diff --git a/docs/resources/changelog.md b/docs/resources/changelog.md
index 2b335568..433c1cff 100644
--- a/docs/resources/changelog.md
+++ b/docs/resources/changelog.md
@@ -14,6 +14,7 @@ New versions of Shoelace are released as-needed and generally occur when a criti
 - Fixed a bug in `<sl-tree-item>` that prevented long labels from wrapping [#1243](https://github.com/shoelace-style/shoelace/issues/1243)
 - Fixed a bug in `<sl-tree-item>` that caused labels to be misaligned when text wraps [#1244](https://github.com/shoelace-style/shoelace/issues/1244)
 - Fixed an incorrect CSS property value in `<sl-checkbox>` [#1272](https://github.com/shoelace-style/shoelace/pull/1272)
+- Fixed a bug in `<sl-avatar>` that caused the initials to show up behind images with transparency [#1260](https://github.com/shoelace-style/shoelace/pull/1260)
 - Improved the behavior of `<sl-carousel>` when used inside a flex container [#1235](https://github.com/shoelace-style/shoelace/pull/1235)
 - Improved the behavior of `<sl-tree-item>` to support buttons and other interactive elements [#1234](https://github.com/shoelace-style/shoelace/issues/1234)