NISOURCE INC. (NI)

NiSource Inc. is an energy holding company whose primary subsidiaries are fully regulated natural gas and electric utilities, serving approximately 3.8 million customers in six states. It is the successor to an Indiana corporation organized in 1987 as NIPSCO Industries, Inc., which took the NiSource name in 1999. Substantially all of its revenues and earnings come from rate-regulated businesses, and its strategy centers on safe, reliable service through core, asset-based utilities, with continued investment in safety, infrastructure and environmental programs. It also plans to develop generation resources through its GenCo subsidiary to serve data center customers, following a 2025 customized agreement (the ADS Contract) under which NIPSCO will provide electric service to ADS with power procured from GenCo.

NiSource has two reportable segments. Columbia Operations delivers natural gas to approximately 2.4 million residential, commercial and industrial customers in Ohio, Pennsylvania, Virginia, Kentucky and Maryland, through about 37,300 miles of distribution main and 310 miles of transmission main, plus propane and propane-air storage facilities. NIPSCO Operations includes NIPSCO's gas and electric businesses in northern Indiana. NIPSCO Gas serves about 0.9 million customers through roughly 18,100 miles of distribution main and 720 miles of transmission main, with underground natural gas and LNG storage of about 11.2 million MCF. NIPSCO Electric generates, transmits and distributes electricity to about 0.5 million customers in 20 northern Indiana counties, engages in wholesale electric and transmission transactions, and enters into customized agreements with data center customers. Its owned generating capacity totals about 3,967 MW across coal, combined-cycle gas, natural gas, hydro, wind, solar and solar-plus-storage facilities, supplemented by power purchase agreements providing about 1,200 MW. Remaining corporate activities consist mainly of holding company interest expense, unallocated corporate costs and GenCo development costs.

Customers are residential, commercial and industrial users of gas and electricity, along with data center customers. Gas customers can buy gas from third parties in open markets: 34.9% of Columbia residential customers and 6.8% of NIPSCO Gas residential customers participated in such programs at year-end 2025. NIPSCO Electric generally has exclusive service areas, and retail electric customers in Indiana cannot choose their supplier. Gas sales peak during the October to May heating season and electric sales during the June to September cooling season. Competitors include investor-owned, municipal and cooperative electric utilities, other regulated and unregulated gas pipelines, alternate fuels such as propane and fuel oil, self-generation by large industrial customers, and, for data centers, utilities and power providers across the United States and abroad.

The utilities operate under state and federal regulation, including FERC oversight, rate cases in each jurisdiction, and cost-recovery trackers for gas and fuel costs. NIPSCO participates in the MISO wholesale market, which dispatches its generating units; these units met 55.4% of its 2025 system load, with the remainder sourced from PPAs and the MISO market. NiSource maintains a safety management system aligned with API Recommended Practice 1173, holds ISO 55001 asset management certifications, and has a net zero greenhouse gas emissions goal for 2040 covering Scope 1 and Scope 2 emissions.