology infrastructure or physical facilities, or other disruptions including those arising from theft, vandalism, fraud, or unethical conduct, which may increase as a result of the Russian invasion of Ukraine or other geopolitical tensions and conflicts, could result in damage to or destruction of assets, unnecessary waste, safety incidents, damage to the environment, reputational damage, potential liability, the loss of contracts, the imposition of significant costs associated with remediation and litigation, heightened regulatory scrutiny, increased insurance costs, and have a material adverse effect on Williams’, Transco’s, and NWP’s operations, financial condition, results of operations, and cash flows.
Source: Item 1A, 10-K 0000107263-26-000006 vs Item 1A, 10-K 0000107263-25-000031
MD&A 138 words changed in this paragraph; it is 48% similar to last year's version.
On August 30, 2024, Transco filed a general rate case with the FERC for an overall increase in rates. In September 2024, rates and to comply with the exception terms of certain rates that reflected a the settlement of its prior rate decrease, case. On September 30, 2024, the FERC accepted issued an order accepting and suspended suspending Transco’s general rate filing to be effective March 1, 2025, subject to refund and the outcome of hearing procedures established by the FERC. The specific rates that reflected a order also accepted rate decrease were accepted, without suspension, decreases for certain services to be effective October 1, 2024, as requested by Transco, and will not be subject to refund. The impact of the rates reflecting a rate decrease is expected to reduce revenues by approximately $1 million per month beginning October 1, 2024. During the third quarter of 2025, Transco reached an agreement in principle with its customers and the other participants to settle all aspects of the rate case and has accrued a related liability for rate refunds. Transco filed with the FERC in October 2025 for approval of the settlement. On December 30, 2025, the FERC approved the settlement which will become effective March 1, 2026.
Source: Item 7, 10-K 0000107263-26-000006 vs Item 7, 10-K 0000107263-25-000031
Accounting Policies 131 words changed in this paragraph; it is 44% similar to last year's version.
Transco transports gas on various pipeline systems which may deliver different quantities of gas on Transco’s behalf of Transco than the quantities of gas received from Transco. These transactions result in gas transportation and exchange imbalance receivables and payables which are recovered or repaid in cash or through the receipt or delivery of gas in the future and are recorded in the accompanying Balance Sheet. Revenues received from the cash-out of transportation imbalances in excess of costs incurred are deferred and offset by the deferral of costs incurred in excess of revenues received. At the end of each annual August through July reporting period, if the cumulative revenues received exceed the costs incurred, the over recovered amounts are applied to any prior under recovery balance or refunded. If the cumulative revenues received are less than the costs incurred, the net under recovered amounts are carried forward and offset against any future net over recoveries that may occur in a subsequent annual reporting period. These deferred recoveries are recognized as Regulatory assets in Transco’s Balance Sheet (see Note 10 – Regulatory Assets and Liabilities).
Source: Item 8, Note 1 – Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies, 10-K 0000107263-26-000006 vs Item 8, Note 1 – General, Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies, 10-K 0000107263-25-000031
Legal Proceedings 121 words changed in this paragraph; it is 57% similar to last year's version.
On August 30, 2024, Transco filed a general rate case (Docket No. RP24-1035) with the FERC for an overall increase in rates and to comply with the terms of the settlement of its prior rate case to file a rate case no later than August 30, 2024. case. On September 30, 2024, the FERC issued an order accepting and suspending Transco’s general rate filing to be effective March 1, 2025, subject to refund and the outcome of hearing procedures established by the FERC except that rates FERC. The order also accepted rate decreases for certain services that were proposed as overall rate decreases were accepted, without suspension, to be effective as of October 1, 2024. The decreased rates will not be subject During the third quarter of 2025, Transco reached an agreement in principle with its customers and the other participants to refund but may be subject to decrease prospectively under Section 5 settle all aspects of the Natural Gas Act rate case and has accrued a related liability for rate refunds. Transco filed with the FERC in October 2025 for approval of 1938 as amended. the settlement. On December 30, 2025, the FERC approved the settlement which will become effective March 1, 2026.
Source: Item 3, via Note 18 – Contingencies and Commitments, 10-K 0000107263-26-000006 vs Item 3, via Note 18 – Contingencies and Commitments, 10-K 0000107263-25-000031
