Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 17, 2017 | Jun. 30, 2016 | |
Entity Information [Line Items] | |||
Entity Registrant Name | EDISON INTERNATIONAL | ||
Entity Central Index Key | 827,052 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 325,811,206 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 25,300,000,000 | ||
Southern California Edison Company | |||
Entity Information [Line Items] | |||
Entity Registrant Name | SOUTHERN CALIFORNIA EDISON CO | ||
Entity Central Index Key | 92,103 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Non-accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 434,888,104 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Total operating revenue | $ 11,869 | $ 11,524 | $ 13,413 |
Purchased power and fuel | 4,527 | 4,266 | 5,593 |
Operation and maintenance | 2,868 | 2,990 | 3,149 |
Depreciation, decommissioning and amortization | 2,007 | 1,919 | 1,720 |
Property and other taxes | 354 | 336 | 322 |
Impairment and other charges | 21 | 5 | 157 |
Total operating expenses | 9,777 | 9,516 | 10,941 |
Operating income (loss) | 2,092 | 2,008 | 2,472 |
Interest and other income | 123 | 174 | 147 |
Interest expense | (581) | (555) | (560) |
Other expenses | (44) | (59) | (80) |
Income from continuing operations before income taxes | 1,590 | 1,568 | 1,979 |
Income tax expense | 177 | 486 | 443 |
Income from continuing operations | 1,413 | 1,082 | 1,536 |
Income from discontinued operations, net of tax | 12 | 35 | 185 |
Net income | 1,425 | 1,117 | 1,721 |
Preferred and preference stock dividend requirements of utility | 123 | 113 | 112 |
Other noncontrolling interests | (9) | (16) | (3) |
Net income from continuing operations available to common shareholders | 1,311 | 1,020 | 1,612 |
Basic earnings per common share attributable to Edison International common shareholders: | |||
Income from continuing operations, net of tax | 1,299 | 985 | 1,427 |
Income from discontinued operations, net of tax | 12 | 35 | 185 |
Net income from continuing operations available to common shareholders | $ 1,311 | $ 1,020 | $ 1,612 |
Basic earnings per common share attributable to Edison International common shareholders: | |||
Weighted-average shares of common stock outstanding | 326 | 326 | 326 |
Continuing operations (in dollars per share) | $ 3.99 | $ 3.02 | $ 4.38 |
Discontinued operations (in dollars per share) | 0.03 | 0.11 | 0.57 |
Total (in dollars per share) | $ 4.02 | $ 3.13 | $ 4.95 |
Diluted earnings per common share attributable to Edison International common shareholders: | |||
Weighted-average shares of common stock outstanding, including effect of dilutive securities | 330 | 329 | 329 |
Continuing operations (in dollars per share) | $ 3.94 | $ 2.99 | $ 4.33 |
Discontinued operations (in dollars per share) | 0.03 | 0.11 | 0.56 |
Total (in dollars per share) | 3.97 | 3.10 | 4.89 |
Dividends declared per common share (in dollars per share) | $ 1.9825 | $ 1.7325 | $ 1.4825 |
Southern California Edison Company | |||
Total operating revenue | $ 11,830 | $ 11,485 | $ 13,380 |
Purchased power and fuel | 4,527 | 4,266 | 5,593 |
Operation and maintenance | 2,737 | 2,890 | 3,057 |
Depreciation, decommissioning and amortization | 1,998 | 1,915 | 1,720 |
Property and other taxes | 351 | 334 | 318 |
Impairment and other charges | 0 | 0 | 163 |
Total operating expenses | 9,613 | 9,405 | 10,851 |
Operating income (loss) | 2,217 | 2,080 | 2,529 |
Interest and other income | 123 | 123 | 122 |
Interest expense | (541) | (526) | (533) |
Other expenses | (44) | (59) | (79) |
Income from continuing operations before income taxes | 1,755 | 1,618 | 2,039 |
Income tax expense | 256 | 507 | 474 |
Net income | 1,499 | 1,111 | 1,565 |
Preferred and preference stock dividend requirements of utility | 123 | 113 | 112 |
Net income from continuing operations available to common shareholders | 1,376 | 998 | 1,453 |
Basic earnings per common share attributable to Edison International common shareholders: | |||
Net income from continuing operations available to common shareholders | $ 1,376 | $ 998 | $ 1,453 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income | $ 1,425 | $ 1,117 | $ 1,721 |
Pension and postretirement benefits other than pensions: | |||
Net gain (loss) arising during the period plus amortization included in net income | 2 | 1 | (47) |
Prior service cost arising during the period plus amortization included in net income | 0 | 1 | 0 |
Other | 1 | 0 | 2 |
Other comprehensive income (loss), net of tax | 3 | 2 | (45) |
Comprehensive income | 1,428 | 1,119 | 1,676 |
Less: Comprehensive income attributable to noncontrolling interests | 114 | 97 | 109 |
Comprehensive income | 1,314 | 1,022 | 1,567 |
Southern California Edison Company | |||
Net income | 1,499 | 1,111 | 1,565 |
Pension and postretirement benefits other than pensions: | |||
Net gain (loss) arising during the period plus amortization included in net income | 1 | 5 | (19) |
Prior service cost arising during the period plus amortization included in net income | 0 | 1 | 0 |
Other | 1 | 0 | 2 |
Other comprehensive income (loss), net of tax | 2 | 6 | (17) |
Comprehensive income | $ 1,501 | $ 1,117 | $ 1,548 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 96 | $ 161 |
Receivables, less allowances for uncollectible accounts | 714 | 771 |
Accrued unbilled revenue | 370 | 565 |
Inventory | 239 | 267 |
Derivative assets | 73 | 79 |
Regulatory assets | 350 | 560 |
Other current assets | 281 | 251 |
Total current assets | 2,123 | 2,654 |
Nuclear decommissioning trusts | 4,242 | 4,331 |
Other investments | 83 | 203 |
Total investments | 4,325 | 4,534 |
Utility property, plant and equipment, less accumulated depreciation and amortization | 36,806 | 34,945 |
Nonutility property, plant and equipment, less accumulated depreciation | 194 | 140 |
Total property, plant and equipment | 37,000 | 35,085 |
Derivative assets | 1 | 84 |
Regulatory assets | 7,455 | 7,512 |
Other long-term assets | 415 | 360 |
Total long-term assets | 7,871 | 7,956 |
Total assets | 51,319 | 50,229 |
LIABILITIES AND EQUITY | ||
Short-term debt | 1,307 | 695 |
Current portion of long-term debt | 981 | 295 |
Accounts payable | 1,342 | 1,310 |
Accrued taxes | 50 | 72 |
Customer deposits | 269 | 242 |
Derivative liabilities | 216 | 218 |
Regulatory liabilities | 756 | 1,128 |
Other current liabilities | 991 | 967 |
Total current liabilities | 5,912 | 4,927 |
Long-term debt | 10,175 | 10,883 |
Deferred income taxes and credits | 8,327 | 7,480 |
Derivative liabilities | 941 | 1,100 |
Pensions and benefits | 1,354 | 1,759 |
Asset retirement obligations | 2,590 | 2,764 |
Regulatory liabilities | 5,726 | 5,676 |
Other deferred credits and other long-term liabilities | 2,102 | 2,246 |
Total deferred credits and other liabilities | 21,040 | 21,025 |
Total liabilities | 37,127 | 36,835 |
Commitments and contingencies (Note 11) | ||
Redeemable noncontrolling interest | 5 | 6 |
Common stock, no par value | 2,505 | 2,484 |
Accumulated other comprehensive loss | (53) | (56) |
Retained earnings | 9,544 | 8,940 |
Total common shareholders' equity | 11,996 | 11,368 |
Noncontrolling interests – preferred and preference stock of utility | 2,191 | 2,020 |
Total equity | 14,187 | 13,388 |
Total liabilities and equity | 51,319 | 50,229 |
Southern California Edison Company | ||
ASSETS | ||
Cash and cash equivalents | 39 | 26 |
Receivables, less allowances for uncollectible accounts | 699 | 724 |
Accrued unbilled revenue | 369 | 564 |
Inventory | 239 | 256 |
Derivative assets | 73 | 79 |
Regulatory assets | 350 | 560 |
Other current assets | 262 | 234 |
Total current assets | 2,031 | 2,443 |
Nuclear decommissioning trusts | 4,242 | 4,331 |
Other investments | 50 | 168 |
Total investments | 4,292 | 4,499 |
Utility property, plant and equipment, less accumulated depreciation and amortization | 36,806 | 34,945 |
Nonutility property, plant and equipment, less accumulated depreciation | 75 | 73 |
Total property, plant and equipment | 36,881 | 35,018 |
Derivative assets | 1 | 84 |
Regulatory assets | 7,455 | 7,512 |
Other long-term assets | 231 | 239 |
Total long-term assets | 7,687 | 7,835 |
Total assets | 50,891 | 49,795 |
LIABILITIES AND EQUITY | ||
Short-term debt | 769 | 49 |
Current portion of long-term debt | 579 | 79 |
Accounts payable | 1,344 | 1,299 |
Accrued taxes | 45 | 46 |
Customer deposits | 269 | 242 |
Derivative liabilities | 216 | 218 |
Regulatory liabilities | 756 | 1,128 |
Other current liabilities | 729 | 760 |
Total current liabilities | 4,707 | 3,821 |
Long-term debt | 9,754 | 10,460 |
Deferred income taxes and credits | 9,886 | 9,073 |
Derivative liabilities | 941 | 1,100 |
Pensions and benefits | 896 | 1,284 |
Asset retirement obligations | 2,586 | 2,762 |
Regulatory liabilities | 5,726 | 5,676 |
Other deferred credits and other long-term liabilities | 1,912 | 1,947 |
Total deferred credits and other liabilities | 21,947 | 21,842 |
Total liabilities | 36,408 | 36,123 |
Commitments and contingencies (Note 11) | ||
Common stock, no par value | 2,168 | 2,168 |
Additional paid-in capital | 657 | 652 |
Accumulated other comprehensive loss | (20) | (22) |
Retained earnings | 9,433 | 8,804 |
Total common shareholders' equity | 12,238 | 11,602 |
Noncontrolling interests – preferred and preference stock of utility | 2,245 | 2,070 |
Total equity | 14,483 | 13,672 |
Total liabilities and equity | $ 50,891 | $ 49,795 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Receivables, allowances for uncollectible accounts | $ 62 | $ 62 |
Utility property, plant and equipment, accumulated depreciation | 9,000 | 8,548 |
Nonutility property, plant and equipment, accumulated depreciation | $ 99 | $ 85 |
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 800,000,000 | 800,000,000 |
Common stock, shares issued | 325,811,206 | 325,811,206 |
Common stock, shares outstanding | 325,811,206 | 325,811,206 |
Southern California Edison Company | ||
Receivables, allowances for uncollectible accounts | $ 61 | $ 62 |
Utility property, plant and equipment, accumulated depreciation | 9,000 | 8,548 |
Nonutility property, plant and equipment, accumulated depreciation | $ 89 | $ 81 |
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 560,000,000 | 560,000,000 |
Common stock, shares issued | 434,888,104 | 434,888,104 |
Common stock, shares outstanding | 434,888,104 | 434,888,104 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | |||
Net income | $ 1,425 | $ 1,117 | $ 1,721 |
Income (loss) from discontinued operations, net of tax | 12 | 35 | 185 |
Income from continuing operations | 1,413 | 1,082 | 1,536 |
Adjustments to reconcile to net cash provided by operating activities: | |||
Depreciation, decommissioning and amortization | 2,098 | 2,005 | 1,815 |
Allowance for equity during construction | (74) | (87) | (65) |
Impairment and other charges | 0 | 5 | 157 |
Deferred income taxes and investment tax credits | 190 | 449 | 522 |
Other | 20 | (28) | 20 |
Nuclear decommissioning trusts | (179) | (428) | 39 |
EME settlement payments, net of insurance proceeds | (209) | (176) | (225) |
Changes in operating assets and liabilities: | |||
Receivables | 52 | 49 | 64 |
Inventory | 8 | 14 | (25) |
Accounts payable | 35 | 8 | 14 |
Prepaid and accrued taxes | (6) | (28) | (100) |
Other current assets and liabilities | 211 | (24) | (103) |
Derivative assets and liabilities, net | 13 | 45 | (40) |
Regulatory assets and liabilities, net | (292) | 1,729 | (358) |
Other noncurrent assets and liabilities | (24) | (106) | (3) |
Net cash provided by operating activities | 3,256 | 4,509 | 3,248 |
Cash flows from financing activities: | |||
Long-term debt issued or remarketed, net of discount and issuance costs | 397 | 1,420 | 494 |
Long-term debt matured or repurchased | (220) | (762) | (607) |
Preference stock issued, net | 294 | 319 | 269 |
Preference stock redeemed | (125) | (325) | 0 |
Short-term debt financing, net | 611 | (572) | 1,079 |
Dividends to noncontrolling interests | (123) | (116) | (111) |
Dividends paid | (626) | (544) | (463) |
Other | (113) | (8) | (16) |
Net cash (used in) provided by financing activities | 95 | (588) | 645 |
Cash flows from investing activities: | |||
Capital expenditures | (3,734) | (4,225) | (3,906) |
Proceeds from sale of nuclear decommissioning trust investments | 3,212 | 3,506 | 2,617 |
Purchases of nuclear decommissioning trust investments | (3,033) | (3,132) | (2,661) |
Life insurance policy loans proceeds | 140 | 0 | 0 |
Other | (1) | (41) | 43 |
Net cash used in investing activities | (3,416) | (3,892) | (3,907) |
Net (decrease) increase in cash and cash equivalents | (65) | 29 | (14) |
Cash and cash equivalents, beginning of year | 161 | 132 | 146 |
Cash and cash equivalents, end of year | 96 | 161 | 132 |
Southern California Edison Company | |||
Cash flows from operating activities: | |||
Net income | 1,499 | 1,111 | 1,565 |
Adjustments to reconcile to net cash provided by operating activities: | |||
Depreciation, decommissioning and amortization | 2,085 | 1,996 | 1,810 |
Allowance for equity during construction | (74) | (87) | (65) |
Impairment and other charges | 0 | 0 | 163 |
Deferred income taxes and investment tax credits | 88 | 308 | 462 |
Other | 9 | 14 | 11 |
Nuclear decommissioning trusts | (179) | (428) | 39 |
Changes in operating assets and liabilities: | |||
Receivables | 25 | 25 | 64 |
Inventory | (3) | 19 | (19) |
Accounts payable | 45 | 30 | 12 |
Prepaid and accrued taxes | (16) | (16) | 129 |
Other current assets and liabilities | 185 | (42) | (107) |
Derivative assets and liabilities, net | 13 | 45 | (40) |
Regulatory assets and liabilities, net | (292) | 1,729 | (358) |
Other noncurrent assets and liabilities | 138 | (80) | (6) |
Net cash provided by operating activities | 3,523 | 4,624 | 3,660 |
Cash flows from financing activities: | |||
Long-term debt issued or remarketed, net of discount and issuance costs | 0 | 1,413 | 498 |
Long-term debt matured or repurchased | (217) | (761) | (607) |
Preference stock issued, net | 294 | 319 | 269 |
Preference stock redeemed | (125) | (325) | 0 |
Short-term debt financing, net | 719 | (619) | 490 |
Dividends paid | (824) | (874) | (489) |
Other | (66) | 35 | 20 |
Net cash (used in) provided by financing activities | (219) | (812) | 181 |
Cash flows from investing activities: | |||
Capital expenditures | (3,633) | (4,210) | (3,857) |
Proceeds from sale of nuclear decommissioning trust investments | 3,212 | 3,506 | 2,617 |
Purchases of nuclear decommissioning trust investments | (3,033) | (3,132) | (2,661) |
Life insurance policy loans proceeds | 140 | 0 | 0 |
Other | 23 | 12 | 44 |
Net cash used in investing activities | (3,291) | (3,824) | (3,857) |
Net (decrease) increase in cash and cash equivalents | 13 | (12) | (16) |
Cash and cash equivalents, beginning of year | 26 | 38 | 54 |
Cash and cash equivalents, end of year | $ 39 | $ 26 | $ 38 |
Consolidated Statements of Cas7
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Discounts and issuance costs of long term debt | $ 7 | $ 17 | $ 6 |
Southern California Edison Company | |||
Discounts and issuance costs of long term debt | $ 17 | $ 2 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Millions | Total | Southern California Edison Company | Common Stock | Common StockSouthern California Edison Company | Additional Paid-in CapitalSouthern California Edison Company | Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive LossSouthern California Edison Company | Retained Earnings | Retained EarningsSouthern California Edison Company | Subtotal | Preferred and Preference Stock | Preferred and Preference StockSouthern California Edison Company |
Balance, at the beginning of the period at Dec. 31, 2013 | $ 11,691 | $ 12,138 | $ 2,403 | $ 2,168 | $ 592 | $ (13) | $ (11) | $ 7,548 | $ 7,594 | $ 9,938 | $ 1,753 | $ 1,795 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 1,724 | 1,565 | 1,612 | 1,565 | 1,612 | 112 | ||||||
Other comprehensive income (loss) | (45) | (17) | (45) | (17) | (45) | |||||||
Dividends declared on common stock | (483) | (525) | (483) | (525) | (483) | |||||||
Dividends declared on preferred and preference stock | (112) | (112) | ||||||||||
Dividends and distributions to noncontrolling interests and other | (112) | (112) | ||||||||||
Stock-based compensation and other | (89) | (44) | 15 | 20 | (104) | (64) | (89) | |||||
Noncash stock-based compensation and other | 27 | 8 | 27 | 12 | (4) | 27 | ||||||
Issuance of preference stock | 269 | 269 | (6) | 269 | 275 | |||||||
Balance, at the end of the period at Dec. 31, 2014 | 12,982 | 13,282 | 2,445 | 2,168 | 618 | (58) | (28) | 8,573 | 8,454 | 10,960 | 2,022 | 2,070 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 1,133 | 1,111 | 1,020 | 1,111 | 1,020 | 113 | ||||||
Other comprehensive income (loss) | 2 | 6 | 2 | 6 | 2 | |||||||
Dividends declared on common stock | (564) | (611) | (564) | (611) | (564) | |||||||
Dividends declared on preferred and preference stock | (113) | (113) | ||||||||||
Dividends and distributions to noncontrolling interests and other | (113) | (113) | ||||||||||
Stock-based compensation and other | (70) | (10) | 15 | 23 | (85) | (33) | (70) | |||||
Noncash stock-based compensation and other | 24 | 13 | 24 | 13 | 24 | |||||||
Issuance of preference stock | 319 | 319 | (6) | 319 | 325 | |||||||
Redemption of preference stock | (325) | (325) | 4 | (4) | (4) | (4) | (321) | (325) | ||||
Balance, at the end of the period at Dec. 31, 2015 | 13,388 | 13,672 | 2,484 | 2,168 | 652 | (56) | (22) | 8,940 | 8,804 | 11,368 | 2,020 | 2,070 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 1,434 | 1,499 | 1,311 | 1,499 | 1,311 | 123 | ||||||
Other comprehensive income (loss) | 3 | 2 | 3 | 2 | 3 | |||||||
Dividends declared on common stock | (646) | (701) | (646) | (701) | (646) | |||||||
Dividends declared on preferred and preference stock | (123) | (123) | ||||||||||
Dividends and distributions to noncontrolling interests and other | (123) | (123) | ||||||||||
Stock-based compensation and other | (60) | (44) | (1) | (59) | (44) | (60) | ||||||
Noncash stock-based compensation and other | 22 | 9 | 22 | 9 | 22 | |||||||
Issuance of preference stock | 294 | 294 | (6) | 294 | 300 | |||||||
Redemption of preference stock | (125) | (125) | 2 | (2) | (2) | (2) | (123) | (125) | ||||
Balance, at the end of the period at Dec. 31, 2016 | $ 14,187 | $ 14,483 | $ 2,505 | $ 2,168 | $ 657 | $ (53) | $ (20) | $ 9,544 | $ 9,433 | $ 11,996 | $ 2,191 | $ 2,245 |
Consolidated Statements of Cha9
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Stockholders' Equity [Abstract] | |||||||||||
Dividends declared per common share (in dollars per share) | $ 0.5425 | $ 0.4800 | $ 0.4800 | $ 0.4800 | $ 0.48 | $ 0.4175 | $ 0.4175 | $ 0.4175 | $ 1.9825 | $ 1.7325 | $ 1.4825 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Organization and Basis of Presentation Edison International is the parent holding company of Southern California Edison Company ("SCE"). SCE is an investor-owned public utility primarily engaged in the business of supplying and delivering electricity to an approximately 50,000 square mile area of southern California. Edison International is also the parent company of Edison Energy Group, a holding company for subsidiaries engaged in pursuing competitive business opportunities across energy services and distributed solar for commercial and industrial customers. Such business activities are currently not material to report as a separate business segment. These combined notes to the consolidated financial statements apply to both Edison International and SCE unless otherwise described. Edison International's consolidated financial statements include the accounts of Edison International, SCE and other wholly owned and controlled subsidiaries. References to Edison International refer to the consolidated group of Edison International and its subsidiaries. References to Edison International Parent and Other refer to Edison International Parent and its nonutility subsidiaries. SCE's consolidated financial statements include the accounts of SCE and its wholly owned and controlled subsidiaries. All intercompany transactions have been eliminated from the consolidated financial statements. Edison International's and SCE's accounting policies conform to accounting principles generally accepted in the United States of America, including the accounting principles for rate-regulated enterprises, which reflect the ratemaking policies of the California Public Utility Commission ("CPUC") and the Federal Energy Regulatory Commission ("FERC"). SCE applies authoritative guidance for rate-regulated enterprises to the portion of its operations in which regulators set rates at levels intended to recover the estimated costs of providing service, plus a return on net investments in assets, or rate base. Regulators may also impose certain penalties or grant certain incentives. Due to timing and other differences in the collection of electric utility revenue, these principles require an incurred cost that would otherwise be charged to expense by a non-regulated entity to be capitalized as a regulatory asset if it is probable that the cost is recoverable through future rates; and conversely the principles require recording of a regulatory liability for amounts collected in rates to recover costs expected to be incurred in the future or amounts collected in excess of costs incurred and refundable to customers. SCE assesses, at the end of each reporting period, whether regulatory assets are probable of future recovery. See Note 10 for composition of regulatory assets and liabilities. The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported period. Actual results could differ from those estimates. Cash Equivalents Cash equivalents includes investments in money market funds. Generally, the carrying value of cash equivalents equals the fair value, as these investments have original maturities of three months or less. The cash equivalents were as follows: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Money market funds $ 41 $ 37 $ 18 $ 8 Cash is temporarily invested until required for check clearing. Checks issued, but not yet paid by the financial institution, are reclassified from cash to accounts payable at the end of each reporting period as follows: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Book balances reclassified to accounts payable $ 138 $ 162 $ 136 $ 158 Allowance for Uncollectible Accounts Allowances for uncollectible accounts are provided based upon a variety of factors, including historical amounts written-off, current economic conditions and assessment of customer collectability. Inventory SCE's inventory is primarily composed of materials, supplies and spare parts, and generally stated at average cost. Emission Allowances SCE is allocated greenhouse gas ("GHG") allowances annually which it is then required to sell into quarterly auctions. GHG proceeds from the auctions are recorded as a regulatory liability to be refunded to customers. SCE purchases GHG allowances in quarterly auctions or from counterparties to satisfy its GHG emission compliance obligations and recovers such costs of GHG allowances from customers. GHG allowances held for use are classified as "Other current assets" on the consolidated balance sheets and are stated, similar to an inventory method, at the lower of weighted-average cost or market. SCE had GHG allowances of $113 million and $79 million at December 31, 2016 and 2015 , respectively. GHG emission obligations were $95 million and $86 million at December 31, 2016 and 2015 , respectively and are classified as "Other current liabilities" on the consolidated balance sheets. Property, Plant and Equipment SCE plant additions, including replacements and betterments, are capitalized. Direct material and labor and indirect costs such as construction overhead, administrative and general costs, pension and benefits, and property taxes are capitalized as part of plant additions. The CPUC authorizes a rate for each of the indirect costs which are allocated to each project based on either labor or total costs. Estimated useful lives (authorized by the CPUC) and weighted-average useful lives of SCE's property, plant and equipment, are as follows: Estimated Useful Lives Weighted-Average Useful Lives Generation plant 10 years to 57 years 38 years Distribution plant 20 years to 60 years 43 years Transmission plant 40 years to 65 years 53 years General plant and other 5 years to 60 years 22 years Depreciation of utility property, plant and equipment is computed on a straight-line, remaining-life basis. Depreciation expense was $1.52 billion , $1.42 billion and $1.33 billion for 2016 , 2015 and 2014 , respectively. Depreciation expense stated as a percent of average original cost of depreciable utility plant was, on a composite basis, 3.8% , 3.9% and 4.0% for 2016 , 2015 and 2014 , respectively. Replaced or retired property costs are charged to accumulated depreciation. Nuclear fuel for the Palo Verde Nuclear Power Plant ("Palo Verde") is recorded as utility plant (nuclear fuel in the fabrication and installation phase is recorded as construction in progress) in accordance with CPUC ratemaking procedures. Nuclear fuel is amortized using the units of production method. AFUDC represents the estimated cost of debt and equity funds that finance utility-plant construction and is capitalized during certain plant construction. AFUDC is recovered in rates through depreciation expense over the useful life of the related asset. AFUDC equity represents a method to compensate SCE for the estimated cost of equity used to finance utility plant additions and is recorded as part of construction in progress. AFUDC equity was $74 million , $87 million and $65 million in 2016 , 2015 and 2014 , respectively, and is reflected in "Interest and other income." AFUDC debt was $23 million , $31 million and $25 million in 2016 , 2015 and 2014 , respectively and is reflected as a reduction of "Interest expense." Major Maintenance Major maintenance costs for SCE's power plant facilities and equipment are expensed as incurred. Impairment of Long-Lived Assets Impairments of long-lived assets are evaluated based on a review of estimated future cash flows expected to be generated whenever events or changes in circumstances indicate that the carrying amount of such investments or assets may not be recoverable. If the carrying amount of a long-lived asset exceeds expected future cash flows, undiscounted and without interest charges, an impairment loss is recognized in the amount of the excess of fair value over the carrying amount. Fair value is determined via market, cost and income based valuation techniques, as appropriate. SCE's impaired assets are recorded as a regulatory asset if it is deemed probable that such amounts will be recovered from customers. In 2014, the CPUC approved the San Onofre OII Settlement Agreement that SCE had entered into with a number of intervening parties. The San Onofre OII Settlement Agreement had resolved the CPUC's investigation regarding the Steam Generator Replacement Project at San Onofre and the related outages and subsequent shutdown of San Onofre. In 2014, SCE had recorded a pre-tax impairment charge of approximately $163 million (approximately $72 million after-tax). Including amounts previously recorded as an impairment charge in 2013, the total impact of the San Onofre OII Settlement Agreement was a pre-tax charge of $738 million (approximately $437 million after-tax). In a December 2016 joint ruling, the Assigned Commissioner and the Assigned ALJ directed SCE to meet and confer with the other parties in the OII to consider changing the terms of the San Onofre OII Settlement Agreement. See Note 11 for further information. Goodwill Edison International assesses goodwill through annual goodwill impairment tests, at the reporting unit level, as of October 1st of each year. The fair value of the Edison Energy and SoCore Energy reporting units exceeded their carrying values at the date of the annual impairment analysis. As of December 31, 2016, goodwill is comprised of $78 million at the Edison Energy reporting unit and $22 million at the SoCore Energy reporting unit. Edison International will update these tests between annual tests if events occur or circumstances change such that it is more likely than not that the fair value of a reporting unit is below its carrying value. Nuclear Decommissioning and Asset Retirement Obligations The fair value of a liability for an asset retirement obligation ("ARO") is recorded in the period in which it is incurred, including a liability for the fair value of a conditional ARO, if the fair value can be reasonably estimated even though uncertainty exists about the timing and/or method of settlement. When an ARO liability is initially recorded, SCE capitalizes the cost by increasing the carrying amount of the related long-lived asset. For each subsequent period, the liability is increased for accretion expense and the capitalized cost is depreciated over the useful life of the related asset. AROs related to decommissioning of SCE's nuclear power facilities are based on site-specific studies conducted as part of each Nuclear Decommissioning Cost Triennial Proceeding ("NDCTP") conducted before the CPUC. Revisions of an ARO are established for updated site-specific decommissioning cost estimates. SCE adjusts its nuclear decommissioning obligation into a nuclear-related ARO regulatory asset and also records an ARO regulatory liability as a result of timing differences between the recognition of costs and the recovery of costs through the ratemaking process. For further discussion, see Notes 9 and 10. SCE has not recorded an asset retirement obligation for assets that are expected to operate indefinitely or where SCE cannot estimate a settlement date (or range of potential settlement dates). As such, ARO liabilities are not recorded for certain retirement activities, including certain hydroelectric facilities. The following table summarizes the changes in SCE's ARO liability, including San Onofre and Palo Verde: December 31, (in millions) 2016 2015 Beginning balance $ 2,762 $ 2,819 Accretion 1 157 173 Revisions (165 ) (14 ) Liabilities settled (168 ) (216 ) Ending balance $ 2,586 $ 2,762 1 An ARO represents the present value of a future obligation. Accretion is an increase in the liability to account for the time value of money resulting from discounting. The recorded liability to decommission SCE's nuclear power facilities (included in the table above) is $2.5 billion as of December 31, 2016. In 2016, SCE updated the recorded liability for Palo Verde and San Onofre Unit 1 based on the 2013 decommissioning study performed for Palo Verde and the 2014 study for San Onofre Unit 1. The recorded liability for San Onofre Unit 2 and 3 is based on a 2014 decommissioning study which followed the decision to permanently retire San Onofre. The 2015 NDTCP filing is expected to be updated for San Onofre Units 2 and 3 after onboarding the decommissioning general contractor and the subsequent development of a new decommissioning cost estimate during 2017. Decommissioning costs, which are recovered through customer rates over the term of each nuclear facility's operating license, are recorded as a component of depreciation expense, with a corresponding credit to the ARO regulatory liability. Amortization of the ARO asset (included within the unamortized nuclear investment) and accretion of the ARO liability are deferred as increases to the ARO regulatory liability account, resulting in no impact on earnings. SCE has collected in rates amounts for the future costs of removal of its nuclear assets, and has placed those amounts in independent trusts. The cost of removal amounts, in excess of amounts collected for assets not legally required to be removed, are classified as regulatory liabilities. Changes in the estimated costs, timing of decommissioning or the assumptions underlying these estimates could cause material revisions to the estimated total cost to decommission. SCE currently estimates that it will spend approximately $6.3 billion through 2079 to decommission its nuclear facilities. This estimate is based on SCE's decommissioning cost methodology used for ratemaking purposes, escalated at rates ranging from 1.7% to 7.5% (depending on the cost element) annually. These costs are expected to be funded from independent decommissioning trusts. SCE estimates annual after-tax earnings on the decommissioning funds of 2.4% to 4.1% . Future decommissioning costs related to SCE's nuclear assets are expected to be funded from independent decommissioning trusts. If the assumed return on trust assets is not earned or costs escalate at higher rates, SCE expects that additional funds needed for decommissioning will be recoverable through future rates. See Note 9 for further information. Due to regulatory recovery of SCE's nuclear decommissioning expense, prudently incurred costs for nuclear decommissioning activities do not affect SCE's earnings. SCE's nuclear decommissioning costs are subject to CPUC review through the triennial regulatory proceeding. SCE's nuclear decommissioning trust investments primarily consist of fixed income and equity investments that are classified as available-for-sale. Due to regulatory mechanisms, earnings and realized gains and losses (including other-than-temporary impairments) have no impact on electric utility revenue. Unrealized gains and losses on decommissioning trust funds increase or decrease the trust assets and the related regulatory asset or liability and have no impact on electric utility revenue or decommissioning expense. SCE reviews each security for other-than-temporary impairment on the last day of each month. If the fair value on the last day of two consecutive months is less than the cost for that security, SCE recognizes a loss for the other-than-temporary impairment. If the fair value is greater or less than the cost for that security at the time of sale, SCE recognizes a related realized gain or loss, respectively. Deferred Financing Costs Debt premium, discount and issuance expenses incurred in connection with obtaining financing are deferred and amortized on a straight-line basis. Under CPUC ratemaking procedures, SCE's debt reacquisition expenses are amortized over the remaining life of the reacquired debt or, if refinanced, the life of the new debt. SCE had unamortized losses on reacquired debt of $184 million and $201 million at December 31, 2016 and 2015 , respectively, reflected as long-term "Regulatory assets" in the consolidated balance sheets. Edison International and SCE had unamortized debt issuance costs of $10 million and $7 million at December 31, 2016 , respectively, and $11 million and $7 million at December 31, 2015 , respectively, reflected in "Other long-term assets" on the consolidated balance sheets. In addition, Edison International and SCE had debt issuance costs of $81 million and $71 million at December 31, 2016, respectively, and $81 million and $77 million at December 31, 2015, respectively, reflected as a reduction of "Long-term debt" on the consolidated balance sheets. Amortization of deferred financing costs charged to interest expense is as follows: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Amortization of deferred financing costs charged to interest expense $ 31 $ 33 $ 36 $ 27 $ 28 $ 32 Revenue Recognition Revenue is recognized when electricity is delivered and includes amounts for services rendered but unbilled at the end of each reporting period and reflected in "Operating revenue" on the consolidated statements of income. Rates charged to customers are based on CPUC- and FERC-authorized revenue requirements. CPUC rates are implemented subsequent to final approval. CPUC rates decouple authorized revenue from the volume of electricity sales. Differences between amounts collected and authorized levels are either collected from or refunded to customers, and therefore, SCE earns revenue equal to amounts authorized. FERC rates also decouple revenue from volume of electricity sales. In November 2013, the FERC approved a formula rate effective January 1, 2012 to determine SCE's FERC transmission revenue requirement, including its construction work in progress ("CWIP") revenue requirement. Under operation of the formula rate, transmission revenue will be updated to actual cost of service annually. Differences between amounts collected and determined under the formula rate are either collected from or refunded to customers, and therefore, SCE earns revenue based on estimates of recorded rate base costs under the FERC formula rate. SCE bills certain sales and use taxes levied by state or local governments to its customers. Included in these sales and use taxes are franchise fees, which SCE pays to various municipalities (based on contracts with these municipalities) in order to operate within the limits of the municipality. SCE bills these franchise fees to its customers based on a CPUC-authorized rate. These franchise fees, which are required to be paid regardless of SCE's ability to collect from the customer, are accounted for on a gross basis and reflected in electric utility revenue and other operation and maintenance expense. SCE's franchise fees billed to customers and recorded as revenue were $111 million , $138 million and $134 million in 2016 , 2015 and 2014 , respectively. When SCE acts as an agent, the taxes are accounted for on a net basis. Amounts billed to and collected from customers for these taxes are remitted to the taxing authorities and are not recognized as electric utility revenue. Power Purchase Agreements SCE enters into power purchase agreements in the normal course of business. A power purchase agreement may be considered a variable interest in a variable interest entity. Under this classification, the power purchase agreement is evaluated to determine if SCE is the primary beneficiary in the variable interest entity, in which case, such entity would be consolidated. None of SCE's power purchase agreements resulted in consolidation of a variable interest entity at December 31, 2016 and 2015 . See Note 3 for further discussion of power purchase agreements that are considered variable interests. A power purchase agreement may also contain a lease for accounting purposes. This generally occurs when a power purchase agreement (signed or modified after June 30, 2003) designates a specific power plant in which the buyer purchases substantially all of the output and does not otherwise meet a fixed price per unit of output exception. SCE has a number of power purchase agreements that contain leases. SCE's recognition of lease expense conforms to the ratemaking treatment for SCE's recovery of the cost of electricity and is recorded in purchased power. See Note 11 for further discussion of SCE's power purchase agreements, including agreements that are classified as operating and capital leases for accounting purposes. A power purchase agreement that does not contain a lease may be classified as a derivative subject to a normal purchase and sale exception, in which case the power purchase agreement is classified as an executory contract and accounted for on an accrual basis. SCE purchases power under certain contracts that are not eligible for the normal purchase and sale exception and are recorded as a derivative on the consolidated balance sheets at fair value. Most of SCE's qualifying facilities ("QFs") contracts are not required to be recorded on the consolidated balance sheets because they either do not meet the definition of a derivative or meet the normal purchase and sale exception. See Note 6 for further information on derivative instruments. Power purchase agreements that do not meet the above classifications are accounted for on an accrual basis. Derivative Instruments SCE records derivative instruments on its consolidated balance sheets as either assets or liabilities measured at fair value unless otherwise exempted from derivative treatment as normal purchases or sales. The normal purchases and sales exception requires, among other things, physical delivery in quantities expected to be used or sold over a reasonable period in the normal course of business. Realized gains and losses from SCE's derivative instruments are expected to be recovered from or refunded to customers through regulatory mechanisms and, therefore, SCE's fair value changes have no impact on purchased-power expense or earnings. SCE does not use hedge accounting for derivative transactions due to regulatory accounting treatment. Where SCE's derivative instruments are subject to a master netting agreement and certain criteria are met, SCE presents its derivative assets and liabilities on a net basis on its consolidated balance sheets. In addition, derivative positions are offset against margin and cash collateral deposits. The results of derivative activities are recorded as part of cash flows from operating activities on the consolidated statements of cash flows. See Note 6 for further information on derivative instruments. Leases SCE enters into power purchase agreements that may contain leases, as discussed under "Power Purchase Agreements" above. SCE has also entered into a number of agreements to lease property and equipment in the normal course of business. Minimum lease payments under operating leases are levelized (total minimum lease payments divided by the number of years of the lease) and recorded as rent expense over the terms of the leases. Lease payments in excess of the minimum are recorded as rent expense in the year incurred. Capital leases are reported as long-term obligations on the consolidated balance sheets in "Other deferred credits and other long-term liabilities." As a rate-regulated enterprise, SCE's capital lease amortization expense and interest expense are reflected in "Purchased power and fuel" on the consolidated statements of income. Stock-Based Compensation Stock options, performance shares, deferred stock units and restricted stock units have been granted under Edison International's long-term incentive compensation programs. Generally, Edison International does not issue new common stock for settlement of equity awards. Rather, a third party is used to purchase shares from the market and deliver such shares for the settlement of option exercises, performance shares, deferred stock units and restricted stock units. Performance shares awarded in 2014 that are earned are settled half in cash and half in common stock, while the performance shares awarded in 2016 and 2015 that are earned are settled solely in cash. Deferred stock units and restricted stock units are settled in common stock; however, Edison International will substitute cash awards to the extent necessary to pay tax withholding or any government levies. Stock-based compensation expense is recognized on a straight-line basis over the requisite service period. For awards granted to retirement-eligible participants stock compensation expenses are recognized on a prorated basis over the initial year or over the period between the date of grant and the date the participant first becomes eligible for retirement. Under new accounting guidance adopted in 2016, share-based payments may create a permanent difference between the amount of compensation expense recognized for book and tax purposes. The tax impact of this permanent difference is recognized in earnings in the period it is created. SCE Dividend Restrictions The CPUC regulates SCE's capital structure which limits the dividends it may pay Edison International. SCE may make distributions to Edison International as long as the common equity component of SCE's capital structure remains at or above 48% on a 13 -month weighted average basis. At December 31, 2016 , SCE's 13 -month weighted-average common equity component of total capitalization was 50.4% and the maximum additional dividend that SCE could pay to Edison International under this limitation was approximately $585 million , resulting in a restriction on net assets of approximately $13.9 billion . Earnings Per Share Edison International computes earnings per common share ("EPS") using the two-class method, which is an earnings allocation formula that determines EPS for each class of common stock and participating security. Edison International's participating securities are stock-based compensation awards payable in common shares, including performance shares and restricted stock units, which earn dividend equivalents on an equal basis with common shares once the awards are vested. EPS attributable to Edison International common shareholders was computed as follows: Years ended December 31, (in millions) 2016 2015 2014 Basic earnings per share – continuing operations: Income from continuing operations attributable to common shareholders $ 1,299 $ 985 $ 1,427 Participating securities dividends — (1 ) (1 ) Income from continuing operations available to common shareholders $ 1,299 $ 984 $ 1,426 Weighted average common shares outstanding 326 326 326 Basic earnings per share – continuing operations $ 3.99 $ 3.02 $ 4.38 Diluted earnings per share – continuing operations: Income from continuing operations attributable to common shareholders $ 1,299 $ 985 $ 1,427 Participating securities dividends — (1 ) (1 ) Income from continuing operations available to common shareholders $ 1,299 $ 984 $ 1,426 Income impact of assumed conversions 1 1 1 Income from continuing operations available to common shareholders and assumed conversions $ 1,300 $ 985 $ 1,427 Weighted average common shares outstanding 326 326 326 Incremental shares from assumed conversions 4 3 3 Adjusted weighted average shares – diluted 330 329 329 Diluted earnings per share – continuing operations $ 3.94 $ 2.99 $ 4.33 In addition to the participating securities discussed above, Edison International also may award stock options which are payable in common shares and are included in the diluted earnings per share calculation. Stock option awards to purchase 167,795 , 2,046,045 and 125,345 shares of common stock for the years ended December 31, 2016 , 2015 and 2014 , respectively, were outstanding, but were not included in the computation of diluted earnings per share because the effect would have been antidilutive. Income Taxes Edison International and SCE estimate their income taxes for each jurisdiction in which they operate. This involves estimating current period tax expense along with assessing temporary differences resulting from differing treatment of items (such as depreciation) for tax and accounting purposes. These differences result in deferred tax assets and liabilities, which are included in the consolidated balance sheets. Income tax expense includes the current tax liability from operations and the change in deferred income taxes during the year. Investment tax credits are deferred and amortized to income tax expense over the lives of the properties or the term of the power purchase agreement of the respective project. Interest income, interest expense and penalties associated with income taxes are reflected in "Income tax expense" on the consolidated statements of income. Edison International's eligible subsidiaries are included in Edison International's consolidated federal income tax and combined state tax returns. Edison International has tax-allocation and payment agreements with certain of its subsidiaries. Pursuant to an income tax-allocation agreement approved by the CPUC, SCE's tax liability is computed as if it filed its federal and state income tax returns on a separate return basis. Redeemable Noncontrolling Interest Redeemable noncontrolling interest represents the portion of equity ownership in an entity that is not attributable to the equity holders of Edison International and which have rights to put their ownership back to a subsidiary of Edison International. Noncontrolling interest is initially recorded at fair value and is subsequently adjusted for income allocated to the noncontrolling interest and any distributions paid to the noncontrolling interest. Certain solar projects for commercial customers are organized as limited liability companies and have noncontrolling equity investors (referred to as tax equity investors) which are entitled to allocations of earnings, tax attributes and cash flows in accordance with contractual agreements that vary over time. These entities are consolidated for financial reporting purposes but is not subject to income taxes as the taxable income (loss) and investment tax credits are allocated to the respective owners. The total consolidated assets and liabilities of these entities were $74 million and $23 million , respectively, at December 31, 2016 and were $82 million and $32 million , respectively, at December 31, 2015. Income (loss) of these entities are allocated to the noncontrolling interest based on the hypothetical liquidation at book value ("HLBV") accounting method. The HLBV accounting method is an approach that calculates the change in the claims of each member on the net assets of the investment at the beginning and end of each period. Each member’s claim is equal to the amount each party would receive or pay if the net assets of the investment were to liquidate at book value. Under the contract provisions, the tax equity investors' claim on net assets decreases rapidly in early years due to allocation of tax benefits resulting in additional non-operating income allocated to Edison International ( $9 million and $16 million in 2016 and 2015, respectively). New Accounting Guidance Accounting Guidance Adopted In April 2015, the FASB issued an accounting standards update that requires debt issuance costs to be presented in the balance sheet as a direct reduction from the carrying amount of the related debt liability, consistent with debt discounts. Previously, accounting guidance required these costs to be presented as a deferred charge asset. Edison International and SCE adopted this guidance in the first quarter of 2016. At December 31, 2016, the amount of debt issuance costs that are reflected as a reduction of "Long-term debt" was $71 million for SCE and $81 million for Edison International. At December 31, 2015, the amount of debt issuance costs that have been reclassified from "Other long-term assets" to a reduction of "Long-term debt" was $77 million for SCE and $81 million for Edison International. In April 2015, the FASB issued an accounting standards update on fees paid by a customer for software licenses. This new standard provides guidance about whether a cloud computing arrangement includes a software license which may be capitalized in certain circumstances. If a cloud computing arrangement does not include a software license, then the arrangement should be accounted for as a service contract. Edison International and SCE adopted this guida |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment SCE's property, plant and equipment included in the consolidated balance sheets is composed of the following: December 31, (in millions) 2016 2015 Distribution $ 22,332 $ 20,871 Transmission 12,549 11,592 Generation 3,376 3,138 General plant and other 4,633 4,543 Accumulated depreciation (9,000 ) (8,548 ) 33,890 31,596 Construction work in progress 2,790 3,218 Nuclear fuel, at amortized cost 126 131 Total utility property, plant and equipment $ 36,806 $ 34,945 Capitalized Software Costs SCE capitalizes costs incurred during the application development stage of internal use software projects to property, plant, and equipment. SCE amortizes capitalized software costs ratably over the expected lives of the software, ranging from 5 to 15 years and commencing upon operational use. Capitalized software costs, included in general plant and other above, were $1.4 billion at both December 31, 2016 and 2015 and accumulated amortization was $0.8 billion and $0.9 billion , at December 31, 2016 and 2015 , respectively. Amortization expense for capitalized software was $249 million , $268 million and $271 million in 2016 , 2015 and 2014 , respectively. At December 31, 2016 , amortization expense is estimated to be approximately $243 million annually for 2017 through 2021 . Jointly Owned Utility Projects SCE owns undivided interests in several generating assets for which each participant provides its own financing. SCE's proportionate share of these assets is reflected in the consolidated balance sheets and included in the above table. SCE's proportionate share of expenses for each project is reflected in the consolidated statements of income. A portion of the investments in Palo Verde generating stations is included in regulatory assets on the consolidated balance sheets. For further information see Note 10. The following is SCE's investment in each asset as of December 31, 2016 : (in millions) Plant in Service Construction Work in Progress Accumulated Depreciation Nuclear Fuel (at amortized cost) Net Book Value Ownership Interest Transmission systems: Eldorado $ 235 $ 10 $ 21 $ — $ 224 59% Pacific Intertie 192 21 80 — 133 50% Generating station: Palo Verde (nuclear) 1,959 62 1,547 126 600 16% Total $ 2,386 $ 93 $ 1,648 $ 126 $ 957 In addition, SCE has ownership interests in jointly owned power poles with other companies. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2016 | |
Variable Interest Entities Disclosure [Abstract] | |
Variable Interest Entities | Variable Interest Entities A VIE is defined as a legal entity that meets one of two conditions: (1) the equity owners do not have sufficient equity at risk, or (2) the holders of the equity investment at risk, as a group, lack any of the following three characteristics: decision-making rights, the obligation to absorb losses, or the right to receive the expected residual returns of the entity. The primary beneficiary is identified as the variable interest holder that has both the power to direct the activities of the VIE that most significantly impact the entity's economic performance and the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the VIE. The primary beneficiary is required to consolidate the VIE. A subsidiary of Edison International is the primary beneficiary of entities that own rooftop solar projects (for further information, see Note 1—Redeemable Noncontrolling Interests). Commercial and operating activities are generally the factors that most significantly impact the economic performance of such VIEs. Commercial and operating activities include construction, operation and maintenance, fuel procurement, dispatch and compliance with regulatory and contractual requirements. Variable Interest in VIEs that are not Consolidated Power Purchase Contracts SCE has power purchase agreements ("PPAs") that are classified as variable interests in VIEs, including tolling agreements through which SCE provides the natural gas to fuel the plants and contracts with QFs that contain variable pricing provisions based on the price of natural gas. SCE has concluded that it is not the primary beneficiary of these VIEs since it does not control the commercial and operating activities of these entities. Since payments for capacity are the primary source of income, the most significant economic activity for these VIEs is the operation and maintenance of the power plants. As of the balance sheet date, the carrying amount of assets and liabilities in SCE's consolidated balance sheet that relate to its involvement with VIEs result from amounts due under the PPAs or the fair value of those derivative contracts. Under these contracts, SCE recovers the costs incurred through demonstration of compliance with its CPUC-approved long-term power procurement plans. SCE has no residual interest in the entities and has not provided or guaranteed any debt or equity support, liquidity arrangements, performance guarantees or other commitments associated with these contracts other than the purchase commitments described in Note 11. As a result, there is no significant potential exposure to loss to SCE from its variable interest in these VIEs. The aggregate contracted capacity dedicated to SCE from these VIE projects was 4,353 MW and 4,062 MW at December 31, 2016 and 2015 , respectively, and the amounts that SCE paid to these projects were $788 million and $640 million for the years ended December 31, 2016 and 2015 , respectively. These amounts are recoverable in customer rates, subject to reasonableness review. Unconsolidated Trusts of SCE SCE Trust I, Trust II, Trust III, Trust IV and Trust V were formed in 2012, 2013, 2014, 2015 and 2016 respectively, for the exclusive purpose of issuing the 5.625% , 5.10% , 5.75% , 5.375% and 5.45% trust preference securities, respectively ("trust securities"). The trusts are VIEs. SCE has concluded that it is not the primary beneficiary of these VIEs as it does not have the obligation to absorb the expected losses or the right to receive the expected residual returns of the trusts. SCE Trust I, Trust II, Trust III, Trust IV and Trust V issued to the public trust securities in the face amounts of $475 million , $400 million , $275 million , $325 million and $ 300 million (cumulative, liquidation amounts of $25 per share), respectively, and $10,000 of common stock each to SCE. The trusts invested the proceeds of these trust securities in Series F, Series G, Series H, Series J and Series K Preference Stock issued by SCE in the principal amounts of $475 million , $400 million , $275 million , $325 million and $ 300 million (cumulative, $2,500 per share liquidation values), respectively, which have substantially the same payment terms as the respective trust securities. The Series F, Series G, Series H, Series J and Series K Preference Stock and the corresponding trust securities do not have a maturity date. Upon any redemption of any shares of the Series F, Series G, Series H, Series J or Series K Preference Stock, a corresponding dollar amount of trust securities will be redeemed by the applicable trust (see Note 12 for further information). The applicable trust will make distributions at the same rate and on the same dates on the applicable series of trust securities if and when the SCE board of directors declares and makes dividend payments on the related Preference Stock. The applicable trust will use any dividends it receives on the related Preference Stock to make its corresponding distributions on the applicable series of trust securities. If SCE does not make a dividend payment to any of these trusts, SCE would be prohibited from paying dividends on its common stock. SCE has fully and unconditionally guaranteed the payment of the trust securities and trust distributions, if and when SCE pays dividends on the related Preference Stock. The Trust I, Trust II, Trust III and Trust IV balance sheets as of December 31, 2016 and 2015 consisted of investments of $475 million , $400 million , $275 million and $325 million in the Series F, Series G, Series H and Series J Preference Stock respectively, $475 million , $400 million , $275 million and $325 million of trust securities, respectively and $10,000 each of common stock. The Trust V balance sheet as of December 31, 2016 consisted of investments of $ 300 million in the Series K Preference Stock, $ 300 million of trust securities, and $10,000 of common stock. The following table provides a summary of the trusts' income statements: Years ended December 31, (in millions) Trust I Trust II Trust III Trust IV Trust V 2016 Dividend income $ 27 $ 20 $ 16 $ 17 $ 13 Dividend distributions 27 20 16 17 13 2015 Dividend income $ 27 $ 20 $ 16 $ 6 * Dividend distributions 27 20 16 6 * 2014 Dividend income $ 27 $ 20 $ 13 * * Dividend distributions 27 20 13 * * * Not applicable |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Recurring Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (referred to as an "exit price"). Fair value of an asset or liability considers assumptions that market participants would use in pricing the asset or liability, including assumptions about nonperformance risk. As of December 31, 2016 and 2015 , nonperformance risk was not material for Edison International and SCE. Assets and liabilities are categorized into a three-level fair value hierarchy based on valuation inputs used to determine fair value. Level 1 – The fair value of Edison International's and SCE's Level 1 assets and liabilities is determined using unadjusted quoted prices in active markets that are available at the measurement date for identical assets and liabilities. This level includes exchange-traded equity securities, U.S. treasury securities, mutual funds and money market funds. Level 2 – Edison International's and SCE's Level 2 assets and liabilities include fixed income securities, primarily consisting of U.S. government and agency bonds, municipal bonds and corporate bonds, and over-the-counter derivatives. The fair value of fixed income securities is determined using a market approach by obtaining quoted prices for similar assets and liabilities in active markets and inputs that are observable, either directly or indirectly, for substantially the full term of the instrument. The fair value of SCE's over-the-counter derivative contracts is determined using an income approach. SCE uses standard pricing models to determine the net present value of estimated future cash flows. Inputs to the pricing models include forward published or posted clearing prices from exchanges (New York Mercantile Exchange and Intercontinental Exchange) for similar instruments and discount rates. A primary price source that best represents trade activity for each market is used to develop observable forward market prices in determining the fair value of these positions. Broker quotes, prices from exchanges or comparison to executed trades are used to validate and corroborate the primary price source. These price quotations reflect mid-market prices (average of bid and ask) and are obtained from sources believed to provide the most liquid market for the commodity. Level 3 – The fair value of SCE's Level 3 assets and liabilities is determined using the income approach through various models and techniques that require significant unobservable inputs. This level includes tolling arrangements and derivative contracts that trade infrequently such as congestion revenue rights ("CRRs"). Edison International Parent and Other does not have any Level 3 assets and liabilities. Assumptions are made in order to value derivative contracts in which observable inputs are not available. Changes in fair value are based on changes to forward market prices, including extrapolation of short-term observable inputs into forecasted prices for illiquid forward periods. In circumstances where fair value cannot be verified with observable market transactions, it is possible that a different valuation model could produce a materially different estimate of fair value. Modeling methodologies, inputs and techniques are reviewed and assessed as markets continue to develop and more pricing information becomes available and the fair value is adjusted when it is concluded that a change in inputs or techniques would result in a new valuation that better reflects the fair value of those derivative contracts. See Note 6 for a discussion of fair value of derivative instruments. SCE The following table sets forth assets and liabilities of SCE that were accounted for at fair value by level within the fair value hierarchy: December 31, 2016 (in millions) Level 1 Level 2 Level 3 Netting and Collateral 1 Total Assets at fair value Derivative contracts $ — $ 6 $ 68 $ — $ 74 Other 33 — — — 33 Nuclear decommissioning trusts: Stocks 2 1,547 — — — 1,547 Fixed Income 3 865 1,751 — — 2,616 Short-term investments, primarily cash equivalents 36 170 — — 206 Subtotal of nuclear decommissioning trusts 4 2,448 1,921 — — 4,369 Total assets 2,481 1,927 68 — 4,476 Liabilities at fair value Derivative contracts — — 1,157 — 1,157 Total liabilities — — 1,157 — 1,157 Net assets (liabilities) $ 2,481 $ 1,927 $ (1,089 ) $ — $ 3,319 December 31, 2015 (in millions) Level 1 Level 2 Level 3 Netting and Collateral 1 Total Assets at fair value Derivative contracts $ — $ — $ 163 $ — $ 163 Other 28 — — — 28 Nuclear decommissioning trusts: Stocks 2 1,460 — — — 1,460 Fixed Income 3 947 1,776 — — 2,723 Short-term investments, primarily cash equivalents 91 81 — — 172 Subtotal of nuclear decommissioning trusts 4 2,498 1,857 — — 4,355 Total assets 2,526 1,857 163 — 4,546 Liabilities at fair value Derivative contracts — 22 1,311 (15 ) 1,318 Total liabilities — 22 1,311 (15 ) 1,318 Net assets (liabilities) $ 2,526 $ 1,835 $ (1,148 ) $ 15 $ 3,228 1 Represents the netting of assets and liabilities under master netting agreements and cash collateral across the levels of the fair value hierarchy. Netting among positions classified within the same level is included in that level. 2 Approximately 70% of SCE's equity investments were located in the United States at both December 31, 2016 and 2015 . 3 Includes corporate bonds, which were diversified and included collateralized mortgage obligations and other asset backed securities of $79 million and $111 million at December 31, 2016 and 2015 , respectively. 4 Excludes net payables of $127 million and $24 million at December 31, 2016 and 2015 , which consist of interest and dividend receivables as well as receivables and payables related to SCE's pending securities sales and purchases. Edison International Parent and Other Edison International Parent and Other assets measured at fair value consisted of money market funds of $23 million and $29 million at December 31, 2016 and 2015 , respectively, classified as Level 1. SCE Fair Value of Level 3 The following table sets forth a summary of changes in SCE's fair value of Level 3 net derivative assets and liabilities: December 31, (in millions) 2016 2015 Fair value of net liabilities at beginning of period $ (1,148 ) $ (902 ) Total realized/unrealized gains (losses): Included in regulatory assets and liabilities 1 59 (246 ) Fair value of net liabilities at end of period $ (1,089 ) $ (1,148 ) Change during the period in unrealized gains and losses related to assets and liabilities held at the end of the period $ (70 ) $ (311 ) 1 Due to regulatory mechanisms, SCE's realized and unrealized gains and losses are recorded as regulatory assets and liabilities. Edison International and SCE recognize the fair value for transfers in and transfers out of each level at the end of each reporting period. There were no significant transfers between any levels during 2016 and 2015 . Valuation Techniques Used to Determine Fair Value The process of determining fair value is the responsibility of SCE's risk management department, which reports to SCE's chief financial officer. This department obtains observable and unobservable inputs through broker quotes, exchanges and internal valuation techniques that use both standard and proprietary models to determine fair value. Each reporting period, the risk and finance departments collaborate to determine the appropriate fair value methodologies and classifications for each derivative. Inputs are validated for reasonableness by comparison against prior prices, other broker quotes and volatility fluctuation thresholds. Inputs used and valuations are reviewed period-over-period and compared with market conditions to determine reasonableness. The following table sets forth SCE's valuation techniques and significant unobservable inputs used to determine fair value for significant Level 3 assets and liabilities: Fair Value (in millions) Significant Range Assets Liabilities Valuation Technique(s) Unobservable Input (Weighted Average) Congestion revenue rights December 31, 2016 $ 67 $ — Market simulation model and auction prices Load forecast 3,708 MW - 22,840 MW Power prices 1 $3.65 - $99.58 Gas prices 2 $2.51 - $4.87 December 31, 2015 152 — Market simulation model and auction prices Load forecast 6,289 MW - 24,349 MW Power prices 1 $0 - $110.44 Gas prices 2 $1.98 - $5.72 Tolling December 31, 2016 — 1,154 Option model Volatility of gas prices 15% - 48% (20%) Volatility of power prices 29% - 71% (40%) Power prices $23.40 - $51.24 ($34.70) December 31, 2015 10 1,297 Option model Volatility of gas prices 15% - 58% (20%) Volatility of power prices 26% - 38% (30%) Power prices $24.15 - $46.93 ($34.80) 1 Prices are in dollars per megawatt-hour. 2 Prices are in dollars per million British thermal units. Level 3 Fair Value Sensitivity Congestion Revenue Rights For CRRs, where SCE is the buyer, generally increases (decreases) in forecasted load in isolation would result in increases (decreases) to the fair value. In general, an increase (decrease) in electricity and gas prices at illiquid locations tends to result in increases (decreases) to fair value; however, changes in electricity and gas prices in opposite directions may have varying results on fair value. Tolling Arrangements The fair values of SCE's tolling arrangements contain intrinsic value and time value. Intrinsic value is the difference between the market price and strike price of the underlying commodity. Time value is made up of several components, including volatility, time to expiration, and interest rates. The option model for tolling arrangements reflects plant specific information such as operating and start-up costs. For tolling arrangements where SCE is the buyer, increases in volatility of the underlying commodity prices would result in increases to fair value as it represents greater price movement risk. As power and gas prices increase, the fair value of tolling arrangements tends to increase. The valuation of tolling arrangements is also impacted by the correlation between gas and power prices. As the correlation increases, the fair value of tolling arrangements tends to decline. Nuclear Decommissioning Trusts SCE's nuclear decommissioning trust investments include equity securities, U.S. treasury securities and other fixed income securities. Equity and treasury securities are classified as Level 1 as fair value is determined by observable market prices in active or highly liquid and transparent markets. The remaining fixed income securities are classified as Level 2. The fair value of these financial instruments is based on evaluated prices that reflect significant observable market information such as reported trades, actual trade information of similar securities, benchmark yields, broker/dealer quotes, issuer spreads, bids, offers and relevant credit information. SCE's investment policies and CPUC requirements place limitations on the types and investment grade ratings of the securities that may be held by the nuclear decommissioning trust funds. These policies restrict the trust funds from holding alternative investments and limit the trust funds' exposures to investments in highly illiquid markets. With respect to equity and fixed income securities, the trustee obtains prices from third-party pricing services which SCE is able to independently corroborate as described below. The trustee monitors prices supplied by pricing services, including reviewing prices against defined parameters' tolerances and performs research and resolves variances beyond the set parameters. SCE corroborates the fair values of securities by comparison to other market-based price sources obtained by SCE's investment managers. Differences outside established thresholds are followed-up with the trustee and resolved. For each reporting period, SCE reviews the trustee determined fair value hierarchy and overrides the trustee level classification when appropriate. Fair Value of Debt Recorded at Carrying Value The carrying value and fair value of Edison International's and SCE's long-term debt (including current portion of long-term debt) are as follows: December 31, 2016 December 31, 2015 (in millions) Carrying Value 1 Fair Value Carrying Value 1 Fair Value Edison International $ 11,156 $ 12,368 $ 11,178 $ 12,252 SCE 10,333 11,539 10,539 11,592 1 Carrying value is net of debt issuance costs. The fair value of Edison International's and SCE's short-term and long-term debt is classified as Level 2 and is based on evaluated prices that reflect significant observable market information such as reported trades, actual trade information of similar securities, benchmark yields, broker/dealer quotes of new issue prices and relevant credit information. The carrying value of Edison International's and SCE's trade receivables and payables, other investments, and short-term debt approximates fair value. |
Debt and Credit Agreements
Debt and Credit Agreements | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt and Credit Agreements | Debt and Credit Agreements Long-Term Debt The following table summarizes long-term debt (rates and terms are as of December 31, 2016 ) of Edison International and SCE: December 31, (in millions) 2016 2015 Edison International Parent and Other: Debentures and notes: 2017 – 2023 (2.95% to 3.75%) $ 800 $ 614 Other long-term debt 32 31 Current portion of long-term debt (402 ) (216 ) Unamortized debt discount and issuance costs, net (9 ) (6 ) Total Edison International Parent and Other 421 423 SCE: First and refunding mortgage bonds: 2017 – 2045 (1.125% to 6.05%) 9,357 9,436 Pollution-control bonds: 2028 – 2035 (1.375% to 5.0%) 1 774 909 Debentures and notes: 2029 – 2053 (5.06% to 6.65%) 307 307 Current portion of long-term debt (579 ) (79 ) Unamortized debt discount and issuance costs, net (105 ) (113 ) Total SCE 9,754 10,460 Total Edison International $ 10,175 $ 10,883 1 Excludes outstanding bonds that have not been retired and may be remarketed to investors in the future. These bonds have variable rates and are due in 2031 and 2033 at December 31, 2016 and 2031 at December 31, 2015. Edison International and SCE long-term debt maturities over the next five years are the following: (in millions) Edison International SCE 2017 $ 981 $ 579 2018 482 479 2019 82 79 2020 80 79 2021 580 579 Project Financings As of December 31, 2016 and 2015, indirect subsidiaries of Edison Energy Group owning solar projects had approximately $22 million and $25 million outstanding under a 7 -year term financing due in 2022 at a weighted average interest rate of 3.50% and 3.11% . In addition, tax equity investors in these solar projects receive 99% of taxable profits and losses and tax credits of the projects as determined for federal income tax purposes for a six -year period following the completion of the portfolio of projects and receive a priority return of 2% of their investment per year. After the six -year period, the tax equity investor receives 5% of the taxable profits and losses and cash flow. A subsidiary of Edison Energy Group has a call option for a nine -month period following five years after completion of the portfolio of projects to purchase the tax equity investors interest and the tax equity investor has the right to put its ownership interest to such subsidiary in the event that the call option is not exercised. An indirect subsidiary of Edison Energy Group also entered into a non-recourse debt financing to support equity contributions in certain solar projects through June 30, 2017. The maturity date of the borrowings under this agreement is December 31, 2036. As of December 31, 2016 and 2015, there was $10 million and $6 million outstanding under this agreement at a weighted average interest rate of 9% . Liens and Security Interests Almost all of SCE's properties are subject to a trust indenture lien. SCE has pledged first and refunding mortgage bonds as collateral for borrowed funds obtained from pollution-control bonds issued by government agencies. SCE has a debt covenant that requires a debt to total capitalization ratio be met. At December 31, 2016 , SCE was in compliance with this debt covenant. All of the properties subject to the Edison Energy Group project financings discussed above are subject to a lien. Credit Agreements and Short-Term Debt The following table summarizes the status of the credit facilities at December 31, 2016 : (in millions) Edison International Parent SCE Commitment $ 1,250 $ 2,750 Outstanding borrowings (538 ) (769 ) Outstanding letters of credit — (91 ) Amount available $ 712 $ 1,890 SCE and Edison International Parent have multi-year revolving credit facilities of $2.75 billion and $1.25 billion , respectively, with both maturing in July 2021. SCE's credit facility is generally used to support commercial paper borrowings and letters of credit issued for procurement-related collateral requirements, balancing account undercollections and for general corporate purposes, including working capital requirements to support operations and capital expenditures. Edison International Parent's credit facility is used to support commercial paper borrowings and for general corporate purposes. At December 31, 2016 , commercial paper supported by SCE's credit facility, net of discount, was $769 million at a weighted-average interest rate of 0.9% . At December 31, 2016 , letters of credit issued under SCE's credit facility aggregated $91 million and are scheduled to expire in twelve months or less. At December 31, 2015 , the outstanding commercial paper, net of discount, was $49 million at a weighted-average interest rate of 0.51% . At December 31, 2016 , Edison International Parent's outstanding commercial paper, net of discount, was $538 million at a weighted-average interest rate of 0.97% . This commercial paper was supported by the $1.25 billion multi-year revolving credit facility. At December 31, 2015 , the outstanding commercial paper, net of discount, was $646 million at a weighted-average interest rate of 0.78% . Debt Financing Subsequent to December 31, 2016 In January 2017, SCE borrowed $300 million under a Term Loan Agreement with a variable interest rate, initially set at 1.483% , due in July 2018. The proceeds were used for general corporate purposes. In January 2017, SCE reissued $135 million of 2.625% pollution-control bonds with a mandatory purchase date in December 2023. These bonds mature in November 2033. The proceeds were used for general corporate purposes. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments Derivative financial instruments are used to manage exposure to commodity price risk. These risks are managed in part by entering into forward commodity transactions, including options, swaps and futures. To mitigate credit risk from counterparties in the event of nonperformance, master netting agreements are used whenever possible and counterparties may be required to pledge collateral depending on the creditworthiness of each counterparty and the risk associated with the transaction. Commodity Price Risk Commodity price risk represents the potential impact that can be caused by a change in the market value of a particular commodity. SCE's electricity price exposure arises from energy purchased from and sold to wholesale markets as a result of differences between SCE's load requirements and the amount of energy delivered from its generating facilities and power purchase agreements. SCE's natural gas price exposure arises from natural gas purchased for the Mountainview power plant and peaker plants, QF contracts where pricing is based on a monthly natural gas index and power purchase agreements in which SCE has agreed to provide the natural gas needed for generation, referred to as tolling arrangements. Credit and Default Risk Credit and default risk represent the potential impact that can be caused if a counterparty were to default on its contractual obligations and SCE would be exposed to spot markets for buying replacement power or selling excess power. In addition, SCE would be exposed to the risk of non-payment of accounts receivable, primarily related to the sales of excess power and realized gains on derivative instruments. Certain power contracts contain master netting agreements or similar agreements, which generally allow counterparties subject to the agreement to setoff amounts when certain criteria are met, such as in the event of default. The objective of netting is to reduce credit exposure. Additionally, to reduce SCE's risk exposures counterparties may be required to pledge collateral depending on the creditworthiness of each counterparty and the risk associated with the transaction. Certain power contracts contain a provision that requires SCE to maintain an investment grade rating from each of the major credit rating agencies, referred to as a credit-risk-related contingent feature. If SCE's credit rating were to fall below investment grade, SCE may be required to post additional collateral to cover derivative liabilities and the related outstanding payables. The net fair value of all derivative liabilities with these credit-risk-related contingent features was $12 million and $38 million as of December 31, 2016 and 2015 , respectively, for which SCE has posted $12 million collateral and no collateral to its counterparties at the respective dates for its derivative liabilities and related outstanding payables. If the credit-risk-related contingent features underlying these agreements were triggered on December 31, 2016 , SCE would be required to post $4 million of additional collateral of which $4 million is related to outstanding payables that are net of collateral already posted. Fair Value of Derivative Instruments SCE presents its derivative assets and liabilities on a net basis on its consolidated balance sheets when subject to master netting agreements or similar agreements. Derivative positions are offset against margin and cash collateral deposits. In addition, SCE has provided collateral in the form of letters of credit. Collateral requirements can vary depending upon the level of unsecured credit extended by counterparties, changes in market prices relative to contractual commitments and other factors. See Note 4 for a discussion of fair value of derivative instruments. The following table summarizes the gross and net fair values of SCE's commodity derivative instruments: December 31, 2016 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 74 $ 1 $ 75 $ 217 $ 941 $ 1,158 $ 1,083 Gross amounts offset in consolidated balance sheets (1 ) — (1 ) (1 ) — (1 ) — Cash collateral posted 1 — — — — — — — Net amounts presented in the consolidated balance sheets $ 73 $ 1 $ 74 $ 216 $ 941 $ 1,157 $ 1,083 December 31, 2015 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 81 $ 84 $ 165 $ 235 $ 1,100 $ 1,335 $ 1,170 Gross amounts offset in consolidated balance sheets (2 ) — (2 ) (2 ) — (2 ) — Cash collateral posted 1 — — — (15 ) — (15 ) (15 ) Net amounts presented in the consolidated balance sheets $ 79 $ 84 $ 163 $ 218 $ 1,100 $ 1,318 $ 1,155 1 In addition, at December 31, 2016 , SCE received $2 million of collateral that is not offset against derivative assets and is reflected in "Other current liabilities" on the consolidated balance sheets. At December 31, 2015 , SCE had posted $31 million of cash collateral that is not offset against derivative liabilities and is reflected in "Other current assets" on the consolidated balance sheets. Income Statement Impact of Derivative Instruments SCE recognizes realized gains and losses on derivative instruments as purchased power expense and expects that such gains or losses will be part of the purchase power costs recovered from customers. As a result, realized gains and losses do not affect earnings, but may temporarily affect cash flows. Due to expected future recovery from customers, unrealized gains and losses are recorded as regulatory assets and liabilities and therefore also do not affect earnings. The remaining effects of derivative activities and related regulatory offsets are recorded in cash flows from operating activities in the consolidated statements of cash flows. The following table summarizes the components of SCE's economic hedging activity: Years ended December 31, (in millions) 2016 2015 2014 Realized losses $ (59 ) $ (148 ) $ (57 ) Unrealized gains (losses) 84 (182 ) (147 ) Notional Volumes of Derivative Instruments The following table summarizes the notional volumes of derivatives used for SCE hedging activities: Economic Hedges Unit of December 31, Commodity Measure 2016 2015 Electricity options, swaps and forwards GWh 1,816 6,221 Natural gas options, swaps and forwards Bcf 36 32 Congestion revenue rights GWh 93,319 109,740 Tolling arrangements GWh 61,093 70,663 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Current and Deferred Taxes Edison International's sources of income (loss) before income taxes are: Years ended December 31, (in millions) 2016 2015 2014 Income from continuing operations before income taxes $ 1,590 $ 1,568 $ 1,979 Income (loss) from discontinued operations before income taxes 1 15 (525 ) Income before income tax $ 1,591 $ 1,583 $ 1,454 The components of income tax expense (benefit) by location of taxing jurisdiction are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Current: Federal $ (46 ) $ 18 $ (99 ) $ 75 $ 72 $ (89 ) State 33 19 20 93 127 101 (13 ) 37 (79 ) 168 199 12 Deferred: Federal 176 340 454 112 298 476 State 14 109 68 (24 ) 10 (14 ) 190 449 522 88 308 462 Total continuing operations 177 486 443 256 507 474 Discontinued operations 1 (11 ) (21 ) (710 ) — — — Total $ 166 $ 465 $ (267 ) $ 256 $ 507 $ 474 1 See Note 15 for a discussion of discontinued operations related to EME. The components of net accumulated deferred income tax liability are: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Deferred tax assets: Property and software related $ 549 $ 675 $ 548 $ 675 Nuclear decommissioning trust assets in excess of nuclear ARO liability 348 360 348 360 Loss and credit carryforwards 1,418 1,388 — — Regulatory balancing accounts 15 21 15 21 Pension and PBOPs 300 337 93 154 Other 419 499 408 411 Sub-total 3,049 3,280 1,412 1,621 Less valuation allowance 24 32 — — Total 3,025 3,248 1,412 1,621 Deferred tax liabilities: Property-related 10,330 9,606 10,330 9,600 Capitalized software costs 237 207 237 207 Regulatory balancing accounts 134 202 134 202 Nuclear decommissioning trust assets 348 360 348 360 PBOPs 13 71 13 71 Other 202 189 148 161 Total 11,264 10,635 11,210 10,601 Accumulated deferred income tax liability, net 1 $ 8,239 $ 7,387 $ 9,798 $ 8,980 1 Included in deferred income taxes and credits. Net Operating Loss and Tax Credit Carryforwards The amounts of net operating loss and tax credit carryforwards (after-tax) are as follows: Edison International SCE December 31, 2016 (in millions) Loss Carryforwards Credit Carryforwards Loss Carryforwards Credit Carryforwards Expire between 2017 to 2035 $ 1,095 $ 430 $ 20 $ 25 No expiration date — 69 — 37 Total 1 $ 1,095 $ 499 $ 20 $ 62 1 Deferred tax assets for net operating loss and tax credit carryforwards are reduced by unrecognized tax benefits of $176 million and $82 million for Edison International and SCE, respectively. Edison International has recorded a valuation allowance of $24 million for state net operating loss carryforwards estimated to expire unused. In 2016, Edison International determined that $8 million of the assets subject to a valuation allowance, had no expectation of recovery and were written off. At December 31, 2015, Edison International and SCE had $42 million and $6 million , respectively, of federal net operating loss carryforwards related to the tax benefit on employee stock plans that would be recorded to additional paid-in capital when realized. In March 2016, the FASB issued an accounting standards update to simplify the accounting for share-based payments. As part of this new guidance adopted in 2016, Edison International and SCE recorded an increase to beginning retained earnings for these amounts. Refer to Note 1 for further information. Edison International consolidates for federal income tax purposes, but not for financial accounting purposes, a group of wind projects referred to as Capistrano Wind. The amount of net operating loss and tax credit carryforwards recognized as part of deferred income taxes includes $242 million and $210 million related to Capistrano Wind at December 31, 2016 and 2015, respectively. Under a tax allocation agreement, Edison International has recorded the liability as part of other long-term liabilities related to its obligation to make payments to Capistrano Wind of these tax benefits when realized. Effective Tax Rate The table below provides a reconciliation of income tax expense computed at the federal statutory income tax rate to the income tax provision: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Income from continuing operations before income taxes $ 1,590 $ 1,568 $ 1,979 $ 1,755 $ 1,618 $ 2,039 Provision for income tax at federal statutory rate of 35% 556 549 693 614 566 714 Increase in income tax from: Items presented with related state income tax, net: Regulatory asset write-off 1 — 382 — — 382 — State tax, net of federal benefit 29 5 56 43 34 55 Property-related 2 (362 ) (341 ) (252 ) (362 ) (341 ) (252 ) Change related to uncertain tax positions (4 ) (67 ) 5 (8 ) (94 ) 12 San Onofre OII settlement — — (23 ) — — (23 ) Share-based compensation 3 (28 ) — — (13 ) — — Other (14 ) (42 ) (36 ) (18 ) (40 ) (32 ) Total income tax expense from continuing operations $ 177 $ 486 $ 443 $ 256 $ 507 $ 474 Effective tax rate 11.1 % 31.0 % 22.4 % 14.6 % 31.3 % 23.2 % 1 Includes federal and state. 2 Includes incremental repair benefits. See discussion of repair deductions below. 3 Includes state taxes of $(4) million and $(1) million for Edison International and SCE, respectively. Refer to Note 1 for further information. The CPUC requires flow-through ratemaking treatment for the current tax benefit arising from certain property-related and other temporary differences which reverse over time. Flow-through items reduce current authorized revenue requirements in SCE's rate cases and result in a regulatory asset for recovery of deferred income taxes in future periods. The difference between the authorized amounts as determined in SCE's rate cases, adjusted for balancing and memorandum account activities, and the recorded flow-through items also result in increases or decreases in regulatory assets with a corresponding impact on the effective tax rate to the extent that recorded deferred amounts are expected to be recovered in future rates. Repair Deductions Edison International made voluntary elections in 2009 and 2011 to change its tax accounting method for certain tax repair costs incurred on SCE's transmission, distribution and generation assets. Incremental repair deductions represent amounts recognized for regulatory accounting purposes in excess of amounts included in the authorized revenue requirements through the GRC proceedings. Incremental repair deductions for the years 2012 – 2014 resulted in additional income tax benefits of $133 million in 2014. As part of the final decision in SCE's 2015 GRC, the CPUC adopted a rate base offset associated with these incremental tax repair deductions during 2012 – 2014. The 2015 rate base offset is $324 million and amortizes on a straight line basis over 27 years. As a result of the rate base offset included in the final decision, SCE recorded an after tax charge of $382 million in 2015 to write down the net regulatory asset for recovery of deferred income taxes related to 2012 – 2014 incremental tax repair deductions which is reflected in "Income tax expense" on the consolidated statements of income. The amount of tax repair deductions the CPUC used to establish the rate base offset was based on SCE's forecast of 2012 – 2014 tax repair deductions from the Notice of Intent filed in the 2015 GRC. The amount of tax repair deductions included in the Notice of Intent was less than the actual tax repair deductions SCE reported on its 2012 through 2014 income tax returns. In April 2016, the CPUC granted SCE's request to reduce SCE's BRRBA by $234 million in future periods subject to the timing and final outcome of audits that may be conducted by tax authorities. The refunds will result in flowing incremental tax benefits for 2012 – 2014 to customers. SCE refunded $133 million ( $79 million after-tax) during the second quarter of 2016. SCE did not record a gain or loss from this reduction. Regulatory assets recorded from flow through tax benefits are recovered through SCE's general rate case proceedings. Accounting for Uncertainty in Income Taxes Authoritative guidance related to accounting for uncertainty in income taxes requires an enterprise to recognize, in its financial statements, the best estimate of the impact of a tax position by determining if the weight of the available evidence indicates it is more likely than not, based solely on the technical merits, that the position will be sustained upon examination. The guidance requires the disclosure of all unrecognized tax benefits, which includes both the reserves recorded for tax positions on filed tax returns and the unrecognized portion of affirmative claims. Unrecognized Tax Benefits The following table provides a reconciliation of unrecognized tax benefits for continuing and discontinued operations: Edison International SCE December 31, (in millions) 2016 2015 2014 2016 2015 2014 Balance at January 1, $ 529 $ 576 $ 815 $ 353 $ 441 $ 532 Tax positions taken during the current year: Increases 36 54 65 36 48 57 Tax positions taken during a prior year: Increases 2 66 1 — 23 — Decreases 1 (96 ) (165 ) (143 ) (18 ) (159 ) (93 ) Decreases for settlements during the period 2 — (2 ) (162 ) — — (55 ) Balance at December 31, $ 471 $ 529 $ 576 $ 371 $ 353 $ 441 1 Decreases in prior year tax positions for 2016 relate to state tax receivables on various claims. Due to the tax risks associated with these claims, the tax benefits were fully reserved at the time the asset was recorded. During 2016, the Company has determined that it will not recognize these assets so the tax benefit and related tax reserve were written off. Decreases in tax positions for 2015 relate primarily to re-measurement of uncertain tax positions in connection with receipt of the IRS Revenue Agent Report in June 2015. See discussions in Tax Disputes below. 2 In the fourth quarter of 2014, Edison International has settled all open tax positions with the IRS for taxable years 2003 through 2006. As of December 31, 2016 and 2015 , if recognized, $347 million and $440 million , respectively, of the unrecognized tax benefits would impact Edison International's effective tax rate; and $243 million and $256 million , respectively, of the unrecognized tax benefits would impact SCE's effective tax rate. Tax Disputes Tax Years 2007 – 2012 Edison International has reached a tentative settlement agreement with the IRS for the 2007 – 2012 tax years. The final agreement, when approved, is not expected to have a material impact on the financial statements. During 2015, the Company received the IRS Revenue Agent Report for the 2010 – 2012 tax years. Edison International's and SCE's tax reserves were re-measured at that time and $94 million and $100 million , respectively, of income tax benefits were recorded in the comparable quarter for the prior year. Tax years that remain open for examination by the IRS and the California Franchise Tax Board are 2007 – 2015 and 2003 – 2015, respectively. Accrued Interest and Penalties The total amount of accrued interest and penalties related to income tax liabilities for continuing and discontinued operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Accrued interest and penalties $ 128 $ 122 $ 41 $ 40 The net after-tax interest and penalties recognized in income tax expense for continuing and discontinued operations are: Edison International SCE December 31, (in millions) 2016 2015 2014 2016 2015 2014 Net after-tax interest and penalties tax benefit $ 6 $ 9 $ 41 $ 2 $ 14 $ 16 |
Compensation and Benefit Plans
Compensation and Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Compensation and Benefit Plans | Compensation and Benefit Plans Employee Savings Plan The 401(k) defined contribution savings plan is designed to supplement employees' retirement income. The following employer contributions were made for continuing operations: Edison International SCE (in millions) Years ended December 31, 2016 $ 69 $ 68 2015 73 72 2014 71 70 Pension Plans and Postretirement Benefits Other Than Pensions Pension Plans Noncontributory defined benefit pension plans (some with cash balance features) cover most employees meeting minimum service requirements. SCE recognizes pension expense for its nonexecutive plan as calculated by the actuarial method used for ratemaking. The expected contributions (all by the employer) for Edison International and SCE are approximately $136 million and $85 million , respectively, for the year ending December 31, 2017 . Annual contributions made by SCE to most of SCE's pension plans are anticipated to be recovered through CPUC-approved regulatory mechanisms. The funded position of Edison International's pension is sensitive to changes in market conditions. Changes in overall interest rate levels significantly affect the company's liabilities, while assets held in the various trusts established to fund Edison International's pension are affected by movements in the equity and bond markets. Due to SCE's regulatory recovery treatment, a regulatory asset has been recorded equal to the unfunded status (See Note 10). Information on pension plan assets and benefit obligations for continuing and discontinued operations is shown below. Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Change in projected benefit obligation Projected benefit obligation at beginning of year $ 4,374 $ 4,517 $ 3,878 $ 3,999 Service cost 139 142 132 133 Interest cost 171 170 150 150 Actuarial gain (125 ) (149 ) (140 ) (143 ) Benefits paid (275 ) (305 ) (229 ) (261 ) Other — (1 ) — — Projected benefit obligation at end of year $ 4,284 $ 4,374 $ 3,791 $ 3,878 Change in plan assets Fair value of plan assets at beginning of year $ 3,298 $ 3,454 $ 3,080 $ 3,217 Actual return on plan assets 262 30 239 27 Employer contributions 103 119 82 97 Benefits paid (275 ) (305 ) (229 ) (261 ) Fair value of plan assets at end of year $ 3,388 $ 3,298 $ 3,172 $ 3,080 Funded status at end of year $ (896 ) $ (1,076 ) $ (619 ) $ (798 ) Amounts recognized in the consolidated balance sheets consist of 1 : Long-term assets $ 2 $ — $ — $ — Current liabilities (50 ) (27 ) (4 ) (4 ) Long-term liabilities (848 ) (1,049 ) (615 ) (794 ) $ (896 ) $ (1,076 ) $ (619 ) $ (798 ) Amounts recognized in accumulated other comprehensive loss consist of: Prior service cost $ (1 ) $ — $ — $ — Net loss 1 93 96 24 27 $ 92 $ 96 $ 24 $ 27 Amounts recognized as a regulatory asset $ 574 $ 675 $ 574 $ 675 Total not yet recognized as expense $ 666 $ 771 $ 598 $ 702 Accumulated benefit obligation at end of year $ 4,138 $ 4,200 $ 3,683 $ 3,744 Pension plans with an accumulated benefit obligation in excess of plan assets: Projected benefit obligation $ 4,284 $ 4,374 $ 3,791 $ 3,878 Accumulated benefit obligation 4,138 4,200 3,683 3,744 Fair value of plan assets 3,388 3,298 3,172 3,080 Weighted-average assumptions used to determine obligations at end of year: Discount rate 3.94 % 4.18 % 3.94 % 4.18 % Rate of compensation increase 4.00 % 4.00 % 4.00 % 4.00 % 1 The SCE liability excludes a long-term payable due to Edison International Parent of $124 million and $123 million at December 31, 2016 and 2015 , respectively, related to certain SCE postretirement benefit obligations transferred to Edison International Parent. SCE's accumulated other comprehensive loss of $24 million and $27 million at December 31, 2016 and 2015 , respectively, excludes net loss of $ 20 million and $18 million related to these benefits. Pension expense components for continuing operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Service cost $ 139 $ 142 $ 133 $ 136 $ 139 $ 128 Interest cost 172 170 181 156 155 164 Expected return on plan assets (220 ) (233 ) (229 ) (205 ) (217 ) (213 ) Settlement costs 1 — — 45 — — 42 Curtailment gain — — (4 ) — — — Amortization of prior service cost 4 5 5 4 5 5 Amortization of net loss 2 27 40 12 23 35 7 Expense under accounting standards 122 124 143 114 117 133 Regulatory adjustment (deferred) (21 ) (6 ) 8 (21 ) (6 ) 8 Total expense recognized $ 101 $ 118 $ 151 $ 93 $ 111 $ 141 1 Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International was zero for the both the years ended December 31, 2016 and 2015 and $3 million for the year ended December 31, 2014 . 2 Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was $10 million and $6 million , respectively, for the year ended December 31, 2016 . The amount reclassified for Edison International and SCE was $14 million and $8 million , respectively, for the year ended December 31, 2015 . The amount reclassified for Edison International and SCE was $9 million and $4 million , respectively, for the year ended December 31, 2014 . Under GAAP, a settlement is recorded when lump-sum payments exceed estimated annual service and interest costs. Lump-sum payments to employees retiring in 2014 from the SCE Retirement Plan (primarily due to workforce reductions described below) exceeded the estimated service and interest costs for that year. A settlement requires re-measurement of both the plan pension obligations and plan assets as of the date of the settlement. Re-measurement assumption changes result in actuarial gains and losses which are combined with previous unrecognized gains and losses. After re-measurement, GAAP requires an acceleration of a portion of unrecognized net losses attributable to such lump-sum payments as additional pension expense as reflected in the above table. The additional pension expense related to SCE did not impact net income as such amounts are probable of recovery through future rates. Other changes in pension plan assets and benefit obligations recognized in other comprehensive loss for continuing operations: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Net loss (gain) $ 6 $ 7 $ 85 $ 4 $ (9 ) $ 37 Amortization of net loss and other (10 ) (15 ) (13 ) (6 ) (9 ) (4 ) Total recognized in other comprehensive loss $ (4 ) $ (8 ) $ 72 $ (2 ) $ (18 ) $ 33 Total recognized in expense and other comprehensive loss $ 97 $ 110 $ 223 $ 91 $ 93 $ 174 In accordance with authoritative guidance on rate-regulated enterprises, SCE records regulatory assets and liabilities instead of charges and credits to other comprehensive income (loss) for the portion of SCE's postretirement benefit plans that are recoverable in utility rates. The estimated pension amounts that will be amortized to expense in 2017 for continuing operations are as follows: (in millions) Edison International SCE Unrecognized net loss to be amortized 1 $ 19 $ 15 Unrecognized prior service cost to be amortized 3 3 1 The amount of net loss expected to be reclassified from other comprehensive loss for Edison International's continuing operations and SCE is $10 million and $6 million , respectively. Edison International and SCE used the following weighted-average assumptions to determine pension expense for continuing operations: Years ended December 31, 2016 2015 2014 Discount rate 4.18 % 3.85 % 4.50 % Rate of compensation increase 4.00 % 4.00 % 4.00 % Expected long-term return on plan assets 7.00 % 7.00 % 7.00 % The following benefit payments, which reflect expected future service, are expected to be paid: Edison International SCE (in millions) Years ended December 31, 2017 $ 346 $ 271 2018 332 298 2019 344 300 2020 341 304 2021 341 304 2022 – 2026 1,566 1,396 Postretirement Benefits Other Than Pensions ("PBOP(s)") Most employees retiring at or after age 55 with at least 10 years of service may be eligible for postretirement medical, dental, vision and life insurance benefits. Eligibility for a company contribution toward the cost of these benefits in retirement depends on a number of factors, including the employee's years of service, age, hire date, and retirement date. Under the terms of the Edison International Welfare Benefit Plan ("PBOP Plan") each participating employer (Edison International or its participating subsidiaries) is responsible for the costs and expenses of all PBOP benefits with respect to its employees and former employees. A participating employer may terminate the PBOP benefits with respect to its employees and former employees, as may SCE (as Plan sponsor), and, accordingly, the participants' PBOP benefits are not vested benefits. The expected contributions (substantially all of which are expected to be made by SCE) for PBOP benefits are $21 million for the year ended December 31, 2017 . Annual contributions related to SCE employees made to SCE plans are anticipated to be recovered through CPUC-approved regulatory mechanisms and are expected to be, at a minimum, equal to the total annual expense for these plans. SCE has established three voluntary employee beneficiary associations trusts ("VEBA Trusts") that can only be used to pay for retiree health care benefits of SCE. Once funded into the VEBA Trusts, neither SCE nor Edison International can subsequently terminate benefits and recover remaining amounts in the VEBA Trusts. Participants of the PBOP Plan do not have a beneficial interest in the VEBA Trusts. The VEBA Trust assets are sensitive to changes in market conditions. Changes in overall interest rate levels significantly affect the company's liabilities, while assets held in the various trusts established to fund Edison International's other postretirement benefits are affected by movements in the equity and bond markets. Due to SCE's regulatory recovery treatment, the unfunded status is offset by a regulatory asset. Information on PBOP Plan assets and benefit obligations is shown below: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Change in benefit obligation Benefit obligation at beginning of year $ 2,350 $ 2,784 $ 2,341 $ 2,775 Service cost 35 46 34 46 Interest cost 97 102 97 102 Special termination benefits 2 (2 ) 2 (2 ) Plan Amendments (6 ) — (6 ) — Actuarial gain (110 ) (500 ) (110 ) (500 ) Plan participants' contributions 19 20 19 20 Benefits paid (111 ) (100 ) (111 ) (100 ) Benefit obligation at end of year $ 2,276 $ 2,350 $ 2,266 $ 2,341 Change in plan assets Fair value of plan assets at beginning of year $ 2,036 $ 2,086 $ 2,036 $ 2,086 Actual return on assets 137 6 137 6 Employer contributions 21 24 21 24 Plan participants' contributions 19 20 19 20 Benefits paid (111 ) (100 ) (111 ) (100 ) Fair value of plan assets at end of year $ 2,102 $ 2,036 $ 2,102 $ 2,036 Funded status at end of year $ (174 ) $ (314 ) $ (164 ) $ (305 ) Amounts recognized in the consolidated balance sheets consist of: Current liabilities $ (14 ) $ (15 ) $ (13 ) $ (15 ) Long-term liabilities (160 ) (299 ) (151 ) (290 ) $ (174 ) $ (314 ) $ (164 ) $ (305 ) Amounts recognized in accumulated other comprehensive loss consist of: Net loss $ 4 $ 4 $ — $ — Amounts recognized as a regulatory asset $ 136 $ 174 $ 136 $ 174 Total not yet recognized as expense $ 140 $ 178 $ 136 $ 174 Weighted-average assumptions used to determine obligations at end of year: Discount rate 4.29 % 4.55 % 4.29 % 4.55 % Assumed health care cost trend rates: Rate assumed for following year 7.00 % 7.50 % 7.00 % 7.50 % Ultimate rate 5.00 % 5.00 % 5.00 % 5.00 % Year ultimate rate reached 2022 2022 2022 2022 During 2016 and 2015, the PBOP plan had actuarial gains of $110 million and $500 million , respectively. The 2016 actuarial gain is primarily related to $165 million in experience gain, offsetting by $95 million loss from a decrease in the discount rate (from 4.55% as of December 31, 2015 to 4.29% as of December 31, 2016), and the adoption of new mortality tables, as discussed below. The 2015 actuarial gain is primarily related to $300 million in experience gains, $140 million of income from an increase in the discount rate (from 4.16% at December 31, 2014 to 4.55% as of December 31, 2015) due to higher interest rates, and the adoption of new mortality tables, as discussed below. In 2016 and 2015, Edison International and SCE adopted new mortality tables that the Society of Actuaries released in October each year that reflect changes in life expectancy. At December 31, 2016 and 2015, this adoption resulted in a change in Edison International's PBOP plans' accumulated postretirement benefit obligation of $(40) million and $(62) million , respectively, including $(40) million and $(61) million , respectively, for SCE. PBOP expense components for continuing operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Service cost $ 35 $ 46 $ 40 $ 34 $ 46 $ 40 Interest cost 97 102 117 97 102 117 Expected return on plan assets (112 ) (116 ) (108 ) (112 ) (116 ) (108 ) Special termination benefits 1 2 1 3 2 1 3 Amortization of prior service credit (2 ) (12 ) (36 ) (2 ) (12 ) (35 ) Amortization of net loss — 3 6 — 2 5 Total expense $ 20 $ 24 $ 22 $ 19 $ 23 $ 22 1 Due to the reduction in workforce, SCE has incurred costs for extended retiree health care coverage. In accordance with authoritative guidance on rate-regulated enterprises, SCE records regulatory assets and liabilities instead of charges and credits to other comprehensive income (loss) for the portion of SCE's postretirement benefit plans that are recoverable in utility rates. The estimated PBOP amounts that will be amortized to expense in 2017 for continuing operations are as follows: Edison International SCE Unrecognized prior service credit to be amortized $ (2 ) $ (2 ) Edison International and SCE used the following weighted-average assumptions to determine PBOP expense for continuing operations: Years ended December 31, 2016 2015 2014 Discount rate 4.55 % 4.16 % 5.00 % Expected long-term return on plan assets 5.60 % 5.50 % 5.50 % Assumed health care cost trend rates: Current year 7.50 % 7.75 % 7.75 % Ultimate rate 5.00 % 5.00 % 5.00 % Year ultimate rate reached 2022 2021 2020 A one-percentage-point change in assumed health care cost trend rate would have the following effects on continuing operations: Edison International SCE (in millions) One-Percentage-Point Increase One-Percentage-Point Decrease One-Percentage-Point Increase One-Percentage-Point Decrease Effect on accumulated benefit obligation as of December 31, 2016 $ 244 $ (200 ) $ 243 $ (199 ) Effect on annual aggregate service and interest costs 11 (9 ) 11 (9 ) The following benefit payments are expected to be paid: Edison International SCE (in millions) Years ended December 31, 2017 $ 98 $ 98 2018 102 102 2019 105 105 2020 109 109 2021 113 112 2022 – 2026 612 609 Plan Assets Description of Pension and Postretirement Benefits Other than Pensions Investment Strategies The investment of plan assets is overseen by a fiduciary investment committee. Plan assets are invested using a combination of asset classes, and may have active and passive investment strategies within asset classes. Target allocations for 2016 pension plan assets were 29% for U.S. equities, 17% for non-U.S. equities, 35% for fixed income, 15% for opportunistic and/or alternative investments and 4% for other investments. Target allocations for 2016 PBOP plan assets (except for Represented VEBA which is 85% for fixed income, 10% for opportunistic/private equities, and 5% global equities) are 41% for U.S. equities, 17% for non-U.S. equities, 34% for fixed income, 7% for opportunistic and/or alternative investments, and 1% for other investments. Edison International employs multiple investment management firms. Investment managers within each asset class cover a range of investment styles and approaches. Risk is managed through diversification among multiple asset classes, managers, styles and securities. Plan asset classes and individual manager performances are measured against targets. Edison International also monitors the stability of its investment managers' organizations. Allowable investment types include: • United States Equities: Common and preferred stocks of large, medium, and small companies which are predominantly United States-based. • Non-United States Equities: Equity securities issued by companies domiciled outside the United States and in depository receipts which represent ownership of securities of non-United States companies. • Fixed Income: Fixed income securities issued or guaranteed by the United States government, non-United States governments, government agencies and instrumentalities including municipal bonds, mortgage backed securities and corporate debt obligations. A portion of the fixed income positions may be held in debt securities that are below investment grade. Opportunistic, Alternative and Other Investments: • Opportunistic: Investments in short to intermediate term market opportunities. Investments may have fixed income and/or equity characteristics and may be either liquid or illiquid. • Alternative: Limited partnerships that invest in non-publicly traded entities. • Other: Investments diversified among multiple asset classes such as global equity, fixed income currency and commodities markets. Investments are made in liquid instruments within and across markets. The investment returns are expected to approximate the plans' expected investment returns. Asset class portfolio weights are permitted to range within plus or minus 3% . Where approved by the fiduciary investment committee, futures contracts are used for portfolio rebalancing and to reallocate portfolio cash positions. Where authorized, a few of the plans' investment managers employ limited use of derivatives, including futures contracts, options, options on futures and interest rate swaps in place of direct investment in securities to gain efficient exposure to markets. Derivatives are not used to leverage the plans or any portfolios. Determination of the Expected Long-Term Rate of Return on Assets The overall expected long-term rate of return on assets assumption is based on the long-term target asset allocation for plan assets and capital markets return forecasts for asset classes employed. A portion of the PBOP trust asset returns are subject to taxation, so the expected long-term rate of return for these assets is determined on an after-tax basis. Capital Markets Return Forecasts SCE's capital markets return forecast methodologies primarily use a combination of historical market data, current market conditions, proprietary forecasting expertise, complex models to develop asset class return forecasts and a building block approach. The forecasts are developed using variables such as real risk-free interest, inflation, and asset class specific risk premiums. For equities, the risk premium is based on an assumed average equity risk premium of 5% over cash. The forecasted return on private equity and opportunistic investments are estimated at a 2% premium above public equity, reflecting a premium for higher volatility and lower liquidity. For fixed income, the risk premium is based off of a comprehensive modeling of credit spreads. Fair Value of Plan Assets The PBOP Plan and the Southern California Edison Company Retirement Plan Trust (Master Trust) assets include investments in equity securities, U.S. treasury securities, other fixed-income securities, common/collective funds, mutual funds, other investment entities, foreign exchange and interest rate contracts, and partnership/joint ventures. Equity securities, U.S. treasury securities, mutual and money market funds are classified as Level 1 as fair value is determined by observable, unadjusted quoted market prices in active or highly liquid and transparent markets. The fair value of the underlying investments in equity mutual funds are based on stock-exchange prices. The fair value of the underlying investments in fixed-income mutual funds and other fixed income securities including municipal bonds are based on evaluated prices that reflect significant observable market information such as reported trades, actual trade information of similar securities, benchmark yields, broker/dealer quotes, issuer spreads, bids, offers and relevant credit information. Foreign exchange and interest rate contracts are classified as Level 2 because the values are based on observable prices but are not traded on an exchange. Futures contracts trade on an exchange and therefore are classified as Level 1. Common/collective funds and partnerships are measured at fair value using the net asset value per share ("NAV") and have not been classified in the fair value hierarchy. Other investment entities are valued similarly to common/collective funds and are therefore classified as NAV. The Level 1 registered investment companies are either mutual or money market funds. The remaining funds in this category are readily redeemable and classified as NAV and are discussed further at Note 8 to the pension plan master trust investments table below. Edison International reviews the process/procedures of both the pricing services and the trustee to gain an understanding of the inputs/assumptions and valuation techniques used to price each asset type/class. The trustee and Edison International's validation procedures for pension and PBOP equity and fixed income securities are the same as the nuclear decommissioning trusts. For further discussion see Note 4. The values of Level 1 mutual and money market funds are publicly quoted. The trustees obtain the values of common/collective and other investment funds from the fund managers. The values of partnerships are based on partnership valuation statements updated for cash flows. SCE's investment managers corroborate the trustee fair values. Pension Plan The following table sets forth the Master Trust investments for Edison International and SCE that were accounted for at fair value as of December 31, 2016 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 217 $ 309 $ — $ — $ 526 Corporate stocks 3 720 15 — — 735 Corporate bonds 4 — 725 — — 725 Common/collective funds 5 — — — 692 692 Partnerships/joint ventures 6 — — — 333 333 Other investment entities 7 — — — 253 253 Registered investment companies 8 124 — — 6 130 Interest-bearing cash 42 — — — 42 Other — 112 — — 112 Total $ 1,103 $ 1,161 $ — $ 1,284 $ 3,548 Receivables and payables, net (160 ) Net plan assets available for benefits $ 3,388 SCE's share of net plan assets $ 3,172 The following table sets forth the Master Trust investments that were accounted for at fair value as of December 31, 2015 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 127 $ 298 $ — $ — $ 425 Corporate stocks 3 720 16 — — 736 Corporate bonds 4 — 755 — — 755 Common/collective funds 5 — — — 640 640 Partnerships/joint ventures 6 — — — 325 325 Other investment entities 7 — — — 263 263 Registered investment companies 8 117 — — 4 121 Interest-bearing cash 6 — — — 6 Other 1 96 — — 97 Total $ 971 $ 1,165 $ — $ 1,232 $ 3,368 Receivables and payables, net (70 ) Net plan assets available for benefits $ 3,298 SCE's share of net plan assets $ 3,080 1 These investments are measured at fair value using the net asset value per share practical expedient and have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the net plan assets available for benefits. 2 Level 1 U.S. government and agency securities are U.S. treasury bonds and notes. Level 2 primarily relates to the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation. 3 Corporate stocks are diversified. At December 31, 2016 and 2015 , respectively, performance for actively managed separate accounts is primarily benchmarked against the Russell Indexes ( 62% ) and ( 59% ) and Morgan Stanley Capital International (MSCI) index ( 38% ) and ( 41% ). 4 Corporate bonds are diversified. At December 31, 2016 and 2015 , respectively, this category includes $76 million and $123 million for collateralized mortgage obligations and other asset backed securities of which $27 million and $25 million are below investment grade. 5 At December 31, 2016 and 2015 , respectively, the common/collective assets were invested in equity index funds that seek to track performance of the Standard and Poor's (S&P 500) Index ( 45% and 46% ) and Russell 1000 indexes ( 15% and 14% ). At December 31, 2016 and 2015, 15% and 16% of the assets in this category are in index funds which seek to track performance in the MSCI All Country World Index exUS and MSCI Europe, Australasia and Far East (EAFE) Index, respectively. A non-index U.S. equity fund representing 23% and 22% of this category for 2016 and 2015 , respectively, is actively managed. 6 At December 31, 2016 and 2015 , respectively, 55% and 51% are invested in private equity funds with investment strategies that include branded consumer products, clean technology and California geographic focus companies, 22% and 20% are invested in publicly traded fixed income securities, 18% and 14% are invested in a broad range of financial assets in all global markets and 4% and 15% of the remaining partnerships are invested in asset backed securities, including distressed mortgages and commercial and residential loans and debt and equity of banks. 7 Other investment entities were primarily invested in (1) emerging market equity securities, (2) a hedge fund that invests through liquid instruments in a global diversified portfolio of equity, fixed income, interest rate, foreign currency and commodities markets, and (3) domestic mortgage backed securities. 8 Level 1 of registered investment companies primarily consisted of a global equity mutual fund which seeks to outperform the MSCI World Total Return Index. The funds classified as NAV primarily consisted of a fixed income securities fund. At December 31, 2016 and 2015 , respectively, approximately 69% and 63% of the publicly traded equity investments, including equities in the common/collective funds, were located in the United States. Postretirement Benefits Other than Pensions The following table sets forth the VEBA Trust assets for Edison International and SCE that were accounted for at fair value as of December 31, 2016 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 222 $ 59 $ — $ — $ 281 Corporate stocks 3 230 — — — 230 Corporate notes and bonds 4 — 877 — — 877 Common/collective funds 5 — — — 462 462 Partnerships 6 — — — 79 79 Registered investment companies 7 48 — — 1 49 Interest bearing cash 48 — — — 48 Other 8 4 103 — — 107 Total $ 552 $ 1,039 $ — $ 542 $ 2,133 Receivables and payables, net (31 ) Combined net plan assets available for benefits $ 2,102 The following table sets forth the VEBA Trust assets for SCE that were accounted for at fair value as of December 31, 2015 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 200 $ 42 $ — $ — $ 242 Corporate stocks 3 222 — — — 222 Corporate notes and bonds 4 — 867 — — 867 Common/collective funds 5 — — — 424 424 Partnerships 6 — — — 93 93 Registered investment companies 7 60 — — 3 63 Interest bearing cash 31 — — — 31 Other 8 5 113 — — 118 Total $ 518 $ 1,022 $ — $ 520 $ 2,060 Receivables and payables, net (24 ) Combined net plan assets available for benefits $ 2,036 1 These investments are measured at fair value using the net asset value per share practical expedient and have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the net plan assets available for benefits. 2 Level 1 U.S. government and agency securities are U.S. treasury bonds and notes. Level 2 primarily relates to the Federal Home Loan Mortgage Corporation and the Federal National Mortgage Association. 3 Corporate stock performance for actively managed separate accounts is primarily benchmarked against the Russell Indexes ( 47% ) and the MSCI All Country World Index ( 53% ) for both 2016 and 2015 . 4 Corporate notes and bonds are diversified and include approximately $47 million and $27 million for commercial collateralized mortgage obligations and other asset backed securities at December 31, 2016 and 2015 , respectively. 5 At December 31, 2016 and 2015 , respectively, 39% and 38% of the common/collective assets are invested in a large cap index fund which seeks to track performance of the Russell 1000 index. 39% and 41% of the remaining assets in this category are in index funds which seek to track performance in the MSCI All Country World Index Investable Market Index and MSCI Europe, Australasia and Far East (EAFE) Index. 18% and 17% in a non-index U.S. equity fund which is actively managed. 6 At December 31, 2016 and 2015 , respectively, 59% and 56% of the partnerships are invested in private equity and venture capital funds. Investment strategies for these funds include branded consumer products, clean and information technology and healthcare. 31% and 21% are invested in a broad range of financial assets in all global markets. 9% and 23% of the remaining partnerships category is invested in asset backed securities including distressed mortgages, distressed companies and commercial and residential loans and debt and equity of banks. 7 Level 1 registered investment companies consist of a money market fund. 8 Other includes $76 million and $97 million of municipal securities at December 31, 2016 and 2015 , respectively. At December 31, 2016 and 2015 , respectively, approximately 63% and 71% of the publicly traded equity investments, including equities in the common/collective funds, were located in the United States. Stock-Based Compensation Edison International maintains a shareholder approved incentive plan (the 2007 Performance Incentive Plan) that includes stock-based compensation. The maximum number of shares of Edison International's common stock authorized to be issued or transferred pursuant to awards under the 2007 Performance Incentive Plan, as amended, is 66 million shares, plus the number of any shares awarded under Edison International's prior plans that are outstanding as of April 26, 2007, which expire, cancel or terminate without being exercised or shares being issued ("carry-over shares"). As of December 31, 2016 , Edison International had approximately 32 million shares remaining available for new award grants under its stock-based compensation plans. The following table summarizes total expense and tax benefits (expense) associated with stock based compensation: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Stock-based compensation expense 1 : Stock options $ 14 $ 14 $ 16 $ 7 $ 8 $ 8 Performance shares 13 7 16 6 4 8 Restricted stock units 6 7 7 3 4 4 Other 1 1 1 — — — Total stock-based compensation expense $ 34 $ 29 $ 40 $ 16 $ 16 $ 20 Income tax benefits related to stock compensation expense $ 41 $ 12 $ 16 $ 20 $ 7 $ 8 Excess tax benefits 2 — 15 15 — 23 20 1 Reflected in "Operation and maintenance" on Edison International's and SCE's consolidated statements of income. 2 Reflected in "Settlements of stock-based compensation, net" in the financing section of Edison International's and SCE's consolidated statements of cash flows, "Common stock" in Edison International's consolidated balance sheets and "Additional paid-in capital" in SCE's consolidated balance sheets. Edison International and SCE adopted the new accounting guidance for shared-based payments, see Note 1 for further information. Stock Options Under various plans, Edison International has granted stock options at exercise prices equal to the closing price at the grant date. Prior to 2007, average of the high and low price was used. Edison International may grant stock options and other awards related to, or with a value derived from, its common stock to directors and certain employees. Options generally expire 10 years after the grant date and vest over a period of four years |
Investments
Investments | 12 Months Ended |
Dec. 31, 2016 | |
Regulated Entity, Other Assets, Noncurrent [Abstract] | |
Investments | Investments Nuclear Decommissioning Trusts Future decommissioning costs related to SCE's nuclear assets are expected to be funded from independent decommissioning trusts. The following table sets forth amortized cost and fair value of the trust investments (see Note 4 for a discussion of fair value of the trust investments): Longest Maturity Date Amortized Cost Fair Value December 31, (in millions) 2016 2015 2016 2015 Stocks — $ 319 $ 304 $ 1,547 $ 1,460 Municipal bonds 2054 659 691 766 840 U.S. government and agency securities 2055 1,131 1,070 1,191 1,128 Corporate bonds 2057 600 708 659 755 Short-term investments and receivables/payables 1 One-year 75 144 79 148 Total $ 2,784 $ 2,917 $ 4,242 $ 4,331 1 Short-term investments include $114 million and $81 million of repurchase agreements payable by financial institutions which earn interest, are fully secured by U.S. Treasury securities and mature by January 4, 2017 and January 5, 2016 as of December 31, 2016 and 2015 , respectively. Trust fund earnings (based on specific identification) increase the trust fund balance and the ARO regulatory liability. Unrealized holding gains, net of losses, were $1.5 billion and $1.4 billion at December 31, 2016 and 2015 , respectively. The following table sets forth a summary of changes in the fair value of the trust: Years ended December 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 4,331 $ 4,799 $ 4,494 Gross realized gains 92 326 197 Gross realized losses (19 ) (26 ) (5 ) Unrealized gains (losses) 44 (364 ) 75 Other-than-temporary impairments (36 ) (29 ) (14 ) Interest, dividends and other 116 115 118 Contributions — 54 5 Income taxes (58 ) (64 ) (62 ) Decommissioning disbursements (224 ) (471 ) (4 ) Administrative expenses and other (4 ) (9 ) (5 ) Balance at end of period $ 4,242 $ 4,331 $ 4,799 Trust assets are used to pay income taxes as the Trust files separate income taxes returns from SCE. Deferred tax liabilities related to net unrealized gains at December 31, 2016 were $348 million . Accordingly, the fair value of Trust assets available to pay future decommissioning costs, net of deferred income taxes, totaled $3.9 billion at December 31, 2016 . Due to regulatory mechanisms, changes in assets of the trusts from income or loss items have no impact on operating revenue or earnings. Beginning in 2016, funds for decommissioning costs are requested from the nuclear decommissioning trusts one month in advance. Decommissioning disbursements are funded from sales of investments of the nuclear decommissioning trusts. Acquisitions On December 31, 2015 , Edison Energy acquired three businesses for an aggregate purchase price of approximately $100 million , of which $90 million was allocated to goodwill and identifiable intangibles. Under the terms of the acquisition of one of the agreements, the sellers were entitled to additional consideration (earn-out) in the event that certain financial thresholds were achieved. During the second quarter of 2016, Edison Energy entered into an agreement to buy-out this earn-out provision and recorded an after-tax charge of $13 million . The buy-out was completed, together with modification to employment contracts, in order to align long-term incentive compensation. During 2016, a subsidiary of SoCore Energy agreed to acquire equity interests in solar garden development projects in Minnesota as part of the SunEdison bankruptcy proceedings, subject to certain conditions. The maximum purchase price is $41.9 million if all projects achieve the required conditions. SoCore Energy would also reimburse SunEdison up to $8.7 million of project-specific interconnection costs. Not all of the projects are expected to achieve the closing conditions. Through February 1, 2017 , SoCore Energy acquired four of these development projects ( 28 MWdc) for $10.5 million . |
Regulatory Assets and Liabiliti
Regulatory Assets and Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Assets and Liabilities Disclosure [Abstract] | |
Regulatory Assets and Liabilities | Regulatory Assets and Liabilities Included in SCE's regulatory assets and liabilities are regulatory balancing accounts. CPUC authorized balancing account mechanisms require SCE to refund or recover any differences between forecasted and actual costs. The CPUC has authorized balancing accounts for specified costs or programs such as fuel, purchased-power, demand-side management programs, nuclear decommissioning and public purpose programs. Certain of these balancing accounts include a return on rate base of 7.90% in 2016 and 2015 . The CPUC also authorizes the use of a balancing account to recover from or refund to customers differences in revenue resulting from actual and forecasted electricity sales. Amounts included in regulatory assets and liabilities are generally recorded with corresponding offsets to the applicable income statement accounts. Regulatory Assets SCE's regulatory assets included on the consolidated balance sheets are: December 31, (in millions) 2016 2015 Current: Regulatory balancing accounts $ 135 $ 382 Energy derivatives 150 159 Unamortized investments, net 49 — Other 16 19 Total current 350 560 Long-term: Deferred income taxes, net 4,478 3,757 Pensions and other postretirement benefits 710 849 Energy derivatives 947 1,027 Unamortized investments, net 80 182 San Onofre 857 1,043 Unamortized loss on reacquired debt 184 201 Regulatory balancing accounts 66 36 Environmental remediation 126 129 Other 7 288 Total long-term 7,455 7,512 Total regulatory assets $ 7,805 $ 8,072 SCE's regulatory assets related to energy derivatives are primarily an offset to unrealized losses on derivatives. The regulatory asset changes based on fluctuations in the fair market value of the contracts, in which the original contracts expire in 10 to 45 years. SCE's current and long-term unamortized investments include legacy meters retired as part of the Edison SmartConnect ® program. SCE's unamortized investments related to legacy meters are expected to be recovered by 2017 and earned a rate of return of 6.46% in 2016 and 2015. SCE's regulatory assets related to deferred income taxes represent tax benefits passed through to customers. The CPUC requires SCE to flow through certain deferred income tax benefits to customers by reducing electricity rates, thereby deferring recovery of such amounts to future periods. Based on current regulatory ratemaking and income tax laws, SCE expects to recover its regulatory assets related to deferred income taxes over the life of the assets that give rise to the accumulated deferred income taxes, approximately from 1 to 60 years. SCE's regulatory assets related to pensions and other post-retirement plans represent the unfunded net loss and prior service costs of the plans (see "Pension Plans and Postretirement Benefits Other than Pensions" discussion in Note 8). This amount is being recovered through rates charged to customers. SCE's unamortized investments long-term primarily include nuclear assets related to Palo Verde. Nuclear assets related to Palo Verde are expected to be recovered by 2047 and earned a return of 7.90% in 2016 and 2015. In accordance with the San Onofre OII Settlement Agreement, SCE is authorized to recover in rates its San Onofre regulatory asset, generally over a ten -year period commencing February 1, 2012. Under the San Onofre OII Settlement Agreement (see Note 11), SCE was allowed to earn a rate of return of 2.62% in 2016 and 2015 and is authorized to continue to earn this rate as adjusted during the amortization period thereafter with changes in SCE's authorized return on debt and preferred equity. SCE's regulatory assets related to San Onofre nuclear fuel will earn a return equal to commercial paper rate that the CPUC uses to calculate interest on balancing accounts. In a December 2016 joint ruling, the Assigned Commissioner and the Assigned ALJ directed SCE to meet and confer with the other parties in the OII to consider changing the terms of the San Onofre OII Settlement Agreement. See Note 11 for further information. SCE's net regulatory asset related to its unamortized loss on reacquired debt will be recovered over the original amortization period of the reacquired debt over periods ranging from 10 to 35 years. SCE's regulatory assets related to environmental remediation represents a portion of the costs incurred at certain sites that SCE is allowed to recover through customer rates. See "Environmental Remediation" discussed in Note 11. Regulatory Liabilities SCE's regulatory liabilities included on the consolidated balance sheets are: December 31, (in millions) 2016 2015 Current: Regulatory balancing accounts $ 736 $ 1,106 Other 20 22 Total current 756 1,128 Long-term: Costs of removal 2,847 2,781 Recoveries in excess of ARO liabilities 1,639 1,502 Regulatory balancing accounts 1,180 1,314 Other 60 79 Total long-term 5,726 5,676 Total regulatory liabilities $ 6,482 $ 6,804 SCE's regulatory liabilities related to costs of removal represent differences between asset removal costs recorded and amounts collected in rates for those costs. SCE's regulatory liabilities related to recoveries in excess of ARO liabilities represents the cumulative differences between ARO expenses and amounts collected in rates primarily for the decommissioning of the SCE's nuclear generation facilities. Decommissioning costs recovered through rates are primarily placed in nuclear decommissioning trusts. This regulatory liability also represents the deferral of realized and unrealized gains and losses on the nuclear decommissioning trust investments. See Note 9. Net Regulatory Balancing Accounts Balancing account over and under collections represent differences between cash collected in current rates for specified forecasted costs and such costs that are actually incurred. Undercollections are recorded as regulatory balancing account assets. Overcollections are recorded as regulatory balancing account liabilities. With some exceptions, SCE seeks to adjust rates on an annual basis or at other designated times to recover or refund the balances recorded in its balancing accounts. Regulatory balancing accounts that SCE does not expect to collect or refund in the next 12 months are reflected in the long-term section of the consolidated balance sheets. Regulatory balancing accounts do not have the right of offset and are presented gross in the consolidated balance sheets. Under and over collections accrue interest based on a three-month commercial paper rate published by the Federal Reserve. The following table summarizes the significant components of regulatory balancing accounts included in the above tables of regulatory assets and liabilities: December 31, (in millions) 2016 2015 Asset (liability) Energy resource recovery account $ (20 ) $ (439 ) New system generation balancing account (6 ) (171 ) Public purpose programs and energy efficiency programs (992 ) (683 ) Base revenue requirement balancing account (426 ) (319 ) Tax accounting memorandum account and pole loading (142 ) (248 ) DOE litigation memorandum account 1 (122 ) — Greenhouse gas auction revenue 31 (75 ) FERC balancing accounts (69 ) 74 Other 31 (141 ) Liability $ (1,715 ) $ (2,002 ) 1 Represents proceeds from the Department of Energy ("DOE") resulting from its failure to meet its obligation to begin accepting spent nuclear fuel from San Onofre. Damages recovered are subject to CPUC review as to how these amounts would be distributed among customers, shareholders, or to offset fuel decommissioning or storage costs. See Note 11 for further discussion. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Third-Party Power Purchase Agreements SCE entered into various agreements, which were approved by the CPUC and met critical contract provisions (including completion of major milestones for construction), to purchase power and electric capacity, including: • Renewable Energy Contracts – California law requires retail sellers of electricity to comply with a RPS by delivering renewable energy, primarily through power purchase contracts. Renewable energy contracts generally contain escalation clauses requiring increases in payments. As of December 31, 2016 , SCE had 119 renewable energy contracts. • QF Power Purchase Agreements – Under the Public Utility Regulatory Policies Act of 1978 ("PURPA"), electric utilities are required, with exceptions, to purchase energy and capacity from independent power producers that are qualifying co-generation facilities and qualifying small power production facilities or QFs. As of December 31, 2016 , SCE had 55 QF contracts. • Other Power Purchase Agreements – SCE has entered into 30 other power purchase agreements, including combined heat and power contracts, tolling arrangements and resource adequacy contracts. At December 31, 2016 , the undiscounted future minimum expected payments for the SCE power purchase agreements that have been approved by the CPUC and have completed major milestones for construction were as follows: (in millions) Renewable Energy Contracts QF Power Purchase Agreements Other Purchase Agreements 2017 $ 1,516 $ 187 $ 769 2018 1,606 148 604 2019 1,704 87 516 2020 1,776 39 472 2021 1,786 16 420 Thereafter 22,811 53 1,258 Total future commitments $ 31,199 $ 530 $ 4,039 The table above includes contractual obligations for power procurement contracts that met the critical contract provisions as of December 31, 2016 in which the term is over a year when it was executed. Additionally, SCE has signed contracts that have not met the critical contract provisions that would increase contractual obligations by $53 million in 2017, $235 million in 2018, $312 million in 2019, $554 million in 2020, $630 million in 2021 and $9.1 billion thereafter, if all principal provisions are completed. Costs incurred for power purchase agreements were $3.3 billion in 2016, $3.2 billion in 2015 and $3.8 billion in 2014, which include costs associated with contracts with terms of less than one year. Many of the power purchase agreements that SCE entered into with independent power producers are accounted for as leases. The following table shows the future minimum lease payments due under the contracts that are treated as operating and capital leases (these amounts are also included in the table above). Due to the inherent uncertainty associated with the reliability of the fuel source, expected purchases from most renewable energy contracts do not meet the definition of a minimum lease payment and have been excluded from the operating and capital lease table below but remain in the table above. The future minimum lease payments for capital leases are discounted to their present value in the table below using SCE's incremental borrowing rate at the inception of the leases. The amount of this discount is shown in the table below as the amount representing interest. (in millions) Operating Leases Capital Leases 2017 $ 341 $ 1 2018 237 1 2019 161 1 2020 146 2 2021 142 2 Thereafter 1,355 9 Total future commitments $ 2,382 $ 16 Amount representing executory costs (7 ) Amount representing interest (2 ) Net commitments $ 7 Operating lease expense for power purchase agreements was $1.9 billion in 2016 , and $1.7 billion in both 2015 and 2014 (including contingent rents of $1.4 billion in 2016 , $1.1 billion in 2015 and $944 million in 2014 ). Contingent rents for capital leases were $109 million in 2016 and less than $1 million in both 2015 and 2014. The timing of SCE's recognition of the lease expense conforms to ratemaking treatment for SCE's recovery of the cost of electricity and is included in purchased power. Other Lease Commitments The following summarizes the estimated minimum future commitments for SCE's non-cancelable other operating leases (excluding SCE's power purchase agreements discussed above): (in millions) Operating Leases – Other 2017 $ 52 2018 46 2019 37 2020 28 2021 22 Thereafter 258 Total future commitments $ 443 Operating lease expense for other leases (primarily related to vehicles, office space and other equipment) were $68 million in 2016 , $80 million in 2015 and $96 million in 2014 . Certain leases on office facilities contain escalation clauses requiring annual increases in rent. The rentals payable under these leases may increase by a fixed amount each year, a percentage over base year, or the customer price index. Other Commitments The following summarizes the estimated minimum future commitments for SCE's other commitments: (in millions) 2017 2018 2019 2020 2021 Thereafter Total Other contractual obligations $ 156 $ 141 $ 103 $ 98 $ 82 $ 631 $ 1,211 Costs incurred for other commitments were $141 million in 2016 , $182 million in 2015 and $90 million in 2014 . SCE has fuel supply contracts for Palo Verde which require payment only if the fuel is made available for purchase. SCE also has commitments related to maintaining reliability and expanding SCE's transmission and distribution system. The table above excludes other contractual obligations that have not met the critical contract provisions. As of December 31, 2016, SCE has signed capacity reduction contracts that have not met critical contract provisions and are, therefore, not included in the table above. These contracts would increase the contractual obligations by $3 million in 2017, $24 million in 2018, $94 million in 2019, $93 million in 2020, $71 million in 2021, and $478 million thereafter, if all principal provisions are completed. The table above does not include asset retirement obligations, which are discussed in Note 1. Indemnities Edison International and SCE have various financial and performance guarantees and indemnity agreements which are issued in the normal course of business. Edison International and SCE have provided indemnifications through contracts entered into in the normal course of business. These are primarily indemnifications against adverse litigation outcomes in connection with underwriting agreements, and indemnities for specified environmental liabilities and income taxes with respect to assets sold. Edison International's and SCE's obligations under these agreements may or may not be limited in terms of time and/or amount, and in some instances Edison International and SCE may have recourse against third parties. Edison International and SCE have not recorded a liability related to these indemnities. The overall maximum amount of the obligations under these indemnifications cannot be reasonably estimated. SCE has indemnified the City of Redlands, California in connection with Mountainview's California Energy Commission permit for cleanup or associated actions related to groundwater contaminated by perchlorate due to the disposal of filter cake at the City's solid waste landfill. The obligations under this agreement are not limited to a specific time period or subject to a maximum liability. SCE has not recorded a liability related to this indemnity. Contingencies In addition to the matters disclosed in these Notes, Edison International and SCE are involved in other legal, tax and regulatory proceedings before various courts and governmental agencies regarding matters arising in the ordinary course of business. Edison International and SCE believe the outcome of these other proceedings will not, individually or in the aggregate, materially affect its financial position, results of operations and cash flows. San Onofre Related Matters Replacement steam generators were installed at San Onofre in 2010 and 2011. On January 31, 2012, a leak suddenly occurred in one of the heat transfer tubes in San Onofre's Unit 3 steam generators. The Unit was safely taken off-line and subsequent inspections revealed excessive tube wear. Unit 2 was off-line for a planned outage when areas of unexpected tube wear were also discovered. On June 6, 2013, SCE decided to permanently retire Units 2 and 3. San Onofre CPUC Proceedings In November 2014, the CPUC approved the San Onofre OII Settlement Agreement, which resolved the CPUC's investigation regarding the steam generator replacement project at San Onofre and the related outages and subsequent shutdown of San Onofre. Subsequently, the San Onofre OII proceeding record was reopened by a joint ruling of the Assigned Commissioner and the Assigned ALJ to consider whether, in light of the Company not reporting certain ex parte communications on a timely basis, the San Onofre OII Settlement Agreement remained reasonable, consistent with the law and in the public interest, which is the standard the CPUC applies in reviewing settlements submitted for approval. In comments filed with the CPUC in July 2016, SCE asserted that the Settlement Agreement continues to meet this standard and therefore should not be disturbed. A number of the parties to the OII, however, have requested that the CPUC either modify the San Onofre OII Settlement Agreement or vacate its previous approval of the settlement and reinstate the OII for further proceedings. In a December 2016 joint ruling, the Assigned Commissioner and the Assigned ALJ expressed concerns about the extent to which the failure to timely report ex parte communications had impacted the settlement negotiations and directed SCE to meet and confer with the other parties in the OII to consider changing the terms of the San Onofre OII Settlement Agreement. The ruling set out a schedule requiring that at least two meet and confer sessions be held in the first quarter of 2017 and requiring the parties to submit a joint status report to the CPUC by April 28, 2017 if no modifications have been agreed to by some or all of the parties as a result of the meet and confer process. SCE has recorded a regulatory asset to reflect the expected recoveries under the San Onofre OII Settlement Agreement. At December 31, 2016, $857 million remains to be collected. Challenges related to the Settlement of San Onofre CPUC Proceedings A federal lawsuit challenging the CPUC's authority to permit rate recovery of San Onofre costs and an application to the CPUC for rehearing of its decision approving the San Onofre OII Settlement Agreement were filed in November and December 2014, respectively. In April 2015, the federal lawsuit was dismissed with prejudice and the plaintiffs in that case appealed the dismissal to the Ninth Circuit in May 2015. The Ninth Circuit cancelled the oral argument that had been scheduled for February 9, 2017 and ordered the parties to notify the Ninth Circuit of the status of the San Onofre OII by May 1, 2017 and periodically thereafter. In July 2015, a purported securities class action lawsuit was filed in federal court against Edison International, its then Chief Executive Officer and its then Chief Financial Officer. The complaint was later amended to include SCE's former President as a defendant. The lawsuit alleges that the defendants violated the securities laws by failing to disclose that Edison International had ex parte contacts with CPUC decision-makers regarding the San Onofre OII that were either unreported or more extensive than initially reported. The complaint purports to be filed on behalf of a class of persons who acquired Edison International common stock between March 21, 2014 and June 24, 2015. In September 2016, the Court granted defendants' motion to dismiss the complaint, with an opportunity for plaintiff to amend the complaint. Plaintiff filed an amended complaint and defendants again moved to dismiss the complaint in October 2016. Also in July 2015, a federal shareholder derivative lawsuit was filed against members of the Edison International Board of Directors for breach of fiduciary duty and other claims. The federal derivative lawsuit is based on similar allegations to the federal class action securities lawsuit and seeks monetary damages, including punitive damages, and various corporate governance reforms. An additional federal shareholder derivative lawsuit making essentially the same allegations was filed in August 2015 and was subsequently consolidated with the July 2015 federal derivative lawsuit. In September 2016, the Court granted defendants' motion to dismiss the complaint, with an opportunity for plaintiff to amend the complaint. Plaintiff did not file an amended complaint by the required date. In October 2015, a shareholder derivative lawsuit was filed in California state court against members of the Edison International Board of Directors for breach of fiduciary duty and other claims, making similar allegations to those in the federal derivative lawsuits discussed above. The California state court action is currently on hold in light of the pending federal suits discussed above. In November 2015, a purported securities class action lawsuit was filed in federal court against Edison International, its then Chief Executive Officer and its Treasurer by an Edison International employee, alleging claims under the Employee Retirement Income Security Act ("ERISA"). The complaint purports to be filed on behalf of a class of Edison International employees who were participants in the Edison 401(k) Savings Plan and invested in the Edison International Stock Fund between March 27, 2014 and June 24, 2015. The complaint alleges that defendants breached their fiduciary duties because they knew or should have known that investment in the Edison International Stock Fund was imprudent because the price of Edison International common stock was artificially inflated due to Edison International's alleged failure to disclose certain ex parte communications with CPUC decision-makers related to the San Onofre OII. In July 2016, the federal court granted the defendants' motion to dismiss the lawsuit with an opportunity for the plaintiff to amend her complaint. Plaintiff filed an amended complaint in July 2016 that dismissed Edison International as a named defendant, and the remaining defendants filed a motion to dismiss in August 2016. Defendants' motion was heard by the court in November 2016 and a decision is pending. Edison International and SCE cannot predict the outcome of these proceedings. MHI Claims SCE is also pursuing claims against Mitsubishi Heavy Industries, Ltd. and a related company ("MHI"), which designed and supplied the replacement steam generators. MHI warranted the replacement steam generators for an initial period of 20 years from acceptance and is contractually obligated to repair or replace defective items with dispatch and to pay specified damages for certain repairs. MHI's stated liability under the purchase agreement is limited to $138 million and excludes consequential damages, defined to include "the cost of replacement power;" however, limitations in the contract are subject to applicable exceptions both in the contract and under law. SCE has advised MHI that it believes one or more of such exceptions apply and that MHI's liability is not limited to $138 million . MHI has advised SCE that it disagrees. In October 2013, SCE sent MHI a formal request for binding arbitration under the auspices of the International Chamber of Commerce in accordance with the purchase contract seeking damages for all losses. In the request for arbitration, SCE alleges contract and tort claims and seeks at least $4 billion in damages on behalf of itself and its customers and in its capacity as Operating Agent for San Onofre. MHI has denied any liability and has asserted counterclaims for $41 million , for which SCE has denied any liability. Each of the other San Onofre owners sued MHI, alleging claims arising from MHI's supplying the faulty steam generators. These litigation claims have been stayed pending the arbitration. The other co-owners (San Diego Gas & Electric and Riverside) have been added as additional claimants in the arbitration. The arbitration is being conducted pursuant to a confidentiality order issued by the arbitration panel. Hearings concluded on April 29, 2016. A decision is expected to be issued in the first quarter of 2017. SCE, on behalf of itself and the other San Onofre co-owners, has submitted seven invoices to MHI totaling $149 million for steam generator repair costs incurred through April 30, 2013. MHI paid the first invoice of $45 million , while reserving its right to challenge it and subsequently rejected a portion of the first invoice and has not paid further invoices, claiming further documentation is required, which SCE disputes. SCE recorded its share of the invoice paid (approximately $35 million ) as a reduction of repair and inspection costs in 2012. Under the San Onofre OII Settlement Agreement, recoveries from MHI (including amounts paid by MHI under the first invoice), if any, will first be applied to reimburse costs incurred in pursuing such recoveries, including litigation costs. To the extent SCE's share of recoveries from MHI exceed such costs, they will be allocated 50% to customers and 50% to SCE. The first $282 million of SCE's customers' portion of such recoveries from MHI will be distributed to customers via a credit to a sub-account of SCE's BRRBA, reducing revenue requirements from customers. Amounts in excess of the first $282 million distributable to SCE customers will reduce SCE's regulatory asset represented by the unamortized balance of investment in San Onofre base plant, reducing the revenue requirement needed to amortize such investment. The amortization period, however, will be unaffected. Any additional amounts received after the regulatory asset is recovered will be applied to the BRRBA. The San Onofre OII Settlement Agreement provides the utilities with the discretion to resolve the MHI dispute without CPUC approval, but the utilities are obligated to use their best efforts to inform the CPUC of any settlement or other resolution of these disputes to the extent this is possible without compromising any aspect of the resolution. SCE and SDG&E have also agreed to allow the CPUC to review the documentation of any final resolution of the MHI dispute and the litigation costs incurred in pursuing claims against MHI to ensure they are not exorbitant in relation to the recovery obtained. There is no assurance that there will be any recovery from MHI or that, if there is a recovery, it will equal or exceed the litigation costs incurred to pursue the recovery. Long Beach Service Interruptions In July 2015, SCE's customers who are served via the network portion of SCE's electric system in Long Beach, California experienced service interruptions due to multiple underground vault fires and underground cable failures. No personal injuries were reported in connection with these events. SCE expects to incur penalties as a result of these events. Although resolution will be subject to settlement discussions with SED and CPUC review and approval, SCE has recorded a liability for the estimated loss. Environmental Remediation SCE records its environmental remediation liabilities when site assessments and/or remedial actions are probable and a range of reasonably likely cleanup costs can be estimated. SCE reviews its sites and measures the liability quarterly, by assessing a range of reasonably likely costs for each identified site using currently available information, including existing technology, presently enacted laws and regulations, experience gained at similar sites, and the probable level of involvement and financial condition of other potentially responsible parties. These estimates include costs for site investigations, remediation, operation and maintenance, monitoring and site closure. Unless there is a single probable amount, SCE records the lower end of this reasonably likely range of costs (reflected in "Other long-term liabilities") at undiscounted amounts as timing of cash flows is uncertain. At December 31, 2016 , SCE's recorded estimated minimum liability to remediate its 19 identified material sites (sites with a liability balance as of December 31, 2016 , in which the upper end of the range of the costs is at least $1 million ) was $128 million , including $77 million related to San Onofre. In addition to these sites, SCE also has 18 immaterial sites with a liability balance at December 31, 2016 for which the total minimum recorded liability was $3 million . Of the $131 million total environmental remediation liability for SCE, $126 million has been recorded as a regulatory asset. SCE expects to recover $46 million through an incentive mechanism that allows SCE to recover 90% of its environmental remediation costs at certain sites (SCE may request to include additional sites) and $80 million through a mechanism that allows SCE to recover 100% of the costs incurred at certain sites through customer rates. SCE's identified sites include several sites for which there is a lack of currently available information, including the nature and magnitude of contamination, and the extent, if any, that SCE may be held responsible for contributing to any costs incurred for remediating these sites. Thus, no reasonable estimate of cleanup costs can be made for these sites. The ultimate costs to clean up SCE's identified sites may vary from its recorded liability due to numerous uncertainties inherent in the estimation process, such as: the extent and nature of contamination; the scarcity of reliable data for identified sites; the varying costs of alternative cleanup methods; developments resulting from investigatory studies; the possibility of identifying additional sites; and the time periods over which site remediation is expected to occur. SCE believes that, due to these uncertainties, it is reasonably possible that cleanup costs at the identified material sites and immaterial sites could exceed its recorded liability by up to $168 million and $8 million , respectively. The upper limit of this range of costs was estimated using assumptions least favorable to SCE among a range of reasonably possible outcomes. SCE expects to clean up and mitigate its identified sites over a period of up to 30 years . Remediation costs for each of the next four years are expected to range from $8 million to $20 million . Costs incurred for years ended December 31, 2016, 2015 and 2014 were $4 million , $5 million and $4 million , respectively. Based upon the CPUC's regulatory treatment of environmental remediation costs incurred at SCE, SCE believes that costs ultimately recorded will not materially affect its results of operations, financial position or cash flows. There can be no assurance, however, that future developments, including additional information about existing sites or the identification of new sites, will not require material revisions to estimates. Nuclear Insurance Federal law limits public offsite liability claims for bodily injury and property damage from a nuclear incident to the amount of available financial protection, which is currently approximately $13.4 billion . As of January 1, 2017, SCE and other owners of San Onofre and Palo Verde have purchased the maximum private primary insurance available ( $450 million ) through a Facility Form issued by American Nuclear Insurers ("ANI"). The balance is covered by a loss sharing program among nuclear reactor licensees. If a nuclear incident at any licensed reactor in the United States results in claims and/or costs which exceed the primary insurance at that plant site, all nuclear reactor licensees could be required to contribute their share of the liability in the form of a deferred premium. The ANI Facility Form coverage includes broad liability protection for bodily injury or offsite property damage caused by the nuclear energy hazard at San Onofre, or while in transit to or from San Onofre. The Facility Form, however, includes several exclusions. First, it excludes onsite property damage to the nuclear facility itself and onsite cleanup costs, but as discussed below SCE maintains separate NEIL property damage coverage for such events. Second, tort claims of onsite workers are excluded, but SCE also maintains an ANI Master Worker Form policy that provides coverage for non-licensee workers. This program provides a shared industry aggregate limit of $450 million . Industry losses covered by this program could reduce limits available to SCE. Third, offsite environmental costs arising out of government orders or directives, including those issued under the Comprehensive Environmental Response, Compensation and Liability Act, also known as CERCLA, are excluded, with minor exceptions from clearly identifiable accidents. Based on its ownership interests, SCE could be required to pay a maximum of approximately $255 million per nuclear incident. However, it would have to pay no more than approximately $38 million per incident in any one year. If the public liability limit above is insufficient, federal law contemplates that additional funds may be appropriated by Congress. This could include an additional assessment on all licensed reactor operators as a measure for raising further federal revenue. NEIL, a mutual insurance company owned by entities with nuclear facilities, issues nuclear property damage and accidental outage insurance policies. The amount of nuclear property insurance purchased for San Onofre and Palo Verde exceeds the minimum federal requirement of $1.06 billion . These policies include coverage for decontamination liability. Property damage insurance also covers damages caused by acts of terrorism up to specified limits. Additional outage insurance covers part of replacement power expenses during an accident-related nuclear unit outage. The accidental outage insurance at San Onofre has been canceled as a result of the permanent retirement, but that insurance continues to be in effect at Palo Verde. If losses at any nuclear facility covered by the arrangement were to exceed the accumulated funds for these insurance programs, SCE could be assessed retrospective premium adjustments of up to approximately $52 million per year. Insurance premiums are charged to operating expense. Wildfire Insurance Severe wildfires in California have given rise to large damage claims against California utilities for fire-related losses alleged to be the result of the failure of electric and other utility equipment. Invoking a California Court of Appeal decision, plaintiffs pursuing these claims have relied on the doctrine of inverse condemnation, which can impose strict liability (including liability for a claimant's attorneys' fees) for property damage. Drought conditions in California have also increased the duration of the wildfire season and the risk of severe wildfire events. SCE has approximately $1 billion of insurance coverage for wildfire liabilities for the period ending on May 31, 2017. SCE has a self-insured retention of $10 million per wildfire occurrence. SCE or its contractors may experience coverage reductions and/or increased insurance costs in future years. No assurance can be given that future losses will not exceed the limits of SCE's or its contractors' insurance coverage. Spent Nuclear Fuel Under federal law, the DOE is responsible for the selection and construction of a facility for the permanent disposal of spent nuclear fuel and high-level radioactive waste. The DOE has not met its contractual obligation to accept spent nuclear fuel. Extended delays by the DOE have led to the construction of costly alternatives and associated siting and environmental issues. Currently, both San Onofre and Palo Verde have interim storage for spent nuclear fuel on site sufficient for their current license period. In June 2010, the United States Court of Federal Claims issued a decision granting SCE and the San Onofre co-owners damages of approximately $142 million (SCE share $112 million ) to recover costs incurred through December 31, 2005 for the DOE's failure to meet its obligation to begin accepting spent nuclear fuel from San Onofre. SCE received payment from the federal government in the amount of the damage award. In April 2016, SCE, as operating agent, settled a lawsuit on behalf of the San Onofre owners against the DOE for $162 million , including reimbursement for legal costs (SCE share $124 million ) to compensate for damages caused by the DOE's failure to meet its obligation to begin accepting spent nuclear fuel for the period from January 1, 2006 to December 31, 2013. The settlement also provides for a claim submission/audit process for expenses incurred from 2014 – 2016, where SCE will submit a claim for damages caused by the DOE failure to accept spent nuclear fuel each year, followed by a government audit and payment of the claim. This process will make additional legal action to recover damages incurred in 2014 – 2016 unnecessary. The first such claim covering damages for 2014 – 2015 was filed on September 30, 2016 for approximately $56 million . In February 2017, the DOE reviewed the 2014 – 2015 claim submission and reduced the original request to approximately $43 million primarily due to DOE allocation limits. SCE has 30 days to review and accept the DOE's determination. SCE will make the claim submission for 2016 damages in the third quarter of 2017. All damages recovered by SCE are subject to CPUC review as to how these amounts would be distributed among customers, shareholders, or to offset fuel decommissioning or storage costs. |
Preferred and Preference Stock
Preferred and Preference Stock of Utility | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Preferred and Preference Stock of Utility | Preferred and Preference Stock of Utility SCE's authorized shares are: $100 cumulative preferred – 12 million shares, $25 cumulative preferred – 24 million shares and preference with no par value – 50 million shares. SCE's outstanding shares are not subject to mandatory redemption. There are no dividends in arrears for the preferred or preference shares. Shares of SCE's preferred stock have liquidation and dividend preferences over shares of SCE's common stock and preference stock. All cumulative preferred shares are redeemable. When preferred shares are redeemed, the premiums paid, if any, are charged to common equity. No preferred shares were issued or redeemed in the years ended December 31, 2016 , 2015 and 2014 . There is no sinking fund requirement for redemptions or repurchases of preferred shares. Shares of SCE's preference stock rank junior to all of the preferred stock and senior to all common stock. Shares of SCE's preference stock are not convertible into shares of any other class or series of SCE's capital stock or any other security. There is no sinking fund requirement for redemptions or repurchases of preference shares. Preferred stock and preference stock is: Shares Redemption December 31, (in millions, except shares and per-share amounts) 2016 2015 Cumulative preferred stock $25 par value: 4.08% Series 650,000 $ 25.50 $ 16 $ 16 4.24% Series 1,200,000 25.80 30 30 4.32% Series 1,653,429 28.75 41 41 4.78% Series 1,296,769 25.80 33 33 Preference stock No par value: 6.50% Series D (cumulative) 1,250,000 100.00 — 125 6.25% Series E (cumulative) 350,000 1,000.00 350 350 5.625% Series F (cumulative) 190,004 2,500.00 475 475 5.10% Series G (cumulative) 160,004 2,500.00 400 400 5.75% Series H (cumulative) 110,004 2,500.00 275 275 5.375% Series J (cumulative) 130,004 2,500.00 325 325 5.45% Series K (cumulative) 120,004 2,500.00 300 — SCE's preferred and preference stock 2,245 2,070 Less issuance costs (54 ) (50 ) Edison International's preferred and preference stock of utility $ 2,191 $ 2,020 Shares of Series E preference stock issued in 2012 may be redeemed at par, in whole or in part, on or after February 1, 2022. Shares of Series F, G, H, J and K preference stock, issued in 2012 , 2013 , 2014 , 2015 and 2016, respectively, may be redeemed at par, in whole, but not in part, at any time prior to June 15, 2017, March 15, 2018, March 15, 2024, September 15, 2025 and March 15, 2026, respectively, if certain changes in tax or investment company laws occur. On or after June 15, 2017, March 15, 2018, March 15, 2024, September 15, 2025 and March 15, 2026, SCE may redeem the Series F, G, H, J and K shares, respectively, at par, in whole or in part. For shares of Series H, J and K preference stock, distributions will accrue and be payable at a floating rate from and including March 15, 2024, September 15, 2025 and March 15, 2026, respectively. Shares of Series F, G, H, J and K preference stock were issued to SCE Trust I, SCE Trust II, SCE Trust III, SCE Trust IV and SCE Trust V, respectively, special purpose entities formed to issue trust securities as discussed in Note 3. The proceeds from the sale of the shares of Series K were used to redeem $ 125 million of the Company's Series D preference stock and for general corporate purposes. Preference shares are not subject to mandatory redemption. At December 31, 2016 , declared dividends related to SCE's preferred and preference stock were $12 million . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The changes in accumulated other comprehensive loss, net of tax, consist of: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Beginning balance $ (56 ) $ (58 ) $ (22 ) $ (28 ) Pension and PBOP – net gain (loss): Other comprehensive (loss) income before reclassifications (4 ) (8 ) (2 ) 1 Reclassified from accumulated other comprehensive loss 1 6 10 3 5 Other 1 — 1 — Change 3 2 2 6 Ending balance $ (53 ) $ (56 ) $ (20 ) $ (22 ) 1 These items are included in the computation of net periodic pension and PBOP expense. See Note 8 for additional information. |
Interest and Other Income and O
Interest and Other Income and Other Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Other Income and Expenses [Abstract] | |
Interest and Other Income and Other Expenses | Interest and Other Income and Other Expenses Interest and other income and other expenses are as follows: Years ended December 31, (in millions) 2016 2015 2014 SCE interest and other income: Equity allowance for funds used during construction $ 74 $ 87 $ 65 Increase in cash surrender value of life insurance policies and life insurance benefits 39 26 36 Interest income 3 4 5 Other 7 6 16 Total SCE interest and other income 123 123 122 Other income of Edison International Parent and Other 1 — 51 25 Total Edison International interest and other income $ 123 $ 174 $ 147 SCE other expenses: Civic, political and related activities and donations $ (32 ) $ (35 ) $ (35 ) Other (12 ) (24 ) (44 ) Total SCE other expenses (44 ) (59 ) (79 ) Other expense of Edison International Parent and Other — — (1 ) Total Edison International other expenses $ (44 ) $ (59 ) $ (80 ) 1 Reflects Edison Capital's income related to the sale of affordable housing projects for the year ended December 31, 2015. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations EME Chapter 11 Bankruptcy In December 2012, EME and certain of its wholly-owned subsidiaries filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division. The Amended Plan of Reorganization, including the EME Settlement Agreement, was completed on April 1, 2014 with the sale of substantially all of EME's assets to NRG Energy, Inc. and the transactions called for in the EME Settlement Agreement, including an initial cash payment to the Reorganization Trust of $225 million in April 2014. In August 2014, Edison International entered into an amendment of the EME Settlement Agreement that finalized the remaining matters related to the EME Settlement including setting the amount of the two installment payments. Edison International made an installment payment of $204 million in September 2015 and made the remaining $214 million payment in September 2016. Income from discontinued operations, net of tax, was $12 million (pre-tax income of $1 million ), $35 million (pre-tax income of $15 million ) and $185 million (pre-tax loss of $525 million ) for the years ended December 31, 2016 , 2015 and 2014 , respectively. The 2016 and 2015 income was primarily related to the resolution of tax issues related to EME. The 2015 income also included insurance recoveries. Results from discontinued operations in 2014 consisted of a pre-tax loss of $525 million primarily related to liabilities assumed in connection with the EME Settlement Agreement, including the payments to the Reorganization Trust discussed above, and income tax benefits of $710 million related to the EME net operating loss and other credit carryforwards. |
Supplemental Cash Flows Informa
Supplemental Cash Flows Information | 12 Months Ended |
Dec. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flows Information | Supplemental Cash Flows Information Supplemental cash flows information for continuing operations is: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Cash payments (receipts) for interest and taxes: Interest, net of amounts capitalized $ 504 $ 512 $ 504 $ 475 $ 478 $ 487 Tax payments (refunds), net 18 1 32 78 144 (88 ) Non-cash financing and investing activities: Dividends declared but not paid: Common stock $ 177 $ 156 $ 136 $ — $ — $ 147 Preferred and preference stock 12 14 18 12 14 18 Details of debt exchange: Pollution-control bonds redeemed (2.875%) — (203 ) — — (203 ) — Pollution-control bonds issued (1.875%) — 203 — — 203 — Notes issued under EME Settlement Agreement $ — $ — $ 418 $ — $ — $ — SCE's accrued capital expenditures at December 31, 2016 , 2015 and 2014 were $540 million , $543 million , and $837 million , respectively. Accrued capital expenditures will be included as an investing activity in the consolidated statements of cash flow in the period paid. During 2015, SCE amended a power contract classified as a capital lease, which resulted in a reduction in the lease obligation and asset by $ 147 million . |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related-Party Transactions Edison International and SCE provide and receive various services to and from its subsidiaries and affiliates. Services provided to Edison International by SCE are priced at fully loaded cost (i.e., direct cost of good or service and allocation of overhead cost). Specified administrative services such as payroll, employee benefit programs, all performed by Edison International or SCE employees, are shared among all affiliates of Edison International. Costs are allocated based on one of the following formulas: percentage of time worked, equity in investment and advances, number of employees, or multi-factor (operating revenues, operating expenses, total assets and number of employees). Edison International allocates various corporate administrative and general costs to SCE and other subsidiaries using established allocation factors. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | Quarterly Financial Data (Unaudited) Edison International's quarterly financial data is as follows: 2016 (in millions, except per-share amounts) Total Fourth Third Second First Operating revenue $ 11,869 $ 2,884 $ 3,767 $ 2,777 $ 2,440 Operating income 2,092 566 695 381 448 Income from continuing operations 1 1,413 347 451 310 305 Income (loss) from discontinued operations, net 12 13 — (2 ) 1 Net income attributable to common shareholders 1 1,311 329 421 280 281 Basic earnings (loss) per share 1 : Continuing operations $ 3.99 $ 0.97 $ 1.29 $ 0.87 $ 0.86 Discontinued operations 0.03 0.04 — (0.01 ) — Total $ 4.02 $ 1.01 $ 1.29 $ 0.86 $ 0.86 Diluted earnings (loss) per share 1 : Continuing operations $ 3.94 $ 0.96 $ 1.27 $ 0.86 $ 0.85 Discontinued operations 0.03 0.04 — (0.01 ) — Total $ 3.97 $ 1.00 $ 1.27 $ 0.85 $ 0.85 Dividends declared per share 1.9825 0.5425 0.4800 0.4800 0.4800 Common stock prices: High $ 78.72 $ 73.81 $ 78.72 $ 77.71 $ 72.34 Low 57.97 67.44 71.31 67.71 57.97 Close 71.99 71.99 72.25 77.67 71.89 1 Edison International adopted an accounting standard related to share-based payments during the fourth quarter of 2016, effective January 1, 2016. See Note 1 for further information. The table above reflects the adoption of this standard on January 1, 2016. Net income from continuing operations, as previously reported, was $449 million for the third quarter of 2016, $306 million for the second quarter of 2016 and $295 million for the first quarter of 2016. Net income attributable to common shareholders, as previously reported, was $419 million for the third quarter of 2016, $276 million for the second quarter of 2016 and $271 million for the first quarter of 2016. Basic EPS for continuing operations, as previously reported, was $1.29 for the third quarter of 2016, $0.86 for the second quarter of 2016 and $0.83 for the first quarter of 2016. Diluted EPS for continuing operations, as previously reported, was $1.27 for the third quarter of 2016, $0.85 for the second quarter of 2016 and $0.82 for the first quarter of 2016. 2015 (in millions, except per-share amounts) Total Fourth Third Second First Operating revenue $ 11,524 $ 2,341 $ 3,763 $ 2,908 $ 2,512 Operating income 2,008 340 608 524 538 Income (loss) from continuing operations 1 1,082 (47 ) 405 406 318 Income (loss) from discontinued operations, net 35 (8 ) 43 — — Net income (loss) attributable to common shareholders 1,020 (79 ) 421 379 299 Basic earnings (loss) per share: Continuing operations $ 3.02 $ (0.22 ) $ 1.16 $ 1.16 $ 0.92 Discontinued operations 0.11 (0.02 ) 0.13 — — Total $ 3.13 $ (0.24 ) $ 1.29 $ 1.16 $ 0.92 Diluted earnings (loss) per share: Continuing operations $ 2.99 $ (0.22 ) $ 1.15 $ 1.15 $ 0.91 Discontinued operations 0.11 (0.02 ) 0.13 — — Total $ 3.10 $ (0.24 ) $ 1.28 $ 1.15 $ 0.91 Dividends declared per share 1.7325 0.4800 0.4175 0.4175 0.4175 Common stock prices: High $ 69.59 $ 66.29 $ 63.18 $ 64.55 $ 69.59 Low 55.18 57.51 55.52 55.18 61.02 Close 59.21 59.21 63.07 55.58 62.47 1 In the fourth quarter of 2015, as result of the 2015 GRC Decision, SCE recorded a $382 million write-down of regulatory assets previously recorded for recovery of deferred income taxes from 2012 – 2014 incremental tax repair deductions. SCE's quarterly financial data is as follows: 2016 (in millions) Total Fourth Third Second First Operating revenue $ 11,830 $ 2,874 $ 3,752 $ 2,768 $ 2,435 Operating income 2,217 594 721 429 472 Net income 1 1,499 359 466 349 325 Net income available for common stock 1 1,376 328 435 318 295 Common dividends declared 701 191 170 170 170 1 SCE adopted an accounting standard related to share-based payments during the fourth quarter of 2016, effective January 1, 2016. See Note 1 for further information. The table above reflects the adoption of this standard on January 1, 2016. Net income, as previously reported, was $466 million for the third quarter of 2016, $346 million for the second quarter of 2016 and $317 million for the first quarter of 2016. Net income available for common stock, as previously reported, was $435 million for the third quarter of 2016, $315 million for the second quarter of 2016 and $287 million for the first quarter of 2016. 2015 (in millions) Total Fourth Third Second First Operating revenue $ 11,485 $ 2,319 $ 3,757 $ 2,901 $ 2,508 Operating income 2,080 366 626 536 550 Net income 1 1,111 (51 ) 417 412 333 Net income available for common stock 998 (80 ) 389 384 305 Common dividends declared 611 170 147 147 147 1 In the fourth quarter of 2015, as result of the 2015 GRC Decision, SCE recorded a $382 million write-down of regulatory assets previously recorded for recovery of deferred income taxes from 2012 – 2014 incremental tax repair deductions. Due to the seasonal nature of Edison International and SCE's business, a significant amount of revenue and earnings are recorded in the third quarter of each year. As a result of rounding, the total of the four quarters does not always equal the amount for the year. |
Schedule I - Condensed Financia
Schedule I - Condensed Financial Information of Parent | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule I - Condensed Financial Information of Parent | EDISON INTERNATIONAL SCHEDULE I – CONDENSED FINANCIAL INFORMATION OF PARENT CONDENSED BALANCE SHEETS December 31, (in millions) 2016 2015 Assets: Cash and cash equivalents $ 6 $ 7 Other current assets 261 259 Total current assets 267 266 Investments in subsidiaries 13,459 12,696 Deferred income taxes 646 626 Other long-term assets 108 110 Total assets $ 14,480 $ 13,698 Liabilities and equity: Short-term debt $ 539 $ 646 Current portion of long-term debt 400 214 Other current liabilities 484 368 Total current liabilities 1,423 1,228 Long-term debt 397 398 Other long-term liabilities 664 704 Total equity 11,996 11,368 Total liabilities and equity $ 14,480 $ 13,698 EDISON INTERNATIONAL SCHEDULE I – CONDENSED FINANCIAL INFORMATION OF PARENT CONDENSED STATEMENTS OF INCOME For the Years Ended December 31, 2016 , 2015 and 2014 (in millions) 2016 2015 2014 Interest income from affiliates $ 6 $ 3 $ 3 Operating expenses and interest expense 86 78 94 Loss before equity in earnings of subsidiaries (80 ) (75 ) (91 ) Equity in earnings of subsidiaries 1,337 1,025 1,482 Income before income taxes 1,257 950 1,391 Income tax benefit (42 ) (35 ) (36 ) Income from continuing operations 1,299 985 1,427 Income from discontinued operations, net of tax 12 35 185 Net income $ 1,311 $ 1,020 $ 1,612 CONDENSED STATEMENTS OF COMPREHENSIVE INCOME For the Years Ended December 31, 2016 , 2015 and 2014 (in millions) 2016 2015 2014 Net income $ 1,311 $ 1,020 $ 1,612 Other comprehensive income (loss), net of tax 3 2 (45 ) Comprehensive income $ 1,314 $ 1,022 $ 1,567 EDISON INTERNATIONAL SCHEDULE I – CONDENSED FINANCIAL INFORMATION OF PARENT CONDENSED STATEMENTS OF CASH FLOWS For the Years Ended December 31, 2016 , 2015 and 2014 (in millions) 2016 2015 2014 Net cash provided by (used in) operating activities $ 493 $ 641 $ (73 ) Cash flows from financing activities: Long-term debt issued 400 — — Long-term debt issuance costs (3 ) — — Payable due to affiliates 34 54 66 Short-term debt financing, net (108 ) 26 584 Settlements of stock-based compensation, net (44 ) (42 ) (24 ) Dividends paid (626 ) (544 ) (463 ) Net cash (used in) provided by financing activities (347 ) (506 ) 163 Capital contributions to affiliate (147 ) (30 ) (35 ) Loans to affiliate — (106 ) (60 ) Net cash used in investing activities: (147 ) (136 ) (95 ) Net decrease in cash and cash equivalents (1 ) (1 ) (5 ) Cash and cash equivalents, beginning of year 7 8 13 Cash and cash equivalents, end of year $ 6 $ 7 $ 8 Note 1. Basis of Presentation The accompanying condensed financial statements of Edison International Parent should be read in conjunction with the consolidated financial statements and notes thereto of Edison International and subsidiaries ("Registrant") included in this Form 10-K. Edison International's Parent significant accounting policies are consistent with those of the Registrant, SCE and other wholly owned and controlled subsidiaries. Dividends Received Edison International Parent received cash dividends from SCE of $701 million , $758 million and $378 million in 2016 , 2015 and 2014 , respectively. Dividend Restrictions The CPUC regulates SCE's capital structure which limits the dividends it may pay Edison International. SCE may make distributions to Edison International as long as the common equity component of SCE's capital structure remains at or above the 48% on a 13 -month weighted average basis. At December 31, 2016 , SCE's 13 -month weighted-average common equity component of total capitalization was 50.4% and the maximum additional dividend that SCE could pay to Edison International under this limitation was approximately $585 million , resulting in a restriction on SCE's net assets of $13.9 billion . Note 2. Debt and Credit Agreements Long-Term Debt During the first quarter of 2016, Edison International Parent issued $400 million of 2.95% senior notes due in 2023 . The proceeds from these bonds were used to repay commercial paper borrowings and for general corporate purposes. In addition, at December 31, 2016 and 2015 , Edison International Parent had 3.75% senior notes outstanding of $ 400 million , which matures in 2017 . Credit Agreements and Short-Term Debt During the third quarter of 2016, Edison International Parent amended the credit facility to extend the maturity date for the $1.25 billion credit facility to July 2021. At December 31, 2016 , the outstanding commercial paper was $538 million at a weighted-average interest rate of 0.97% . This short-term debt was supported by the $1.25 billion multi-year revolving credit facility. At December 31, 2015 , the outstanding commercial paper was $646 million at a weighted-average interest rate of 0.78% . The following table summarizes the status of the credit facility at December 31, 2016 : (in millions) Commitment $ 1,250 Outstanding borrowings (538 ) Amount available $ 712 The debt covenant in Edison International's credit facility requires a consolidated debt to total capitalization ratio of less than or equal to 0.65 to 1 . At December 31, 2016 , Edison International's consolidated debt to total capitalization ratio was 0.47 to 1 . Note 3. Related-Party Transactions Edison International's Parent expense from services provided by SCE was $3 million annually in 2016, 2015 and 2014. Edison International's Parent interest expense from loans due to affiliates was $3 million in 2016, $6 million in 2015 and $1 million in 2014. Edison International Parent had current related-party receivables of $262 million and $252 million and current related-party payables of $221 million and $149 million at December 31, 2016 and 2015 , respectively. Edison International Parent had long-term related-party receivables of $103 million and $105 million at December 31, 2016 and 2015 , respectively, and long-term related-party payables of $243 million and $213 million at December 31, 2016 and 2015 , respectively. Note 4. Contingencies For a discussion of material contingencies see "Notes to Consolidated Financial Statements—Note 7. Income Taxes," "—Note 11. Commitments and Contingencies." |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | EDISON INTERNATIONAL SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS Additions (in millions) Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at End of Period For the Year ended December 31, 2016 Allowance for uncollectible accounts Customers $ 46.2 $ 17.7 $ — $ 22.7 $ 41.2 All others 15.5 15.9 — 10.8 20.6 Total allowance for uncollectible amounts $ 61.7 $ 33.6 $ — $ 33.5 a $ 61.8 Tax valuation allowance $ 32.0 $ — $ — $ 8.0 d $ 24.0 For the Year ended December 31, 2015 Allowance for uncollectible accounts Customers $ 48.9 $ 23.9 $ — $ 26.6 $ 46.2 All others 23.3 18.0 — 25.8 15.5 Total allowance for uncollectible amounts $ 72.2 $ 41.9 $ — $ 52.4 a $ 61.7 Tax valuation allowance $ 29.0 $ 3.0 $ — $ — $ 32.0 For the Year ended December 31, 2014 Allowance for uncollectible accounts Customers $ 52.2 $ 24.1 $ — $ 27.4 $ 48.9 All others 17.8 19.7 — 14.2 23.3 Total allowance for uncollectible amounts $ 70.0 $ 43.8 $ — $ 41.6 a $ 72.2 Tax valuation allowance $ 1,380.0 b $ — $ — $ 1,351.0 c $ 29.0 a Accounts written off, net. b Edison International recorded deferred tax assets of $2.2 billion related to net operating losses and tax carryforwards that pertain to Edison International's consolidated or combined federal and state tax returns, including approximately $1.6 billion related to EME. Edison International continues to consolidate EME for federal and certain combined state tax returns. EME's Plan of Reorganization, filed in December 2013 ("December Plan of Reorganization"), provides for the transfer of EIX's ownership interest to the creditors, which would result in a tax deconsolidation of EME. Under federal and state tax regulations, the tax deconsolidation of EME would reduce the amounts of net operating loss and tax credits carryforwards that Edison International would be eligible to use in future periods. As a result of the EME's December Plan of Reorganization, which would result in a tax deconsolidation of EME, Edison International has recorded a $1.380 billion valuation allowance based on the estimated amount of such benefits as calculated under the applicable federal and state tax regulations as of December 31, 2013. The deferred income tax benefits recognized by Edison International less the valuation allowance for amounts that would no longer be available upon tax deconsolidation of EME was approximately $220 million . c On April 1, 2014, under the Amended Plan of Reorganization, EME emerged from bankruptcy free of liabilities but remained an indirect wholly-owned subsidiary of Edison International, which will continue to be consolidated with Edison International for income tax purposes. Edison International anticipates realization of the federal and California tax benefits before they expire. Therefore, the valuation allowance on federal and California tax benefits that Edison International recorded in 2013 was released in 2014. The remaining valuation allowance is related to non California state tax benefits. d In 2016, Edison International determined that $8 million of the assets subject to a valuation allowance, had no expectation of recovery and were written off. SOUTHERN CALIFORNIA EDISON COMPANY SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS Additions (in millions) Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at End of Period For the Year ended December 31, 2016 For the Year ended Customers $ 46.2 $ 17.0 $ — $ 22.7 $ 40.5 All others 15.5 15.9 — 10.8 20.6 Total allowance for uncollectible accounts $ 61.7 $ 32.9 $ — $ 33.5 a $ 61.1 For the Year ended December 31, 2015 Allowance for uncollectible accounts Customers $ 48.9 $ 23.9 $ — $ 26.6 $ 46.2 All others 18.7 18.0 — 21.2 15.5 Total allowance for uncollectible accounts $ 67.6 $ 41.9 $ — $ 47.8 a $ 61.7 For the Year ended December 31, 2014 Allowance for uncollectible accounts Customers $ 52.2 $ 24.1 $ — $ 27.4 $ 48.9 All others 13.3 19.6 — 14.2 18.7 Total allowance for uncollectible accounts $ 65.5 $ 43.7 $ — $ 41.6 a $ 67.6 a Accounts written off, net. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Edison International is the parent holding company of Southern California Edison Company ("SCE"). SCE is an investor-owned public utility primarily engaged in the business of supplying and delivering electricity to an approximately 50,000 square mile area of southern California. Edison International is also the parent company of Edison Energy Group, a holding company for subsidiaries engaged in pursuing competitive business opportunities across energy services and distributed solar for commercial and industrial customers. Such business activities are currently not material to report as a separate business segment. These combined notes to the consolidated financial statements apply to both Edison International and SCE unless otherwise described. Edison International's consolidated financial statements include the accounts of Edison International, SCE and other wholly owned and controlled subsidiaries. References to Edison International refer to the consolidated group of Edison International and its subsidiaries. References to Edison International Parent and Other refer to Edison International Parent and its nonutility subsidiaries. SCE's consolidated financial statements include the accounts of SCE and its wholly owned and controlled subsidiaries. All intercompany transactions have been eliminated from the consolidated financial statements. Edison International's and SCE's accounting policies conform to accounting principles generally accepted in the United States of America, including the accounting principles for rate-regulated enterprises, which reflect the ratemaking policies of the California Public Utility Commission ("CPUC") and the Federal Energy Regulatory Commission ("FERC"). SCE applies authoritative guidance for rate-regulated enterprises to the portion of its operations in which regulators set rates at levels intended to recover the estimated costs of providing service, plus a return on net investments in assets, or rate base. Regulators may also impose certain penalties or grant certain incentives. Due to timing and other differences in the collection of electric utility revenue, these principles require an incurred cost that would otherwise be charged to expense by a non-regulated entity to be capitalized as a regulatory asset if it is probable that the cost is recoverable through future rates; and conversely the principles require recording of a regulatory liability for amounts collected in rates to recover costs expected to be incurred in the future or amounts collected in excess of costs incurred and refundable to customers. SCE assesses, at the end of each reporting period, whether regulatory assets are probable of future recovery. See Note 10 for composition of regulatory assets and liabilities. |
Use of Estimates | The preparation of financial statements in conformity with United States generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported period. Actual results could differ from those estimates. |
Cash Equivalents | Cash Equivalents Cash equivalents includes investments in money market funds. Generally, the carrying value of cash equivalents equals the fair value, as these investments have original maturities of three months or less. |
Restricted Cash | Cash is temporarily invested until required for check clearing. |
Allowance for Uncollectible Accounts | Allowance for Uncollectible Accounts Allowances for uncollectible accounts are provided based upon a variety of factors, including historical amounts written-off, current economic conditions and assessment of customer collectability. |
Inventory | Inventory SCE's inventory is primarily composed of materials, supplies and spare parts, and generally stated at average cost. |
Emission Allowances | Emission Allowances SCE is allocated greenhouse gas ("GHG") allowances annually which it is then required to sell into quarterly auctions. GHG proceeds from the auctions are recorded as a regulatory liability to be refunded to customers. SCE purchases GHG allowances in quarterly auctions or from counterparties to satisfy its GHG emission compliance obligations and recovers such costs of GHG allowances from customers. GHG allowances held for use are classified as "Other current assets" on the consolidated balance sheets and are stated, similar to an inventory method, at the lower of weighted-average cost or market. |
Property, Plant and Equipment | Property, Plant and Equipment SCE plant additions, including replacements and betterments, are capitalized. Direct material and labor and indirect costs such as construction overhead, administrative and general costs, pension and benefits, and property taxes are capitalized as part of plant additions. The CPUC authorizes a rate for each of the indirect costs which are allocated to each project based on either labor or total costs. Estimated useful lives (authorized by the CPUC) and weighted-average useful lives of SCE's property, plant and equipment, are as follows: Estimated Useful Lives Weighted-Average Useful Lives Generation plant 10 years to 57 years 38 years Distribution plant 20 years to 60 years 43 years Transmission plant 40 years to 65 years 53 years General plant and other 5 years to 60 years 22 years Depreciation of utility property, plant and equipment is computed on a straight-line, remaining-life basis. Depreciation expense was $1.52 billion , $1.42 billion and $1.33 billion for 2016 , 2015 and 2014 , respectively. Depreciation expense stated as a percent of average original cost of depreciable utility plant was, on a composite basis, 3.8% , 3.9% and 4.0% for 2016 , 2015 and 2014 , respectively. Replaced or retired property costs are charged to accumulated depreciation. Nuclear fuel for the Palo Verde Nuclear Power Plant ("Palo Verde") is recorded as utility plant (nuclear fuel in the fabrication and installation phase is recorded as construction in progress) in accordance with CPUC ratemaking procedures. Nuclear fuel is amortized using the units of production method. AFUDC represents the estimated cost of debt and equity funds that finance utility-plant construction and is capitalized during certain plant construction. AFUDC is recovered in rates through depreciation expense over the useful life of the related asset. AFUDC equity represents a method to compensate SCE for the estimated cost of equity used to finance utility plant additions and is recorded as part of construction in progress. AFUDC equity was $74 million , $87 million and $65 million in 2016 , 2015 and 2014 , respectively, and is reflected in "Interest and other income." AFUDC debt was $23 million , $31 million and $25 million in 2016 , 2015 and 2014 , respectively and is reflected as a reduction of "Interest expense." Major Maintenance Major maintenance costs for SCE's power plant facilities and equipment are expensed as incurred. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets Impairments of long-lived assets are evaluated based on a review of estimated future cash flows expected to be generated whenever events or changes in circumstances indicate that the carrying amount of such investments or assets may not be recoverable. If the carrying amount of a long-lived asset exceeds expected future cash flows, undiscounted and without interest charges, an impairment loss is recognized in the amount of the excess of fair value over the carrying amount. Fair value is determined via market, cost and income based valuation techniques, as appropriate. SCE's impaired assets are recorded as a regulatory asset if it is deemed probable that such amounts will be recovered from customers. |
Goodwill | Goodwill Edison International assesses goodwill through annual goodwill impairment tests, at the reporting unit level, as of October 1st of each year. The fair value of the Edison Energy and SoCore Energy reporting units exceeded their carrying values at the date of the annual impairment analysis. |
Nuclear Decommissioning and Asset Retirement Obligations | Nuclear Decommissioning and Asset Retirement Obligations The fair value of a liability for an asset retirement obligation ("ARO") is recorded in the period in which it is incurred, including a liability for the fair value of a conditional ARO, if the fair value can be reasonably estimated even though uncertainty exists about the timing and/or method of settlement. When an ARO liability is initially recorded, SCE capitalizes the cost by increasing the carrying amount of the related long-lived asset. For each subsequent period, the liability is increased for accretion expense and the capitalized cost is depreciated over the useful life of the related asset. AROs related to decommissioning of SCE's nuclear power facilities are based on site-specific studies conducted as part of each Nuclear Decommissioning Cost Triennial Proceeding ("NDCTP") conducted before the CPUC. Revisions of an ARO are established for updated site-specific decommissioning cost estimates. SCE adjusts its nuclear decommissioning obligation into a nuclear-related ARO regulatory asset and also records an ARO regulatory liability as a result of timing differences between the recognition of costs and the recovery of costs through the ratemaking process. For further discussion, see Notes 9 and 10. SCE has not recorded an asset retirement obligation for assets that are expected to operate indefinitely or where SCE cannot estimate a settlement date (or range of potential settlement dates). As such, ARO liabilities are not recorded for certain retirement activities, including certain hydroelectric facilities. The following table summarizes the changes in SCE's ARO liability, including San Onofre and Palo Verde: December 31, (in millions) 2016 2015 Beginning balance $ 2,762 $ 2,819 Accretion 1 157 173 Revisions (165 ) (14 ) Liabilities settled (168 ) (216 ) Ending balance $ 2,586 $ 2,762 1 An ARO represents the present value of a future obligation. Accretion is an increase in the liability to account for the time value of money resulting from discounting. The recorded liability to decommission SCE's nuclear power facilities (included in the table above) is $2.5 billion as of December 31, 2016. In 2016, SCE updated the recorded liability for Palo Verde and San Onofre Unit 1 based on the 2013 decommissioning study performed for Palo Verde and the 2014 study for San Onofre Unit 1. The recorded liability for San Onofre Unit 2 and 3 is based on a 2014 decommissioning study which followed the decision to permanently retire San Onofre. The 2015 NDTCP filing is expected to be updated for San Onofre Units 2 and 3 after onboarding the decommissioning general contractor and the subsequent development of a new decommissioning cost estimate during 2017. Decommissioning costs, which are recovered through customer rates over the term of each nuclear facility's operating license, are recorded as a component of depreciation expense, with a corresponding credit to the ARO regulatory liability. Amortization of the ARO asset (included within the unamortized nuclear investment) and accretion of the ARO liability are deferred as increases to the ARO regulatory liability account, resulting in no impact on earnings. SCE has collected in rates amounts for the future costs of removal of its nuclear assets, and has placed those amounts in independent trusts. The cost of removal amounts, in excess of amounts collected for assets not legally required to be removed, are classified as regulatory liabilities. Changes in the estimated costs, timing of decommissioning or the assumptions underlying these estimates could cause material revisions to the estimated total cost to decommission. SCE currently estimates that it will spend approximately $6.3 billion through 2079 to decommission its nuclear facilities. This estimate is based on SCE's decommissioning cost methodology used for ratemaking purposes, escalated at rates ranging from 1.7% to 7.5% (depending on the cost element) annually. These costs are expected to be funded from independent decommissioning trusts. SCE estimates annual after-tax earnings on the decommissioning funds of 2.4% to 4.1% . Future decommissioning costs related to SCE's nuclear assets are expected to be funded from independent decommissioning trusts. If the assumed return on trust assets is not earned or costs escalate at higher rates, SCE expects that additional funds needed for decommissioning will be recoverable through future rates. See Note 9 for further information. Due to regulatory recovery of SCE's nuclear decommissioning expense, prudently incurred costs for nuclear decommissioning activities do not affect SCE's earnings. SCE's nuclear decommissioning costs are subject to CPUC review through the triennial regulatory proceeding. SCE's nuclear decommissioning trust investments primarily consist of fixed income and equity investments that are classified as available-for-sale. Due to regulatory mechanisms, earnings and realized gains and losses (including other-than-temporary impairments) have no impact on electric utility revenue. Unrealized gains and losses on decommissioning trust funds increase or decrease the trust assets and the related regulatory asset or liability and have no impact on electric utility revenue or decommissioning expense. SCE reviews each security for other-than-temporary impairment on the last day of each month. If the fair value on the last day of two consecutive months is less than the cost for that security, SCE recognizes a loss for the other-than-temporary impairment. If the fair value is greater or less than the cost for that security at the time of sale, SCE recognizes a related realized gain or loss, respectively. |
Deferred Financing Costs | Deferred Financing Costs Debt premium, discount and issuance expenses incurred in connection with obtaining financing are deferred and amortized on a straight-line basis. Under CPUC ratemaking procedures, SCE's debt reacquisition expenses are amortized over the remaining life of the reacquired debt or, if refinanced, the life of the new debt. |
Revenue Recognition | Revenue Recognition Revenue is recognized when electricity is delivered and includes amounts for services rendered but unbilled at the end of each reporting period and reflected in "Operating revenue" on the consolidated statements of income. Rates charged to customers are based on CPUC- and FERC-authorized revenue requirements. CPUC rates are implemented subsequent to final approval. CPUC rates decouple authorized revenue from the volume of electricity sales. Differences between amounts collected and authorized levels are either collected from or refunded to customers, and therefore, SCE earns revenue equal to amounts authorized. FERC rates also decouple revenue from volume of electricity sales. In November 2013, the FERC approved a formula rate effective January 1, 2012 to determine SCE's FERC transmission revenue requirement, including its construction work in progress ("CWIP") revenue requirement. Under operation of the formula rate, transmission revenue will be updated to actual cost of service annually. Differences between amounts collected and determined under the formula rate are either collected from or refunded to customers, and therefore, SCE earns revenue based on estimates of recorded rate base costs under the FERC formula rate. SCE bills certain sales and use taxes levied by state or local governments to its customers. Included in these sales and use taxes are franchise fees, which SCE pays to various municipalities (based on contracts with these municipalities) in order to operate within the limits of the municipality. SCE bills these franchise fees to its customers based on a CPUC-authorized rate. These franchise fees, which are required to be paid regardless of SCE's ability to collect from the customer, are accounted for on a gross basis and reflected in electric utility revenue and other operation and maintenance expense. |
Power Purchase Agreements | Power Purchase Agreements SCE enters into power purchase agreements in the normal course of business. A power purchase agreement may be considered a variable interest in a variable interest entity. Under this classification, the power purchase agreement is evaluated to determine if SCE is the primary beneficiary in the variable interest entity, in which case, such entity would be consolidated. None of SCE's power purchase agreements resulted in consolidation of a variable interest entity at December 31, 2016 and 2015 . See Note 3 for further discussion of power purchase agreements that are considered variable interests. A power purchase agreement may also contain a lease for accounting purposes. This generally occurs when a power purchase agreement (signed or modified after June 30, 2003) designates a specific power plant in which the buyer purchases substantially all of the output and does not otherwise meet a fixed price per unit of output exception. SCE has a number of power purchase agreements that contain leases. SCE's recognition of lease expense conforms to the ratemaking treatment for SCE's recovery of the cost of electricity and is recorded in purchased power. See Note 11 for further discussion of SCE's power purchase agreements, including agreements that are classified as operating and capital leases for accounting purposes. A power purchase agreement that does not contain a lease may be classified as a derivative subject to a normal purchase and sale exception, in which case the power purchase agreement is classified as an executory contract and accounted for on an accrual basis. SCE purchases power under certain contracts that are not eligible for the normal purchase and sale exception and are recorded as a derivative on the consolidated balance sheets at fair value. Most of SCE's qualifying facilities ("QFs") contracts are not required to be recorded on the consolidated balance sheets because they either do not meet the definition of a derivative or meet the normal purchase and sale exception. See Note 6 for further information on derivative instruments. Power purchase agreements that do not meet the above classifications are accounted for on an accrual basis. |
Derivatives Instruments | Derivative Instruments SCE records derivative instruments on its consolidated balance sheets as either assets or liabilities measured at fair value unless otherwise exempted from derivative treatment as normal purchases or sales. The normal purchases and sales exception requires, among other things, physical delivery in quantities expected to be used or sold over a reasonable period in the normal course of business. Realized gains and losses from SCE's derivative instruments are expected to be recovered from or refunded to customers through regulatory mechanisms and, therefore, SCE's fair value changes have no impact on purchased-power expense or earnings. SCE does not use hedge accounting for derivative transactions due to regulatory accounting treatment. Where SCE's derivative instruments are subject to a master netting agreement and certain criteria are met, SCE presents its derivative assets and liabilities on a net basis on its consolidated balance sheets. In addition, derivative positions are offset against margin and cash collateral deposits. The results of derivative activities are recorded as part of cash flows from operating activities on the consolidated statements of cash flows. See Note 6 for further information on derivative instruments. |
Leases | Leases SCE enters into power purchase agreements that may contain leases, as discussed under "Power Purchase Agreements" above. SCE has also entered into a number of agreements to lease property and equipment in the normal course of business. Minimum lease payments under operating leases are levelized (total minimum lease payments divided by the number of years of the lease) and recorded as rent expense over the terms of the leases. Lease payments in excess of the minimum are recorded as rent expense in the year incurred. Capital leases are reported as long-term obligations on the consolidated balance sheets in "Other deferred credits and other long-term liabilities." As a rate-regulated enterprise, SCE's capital lease amortization expense and interest expense are reflected in "Purchased power and fuel" on the consolidated statements of income. |
Stock-Based Compensation | Stock-Based Compensation Stock options, performance shares, deferred stock units and restricted stock units have been granted under Edison International's long-term incentive compensation programs. Generally, Edison International does not issue new common stock for settlement of equity awards. Rather, a third party is used to purchase shares from the market and deliver such shares for the settlement of option exercises, performance shares, deferred stock units and restricted stock units. Performance shares awarded in 2014 that are earned are settled half in cash and half in common stock, while the performance shares awarded in 2016 and 2015 that are earned are settled solely in cash. Deferred stock units and restricted stock units are settled in common stock; however, Edison International will substitute cash awards to the extent necessary to pay tax withholding or any government levies. Stock-based compensation expense is recognized on a straight-line basis over the requisite service period. For awards granted to retirement-eligible participants stock compensation expenses are recognized on a prorated basis over the initial year or over the period between the date of grant and the date the participant first becomes eligible for retirement. Under new accounting guidance adopted in 2016, share-based payments may create a permanent difference between the amount of compensation expense recognized for book and tax purposes. The tax impact of this permanent difference is recognized in earnings in the period it is created. |
SCE Dividend Restrictions | SCE Dividend Restrictions The CPUC regulates SCE's capital structure which limits the dividends it may pay Edison International. SCE may make distributions to Edison International as long as the common equity component of SCE's capital structure remains at or above 48% on a 13 -month weighted average basis. |
Earnings Per Share | Earnings Per Share Edison International computes earnings per common share ("EPS") using the two-class method, which is an earnings allocation formula that determines EPS for each class of common stock and participating security. Edison International's participating securities are stock-based compensation awards payable in common shares, including performance shares and restricted stock units, which earn dividend equivalents on an equal basis with common shares once the awards are vested. |
Income Taxes | Income Taxes Edison International and SCE estimate their income taxes for each jurisdiction in which they operate. This involves estimating current period tax expense along with assessing temporary differences resulting from differing treatment of items (such as depreciation) for tax and accounting purposes. These differences result in deferred tax assets and liabilities, which are included in the consolidated balance sheets. Income tax expense includes the current tax liability from operations and the change in deferred income taxes during the year. Investment tax credits are deferred and amortized to income tax expense over the lives of the properties or the term of the power purchase agreement of the respective project. Interest income, interest expense and penalties associated with income taxes are reflected in "Income tax expense" on the consolidated statements of income. Edison International's eligible subsidiaries are included in Edison International's consolidated federal income tax and combined state tax returns. Edison International has tax-allocation and payment agreements with certain of its subsidiaries. Pursuant to an income tax-allocation agreement approved by the CPUC, SCE's tax liability is computed as if it filed its federal and state income tax returns on a separate return basis. |
Redeemable Noncontrolling Interest | Redeemable Noncontrolling Interest Redeemable noncontrolling interest represents the portion of equity ownership in an entity that is not attributable to the equity holders of Edison International and which have rights to put their ownership back to a subsidiary of Edison International. Noncontrolling interest is initially recorded at fair value and is subsequently adjusted for income allocated to the noncontrolling interest and any distributions paid to the noncontrolling interest. |
New Accounting Guidance | New Accounting Guidance Accounting Guidance Adopted In April 2015, the FASB issued an accounting standards update that requires debt issuance costs to be presented in the balance sheet as a direct reduction from the carrying amount of the related debt liability, consistent with debt discounts. Previously, accounting guidance required these costs to be presented as a deferred charge asset. Edison International and SCE adopted this guidance in the first quarter of 2016. At December 31, 2016, the amount of debt issuance costs that are reflected as a reduction of "Long-term debt" was $71 million for SCE and $81 million for Edison International. At December 31, 2015, the amount of debt issuance costs that have been reclassified from "Other long-term assets" to a reduction of "Long-term debt" was $77 million for SCE and $81 million for Edison International. In April 2015, the FASB issued an accounting standards update on fees paid by a customer for software licenses. This new standard provides guidance about whether a cloud computing arrangement includes a software license which may be capitalized in certain circumstances. If a cloud computing arrangement does not include a software license, then the arrangement should be accounted for as a service contract. Edison International and SCE adopted this guidance prospectively, effective January 1, 2016. The adoption of this standard did not have a material impact on Edison International's and SCE's consolidated financial statements. In May 2015, the FASB issued an accounting standards update which removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using net asset value per share or its equivalent as a practical expedient. Edison International and SCE adopted in the fourth quarter of 2016. Certain prior year amounts have been retrospectively adjusted. In March 2016, the FASB issued an accounting standards update to simplify the accounting for share-based payments. Under this new guidance, the tax effects related to share based payments are recorded through the income statement. Previously, tax benefits in excess of compensation cost ("windfalls") were recorded in equity, and tax deficiencies ("shortfalls") were recorded in equity to the extent of previous windfalls, and then to the income statement. In addition, as part of this new guidance an entity recognizes excess tax benefits regardless of whether the benefit reduces taxes payable in the current period, subject to normal valuation allowance considerations. Edison International and SCE adopted this guidance in the fourth quarter of 2016 using the modified retrospective approach, effective January 1, 2016. As a result, all excess tax benefits resulting from 2016 stock option exercises were reflected in the income statement. Income tax expense for Edison International and SCE was reduced by approximately $28 million and $13 million , respectively, for the year ended December 31, 2016. In addition, Edison International and SCE recorded an increase to beginning retained earnings for pre-2016 stock option exercises that had not been previously recorded in equity ( $42 million and $6 million for Edison International and SCE, respectively). On a prospective basis, the excess tax benefits are classified as an operating activity along with other income tax cash flows on the statement of cash flows. Accruals of compensation costs are based on the number of awards that are expected to vest. Edison International and SCE made an accounting policy election to continue to estimate the number of awards that are expected to vest rather than account for forfeitures when they occur. Accounting Guidance Not Yet Adopted In May 2014, the FASB issued an accounting standards update on revenue recognition including enhanced disclosures and further amended the standard in 2016. Under the new standard, revenue is recognized when (or as) a good or service is transferred to the customer and the customer obtains control of the good or service. This standard will be adopted on January 1, 2018. Edison International and SCE have completed the preliminary phases of their assessment of the impact on the consolidated financial statements and do not believe the adoption of this standard will have a material impact on the results of operations. Edison International and SCE anticipate adopting the standard using the modified retrospective application which means that Edison International and SCE would recognize the cumulative effect of initially applying the revenue standard as an adjustment to the opening balance of retained earnings in 2018. In January 2016, the FASB issued an accounting standards update that amends the guidance on the classification and measurement of financial instruments. The amendments require equity investments (excluding those accounted for under the equity method or those that result in consolidation) to be measured at fair value, with changes in fair value recognized in net income. It also amends certain disclosure requirements associated with the fair value of financial instruments. In addition, the new guidance requires financial assets and financial liabilities to be presented separately in the notes to the financial statements, grouped by measurement category and form of financial asset. Edison International and SCE will adopt this guidance effective January 1, 2018. The adoption of this standard is not expected to have a material impact on Edison International's and SCE's consolidated financial statements. In February 2016, the FASB issued an accounting standards update related to lease accounting including enhanced disclosures. Under the new standard, a lease is defined as a contract, or part of a contract, that conveys the right to control the use of identified assets for a period of time in exchange for consideration. Lessees will need to recognize leases on the balance sheet as a right-of-use asset and a related lease liability, and classify the leases as either operating or finance. The liability will be equal to the present value of lease payments. The asset will be based on the liability, subject to adjustment, such as for initial direct costs. Operating leases will result in straight-line expense while finance leases will result in a higher initial expense pattern due to the interest component. SCE, as a regulated entity, is permitted to continue to have straight-line expense for finance leases, assuming the rate recovery is based upon current payments. Lessees can elect to exclude from the balance sheet short-term contracts one year or less. This guidance is effective January 1, 2019. Early adoption is permitted, but Edison International and SCE do not expect to elect early adoption. The adoption of this standard is expected to increase right-of-use assets and lease liabilities in Edison International's and SCE's consolidated balance sheets. Edison International and SCE are currently evaluating the impact this standard will have on the results of operations and statements of cash flows. In June 2016, the FASB issued an accounting standards update to amend the guidance on the impairment of financial instruments. The new guidance adds an impairment model, known as the current expected credit loss model, which is based on expected losses rather than incurred losses. This guidance applies to most debt instruments, trade receivables, lease receivables, financial guarantee contracts, and loan commitments. This guidance is effective on January 1, 2020. Edison International and SCE are currently evaluating this new guidance. In August and November 2016, the FASB issued accounting standards updates to amend the guidance on the presentation and classification of certain cash receipts and cash payments in the statement of cash flows to reduce diversity in practice. This guidance addresses eight specific cash flow classification issues, including debt prepayment or extinguishment costs, proceeds from the settlement of corporate-owned life insurance, distributions received from equity method investments and restricted cash. This standard also clarifies the application of the predominance principle where cash receipts and payments have aspects of more than one class of cash flows. The new standard is effective on January 1, 2018. Edison International and SCE are currently evaluating this new guidance. In January 2017, the FASB issued an accounting standards update to simplify the accounting for goodwill impairment. This accounting standards update changes the procedural steps in applying the goodwill impairment test. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. Edison International will apply this guidance to the goodwill impairment test beginning in 2020. |
Summary of Significant Accoun31
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Cash Equivalents | The cash equivalents were as follows: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Money market funds $ 41 $ 37 $ 18 $ 8 Cash is temporarily invested until required for check clearing. Checks issued, but not yet paid by the financial institution, are reclassified from cash to accounts payable at the end of each reporting period as follows: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Book balances reclassified to accounts payable $ 138 $ 162 $ 136 $ 158 |
Estimated Useful Lives (Authorized by the CPUC) and Weighted-Average Useful Lives of Property, Plant and Equipment | Estimated useful lives (authorized by the CPUC) and weighted-average useful lives of SCE's property, plant and equipment, are as follows: Estimated Useful Lives Weighted-Average Useful Lives Generation plant 10 years to 57 years 38 years Distribution plant 20 years to 60 years 43 years Transmission plant 40 years to 65 years 53 years General plant and other 5 years to 60 years 22 years |
Reconciliation of the Changes in ARO Liability | The following table summarizes the changes in SCE's ARO liability, including San Onofre and Palo Verde: December 31, (in millions) 2016 2015 Beginning balance $ 2,762 $ 2,819 Accretion 1 157 173 Revisions (165 ) (14 ) Liabilities settled (168 ) (216 ) Ending balance $ 2,586 $ 2,762 1 An ARO represents the present value of a future obligation. Accretion is an increase in the liability to account for the time value of money resulting from discounting. |
Amortization of Deferred Financing Costs | Amortization of deferred financing costs charged to interest expense is as follows: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Amortization of deferred financing costs charged to interest expense $ 31 $ 33 $ 36 $ 27 $ 28 $ 32 |
EPS Attributable to Edison International Common Shareholders | EPS attributable to Edison International common shareholders was computed as follows: Years ended December 31, (in millions) 2016 2015 2014 Basic earnings per share – continuing operations: Income from continuing operations attributable to common shareholders $ 1,299 $ 985 $ 1,427 Participating securities dividends — (1 ) (1 ) Income from continuing operations available to common shareholders $ 1,299 $ 984 $ 1,426 Weighted average common shares outstanding 326 326 326 Basic earnings per share – continuing operations $ 3.99 $ 3.02 $ 4.38 Diluted earnings per share – continuing operations: Income from continuing operations attributable to common shareholders $ 1,299 $ 985 $ 1,427 Participating securities dividends — (1 ) (1 ) Income from continuing operations available to common shareholders $ 1,299 $ 984 $ 1,426 Income impact of assumed conversions 1 1 1 Income from continuing operations available to common shareholders and assumed conversions $ 1,300 $ 985 $ 1,427 Weighted average common shares outstanding 326 326 326 Incremental shares from assumed conversions 4 3 3 Adjusted weighted average shares – diluted 330 329 329 Diluted earnings per share – continuing operations $ 3.94 $ 2.99 $ 4.33 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant, and Equipment | SCE's property, plant and equipment included in the consolidated balance sheets is composed of the following: December 31, (in millions) 2016 2015 Distribution $ 22,332 $ 20,871 Transmission 12,549 11,592 Generation 3,376 3,138 General plant and other 4,633 4,543 Accumulated depreciation (9,000 ) (8,548 ) 33,890 31,596 Construction work in progress 2,790 3,218 Nuclear fuel, at amortized cost 126 131 Total utility property, plant and equipment $ 36,806 $ 34,945 |
Schedule of Jointly Owned Utility Projects | The following is SCE's investment in each asset as of December 31, 2016 : (in millions) Plant in Service Construction Work in Progress Accumulated Depreciation Nuclear Fuel (at amortized cost) Net Book Value Ownership Interest Transmission systems: Eldorado $ 235 $ 10 $ 21 $ — $ 224 59% Pacific Intertie 192 21 80 — 133 50% Generating station: Palo Verde (nuclear) 1,959 62 1,547 126 600 16% Total $ 2,386 $ 93 $ 1,648 $ 126 $ 957 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Variable Interest Entities Disclosure [Abstract] | |
Variable Interest Entity, Condensed Income Statement | The following table provides a summary of the trusts' income statements: Years ended December 31, (in millions) Trust I Trust II Trust III Trust IV Trust V 2016 Dividend income $ 27 $ 20 $ 16 $ 17 $ 13 Dividend distributions 27 20 16 17 13 2015 Dividend income $ 27 $ 20 $ 16 $ 6 * Dividend distributions 27 20 16 6 * 2014 Dividend income $ 27 $ 20 $ 13 * * Dividend distributions 27 20 13 * * * Not applicable |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Carrying Amounts and Fair Values of Long-term Debt, Including Current Portion | The carrying value and fair value of Edison International's and SCE's long-term debt (including current portion of long-term debt) are as follows: December 31, 2016 December 31, 2015 (in millions) Carrying Value 1 Fair Value Carrying Value 1 Fair Value Edison International $ 11,156 $ 12,368 $ 11,178 $ 12,252 SCE 10,333 11,539 10,539 11,592 1 Carrying value is net of debt issuance costs. |
SCE | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Fair Value by Level | The following table sets forth assets and liabilities of SCE that were accounted for at fair value by level within the fair value hierarchy: December 31, 2016 (in millions) Level 1 Level 2 Level 3 Netting and Collateral 1 Total Assets at fair value Derivative contracts $ — $ 6 $ 68 $ — $ 74 Other 33 — — — 33 Nuclear decommissioning trusts: Stocks 2 1,547 — — — 1,547 Fixed Income 3 865 1,751 — — 2,616 Short-term investments, primarily cash equivalents 36 170 — — 206 Subtotal of nuclear decommissioning trusts 4 2,448 1,921 — — 4,369 Total assets 2,481 1,927 68 — 4,476 Liabilities at fair value Derivative contracts — — 1,157 — 1,157 Total liabilities — — 1,157 — 1,157 Net assets (liabilities) $ 2,481 $ 1,927 $ (1,089 ) $ — $ 3,319 December 31, 2015 (in millions) Level 1 Level 2 Level 3 Netting and Collateral 1 Total Assets at fair value Derivative contracts $ — $ — $ 163 $ — $ 163 Other 28 — — — 28 Nuclear decommissioning trusts: Stocks 2 1,460 — — — 1,460 Fixed Income 3 947 1,776 — — 2,723 Short-term investments, primarily cash equivalents 91 81 — — 172 Subtotal of nuclear decommissioning trusts 4 2,498 1,857 — — 4,355 Total assets 2,526 1,857 163 — 4,546 Liabilities at fair value Derivative contracts — 22 1,311 (15 ) 1,318 Total liabilities — 22 1,311 (15 ) 1,318 Net assets (liabilities) $ 2,526 $ 1,835 $ (1,148 ) $ 15 $ 3,228 1 Represents the netting of assets and liabilities under master netting agreements and cash collateral across the levels of the fair value hierarchy. Netting among positions classified within the same level is included in that level. 2 Approximately 70% of SCE's equity investments were located in the United States at both December 31, 2016 and 2015 . 3 Includes corporate bonds, which were diversified and included collateralized mortgage obligations and other asset backed securities of $79 million and $111 million at December 31, 2016 and 2015 , respectively. 4 Excludes net payables of $127 million and $24 million at December 31, 2016 and 2015 , which consist of interest and dividend receivables as well as receivables and payables related to SCE's pending securities sales and purchases. |
Summary of Changes in Fair Value of Level 3 Net Derivative Assets and Liabilities | The following table sets forth a summary of changes in SCE's fair value of Level 3 net derivative assets and liabilities: December 31, (in millions) 2016 2015 Fair value of net liabilities at beginning of period $ (1,148 ) $ (902 ) Total realized/unrealized gains (losses): Included in regulatory assets and liabilities 1 59 (246 ) Fair value of net liabilities at end of period $ (1,089 ) $ (1,148 ) Change during the period in unrealized gains and losses related to assets and liabilities held at the end of the period $ (70 ) $ (311 ) 1 Due to regulatory mechanisms, SCE's realized and unrealized gains and losses are recorded as regulatory assets and liabilities. |
Valuation Techniques and Significant Unobservable Inputs Used to Determine Fair Value for Level 3 Assets and Liabilities | The following table sets forth SCE's valuation techniques and significant unobservable inputs used to determine fair value for significant Level 3 assets and liabilities: Fair Value (in millions) Significant Range Assets Liabilities Valuation Technique(s) Unobservable Input (Weighted Average) Congestion revenue rights December 31, 2016 $ 67 $ — Market simulation model and auction prices Load forecast 3,708 MW - 22,840 MW Power prices 1 $3.65 - $99.58 Gas prices 2 $2.51 - $4.87 December 31, 2015 152 — Market simulation model and auction prices Load forecast 6,289 MW - 24,349 MW Power prices 1 $0 - $110.44 Gas prices 2 $1.98 - $5.72 Tolling December 31, 2016 — 1,154 Option model Volatility of gas prices 15% - 48% (20%) Volatility of power prices 29% - 71% (40%) Power prices $23.40 - $51.24 ($34.70) December 31, 2015 10 1,297 Option model Volatility of gas prices 15% - 58% (20%) Volatility of power prices 26% - 38% (30%) Power prices $24.15 - $46.93 ($34.80) 1 Prices are in dollars per megawatt-hour. 2 Prices are in dollars per million British thermal units. |
Debt and Credit Agreements (Tab
Debt and Credit Agreements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-term Debt | The following table summarizes long-term debt (rates and terms are as of December 31, 2016 ) of Edison International and SCE: December 31, (in millions) 2016 2015 Edison International Parent and Other: Debentures and notes: 2017 – 2023 (2.95% to 3.75%) $ 800 $ 614 Other long-term debt 32 31 Current portion of long-term debt (402 ) (216 ) Unamortized debt discount and issuance costs, net (9 ) (6 ) Total Edison International Parent and Other 421 423 SCE: First and refunding mortgage bonds: 2017 – 2045 (1.125% to 6.05%) 9,357 9,436 Pollution-control bonds: 2028 – 2035 (1.375% to 5.0%) 1 774 909 Debentures and notes: 2029 – 2053 (5.06% to 6.65%) 307 307 Current portion of long-term debt (579 ) (79 ) Unamortized debt discount and issuance costs, net (105 ) (113 ) Total SCE 9,754 10,460 Total Edison International $ 10,175 $ 10,883 1 Excludes outstanding bonds that have not been retired and may be remarketed to investors in the future. These bonds have variable rates and are due in 2031 and 2033 at December 31, 2016 and 2031 at December 31, 2015. |
Long-term Debt Maturities | Edison International and SCE long-term debt maturities over the next five years are the following: (in millions) Edison International SCE 2017 $ 981 $ 579 2018 482 479 2019 82 79 2020 80 79 2021 580 579 |
Summary for Status of Credit Facilities | The following table summarizes the status of the credit facilities at December 31, 2016 : (in millions) Edison International Parent SCE Commitment $ 1,250 $ 2,750 Outstanding borrowings (538 ) (769 ) Outstanding letters of credit — (91 ) Amount available $ 712 $ 1,890 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) - SCE | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
Schedule of Derivative Liabilities in Statement of Financial Position, Fair Value | The following table summarizes the gross and net fair values of SCE's commodity derivative instruments: December 31, 2016 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 74 $ 1 $ 75 $ 217 $ 941 $ 1,158 $ 1,083 Gross amounts offset in consolidated balance sheets (1 ) — (1 ) (1 ) — (1 ) — Cash collateral posted 1 — — — — — — — Net amounts presented in the consolidated balance sheets $ 73 $ 1 $ 74 $ 216 $ 941 $ 1,157 $ 1,083 December 31, 2015 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 81 $ 84 $ 165 $ 235 $ 1,100 $ 1,335 $ 1,170 Gross amounts offset in consolidated balance sheets (2 ) — (2 ) (2 ) — (2 ) — Cash collateral posted 1 — — — (15 ) — (15 ) (15 ) Net amounts presented in the consolidated balance sheets $ 79 $ 84 $ 163 $ 218 $ 1,100 $ 1,318 $ 1,155 1 In addition, at December 31, 2016 , SCE received $2 million of collateral that is not offset against derivative assets and is reflected in "Other current liabilities" on the consolidated balance sheets. At December 31, 2015 , SCE had posted $31 million of cash collateral that is not offset against derivative liabilities and is reflected in "Other current assets" on the consolidated balance sheets. |
Schedule of Derivative Assets in Statement of Financial Position, Fair Value | The following table summarizes the gross and net fair values of SCE's commodity derivative instruments: December 31, 2016 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 74 $ 1 $ 75 $ 217 $ 941 $ 1,158 $ 1,083 Gross amounts offset in consolidated balance sheets (1 ) — (1 ) (1 ) — (1 ) — Cash collateral posted 1 — — — — — — — Net amounts presented in the consolidated balance sheets $ 73 $ 1 $ 74 $ 216 $ 941 $ 1,157 $ 1,083 December 31, 2015 Derivative Assets Derivative Liabilities Net Liability (in millions) Short-Term Long-Term Subtotal Short-Term Long-Term Subtotal Commodity derivative contracts Gross amounts recognized $ 81 $ 84 $ 165 $ 235 $ 1,100 $ 1,335 $ 1,170 Gross amounts offset in consolidated balance sheets (2 ) — (2 ) (2 ) — (2 ) — Cash collateral posted 1 — — — (15 ) — (15 ) (15 ) Net amounts presented in the consolidated balance sheets $ 79 $ 84 $ 163 $ 218 $ 1,100 $ 1,318 $ 1,155 1 In addition, at December 31, 2016 , SCE received $2 million of collateral that is not offset against derivative assets and is reflected in "Other current liabilities" on the consolidated balance sheets. At December 31, 2015 , SCE had posted $31 million of cash collateral that is not offset against derivative liabilities and is reflected in "Other current assets" on the consolidated balance sheets. |
Derivative Instruments, Gain (Loss) | The following table summarizes the components of SCE's economic hedging activity: Years ended December 31, (in millions) 2016 2015 2014 Realized losses $ (59 ) $ (148 ) $ (57 ) Unrealized gains (losses) 84 (182 ) (147 ) |
Notional Volumes of Derivative Instruments | The following table summarizes the notional volumes of derivatives used for SCE hedging activities: Economic Hedges Unit of December 31, Commodity Measure 2016 2015 Electricity options, swaps and forwards GWh 1,816 6,221 Natural gas options, swaps and forwards Bcf 36 32 Congestion revenue rights GWh 93,319 109,740 Tolling arrangements GWh 61,093 70,663 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Sources of Income (Loss) Before Income Taxes | Edison International's sources of income (loss) before income taxes are: Years ended December 31, (in millions) 2016 2015 2014 Income from continuing operations before income taxes $ 1,590 $ 1,568 $ 1,979 Income (loss) from discontinued operations before income taxes 1 15 (525 ) Income before income tax $ 1,591 $ 1,583 $ 1,454 |
Components of Income Tax Expense (Benefit) by Location of Taxing Jurisdiction | The components of income tax expense (benefit) by location of taxing jurisdiction are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Current: Federal $ (46 ) $ 18 $ (99 ) $ 75 $ 72 $ (89 ) State 33 19 20 93 127 101 (13 ) 37 (79 ) 168 199 12 Deferred: Federal 176 340 454 112 298 476 State 14 109 68 (24 ) 10 (14 ) 190 449 522 88 308 462 Total continuing operations 177 486 443 256 507 474 Discontinued operations 1 (11 ) (21 ) (710 ) — — — Total $ 166 $ 465 $ (267 ) $ 256 $ 507 $ 474 1 See Note 15 for a discussion of discontinued operations related to EME. |
Components of Net Accumulated Deferred Income Tax Liability | The components of net accumulated deferred income tax liability are: Edison International SCE December 31, (in millions) 2016 2015 2016 2015 Deferred tax assets: Property and software related $ 549 $ 675 $ 548 $ 675 Nuclear decommissioning trust assets in excess of nuclear ARO liability 348 360 348 360 Loss and credit carryforwards 1,418 1,388 — — Regulatory balancing accounts 15 21 15 21 Pension and PBOPs 300 337 93 154 Other 419 499 408 411 Sub-total 3,049 3,280 1,412 1,621 Less valuation allowance 24 32 — — Total 3,025 3,248 1,412 1,621 Deferred tax liabilities: Property-related 10,330 9,606 10,330 9,600 Capitalized software costs 237 207 237 207 Regulatory balancing accounts 134 202 134 202 Nuclear decommissioning trust assets 348 360 348 360 PBOPs 13 71 13 71 Other 202 189 148 161 Total 11,264 10,635 11,210 10,601 Accumulated deferred income tax liability, net 1 $ 8,239 $ 7,387 $ 9,798 $ 8,980 1 Included in deferred income taxes and credits. |
Summary of Tax Credit Carryforwards | The amounts of net operating loss and tax credit carryforwards (after-tax) are as follows: Edison International SCE December 31, 2016 (in millions) Loss Carryforwards Credit Carryforwards Loss Carryforwards Credit Carryforwards Expire between 2017 to 2035 $ 1,095 $ 430 $ 20 $ 25 No expiration date — 69 — 37 Total 1 $ 1,095 $ 499 $ 20 $ 62 1 Deferred tax assets for net operating loss and tax credit carryforwards are reduced by unrecognized tax benefits of $176 million and $82 million for Edison International and SCE, respectively. |
Reconciliation of Income Tax Expense | The table below provides a reconciliation of income tax expense computed at the federal statutory income tax rate to the income tax provision: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Income from continuing operations before income taxes $ 1,590 $ 1,568 $ 1,979 $ 1,755 $ 1,618 $ 2,039 Provision for income tax at federal statutory rate of 35% 556 549 693 614 566 714 Increase in income tax from: Items presented with related state income tax, net: Regulatory asset write-off 1 — 382 — — 382 — State tax, net of federal benefit 29 5 56 43 34 55 Property-related 2 (362 ) (341 ) (252 ) (362 ) (341 ) (252 ) Change related to uncertain tax positions (4 ) (67 ) 5 (8 ) (94 ) 12 San Onofre OII settlement — — (23 ) — — (23 ) Share-based compensation 3 (28 ) — — (13 ) — — Other (14 ) (42 ) (36 ) (18 ) (40 ) (32 ) Total income tax expense from continuing operations $ 177 $ 486 $ 443 $ 256 $ 507 $ 474 Effective tax rate 11.1 % 31.0 % 22.4 % 14.6 % 31.3 % 23.2 % 1 Includes federal and state. 2 Includes incremental repair benefits. See discussion of repair deductions below. 3 Includes state taxes of $(4) million and $(1) million for Edison International and SCE, respectively. Refer to Note 1 for further information. |
Reconciliation of Unrecognized Tax Benefits | The following table provides a reconciliation of unrecognized tax benefits for continuing and discontinued operations: Edison International SCE December 31, (in millions) 2016 2015 2014 2016 2015 2014 Balance at January 1, $ 529 $ 576 $ 815 $ 353 $ 441 $ 532 Tax positions taken during the current year: Increases 36 54 65 36 48 57 Tax positions taken during a prior year: Increases 2 66 1 — 23 — Decreases 1 (96 ) (165 ) (143 ) (18 ) (159 ) (93 ) Decreases for settlements during the period 2 — (2 ) (162 ) — — (55 ) Balance at December 31, $ 471 $ 529 $ 576 $ 371 $ 353 $ 441 1 Decreases in prior year tax positions for 2016 relate to state tax receivables on various claims. Due to the tax risks associated with these claims, the tax benefits were fully reserved at the time the asset was recorded. During 2016, the Company has determined that it will not recognize these assets so the tax benefit and related tax reserve were written off. Decreases in tax positions for 2015 relate primarily to re-measurement of uncertain tax positions in connection with receipt of the IRS Revenue Agent Report in June 2015. See discussions in Tax Disputes below. 2 In the fourth quarter of 2014, Edison International has settled all open tax positions with the IRS for taxable years 2003 through 2006. |
Schedule of Interest and Penalties Related to Income Tax Liabilities | The total amount of accrued interest and penalties related to income tax liabilities for continuing and discontinued operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Accrued interest and penalties $ 128 $ 122 $ 41 $ 40 The net after-tax interest and penalties recognized in income tax expense for continuing and discontinued operations are: Edison International SCE December 31, (in millions) 2016 2015 2014 2016 2015 2014 Net after-tax interest and penalties tax benefit $ 6 $ 9 $ 41 $ 2 $ 14 $ 16 |
Compensation and Benefit Plans
Compensation and Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Pension and Other Postretirement Benefits | |
Employee Savings Plan Employer Contributions | The following employer contributions were made for continuing operations: Edison International SCE (in millions) Years ended December 31, 2016 $ 69 $ 68 2015 73 72 2014 71 70 |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | The following table summarizes total expense and tax benefits (expense) associated with stock based compensation: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Stock-based compensation expense 1 : Stock options $ 14 $ 14 $ 16 $ 7 $ 8 $ 8 Performance shares 13 7 16 6 4 8 Restricted stock units 6 7 7 3 4 4 Other 1 1 1 — — — Total stock-based compensation expense $ 34 $ 29 $ 40 $ 16 $ 16 $ 20 Income tax benefits related to stock compensation expense $ 41 $ 12 $ 16 $ 20 $ 7 $ 8 Excess tax benefits 2 — 15 15 — 23 20 1 Reflected in "Operation and maintenance" on Edison International's and SCE's consolidated statements of income. 2 Reflected in "Settlements of stock-based compensation, net" in the financing section of Edison International's and SCE's consolidated statements of cash flows, "Common stock" in Edison International's consolidated balance sheets and "Additional paid-in capital" in SCE's consolidated balance sheets. Edison International and SCE adopted the new accounting guidance for shared-based payments, see Note 1 for further information. |
Black-Sholes Option-Pricing Model Assumptions | The Black-Scholes option-pricing model requires various assumptions noted in the following table: Years ended December 31, 2016 2015 2014 Expected terms (in years) 5.9 5.9 6.0 Risk-free interest rate 1.2% – 2.2% 1.6% – 2.1% 1.8% – 2.1% Expected dividend yield 2.5% – 3.0% 2.6% – 3.2% 2.4% – 2.7% Weighted-average expected dividend yield 2.9% 2.6% 2.7% Expected volatility 17.2% – 17.5% 16.4% – 17.0% 17.8% – 19.1% Weighted-average volatility 17.4% 16.5% 18.9% |
Summary of Stock Options Activity | The following is a summary of the status of Edison International's stock options: Weighted-Average Stock options Exercise Price Remaining Contractual Term (Years) Aggregate Intrinsic Value (in millions) Edison International: Outstanding at December 31, 2015 12,866,597 $ 45.93 Granted 2,120,009 67.41 Expired — — Forfeited (274,166 ) 64.02 Exercised (3,167,939 ) 42.93 Outstanding at December 31, 2016 11,544,501 50.26 6.02 Vested and expected to vest at December 31, 2016 11,437,110 50.12 5.99 $ 250 Exercisable at December 31, 2016 7,685,341 $ 43.99 4.93 $ 215 SCE: Outstanding at December 31, 2015 5,840,057 $ 47.77 Granted 959,478 67.36 Expired — — Forfeited (120,842 ) 61.96 Exercised (1,705,053 ) 44.59 Transfers, net (246,224 ) 59.29 Outstanding at December 31, 2016 4,727,416 51.81 6.24 Vested and expected to vest at December 31, 2016 4,667,784 51.63 6.21 $ 95 Exercisable at December 31, 2016 2,782,770 $ 44.04 4.84 $ 78 |
Schedule of Unrecognized Compensation Expense | At December 31, 2016 , total unrecognized compensation cost related to stock options and the weighted-average period the cost is expected to be recognized are as follows: (in millions) Edison International SCE Unrecognized compensation cost, net of expected forfeitures $ 13 $ 8 Weighted-average period (in years) 2.3 2.3 |
Supplemental Data on Stock-based Compensation | Supplemental Data on Stock Options Edison International SCE Years ended December 31, (in millions, except per award amounts) 2016 2015 2014 2016 2015 2014 Stock options: Weighted average grant date fair value per option granted $ 7.38 $ 7.54 $ 7.26 $ 7.50 $ 7.53 $ 7.34 Fair value of options vested 11 20 17 5 11 9 Cash used to purchase shares to settle options 220 170 300 118 69 181 Cash from participants to exercise stock options 136 113 205 77 45 125 Value of options exercised 84 57 95 41 24 56 Tax benefits from options exercised 34 23 39 17 10 23 |
Summary of Nonvested Share Activity | The following is a summary of the status of Edison International's nonvested performance shares: Equity Awards Liability Awards Shares Weighted-Average Grant Date Fair Value Shares Weighted-Average Fair Value Edison International: Nonvested at December 31, 2015 57,779 $ 61.18 165,629 $ 68.44 Granted — — 111,754 Forfeited (1,258 ) 60.83 (13,502 ) Vested 1 (56,521 ) 61.18 (56,384 ) Nonvested at December 31, 2016 — — 207,497 84.30 SCE: Nonvested at December 31, 2015 32,463 $ 62.01 90,393 $ 68.64 Granted — — 50,599 Forfeited (1,012 ) 49.73 (5,751 ) Vested 1 (29,080 ) 50.75 (28,963 ) Affiliate transfers, net (2,371 ) 72.10 (9,611 ) Nonvested at December 31, 2016 — — 96,667 84.25 1 Relates to performance shares that will be paid in 2017 as performance targets were met at December 31, 2016 . |
Summary of Nonvested Restricted Stock Units Activity | The following is a summary of the status of Edison International's nonvested restricted stock units: Edison International SCE Restricted Stock Units Weighted-Average Grant Date Fair Value Restricted Stock Units Weighted-Average Grant Date Fair Value Nonvested at December 31, 2015 248,143 $ 57.89 134,375 $ 58.13 Granted 123,266 67.42 55,800 67.37 Forfeited (16,435 ) 63.73 (7,580 ) 61.45 Vested (9,579 ) 52.01 (8,032 ) 56.53 Affiliate transfers, net — — (13,775 ) 62.09 Nonvested at December 31, 2016 345,395 61.05 160,788 60.80 |
Accrued Severance Liability Workforce Reduction | The following table provides a summary of changes in the accrued severance liability associated with these reductions: (in millions) Balance at January 1, 2016 $ 22 Additions 21 Payments (40 ) Balance at December 31, 2016 $ 3 |
Pension Plans | |
Pension and Other Postretirement Benefits | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | Information on pension plan assets and benefit obligations for continuing and discontinued operations is shown below. Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Change in projected benefit obligation Projected benefit obligation at beginning of year $ 4,374 $ 4,517 $ 3,878 $ 3,999 Service cost 139 142 132 133 Interest cost 171 170 150 150 Actuarial gain (125 ) (149 ) (140 ) (143 ) Benefits paid (275 ) (305 ) (229 ) (261 ) Other — (1 ) — — Projected benefit obligation at end of year $ 4,284 $ 4,374 $ 3,791 $ 3,878 Change in plan assets Fair value of plan assets at beginning of year $ 3,298 $ 3,454 $ 3,080 $ 3,217 Actual return on plan assets 262 30 239 27 Employer contributions 103 119 82 97 Benefits paid (275 ) (305 ) (229 ) (261 ) Fair value of plan assets at end of year $ 3,388 $ 3,298 $ 3,172 $ 3,080 Funded status at end of year $ (896 ) $ (1,076 ) $ (619 ) $ (798 ) Amounts recognized in the consolidated balance sheets consist of 1 : Long-term assets $ 2 $ — $ — $ — Current liabilities (50 ) (27 ) (4 ) (4 ) Long-term liabilities (848 ) (1,049 ) (615 ) (794 ) $ (896 ) $ (1,076 ) $ (619 ) $ (798 ) Amounts recognized in accumulated other comprehensive loss consist of: Prior service cost $ (1 ) $ — $ — $ — Net loss 1 93 96 24 27 $ 92 $ 96 $ 24 $ 27 Amounts recognized as a regulatory asset $ 574 $ 675 $ 574 $ 675 Total not yet recognized as expense $ 666 $ 771 $ 598 $ 702 Accumulated benefit obligation at end of year $ 4,138 $ 4,200 $ 3,683 $ 3,744 Pension plans with an accumulated benefit obligation in excess of plan assets: Projected benefit obligation $ 4,284 $ 4,374 $ 3,791 $ 3,878 Accumulated benefit obligation 4,138 4,200 3,683 3,744 Fair value of plan assets 3,388 3,298 3,172 3,080 Weighted-average assumptions used to determine obligations at end of year: Discount rate 3.94 % 4.18 % 3.94 % 4.18 % Rate of compensation increase 4.00 % 4.00 % 4.00 % 4.00 % 1 The SCE liability excludes a long-term payable due to Edison International Parent of $124 million and $123 million at December 31, 2016 and 2015 , respectively, related to certain SCE postretirement benefit obligations transferred to Edison International Parent. SCE's accumulated other comprehensive loss of $24 million and $27 million at December 31, 2016 and 2015 , respectively, excludes net loss of $ 20 million and $18 million related to these benefits. |
Expense Components for Plans | Pension expense components for continuing operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Service cost $ 139 $ 142 $ 133 $ 136 $ 139 $ 128 Interest cost 172 170 181 156 155 164 Expected return on plan assets (220 ) (233 ) (229 ) (205 ) (217 ) (213 ) Settlement costs 1 — — 45 — — 42 Curtailment gain — — (4 ) — — — Amortization of prior service cost 4 5 5 4 5 5 Amortization of net loss 2 27 40 12 23 35 7 Expense under accounting standards 122 124 143 114 117 133 Regulatory adjustment (deferred) (21 ) (6 ) 8 (21 ) (6 ) 8 Total expense recognized $ 101 $ 118 $ 151 $ 93 $ 111 $ 141 1 Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International was zero for the both the years ended December 31, 2016 and 2015 and $3 million for the year ended December 31, 2014 . 2 Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was $10 million and $6 million , respectively, for the year ended December 31, 2016 . The amount reclassified for Edison International and SCE was $14 million and $8 million , respectively, for the year ended December 31, 2015 . The amount reclassified for Edison International and SCE was $9 million and $4 million , respectively, for the year ended December 31, 2014 |
Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income | Other changes in pension plan assets and benefit obligations recognized in other comprehensive loss for continuing operations: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Net loss (gain) $ 6 $ 7 $ 85 $ 4 $ (9 ) $ 37 Amortization of net loss and other (10 ) (15 ) (13 ) (6 ) (9 ) (4 ) Total recognized in other comprehensive loss $ (4 ) $ (8 ) $ 72 $ (2 ) $ (18 ) $ 33 Total recognized in expense and other comprehensive loss $ 97 $ 110 $ 223 $ 91 $ 93 $ 174 |
Schedule of Amounts in Accumulated Other Comprehensive Loss to be Recognized | The estimated pension amounts that will be amortized to expense in 2017 for continuing operations are as follows: (in millions) Edison International SCE Unrecognized net loss to be amortized 1 $ 19 $ 15 Unrecognized prior service cost to be amortized 3 3 1 The amount of net loss expected to be reclassified from other comprehensive loss for Edison International's continuing operations and SCE is $10 million and $6 million , respectively. |
Schedule of Assumptions Used | Edison International and SCE used the following weighted-average assumptions to determine pension expense for continuing operations: Years ended December 31, 2016 2015 2014 Discount rate 4.18 % 3.85 % 4.50 % Rate of compensation increase 4.00 % 4.00 % 4.00 % Expected long-term return on plan assets 7.00 % 7.00 % 7.00 % |
Schedule of Expected Benefit Payments | The following benefit payments, which reflect expected future service, are expected to be paid: Edison International SCE (in millions) Years ended December 31, 2017 $ 346 $ 271 2018 332 298 2019 344 300 2020 341 304 2021 341 304 2022 – 2026 1,566 1,396 |
Postretirement Benefits Other than Pension Plan Assets by Hierarchy Levels | The following table sets forth the Master Trust investments for Edison International and SCE that were accounted for at fair value as of December 31, 2016 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 217 $ 309 $ — $ — $ 526 Corporate stocks 3 720 15 — — 735 Corporate bonds 4 — 725 — — 725 Common/collective funds 5 — — — 692 692 Partnerships/joint ventures 6 — — — 333 333 Other investment entities 7 — — — 253 253 Registered investment companies 8 124 — — 6 130 Interest-bearing cash 42 — — — 42 Other — 112 — — 112 Total $ 1,103 $ 1,161 $ — $ 1,284 $ 3,548 Receivables and payables, net (160 ) Net plan assets available for benefits $ 3,388 SCE's share of net plan assets $ 3,172 The following table sets forth the Master Trust investments that were accounted for at fair value as of December 31, 2015 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 127 $ 298 $ — $ — $ 425 Corporate stocks 3 720 16 — — 736 Corporate bonds 4 — 755 — — 755 Common/collective funds 5 — — — 640 640 Partnerships/joint ventures 6 — — — 325 325 Other investment entities 7 — — — 263 263 Registered investment companies 8 117 — — 4 121 Interest-bearing cash 6 — — — 6 Other 1 96 — — 97 Total $ 971 $ 1,165 $ — $ 1,232 $ 3,368 Receivables and payables, net (70 ) Net plan assets available for benefits $ 3,298 SCE's share of net plan assets $ 3,080 1 These investments are measured at fair value using the net asset value per share practical expedient and have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the net plan assets available for benefits. 2 Level 1 U.S. government and agency securities are U.S. treasury bonds and notes. Level 2 primarily relates to the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation. 3 Corporate stocks are diversified. At December 31, 2016 and 2015 , respectively, performance for actively managed separate accounts is primarily benchmarked against the Russell Indexes ( 62% ) and ( 59% ) and Morgan Stanley Capital International (MSCI) index ( 38% ) and ( 41% ). 4 Corporate bonds are diversified. At December 31, 2016 and 2015 , respectively, this category includes $76 million and $123 million for collateralized mortgage obligations and other asset backed securities of which $27 million and $25 million are below investment grade. 5 At December 31, 2016 and 2015 , respectively, the common/collective assets were invested in equity index funds that seek to track performance of the Standard and Poor's (S&P 500) Index ( 45% and 46% ) and Russell 1000 indexes ( 15% and 14% ). At December 31, 2016 and 2015, 15% and 16% of the assets in this category are in index funds which seek to track performance in the MSCI All Country World Index exUS and MSCI Europe, Australasia and Far East (EAFE) Index, respectively. A non-index U.S. equity fund representing 23% and 22% of this category for 2016 and 2015 , respectively, is actively managed. 6 At December 31, 2016 and 2015 , respectively, 55% and 51% are invested in private equity funds with investment strategies that include branded consumer products, clean technology and California geographic focus companies, 22% and 20% are invested in publicly traded fixed income securities, 18% and 14% are invested in a broad range of financial assets in all global markets and 4% and 15% of the remaining partnerships are invested in asset backed securities, including distressed mortgages and commercial and residential loans and debt and equity of banks. 7 Other investment entities were primarily invested in (1) emerging market equity securities, (2) a hedge fund that invests through liquid instruments in a global diversified portfolio of equity, fixed income, interest rate, foreign currency and commodities markets, and (3) domestic mortgage backed securities. 8 Level 1 of registered investment companies primarily consisted of a global equity mutual fund which seeks to outperform the MSCI World Total Return Index. The funds classified as NAV primarily consisted of a fixed income securities fund. |
Postretirement Benefits Other Than Pensions | |
Pension and Other Postretirement Benefits | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | Information on PBOP Plan assets and benefit obligations is shown below: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Change in benefit obligation Benefit obligation at beginning of year $ 2,350 $ 2,784 $ 2,341 $ 2,775 Service cost 35 46 34 46 Interest cost 97 102 97 102 Special termination benefits 2 (2 ) 2 (2 ) Plan Amendments (6 ) — (6 ) — Actuarial gain (110 ) (500 ) (110 ) (500 ) Plan participants' contributions 19 20 19 20 Benefits paid (111 ) (100 ) (111 ) (100 ) Benefit obligation at end of year $ 2,276 $ 2,350 $ 2,266 $ 2,341 Change in plan assets Fair value of plan assets at beginning of year $ 2,036 $ 2,086 $ 2,036 $ 2,086 Actual return on assets 137 6 137 6 Employer contributions 21 24 21 24 Plan participants' contributions 19 20 19 20 Benefits paid (111 ) (100 ) (111 ) (100 ) Fair value of plan assets at end of year $ 2,102 $ 2,036 $ 2,102 $ 2,036 Funded status at end of year $ (174 ) $ (314 ) $ (164 ) $ (305 ) Amounts recognized in the consolidated balance sheets consist of: Current liabilities $ (14 ) $ (15 ) $ (13 ) $ (15 ) Long-term liabilities (160 ) (299 ) (151 ) (290 ) $ (174 ) $ (314 ) $ (164 ) $ (305 ) Amounts recognized in accumulated other comprehensive loss consist of: Net loss $ 4 $ 4 $ — $ — Amounts recognized as a regulatory asset $ 136 $ 174 $ 136 $ 174 Total not yet recognized as expense $ 140 $ 178 $ 136 $ 174 Weighted-average assumptions used to determine obligations at end of year: Discount rate 4.29 % 4.55 % 4.29 % 4.55 % Assumed health care cost trend rates: Rate assumed for following year 7.00 % 7.50 % 7.00 % 7.50 % Ultimate rate 5.00 % 5.00 % 5.00 % 5.00 % Year ultimate rate reached 2022 2022 2022 2022 |
Expense Components for Plans | PBOP expense components for continuing operations are: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Service cost $ 35 $ 46 $ 40 $ 34 $ 46 $ 40 Interest cost 97 102 117 97 102 117 Expected return on plan assets (112 ) (116 ) (108 ) (112 ) (116 ) (108 ) Special termination benefits 1 2 1 3 2 1 3 Amortization of prior service credit (2 ) (12 ) (36 ) (2 ) (12 ) (35 ) Amortization of net loss — 3 6 — 2 5 Total expense $ 20 $ 24 $ 22 $ 19 $ 23 $ 22 1 Due to the reduction in workforce, SCE has incurred costs for extended retiree health care coverage. |
Schedule of Amounts in Accumulated Other Comprehensive Loss to be Recognized | The estimated PBOP amounts that will be amortized to expense in 2017 for continuing operations are as follows: Edison International SCE Unrecognized prior service credit to be amortized $ (2 ) $ (2 ) |
Schedule of Assumptions Used | Edison International and SCE used the following weighted-average assumptions to determine PBOP expense for continuing operations: Years ended December 31, 2016 2015 2014 Discount rate 4.55 % 4.16 % 5.00 % Expected long-term return on plan assets 5.60 % 5.50 % 5.50 % Assumed health care cost trend rates: Current year 7.50 % 7.75 % 7.75 % Ultimate rate 5.00 % 5.00 % 5.00 % Year ultimate rate reached 2022 2021 2020 |
Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rate | A one-percentage-point change in assumed health care cost trend rate would have the following effects on continuing operations: Edison International SCE (in millions) One-Percentage-Point Increase One-Percentage-Point Decrease One-Percentage-Point Increase One-Percentage-Point Decrease Effect on accumulated benefit obligation as of December 31, 2016 $ 244 $ (200 ) $ 243 $ (199 ) Effect on annual aggregate service and interest costs 11 (9 ) 11 (9 ) |
Schedule of Expected Benefit Payments | The following benefit payments are expected to be paid: Edison International SCE (in millions) Years ended December 31, 2017 $ 98 $ 98 2018 102 102 2019 105 105 2020 109 109 2021 113 112 2022 – 2026 612 609 |
Postretirement Benefits Other than Pension Plan Assets by Hierarchy Levels | The following table sets forth the VEBA Trust assets for Edison International and SCE that were accounted for at fair value as of December 31, 2016 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 222 $ 59 $ — $ — $ 281 Corporate stocks 3 230 — — — 230 Corporate notes and bonds 4 — 877 — — 877 Common/collective funds 5 — — — 462 462 Partnerships 6 — — — 79 79 Registered investment companies 7 48 — — 1 49 Interest bearing cash 48 — — — 48 Other 8 4 103 — — 107 Total $ 552 $ 1,039 $ — $ 542 $ 2,133 Receivables and payables, net (31 ) Combined net plan assets available for benefits $ 2,102 The following table sets forth the VEBA Trust assets for SCE that were accounted for at fair value as of December 31, 2015 by asset class and level within the fair value hierarchy: (in millions) Level 1 Level 2 Level 3 NAV 1 Total U.S. government and agency securities 2 $ 200 $ 42 $ — $ — $ 242 Corporate stocks 3 222 — — — 222 Corporate notes and bonds 4 — 867 — — 867 Common/collective funds 5 — — — 424 424 Partnerships 6 — — — 93 93 Registered investment companies 7 60 — — 3 63 Interest bearing cash 31 — — — 31 Other 8 5 113 — — 118 Total $ 518 $ 1,022 $ — $ 520 $ 2,060 Receivables and payables, net (24 ) Combined net plan assets available for benefits $ 2,036 1 These investments are measured at fair value using the net asset value per share practical expedient and have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the net plan assets available for benefits. 2 Level 1 U.S. government and agency securities are U.S. treasury bonds and notes. Level 2 primarily relates to the Federal Home Loan Mortgage Corporation and the Federal National Mortgage Association. 3 Corporate stock performance for actively managed separate accounts is primarily benchmarked against the Russell Indexes ( 47% ) and the MSCI All Country World Index ( 53% ) for both 2016 and 2015 . 4 Corporate notes and bonds are diversified and include approximately $47 million and $27 million for commercial collateralized mortgage obligations and other asset backed securities at December 31, 2016 and 2015 , respectively. 5 At December 31, 2016 and 2015 , respectively, 39% and 38% of the common/collective assets are invested in a large cap index fund which seeks to track performance of the Russell 1000 index. 39% and 41% of the remaining assets in this category are in index funds which seek to track performance in the MSCI All Country World Index Investable Market Index and MSCI Europe, Australasia and Far East (EAFE) Index. 18% and 17% in a non-index U.S. equity fund which is actively managed. 6 At December 31, 2016 and 2015 , respectively, 59% and 56% of the partnerships are invested in private equity and venture capital funds. Investment strategies for these funds include branded consumer products, clean and information technology and healthcare. 31% and 21% are invested in a broad range of financial assets in all global markets. 9% and 23% of the remaining partnerships category is invested in asset backed securities including distressed mortgages, distressed companies and commercial and residential loans and debt and equity of banks. 7 Level 1 registered investment companies consist of a money market fund. 8 Other includes $76 million and $97 million of municipal securities at December 31, 2016 and 2015 , respectively. |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Regulated Entity, Other Assets, Noncurrent [Abstract] | |
Amortized Cost and Fair Value of the Trust Investments | The following table sets forth amortized cost and fair value of the trust investments (see Note 4 for a discussion of fair value of the trust investments): Longest Maturity Date Amortized Cost Fair Value December 31, (in millions) 2016 2015 2016 2015 Stocks — $ 319 $ 304 $ 1,547 $ 1,460 Municipal bonds 2054 659 691 766 840 U.S. government and agency securities 2055 1,131 1,070 1,191 1,128 Corporate bonds 2057 600 708 659 755 Short-term investments and receivables/payables 1 One-year 75 144 79 148 Total $ 2,784 $ 2,917 $ 4,242 $ 4,331 1 Short-term investments include $114 million and $81 million of repurchase agreements payable by financial institutions which earn interest, are fully secured by U.S. Treasury securities and mature by January 4, 2017 and January 5, 2016 as of December 31, 2016 and 2015 , respectively. |
Summary of Changes in the Fair Value of Trust | The following table sets forth a summary of changes in the fair value of the trust: Years ended December 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 4,331 $ 4,799 $ 4,494 Gross realized gains 92 326 197 Gross realized losses (19 ) (26 ) (5 ) Unrealized gains (losses) 44 (364 ) 75 Other-than-temporary impairments (36 ) (29 ) (14 ) Interest, dividends and other 116 115 118 Contributions — 54 5 Income taxes (58 ) (64 ) (62 ) Decommissioning disbursements (224 ) (471 ) (4 ) Administrative expenses and other (4 ) (9 ) (5 ) Balance at end of period $ 4,242 $ 4,331 $ 4,799 |
Regulatory Assets and Liabili40
Regulatory Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Assets and Liabilities Disclosure [Abstract] | |
Regulatory Assets Included on the Consolidated Balance Sheets | SCE's regulatory assets included on the consolidated balance sheets are: December 31, (in millions) 2016 2015 Current: Regulatory balancing accounts $ 135 $ 382 Energy derivatives 150 159 Unamortized investments, net 49 — Other 16 19 Total current 350 560 Long-term: Deferred income taxes, net 4,478 3,757 Pensions and other postretirement benefits 710 849 Energy derivatives 947 1,027 Unamortized investments, net 80 182 San Onofre 857 1,043 Unamortized loss on reacquired debt 184 201 Regulatory balancing accounts 66 36 Environmental remediation 126 129 Other 7 288 Total long-term 7,455 7,512 Total regulatory assets $ 7,805 $ 8,072 |
Regulatory Liabilities Included on the Consolidated Balance Sheets | SCE's regulatory liabilities included on the consolidated balance sheets are: December 31, (in millions) 2016 2015 Current: Regulatory balancing accounts $ 736 $ 1,106 Other 20 22 Total current 756 1,128 Long-term: Costs of removal 2,847 2,781 Recoveries in excess of ARO liabilities 1,639 1,502 Regulatory balancing accounts 1,180 1,314 Other 60 79 Total long-term 5,726 5,676 Total regulatory liabilities $ 6,482 $ 6,804 |
Schedule of Regulatory Balancing Accounts | The following table summarizes the significant components of regulatory balancing accounts included in the above tables of regulatory assets and liabilities: December 31, (in millions) 2016 2015 Asset (liability) Energy resource recovery account $ (20 ) $ (439 ) New system generation balancing account (6 ) (171 ) Public purpose programs and energy efficiency programs (992 ) (683 ) Base revenue requirement balancing account (426 ) (319 ) Tax accounting memorandum account and pole loading (142 ) (248 ) DOE litigation memorandum account 1 (122 ) — Greenhouse gas auction revenue 31 (75 ) FERC balancing accounts (69 ) 74 Other 31 (141 ) Liability $ (1,715 ) $ (2,002 ) 1 Represents proceeds from the Department of Energy ("DOE") resulting from its failure to meet its obligation to begin accepting spent nuclear fuel from San Onofre. Damages recovered are subject to CPUC review as to how these amounts would be distributed among customers, shareholders, or to offset fuel decommissioning or storage costs. See Note 11 for further discussion. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule Of Commitments And Contingencies [Line Items] | |
Summary of Power Purchase Agreements Treated as Operating and Capital Leases | The amount of this discount is shown in the table below as the amount representing interest. (in millions) Operating Leases Capital Leases 2017 $ 341 $ 1 2018 237 1 2019 161 1 2020 146 2 2021 142 2 Thereafter 1,355 9 Total future commitments $ 2,382 $ 16 Amount representing executory costs (7 ) Amount representing interest (2 ) Net commitments $ 7 |
Summary of Estimated Minimum Future Commitments for Other Operating Leases | The following summarizes the estimated minimum future commitments for SCE's non-cancelable other operating leases (excluding SCE's power purchase agreements discussed above): (in millions) Operating Leases – Other 2017 $ 52 2018 46 2019 37 2020 28 2021 22 Thereafter 258 Total future commitments $ 443 |
SCE | |
Schedule Of Commitments And Contingencies [Line Items] | |
Summary of Undiscounted Future Expected Payments for Power Purchase Agreements That Have Been Approved by the CPUC and Have Completed Major Milestones for Construction | At December 31, 2016 , the undiscounted future minimum expected payments for the SCE power purchase agreements that have been approved by the CPUC and have completed major milestones for construction were as follows: (in millions) Renewable Energy Contracts QF Power Purchase Agreements Other Purchase Agreements 2017 $ 1,516 $ 187 $ 769 2018 1,606 148 604 2019 1,704 87 516 2020 1,776 39 472 2021 1,786 16 420 Thereafter 22,811 53 1,258 Total future commitments $ 31,199 $ 530 $ 4,039 |
Summary of Certain Future Other Commitments | The following summarizes the estimated minimum future commitments for SCE's other commitments: (in millions) 2017 2018 2019 2020 2021 Thereafter Total Other contractual obligations $ 156 $ 141 $ 103 $ 98 $ 82 $ 631 $ 1,211 |
Preferred and Preference Stoc42
Preferred and Preference Stock of Utility (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stock by Class [Table Text Block] | Preferred stock and preference stock is: Shares Redemption December 31, (in millions, except shares and per-share amounts) 2016 2015 Cumulative preferred stock $25 par value: 4.08% Series 650,000 $ 25.50 $ 16 $ 16 4.24% Series 1,200,000 25.80 30 30 4.32% Series 1,653,429 28.75 41 41 4.78% Series 1,296,769 25.80 33 33 Preference stock No par value: 6.50% Series D (cumulative) 1,250,000 100.00 — 125 6.25% Series E (cumulative) 350,000 1,000.00 350 350 5.625% Series F (cumulative) 190,004 2,500.00 475 475 5.10% Series G (cumulative) 160,004 2,500.00 400 400 5.75% Series H (cumulative) 110,004 2,500.00 275 275 5.375% Series J (cumulative) 130,004 2,500.00 325 325 5.45% Series K (cumulative) 120,004 2,500.00 300 — SCE's preferred and preference stock 2,245 2,070 Less issuance costs (54 ) (50 ) Edison International's preferred and preference stock of utility $ 2,191 $ 2,020 |
Accumulated Other Comprehensi43
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Loss | The changes in accumulated other comprehensive loss, net of tax, consist of: Edison International SCE Years ended December 31, (in millions) 2016 2015 2016 2015 Beginning balance $ (56 ) $ (58 ) $ (22 ) $ (28 ) Pension and PBOP – net gain (loss): Other comprehensive (loss) income before reclassifications (4 ) (8 ) (2 ) 1 Reclassified from accumulated other comprehensive loss 1 6 10 3 5 Other 1 — 1 — Change 3 2 2 6 Ending balance $ (53 ) $ (56 ) $ (20 ) $ (22 ) 1 These items are included in the computation of net periodic pension and PBOP expense. See Note 8 for additional information. |
Interest and Other Income and44
Interest and Other Income and Other Expenses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Other Income and Expenses [Abstract] | |
Interest and Other Income and Other Expenses | Interest and other income and other expenses are as follows: Years ended December 31, (in millions) 2016 2015 2014 SCE interest and other income: Equity allowance for funds used during construction $ 74 $ 87 $ 65 Increase in cash surrender value of life insurance policies and life insurance benefits 39 26 36 Interest income 3 4 5 Other 7 6 16 Total SCE interest and other income 123 123 122 Other income of Edison International Parent and Other 1 — 51 25 Total Edison International interest and other income $ 123 $ 174 $ 147 SCE other expenses: Civic, political and related activities and donations $ (32 ) $ (35 ) $ (35 ) Other (12 ) (24 ) (44 ) Total SCE other expenses (44 ) (59 ) (79 ) Other expense of Edison International Parent and Other — — (1 ) Total Edison International other expenses $ (44 ) $ (59 ) $ (80 ) 1 Reflects Edison Capital's income related to the sale of affordable housing projects for the year ended December 31, 2015. |
Supplemental Cash Flows Infor45
Supplemental Cash Flows Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flows Information | Supplemental cash flows information for continuing operations is: Edison International SCE Years ended December 31, (in millions) 2016 2015 2014 2016 2015 2014 Cash payments (receipts) for interest and taxes: Interest, net of amounts capitalized $ 504 $ 512 $ 504 $ 475 $ 478 $ 487 Tax payments (refunds), net 18 1 32 78 144 (88 ) Non-cash financing and investing activities: Dividends declared but not paid: Common stock $ 177 $ 156 $ 136 $ — $ — $ 147 Preferred and preference stock 12 14 18 12 14 18 Details of debt exchange: Pollution-control bonds redeemed (2.875%) — (203 ) — — (203 ) — Pollution-control bonds issued (1.875%) — 203 — — 203 — Notes issued under EME Settlement Agreement $ — $ — $ 418 $ — $ — $ — |
Quarterly Financial Data (Una46
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | Edison International's quarterly financial data is as follows: 2016 (in millions, except per-share amounts) Total Fourth Third Second First Operating revenue $ 11,869 $ 2,884 $ 3,767 $ 2,777 $ 2,440 Operating income 2,092 566 695 381 448 Income from continuing operations 1 1,413 347 451 310 305 Income (loss) from discontinued operations, net 12 13 — (2 ) 1 Net income attributable to common shareholders 1 1,311 329 421 280 281 Basic earnings (loss) per share 1 : Continuing operations $ 3.99 $ 0.97 $ 1.29 $ 0.87 $ 0.86 Discontinued operations 0.03 0.04 — (0.01 ) — Total $ 4.02 $ 1.01 $ 1.29 $ 0.86 $ 0.86 Diluted earnings (loss) per share 1 : Continuing operations $ 3.94 $ 0.96 $ 1.27 $ 0.86 $ 0.85 Discontinued operations 0.03 0.04 — (0.01 ) — Total $ 3.97 $ 1.00 $ 1.27 $ 0.85 $ 0.85 Dividends declared per share 1.9825 0.5425 0.4800 0.4800 0.4800 Common stock prices: High $ 78.72 $ 73.81 $ 78.72 $ 77.71 $ 72.34 Low 57.97 67.44 71.31 67.71 57.97 Close 71.99 71.99 72.25 77.67 71.89 1 Edison International adopted an accounting standard related to share-based payments during the fourth quarter of 2016, effective January 1, 2016. See Note 1 for further information. The table above reflects the adoption of this standard on January 1, 2016. Net income from continuing operations, as previously reported, was $449 million for the third quarter of 2016, $306 million for the second quarter of 2016 and $295 million for the first quarter of 2016. Net income attributable to common shareholders, as previously reported, was $419 million for the third quarter of 2016, $276 million for the second quarter of 2016 and $271 million for the first quarter of 2016. Basic EPS for continuing operations, as previously reported, was $1.29 for the third quarter of 2016, $0.86 for the second quarter of 2016 and $0.83 for the first quarter of 2016. Diluted EPS for continuing operations, as previously reported, was $1.27 for the third quarter of 2016, $0.85 for the second quarter of 2016 and $0.82 for the first quarter of 2016. 2015 (in millions, except per-share amounts) Total Fourth Third Second First Operating revenue $ 11,524 $ 2,341 $ 3,763 $ 2,908 $ 2,512 Operating income 2,008 340 608 524 538 Income (loss) from continuing operations 1 1,082 (47 ) 405 406 318 Income (loss) from discontinued operations, net 35 (8 ) 43 — — Net income (loss) attributable to common shareholders 1,020 (79 ) 421 379 299 Basic earnings (loss) per share: Continuing operations $ 3.02 $ (0.22 ) $ 1.16 $ 1.16 $ 0.92 Discontinued operations 0.11 (0.02 ) 0.13 — — Total $ 3.13 $ (0.24 ) $ 1.29 $ 1.16 $ 0.92 Diluted earnings (loss) per share: Continuing operations $ 2.99 $ (0.22 ) $ 1.15 $ 1.15 $ 0.91 Discontinued operations 0.11 (0.02 ) 0.13 — — Total $ 3.10 $ (0.24 ) $ 1.28 $ 1.15 $ 0.91 Dividends declared per share 1.7325 0.4800 0.4175 0.4175 0.4175 Common stock prices: High $ 69.59 $ 66.29 $ 63.18 $ 64.55 $ 69.59 Low 55.18 57.51 55.52 55.18 61.02 Close 59.21 59.21 63.07 55.58 62.47 1 In the fourth quarter of 2015, as result of the 2015 GRC Decision, SCE recorded a $382 million write-down of regulatory assets previously recorded for recovery of deferred income taxes from 2012 – 2014 incremental tax repair deductions. SCE's quarterly financial data is as follows: 2016 (in millions) Total Fourth Third Second First Operating revenue $ 11,830 $ 2,874 $ 3,752 $ 2,768 $ 2,435 Operating income 2,217 594 721 429 472 Net income 1 1,499 359 466 349 325 Net income available for common stock 1 1,376 328 435 318 295 Common dividends declared 701 191 170 170 170 1 SCE adopted an accounting standard related to share-based payments during the fourth quarter of 2016, effective January 1, 2016. See Note 1 for further information. The table above reflects the adoption of this standard on January 1, 2016. Net income, as previously reported, was $466 million for the third quarter of 2016, $346 million for the second quarter of 2016 and $317 million for the first quarter of 2016. Net income available for common stock, as previously reported, was $435 million for the third quarter of 2016, $315 million for the second quarter of 2016 and $287 million for the first quarter of 2016. 2015 (in millions) Total Fourth Third Second First Operating revenue $ 11,485 $ 2,319 $ 3,757 $ 2,901 $ 2,508 Operating income 2,080 366 626 536 550 Net income 1 1,111 (51 ) 417 412 333 Net income available for common stock 998 (80 ) 389 384 305 Common dividends declared 611 170 147 147 147 1 In the fourth quarter of 2015, as result of the 2015 GRC Decision, SCE recorded a $382 million write-down of regulatory assets previously recorded for recovery of deferred income taxes from 2012 – 2014 incremental tax repair deductions. |
Summary of Significant Accoun47
Summary of Significant Accounting Policies (Organization and Basis of Presentation) (Details) mi² in Thousands | 12 Months Ended |
Dec. 31, 2016mi² | |
Electric Utility | SCE | |
Segment Reporting Information [Line Items] | |
Supply Of Electricity Area Covered (in square miles) | 50 |
Summary of Significant Accoun48
Summary of Significant Accounting Policies (Cash Equivalents) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Cash and Cash Equivalents Items [Line Items] | ||
Money market funds | $ 41 | $ 37 |
Book balances reclassified to accounts payable | 138 | 162 |
SCE | ||
Cash and Cash Equivalents Items [Line Items] | ||
Money market funds | 18 | 8 |
Book balances reclassified to accounts payable | $ 136 | $ 158 |
Summary of Significant Accoun49
Summary of Significant Accounting Policies (Emission Allowances) (Details) - SCE - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Other Current Assets | ||
Significant Accounting Policies [Line Items] | ||
GHG allowances | $ 113 | $ 79 |
Other Current Liabilities | ||
Significant Accounting Policies [Line Items] | ||
GHG emission obligations | $ 95 | $ 86 |
Summary of Significant Accoun50
Summary of Significant Accounting Policies (Property, Plant and Equipment) (Details) - SCE - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 1,520 | $ 1,420 | $ 1,330 |
Depreciation expense stated as a percent of average original cost of depreciable utility plant (percent) | 3.80% | 3.90% | 4.00% |
Estimated cost of debt and equity funds for construction, capitalized | $ 74 | $ 87 | $ 65 |
Interest and other income | |||
Property, Plant and Equipment [Line Items] | |||
Estimated cost of debt and equity funds for construction, capitalized | 74 | 87 | 65 |
Interest expense | |||
Property, Plant and Equipment [Line Items] | |||
AFUDC debt capitalized during construction | $ 23 | $ 31 | $ 25 |
Generation plant | |||
Property, Plant and Equipment [Line Items] | |||
Weighted-Average Useful Lives | 38 years | ||
Distribution plant | |||
Property, Plant and Equipment [Line Items] | |||
Weighted-Average Useful Lives | 43 years | ||
Transmission plant | |||
Property, Plant and Equipment [Line Items] | |||
Weighted-Average Useful Lives | 53 years | ||
General plant and other | |||
Property, Plant and Equipment [Line Items] | |||
Weighted-Average Useful Lives | 22 years | ||
Minimum | Generation plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 10 years | ||
Minimum | Distribution plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 20 years | ||
Minimum | Transmission plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 40 years | ||
Minimum | General plant and other | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 5 years | ||
Maximum | Generation plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 57 years | ||
Maximum | Distribution plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 60 years | ||
Maximum | Transmission plant | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 65 years | ||
Maximum | General plant and other | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 60 years |
Summary of Significant Accoun51
Summary of Significant Accounting Policies (Impairment of Long-Lived Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | 24 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2014 | |
Jointly Owned Utility Plant Interests [Line Items] | ||||
Impairment and other charges | $ 21 | $ 5 | $ 157 | |
SCE | ||||
Jointly Owned Utility Plant Interests [Line Items] | ||||
Impairment and other charges | $ 0 | $ 0 | 163 | |
San Onofre | SCE | ||||
Jointly Owned Utility Plant Interests [Line Items] | ||||
Impairment and other charges | 163 | $ 738 | ||
Impairment and other charges, net of tax | $ 72 | $ 437 |
Summary of Significant Accoun52
Summary of Significant Accounting Policies (Goodwill) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Edison Energy Group | |
Goodwill [Line Items] | |
Goodwill | $ 78 |
SoCore Energy | |
Goodwill [Line Items] | |
Goodwill | $ 22 |
Summary of Significant Accoun53
Summary of Significant Accounting Policies (Nuclear Decommissioning and Asset Retirement Obligations) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Asset Retirement Obligation, Roll Forward | ||
Beginning balance | $ 2,764 | |
Ending balance | 2,590 | $ 2,764 |
SCE | ||
Asset Retirement Obligation, Roll Forward | ||
Beginning balance | 2,762 | 2,819 |
Accretion | 157 | 173 |
Revisions | (165) | (14) |
Liabilities settled | (168) | (216) |
Ending balance | $ 2,586 | $ 2,762 |
Threshold period to be recognized as a loss for other-than-temporary impairment | 2 months | |
SCE | Palo Verde, San Onofre Unit 1 | ||
Asset Retirement Obligation, Roll Forward | ||
Recorded liability to decommission nuclear power facilities | $ 2,500 | |
SCE | Palo Verde and San Onofre Units | ||
Asset Retirement Obligation, Roll Forward | ||
Estimated cost to decommission nuclear facilities | $ 6,300 | |
Decommissioning cost escalated rates, low end (percent) | 1.70% | |
Decommissioning cost escalated rates, high end (percent) | 7.50% | |
Estimated annual net of tax earnings, low end (percent) | 2.40% | |
Estimated annual net of tax earnings, high end (percent) | 4.10% |
Summary of Significant Accoun54
Summary of Significant Accounting Policies (Deferred Financing Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Regulatory Assets [Line Items] | |||
Regulatory assets | $ 7,455 | $ 7,512 | |
Unamortized debt issuance expense | 81 | ||
SCE | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 7,455 | 7,512 | |
Unamortized debt issuance expense | 71 | ||
Amortization of deferred financing costs charged to interest expense | 27 | 28 | $ 32 |
Edison International | |||
Regulatory Assets [Line Items] | |||
Amortization of deferred financing costs charged to interest expense | 31 | 33 | $ 36 |
Unamortized loss on reacquired debt | SCE | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 184 | 201 | |
Other long-term assets | SCE | |||
Regulatory Assets [Line Items] | |||
Unamortized debt issuance expense | 7 | 7 | |
Other long-term assets | Edison International | |||
Regulatory Assets [Line Items] | |||
Unamortized debt issuance expense | 10 | 11 | |
Long-term debt | SCE | |||
Regulatory Assets [Line Items] | |||
Unamortized debt issuance expense | 71 | 77 | |
Long-term debt | Edison International | |||
Regulatory Assets [Line Items] | |||
Unamortized debt issuance expense | $ 81 | $ 81 |
Summary of Significant Accoun55
Summary of Significant Accounting Policies (Revenue Recognition) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
SCE | |||
Significant Accounting Policies [Line Items] | |||
Franchise fees billed to customers | $ 111 | $ 138 | $ 134 |
Summary of Significant Accoun56
Summary of Significant Accounting Policies (SCE Dividend Restrictions) (Details) - SCE $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Significant Accounting Policies [Line Items] | |
Minimum percentage of weighted-average common equity component authorization, set by CPUC (as a percent) | 48.00% |
Weighted-average common equity component authorization, set by CPUC remaining over number of months (in months) | 13 months |
Period for calculation of weighted average common equity component (months) | 13 months |
Weighted-average common equity component of total capitalization (as a percent) | 50.40% |
Capacity to pay additional dividends | $ 585 |
Restriction on net assets | $ 13,900 |
Summary of Significant Accoun57
Summary of Significant Accounting Policies (Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Basic earnings per share – continuing operations: | |||||||||||
Income from continuing operations, net of tax | $ 1,299 | $ 985 | $ 1,427 | ||||||||
Participating securities dividends | 0 | (1) | (1) | ||||||||
Income from continuing operations available to common shareholders | $ 1,299 | $ 984 | $ 1,426 | ||||||||
Weighted average common shares outstanding (in shares) | 326,000,000 | 326,000,000 | 326,000,000 | ||||||||
Basic earnings per share – continuing operations (in dollars per share) | $ 0.97 | $ 1.29 | $ 0.87 | $ 0.86 | $ (0.22) | $ 1.16 | $ 1.16 | $ 0.92 | $ 3.99 | $ 3.02 | $ 4.38 |
Diluted earnings per share – continuing operations: | |||||||||||
Income from continuing operations, net of tax | $ 1,299 | $ 985 | $ 1,427 | ||||||||
Participating securities dividends | 0 | (1) | (1) | ||||||||
Income from continuing operations available to common shareholders | 1,299 | 984 | 1,426 | ||||||||
Income impact of assumed conversions | 1 | 1 | 1 | ||||||||
Income from continuing operations available to common shareholders and assumed conversions | $ 1,300 | $ 985 | $ 1,427 | ||||||||
Weighted average common shares outstanding (in shares) | 326,000,000 | 326,000,000 | 326,000,000 | ||||||||
Incremental shares from assumed conversions (in shares) | 4,000,000 | 3,000,000 | 3,000,000 | ||||||||
Adjusted weighted average shares - diluted (in shares) | 330,000,000 | 329,000,000 | 329,000,000 | ||||||||
Diluted earnings per share – continuing operations (in dollars per share) | $ 0.96 | $ 1.27 | $ 0.86 | $ 0.85 | $ (0.22) | $ 1.15 | $ 1.15 | $ 0.91 | $ 3.94 | $ 2.99 | $ 4.33 |
Stock Compensation Plan | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Antidilutive stock option awards excluded from earnings per share, number of shares | 167,795 | 2,046,045 | 125,345 |
Summary of Significant Accoun58
Summary of Significant Accounting Policies (Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Redeemable Noncontrolling Interest [Line Items] | ||
Assets | $ 51,319 | $ 50,229 |
Liabilities | 37,127 | 36,835 |
Unnamed subsidiary | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Assets | 74 | 82 |
Liabilities | 23 | 32 |
Net income | $ 9 | $ 16 |
Summary of Significant Accoun59
Summary of Significant Accounting Policies (New Accounting Guidance) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | $ 81 | |
Accounting standards update on debt issuance costs | Other long-term assets | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | $ (81) | |
Accounting standards update on debt issuance costs | Long-term debt | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | 81 | |
Accounting standards update to simplify the accounting for share-based payments | Early adoption using modified retrospective approach | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Income tax expense | 28 | |
Accounting standards update to simplify the accounting for share-based payments | Retained Earnings | Early adoption using modified retrospective approach | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Cumulative effect adjustment | 42 | |
SCE | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | 71 | |
SCE | Other long-term assets | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | 7 | 7 |
SCE | Long-term debt | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | 71 | 77 |
SCE | Accounting standards update on debt issuance costs | Other long-term assets | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | (77) | |
SCE | Accounting standards update on debt issuance costs | Long-term debt | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Debt issuance costs | 77 | |
SCE | Accounting standards update to simplify the accounting for share-based payments | Early adoption using modified retrospective approach | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Income tax expense | $ 13 | |
SCE | Accounting standards update to simplify the accounting for share-based payments | Retained Earnings | Early adoption using modified retrospective approach | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Cumulative effect adjustment | $ 6 |
Property, Plant and Equipment60
Property, Plant and Equipment (Schedule of Property, Plant and Equipment) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Accumulated depreciation | $ (9,000) | $ (8,548) |
Total utility property, plant and equipment | 36,806 | 34,945 |
SCE | ||
Property, Plant and Equipment [Line Items] | ||
Distribution | 22,332 | 20,871 |
Transmission | 12,549 | 11,592 |
Generation | 3,376 | 3,138 |
General plant and other | 4,633 | 4,543 |
Accumulated depreciation | (9,000) | (8,548) |
Total utility property, plant and equipment, Gross | 33,890 | 31,596 |
Construction work in progress | 2,790 | 3,218 |
Nuclear fuel, at amortized cost | 126 | 131 |
Total utility property, plant and equipment | $ 36,806 | $ 34,945 |
Property, Plant and Equipment61
Property, Plant and Equipment (Textual) (Details) - SCE - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Capitalized software costs | $ 1,400 | $ 1,400 | |
Capitalized software, accumulated amortization | 800 | 900 | |
Capitalized software, amortization expense | 249 | $ 268 | $ 271 |
Capitalized software, estimated annual amortization expense for 2017 through 2021 | $ 243 | ||
Capitalized software costs | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 5 years | ||
Capitalized software costs | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Lives | 15 years |
Property, Plant and Equipment62
Property, Plant and Equipment (Jointly Owned Utility Projects) (Details) - SCE - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Jointly Owned Utility Plant Interests [Line Items] | ||
Nuclear Fuel (at amortized cost) | $ 126 | $ 131 |
Eldorado | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Plant in Service | 235 | |
Construction Work in Progress | 10 | |
Accumulated Depreciation | 21 | |
Nuclear Fuel (at amortized cost) | 0 | |
Net Book Value | $ 224 | |
Ownership Interest (percent) | 59.00% | |
Pacific Intertie | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Plant in Service | $ 192 | |
Construction Work in Progress | 21 | |
Accumulated Depreciation | 80 | |
Nuclear Fuel (at amortized cost) | 0 | |
Net Book Value | $ 133 | |
Ownership Interest (percent) | 50.00% | |
Palo Verde (nuclear) | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Plant in Service | $ 1,959 | |
Construction Work in Progress | 62 | |
Accumulated Depreciation | 1,547 | |
Nuclear Fuel (at amortized cost) | 126 | |
Net Book Value | $ 600 | |
Ownership Interest (percent) | 16.00% | |
Total | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Plant in Service | $ 2,386 | |
Construction Work in Progress | 93 | |
Accumulated Depreciation | 1,648 | |
Nuclear Fuel (at amortized cost) | 126 | |
Net Book Value | $ 957 |
Variable Interest Entities (Var
Variable Interest Entities (Variable Interest in VIEs that are not Consolidated) (Details) - SCE | 12 Months Ended | |
Dec. 31, 2016USD ($)$ / sharesMW | Dec. 31, 2015USD ($)$ / sharesMW | |
Series F Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.625% | |
Series G Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.10% | |
Series H Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.75% | |
Series J Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.375% | |
Series K Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.45% | |
Variable Interest Entity, Not Primary Beneficiary | SCE Power Purchase Contracts | ||
Details of projects or entities | ||
Power generating capacity for majority interest (in megawatts) | MW | 4,353 | 4,062 |
Payments to unconsolidated VIEs for power purchase contracts | $ 788,000,000 | $ 640,000,000 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust I | ||
Unconsolidated Trust | ||
Common stock | $ 10,000 | 10,000 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust I | Trust Securities | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.625% | |
Liquidation preference | $ 475,000,000 | $ 475,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 25 | $ 25 |
Common stock | $ 10,000 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust I | Series F Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.625% | |
Liquidation preference | $ 475,000,000 | $ 475,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 2,500 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust II | ||
Unconsolidated Trust | ||
Common stock | $ 10,000 | 10,000 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust II | Trust Securities | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.10% | |
Liquidation preference | $ 400,000,000 | $ 400,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 25 | $ 25 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust II | Series G Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.10% | |
Liquidation preference | $ 400,000,000 | $ 400,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 2,500 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust III | ||
Unconsolidated Trust | ||
Common stock | $ 10,000 | 10,000 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust III | Trust Securities | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.75% | |
Liquidation preference | $ 275,000,000 | $ 275,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 25 | $ 25 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust III | Series H Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.75% | |
Liquidation preference | $ 275,000,000 | $ 275,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 2,500 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust IV | ||
Unconsolidated Trust | ||
Common stock | $ 10,000 | 10,000 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust IV | Trust Securities | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.375% | |
Liquidation preference | $ 325,000,000 | $ 325,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 25 | $ 25 |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust IV | Series J Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.375% | |
Liquidation preference | $ 325,000,000 | $ 325,000,000 |
Liquidation value (in dollars per share) | $ / shares | $ 2,500 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust V | ||
Unconsolidated Trust | ||
Common stock | $ 10,000 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust V | Trust Securities | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.45% | |
Liquidation preference | $ 300,000,000 | |
Liquidation value (in dollars per share) | $ / shares | $ 25 | |
Common stock | $ 10,000 | |
Variable Interest Entity, Not Primary Beneficiary | SCE Trust V | Series K Preferred Stock | ||
Unconsolidated Trust | ||
Security dividend rate, (as a percent) | 5.45% | |
Liquidation preference | $ 300,000,000 | |
Liquidation value (in dollars per share) | $ / shares | $ 2,500 |
Variable Interest Entities (Sum
Variable Interest Entities (Summary of Trusts' Income Statement) (Details) - SCE - Variable Interest Entity, Not Primary Beneficiary - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
SCE Trust I | |||
Variable Interest Entity [Line Items] | |||
Dividend income | $ 27 | $ 27 | $ 27 |
Dividend distributions | 27 | 27 | 27 |
SCE Trust II | |||
Variable Interest Entity [Line Items] | |||
Dividend income | 20 | 20 | 20 |
Dividend distributions | 20 | 20 | 20 |
SCE Trust III | |||
Variable Interest Entity [Line Items] | |||
Dividend income | 16 | 16 | 13 |
Dividend distributions | 16 | 16 | $ 13 |
SCE Trust IV | |||
Variable Interest Entity [Line Items] | |||
Dividend income | 17 | 6 | |
Dividend distributions | 17 | $ 6 | |
SCE Trust V | |||
Variable Interest Entity [Line Items] | |||
Dividend income | 13 | ||
Dividend distributions | $ 13 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value by Level) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets at fair value | ||||
Nuclear decommissioning trusts | $ 4,242 | $ 4,331 | ||
SCE | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | $ 4,242 | $ 4,331 | $ 4,799 | $ 4,494 |
Liabilities at fair value | ||||
Percentage of equity investments located in the United States (as a percent) | 70.00% | 70.00% | ||
Collateralized mortgage obligations and other asset backed securities | $ 79 | $ 111 | ||
Payables, net, related to investments | (127) | (24) | ||
SCE | Fair Value, Measurements, Recurring | ||||
Assets at fair value | ||||
Derivative contracts | 74 | 163 | ||
Other | 33 | 28 | ||
Nuclear decommissioning trusts | 4,369 | 4,355 | ||
Total assets | 4,476 | 4,546 | ||
Liabilities at fair value | ||||
Derivative contracts | 1,157 | 1,318 | ||
Netting and Collateral | 0 | 15 | ||
Total liabilities | 1,157 | 1,318 | ||
Net assets (liabilities) | 3,319 | 3,228 | ||
SCE | Fair Value, Measurements, Recurring | Stocks | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 1,547 | 1,460 | ||
SCE | Fair Value, Measurements, Recurring | Fixed Income | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 2,616 | 2,723 | ||
SCE | Fair Value, Measurements, Recurring | Short-term investments, primarily cash equivalents | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 206 | 172 | ||
SCE | Fair Value, Measurements, Recurring | Level 1 | ||||
Assets at fair value | ||||
Derivative contracts | 0 | 0 | ||
Other | 33 | 28 | ||
Nuclear decommissioning trusts | 2,448 | 2,498 | ||
Total assets | 2,481 | 2,526 | ||
Liabilities at fair value | ||||
Derivative contracts | 0 | 0 | ||
Total liabilities | 0 | 0 | ||
Net assets (liabilities) | 2,481 | 2,526 | ||
SCE | Fair Value, Measurements, Recurring | Level 1 | Stocks | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 1,547 | 1,460 | ||
SCE | Fair Value, Measurements, Recurring | Level 1 | Fixed Income | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 865 | 947 | ||
SCE | Fair Value, Measurements, Recurring | Level 1 | Short-term investments, primarily cash equivalents | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 36 | 91 | ||
SCE | Fair Value, Measurements, Recurring | Level 2 | ||||
Assets at fair value | ||||
Derivative contracts | 6 | 0 | ||
Other | 0 | 0 | ||
Nuclear decommissioning trusts | 1,921 | 1,857 | ||
Total assets | 1,927 | 1,857 | ||
Liabilities at fair value | ||||
Derivative contracts | 0 | 22 | ||
Total liabilities | 0 | 22 | ||
Net assets (liabilities) | 1,927 | 1,835 | ||
SCE | Fair Value, Measurements, Recurring | Level 2 | Stocks | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 0 | 0 | ||
SCE | Fair Value, Measurements, Recurring | Level 2 | Fixed Income | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 1,751 | 1,776 | ||
SCE | Fair Value, Measurements, Recurring | Level 2 | Short-term investments, primarily cash equivalents | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 170 | 81 | ||
SCE | Fair Value, Measurements, Recurring | Level 3 | ||||
Assets at fair value | ||||
Derivative contracts | 68 | 163 | ||
Other | 0 | 0 | ||
Nuclear decommissioning trusts | 0 | 0 | ||
Total assets | 68 | 163 | ||
Liabilities at fair value | ||||
Derivative contracts | 1,157 | 1,311 | ||
Total liabilities | 1,157 | 1,311 | ||
Net assets (liabilities) | (1,089) | (1,148) | ||
SCE | Fair Value, Measurements, Recurring | Level 3 | Stocks | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 0 | 0 | ||
SCE | Fair Value, Measurements, Recurring | Level 3 | Fixed Income | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | 0 | 0 | ||
SCE | Fair Value, Measurements, Recurring | Level 3 | Short-term investments, primarily cash equivalents | ||||
Assets at fair value | ||||
Nuclear decommissioning trusts | $ 0 | $ 0 |
Fair Value Measurements (Textua
Fair Value Measurements (Textual) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | $ 41 | $ 37 |
Edison International Parent and Other | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | $ 23 | $ 29 |
Fair Value Measurements (Level
Fair Value Measurements (Level 3 Rollforward) (Details) - SCE - Level 3 - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value Disclosures Level 3 [Roll Forward] | ||
Fair value of net liabilities at beginning of period | $ (1,148) | $ (902) |
Total realized/unrealized gains (losses): | ||
Included in regulatory assets and liabilities | 59 | (246) |
Fair value of net liabilities at end of period | (1,089) | (1,148) |
Change during the period in unrealized gains and losses related to assets and liabilities held at the end of the period | $ (70) | $ (311) |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Information About Level 3 Fair Value Measurements) (Details) - SCE - Level 3 $ in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($)$ / MWhMW | Dec. 31, 2015USD ($)$ / MWhMW | |
Congestion revenue rights | Market simulation model and auction prices | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | $ | $ 67 | $ 152 |
Fair Value, Liabilities | $ | $ 0 | $ 0 |
Congestion revenue rights | Market simulation model and auction prices | Load forecast | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair value inputs, power units (in megawatts) | MW | 3,708 | 6,289 |
Congestion revenue rights | Market simulation model and auction prices | Load forecast | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair value inputs, power units (in megawatts) | MW | 22,840 | 24,349 |
Congestion revenue rights | Market simulation model and auction prices | Power prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 3.65 | 0 |
Congestion revenue rights | Market simulation model and auction prices | Power prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 99.58 | 110.44 |
Congestion revenue rights | Market simulation model and auction prices | Gas prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 2.51 | 1.98 |
Congestion revenue rights | Market simulation model and auction prices | Gas prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 4.87 | 5.72 |
Tolling | Option model | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | $ | $ 0 | $ 10 |
Fair Value, Liabilities | $ | $ 1,154 | $ 1,297 |
Tolling | Option model | Power prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 23.40 | 24.15 |
Expected volatility rate (as a percent) | 29.00% | 26.00% |
Tolling | Option model | Power prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 51.24 | 46.93 |
Expected volatility rate (as a percent) | 71.00% | 38.00% |
Tolling | Option model | Power prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value Inputs, price level ($ per MWh) | 34.70 | 34.80 |
Expected volatility rate (as a percent) | 40.00% | 30.00% |
Tolling | Option model | Gas prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 15.00% | 15.00% |
Tolling | Option model | Gas prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 48.00% | 58.00% |
Tolling | Option model | Gas prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 20.00% | 20.00% |
Fair Value Measurements (Fair69
Fair Value Measurements (Fair Value of Long-Term Debt Recorded at Carrying Value) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value of Long-Term Debt Recorded at Carrying Value | ||
Carrying Value | $ 11,156 | $ 11,178 |
Fair Value | 12,368 | 12,252 |
SCE | ||
Fair Value of Long-Term Debt Recorded at Carrying Value | ||
Carrying Value | 10,333 | 10,539 |
Fair Value | $ 11,539 | $ 11,592 |
Debt and Credit Agreements (Lon
Debt and Credit Agreements (Long-term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||
Current portion of long-term debt | $ (981) | $ (295) |
Long-term debt | 10,175 | 10,883 |
Edison International Parent and Other | ||
Debt Instrument [Line Items] | ||
Other long-term debt | 32 | 31 |
Current portion of long-term debt | (402) | (216) |
Unamortized debt discount and issuance costs, net | (9) | (6) |
Long-term debt | 421 | 423 |
Edison International Parent and Other | Debentures and notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 800 | 614 |
Edison International Parent and Other | Debentures and notes | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 2.95% | |
Edison International Parent and Other | Debentures and notes | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 3.75% | |
SCE | ||
Debt Instrument [Line Items] | ||
Current portion of long-term debt | $ (579) | (79) |
Unamortized debt discount and issuance costs, net | (105) | (113) |
Long-term debt | 9,754 | 10,460 |
SCE | Debentures and notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 307 | 307 |
SCE | Debentures and notes | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 5.06% | |
SCE | Debentures and notes | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 6.65% | |
SCE | First and refunding mortgage bonds | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 9,357 | 9,436 |
SCE | First and refunding mortgage bonds | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 1.125% | |
SCE | First and refunding mortgage bonds | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 6.05% | |
SCE | Pollution-control bonds | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 774 | $ 909 |
SCE | Pollution-control bonds | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 1.375% | |
SCE | Pollution-control bonds | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate on debt (as a percent) | 5.00% |
Debt and Credit Agreements (L71
Debt and Credit Agreements (Long-term debt maturities) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | |
2,017 | $ 981 |
2,018 | 482 |
2,019 | 82 |
2,020 | 80 |
2,021 | 580 |
SCE | |
Debt Instrument [Line Items] | |
2,017 | 579 |
2,018 | 479 |
2,019 | 79 |
2,020 | 79 |
2,021 | $ 579 |
Debt and Credit Agreements (Tex
Debt and Credit Agreements (Textual) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | |||
Carrying value | $ 11,156,000,000 | $ 11,178,000,000 | |
Multi-year credit facilities | |||
Debt Instrument [Line Items] | |||
Commitment | 1,250,000,000 | ||
Outstanding borrowings | $ (538,000,000) | $ (646,000,000) | |
Weighted average interest rate (as a percent) | 0.97% | 0.78% | |
Outstanding letters of credit | $ 0 | ||
Indirect subsidiaries | Non-recourse debt financing to support equity investments in solar rooftop projects | |||
Debt Instrument [Line Items] | |||
Carrying value | $ 22,000,000 | $ 25,000,000 | |
Debt instrument (term) | 7 years | ||
Weighted average interest rate on long term debt | 3.50% | 3.11% | |
Percentage of taxable profits and losses and tax credits | 99.00% | ||
Period following the completion of the portfolio of projects (term) | 6 years | ||
Priority return on investment (percent) | 2.00% | ||
Percentage of taxable profits and losses and cash flow | 5.00% | ||
Call option, period | 9 months | ||
Period after project completion | 5 years | ||
Indirect subsidiary of Edison Energy Group | Non-recourse debt financing to support equity investments in solar rooftop projects | |||
Debt Instrument [Line Items] | |||
Carrying value | $ 10,000,000 | $ 6,000,000 | |
Weighted average interest rate on long term debt | 9.00% | 9.00% | |
SCE | |||
Debt Instrument [Line Items] | |||
Carrying value | $ 10,333,000,000 | $ 10,539,000,000 | |
SCE | Multi-year credit facilities | |||
Debt Instrument [Line Items] | |||
Commitment | 2,750,000,000 | ||
Outstanding borrowings | (769,000,000) | ||
Outstanding letters of credit | (91,000,000) | ||
SCE | Agreement | Subsequent event | |||
Debt Instrument [Line Items] | |||
Debt, face amount | $ 300,000,000 | ||
Interest rate on debt (as a percent) | 1.483% | ||
SCE | Pollution-control bonds | Subsequent event | |||
Debt Instrument [Line Items] | |||
Debt, face amount | $ 135,000,000 | ||
Interest rate on debt (as a percent) | 2.625% | ||
Commercial paper | SCE | Multi-year credit facilities | |||
Debt Instrument [Line Items] | |||
Outstanding borrowings | $ (769,000,000) | $ (49,000,000) | |
Weighted average interest rate (as a percent) | 0.90% | 0.51% | |
Letters of credit | SCE | Multi-year credit facilities | |||
Debt Instrument [Line Items] | |||
Outstanding letters of credit | $ (91,000,000) | ||
Letters of credit expiration period | 12 months |
Debt and Credit Agreements (Sum
Debt and Credit Agreements (Summary for status of credit facilities) (Details) - Multi-year credit facilities - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Line of Credit Facility [Line Items] | ||
Commitment | $ 1,250,000,000 | |
Outstanding borrowings | (538,000,000) | $ (646,000,000) |
Outstanding letters of credit | 0 | |
Amount available | 712,000,000 | |
SCE | ||
Line of Credit Facility [Line Items] | ||
Commitment | 2,750,000,000 | |
Outstanding borrowings | (769,000,000) | |
Outstanding letters of credit | (91,000,000) | |
Amount available | $ 1,890,000,000 |
Derivative Instruments (Textual
Derivative Instruments (Textual) (Details) - SCE - Electric Utility - Economic hedges - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Derivatives | ||
Aggregate fair value of all derivative liabilities with credit-risk-related contingent features | $ 12,000,000 | $ 38,000,000 |
Posted collateral | 12,000,000 | $ 0 |
Potential amount of collateral to be posted if contingencies triggered | 4,000,000 | |
Payables | ||
Derivatives | ||
Potential amount of collateral to be posted if contingencies triggered | $ 4,000,000 |
Derivative Instruments (Balance
Derivative Instruments (Balance Sheet Disclosures) (Details) - SCE - Commodity derivative contracts - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Electric Utility | ||
Derivative Assets | ||
Gross amounts recognized | $ 75 | $ 165 |
Gross amounts offset in consolidated balance sheets | (1) | (2) |
Cash collateral posted | 0 | 0 |
Net amounts presented in the consolidated balance sheets | 74 | 163 |
Offsetting Derivative Liabilities [Abstract] | ||
Gross amounts recognized | 1,158 | 1,335 |
Gross amounts offset in consolidated balance sheets | (1) | (2) |
Cash collateral posted | 0 | (15) |
Net amounts presented in the consolidated balance sheets | 1,157 | 1,318 |
Net Liability | ||
Gross amounts recognized | 1,083 | 1,170 |
Gross amounts offset in consolidated balance sheets | 0 | 0 |
Cash collateral posted | 0 | (15) |
Net amounts presented in the consolidated balance sheets | 1,083 | 1,155 |
Derivative Assets, Short-Term | Electric Utility | ||
Derivative Assets | ||
Gross amounts recognized | 74 | 81 |
Gross amounts offset in consolidated balance sheets | (1) | (2) |
Cash collateral posted | 0 | 0 |
Net amounts presented in the consolidated balance sheets | 73 | 79 |
Derivative Assets, Long-Term | Electric Utility | ||
Derivative Assets | ||
Gross amounts recognized | 1 | 84 |
Gross amounts offset in consolidated balance sheets | 0 | 0 |
Cash collateral posted | 0 | 0 |
Net amounts presented in the consolidated balance sheets | 1 | 84 |
Derivative Liability, Short-Term | Electric Utility | ||
Offsetting Derivative Liabilities [Abstract] | ||
Gross amounts recognized | 217 | 235 |
Gross amounts offset in consolidated balance sheets | (1) | (2) |
Cash collateral posted | 0 | (15) |
Net amounts presented in the consolidated balance sheets | 216 | 218 |
Derivative Liability, Long-Term | Electric Utility | ||
Offsetting Derivative Liabilities [Abstract] | ||
Gross amounts recognized | 941 | 1,100 |
Gross amounts offset in consolidated balance sheets | 0 | 0 |
Cash collateral posted | 0 | 0 |
Net amounts presented in the consolidated balance sheets | 941 | 1,100 |
Other Current Liabilities | ||
Net Liability | ||
Cash collateral | $ 2 | |
Other Current Assets | ||
Net Liability | ||
Cash collateral | $ 31 |
Derivative Instruments (Summari
Derivative Instruments (Summarization of Economic Hedging Activities) (Details) - SCE - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Realized losses | $ (59) | $ (148) | $ (57) |
Unrealized gains (losses) | $ 84 | $ (182) | $ (147) |
Derivative Instruments (Notiona
Derivative Instruments (Notional Values) (Details) - SCE - Electric Utility - Gross amounts recognized MWh in Thousands | Dec. 31, 2016BcfeMWh | Dec. 31, 2015BcfeMWh |
Electricity options, swaps and forwards (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 1,816 | 6,221 |
Natural gas options, swaps and forwards (Bcf) | ||
Derivatives | ||
Notional volumes of derivative instruments | Bcfe | 36 | 32 |
Congestion revenue rights (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 93,319 | 109,740 |
Tolling arrangements (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 61,093 | 70,663 |
Income Taxes (Source of Income
Income Taxes (Source of Income (Loss) Before Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income from continuing operations before income taxes | $ 1,590 | $ 1,568 | $ 1,979 |
Income (loss) from discontinued operations before income taxes | 1 | 15 | (525) |
Income before income tax | $ 1,591 | $ 1,583 | $ 1,454 |
Income Taxes (Components of Inc
Income Taxes (Components of Income Tax Expense (Benefit) by Location) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | |||
Federal | $ (46) | $ 18 | $ (99) |
State | 33 | 19 | 20 |
Total current | (13) | 37 | (79) |
Deferred: | |||
Federal | 176 | 340 | 454 |
State | 14 | 109 | 68 |
Total deferred | 190 | 449 | 522 |
Total continuing operations | 177 | 486 | 443 |
Discontinued operations | (11) | (21) | (710) |
Total | 166 | 465 | (267) |
SCE | |||
Current: | |||
Federal | 75 | 72 | (89) |
State | 93 | 127 | 101 |
Total current | 168 | 199 | 12 |
Deferred: | |||
Federal | 112 | 298 | 476 |
State | (24) | 10 | (14) |
Total deferred | 88 | 308 | 462 |
Total continuing operations | 256 | 507 | 474 |
Discontinued operations | 0 | 0 | 0 |
Total | $ 256 | $ 507 | $ 474 |
Income Taxes (Components of Net
Income Taxes (Components of Net Accumulated Deferred Income Tax Liability) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 |
Deferred tax assets: | |||
Property and software related | $ 549 | $ 675 | |
Nuclear decommissioning trust assets in excess of nuclear ARO liability | 348 | 360 | |
Loss and credit carryforwards | 1,418 | 1,388 | $ 2,200 |
Regulatory balancing accounts | 15 | 21 | |
Pension and PBOPs | 300 | 337 | |
Other | 419 | 499 | |
Sub-total | 3,049 | 3,280 | |
Less valuation allowance | 24 | 32 | |
Total | 3,025 | 3,248 | |
Deferred tax liabilities: | |||
Property-related | 10,330 | 9,606 | |
Capitalized software costs | 237 | 207 | |
Regulatory balancing accounts | 134 | 202 | |
Nuclear decommissioning trust assets | 348 | 360 | |
PBOPs | 13 | 71 | |
Other | 202 | 189 | |
Total | 11,264 | 10,635 | |
Accumulated deferred income tax liability, net | 8,239 | 7,387 | |
SCE | |||
Deferred tax assets: | |||
Property and software related | 548 | 675 | |
Nuclear decommissioning trust assets in excess of nuclear ARO liability | 348 | 360 | |
Loss and credit carryforwards | 0 | 0 | |
Regulatory balancing accounts | 15 | 21 | |
Pension and PBOPs | 93 | 154 | |
Other | 408 | 411 | |
Sub-total | 1,412 | 1,621 | |
Less valuation allowance | 0 | 0 | |
Total | 1,412 | 1,621 | |
Deferred tax liabilities: | |||
Property-related | 10,330 | 9,600 | |
Capitalized software costs | 237 | 207 | |
Regulatory balancing accounts | 134 | 202 | |
Nuclear decommissioning trust assets | 348 | 360 | |
PBOPs | 13 | 71 | |
Other | 148 | 161 | |
Total | 11,210 | 10,601 | |
Accumulated deferred income tax liability, net | $ 9,798 | $ 8,980 |
Income Taxes (Operating Loss an
Income Taxes (Operating Loss and Tax Carryforward) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Tax Credit Carryforward [Line Items] | ||||
Loss Carryforwards, Expiring 2017 to 2035 | $ 1,095 | |||
Loss Carryforwards, No expiration date | 0 | |||
Loss Carryforwards | 1,095 | |||
Credit Carryforward, Expiring 2017 to 2035 | 430 | |||
Credit Carryforward, No expiration date | 69 | |||
Credit Carryforwards | 499 | |||
Unrecognized tax benefits | 471 | $ 529 | $ 576 | $ 815 |
SCE | ||||
Tax Credit Carryforward [Line Items] | ||||
Loss Carryforwards, Expiring 2017 to 2035 | 20 | |||
Loss Carryforwards, No expiration date | 0 | |||
Loss Carryforwards | 20 | |||
Credit Carryforward, Expiring 2017 to 2035 | 25 | |||
Credit Carryforward, No expiration date | 37 | |||
Credit Carryforwards | 62 | |||
Unrecognized tax benefits | 371 | $ 353 | $ 441 | $ 532 |
Loss And Credit Carryforwards | ||||
Tax Credit Carryforward [Line Items] | ||||
Unrecognized tax benefits | 176 | |||
Loss And Credit Carryforwards | SCE | ||||
Tax Credit Carryforward [Line Items] | ||||
Unrecognized tax benefits | $ 82 |
Income Taxes (Textual) (Details
Income Taxes (Textual) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Apr. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Line Items] | ||||||
Less valuation allowance | $ 24 | |||||
Valuation allowance for assets | 8 | |||||
Unrecognized tax benefits that would impact the effective tax rate | $ 440 | 347 | $ 440 | |||
IRS Examination | Tax Years 2010 to 2012 | ||||||
Income Tax Disclosure [Line Items] | ||||||
Federal tax liability | (94) | |||||
Disallowance of Repair Allowance Deduction | ||||||
Income Tax Disclosure [Line Items] | ||||||
Federal tax liability | $ (133) | |||||
Base rate offset | 324 | $ 324 | ||||
Rate base offset amortization period (years) | 27 years | |||||
Capistrano Wind | Affiliated Entity | Tax Allocation Agreement | ||||||
Income Tax Disclosure [Line Items] | ||||||
Due to affiliate under tax allocation agreements | 210 | 242 | $ 210 | |||
SCE | ||||||
Income Tax Disclosure [Line Items] | ||||||
Granted BRRBA reduction | $ 234 | |||||
Refund | $ 133 | |||||
After tax refund | $ 79 | |||||
Unrecognized tax benefits that would impact the effective tax rate | 256 | $ 243 | 256 | |||
SCE | IRS Examination | Tax Years 2010 to 2012 | ||||||
Income Tax Disclosure [Line Items] | ||||||
Federal tax liability | (100) | |||||
SCE | Disallowance of Repair Allowance Deduction | ||||||
Income Tax Disclosure [Line Items] | ||||||
Federal tax liability | 382 | 382 | ||||
Retained Earnings | Accounting standards update to simplify the accounting for share-based payments | Early adoption using modified retrospective approach | ||||||
Income Tax Disclosure [Line Items] | ||||||
Cumulative effect adjustment | 42 | 42 | ||||
Retained Earnings | Accounting standards update to simplify the accounting for share-based payments | Early adoption using modified retrospective approach | SCE | ||||||
Income Tax Disclosure [Line Items] | ||||||
Cumulative effect adjustment | $ 6 | $ 6 |
Income Taxes (Tax Rate Reconcil
Income Taxes (Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Line Items] | |||
Income from continuing operations before income taxes | $ 1,590 | $ 1,568 | $ 1,979 |
Provision for income tax at federal statutory rate of 35% | 556 | 549 | 693 |
Increase in income tax from: | |||
Regulatory asset write-off | 0 | 382 | 0 |
State tax, net of federal benefit | 29 | 5 | 56 |
Property-related | (362) | (341) | (252) |
Change related to uncertain tax positions | (4) | (67) | 5 |
San Onofre OII settlement | 0 | 0 | (23) |
Share-based compensation | (28) | 0 | 0 |
Other | (14) | (42) | (36) |
Total continuing operations | $ 177 | $ 486 | $ 443 |
Effective tax rate | 11.10% | 31.00% | 22.40% |
Federal statutory rate | 35.00% | 35.00% | 35.00% |
State | |||
Increase in income tax from: | |||
Share-based compensation | $ (4) | ||
SCE | |||
Income Tax Disclosure [Line Items] | |||
Income from continuing operations before income taxes | 1,755 | $ 1,618 | $ 2,039 |
Provision for income tax at federal statutory rate of 35% | 614 | 566 | 714 |
Increase in income tax from: | |||
Regulatory asset write-off | 0 | 382 | 0 |
State tax, net of federal benefit | 43 | 34 | 55 |
Property-related | (362) | (341) | (252) |
Change related to uncertain tax positions | (8) | (94) | 12 |
San Onofre OII settlement | 0 | 0 | (23) |
Share-based compensation | (13) | 0 | 0 |
Other | (18) | (40) | (32) |
Total continuing operations | $ 256 | $ 507 | $ 474 |
Effective tax rate | 14.60% | 31.30% | 23.20% |
SCE | State | |||
Increase in income tax from: | |||
Share-based compensation | $ (1) |
Income Taxes (Reconciliation of
Income Taxes (Reconciliation of Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits | |||
Balance at January 1, | $ 529 | $ 576 | $ 815 |
Tax positions taken during the current year, Increases | 36 | 54 | 65 |
Tax positions taken during a prior year, Increases | 2 | 66 | 1 |
Tax positions taken during a prior year, Decreases | (96) | (165) | (143) |
Tax positions taken during a prior year, Decreases for settlements during the period | 0 | (2) | (162) |
Balance at December 31, | 471 | 529 | 576 |
SCE | |||
Reconciliation of Unrecognized Tax Benefits | |||
Balance at January 1, | 353 | 441 | 532 |
Tax positions taken during the current year, Increases | 36 | 48 | 57 |
Tax positions taken during a prior year, Increases | 0 | 23 | 0 |
Tax positions taken during a prior year, Decreases | (18) | (159) | (93) |
Tax positions taken during a prior year, Decreases for settlements during the period | 0 | 0 | (55) |
Balance at December 31, | $ 371 | $ 353 | $ 441 |
Income Taxes (Interest and Pena
Income Taxes (Interest and Penalties Related to Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Line Items] | |||
Accrued interest and penalties | $ 128 | $ 122 | |
Net after-tax interest and penalties tax benefit | 6 | 9 | $ 41 |
SCE | |||
Income Tax Disclosure [Line Items] | |||
Accrued interest and penalties | 41 | 40 | |
Net after-tax interest and penalties tax benefit | $ 2 | $ 14 | $ 16 |
Compensation and Benefit Plan86
Compensation and Benefit Plans (Employee Savings Plan) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Contribution Plans [Line Items] | |||
Employer contributions | $ 69 | $ 73 | $ 71 |
SCE | |||
Defined Contribution Plans [Line Items] | |||
Employer contributions | $ 68 | $ 72 | $ 70 |
Compensation and Benefit Plan87
Compensation and Benefit Plans (Textual) (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Assumed average equity risk premium (percent) | 5.00% | ||
Forecasted return on private equity and opportunistic investments (percent) | 2.00% | ||
Performance incentive plan award (shares) | 66 | ||
Share-based compensation, shares available for grant | 32 | ||
Stock options | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Stock options, expiration period, years | 10 years | ||
Stock options, vesting period, years | 4 years | ||
Volatility period | 71 months | 71 months | 72 months |
Pension Plans | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected contributions | $ 136 | ||
Actuarial gain (loss) | $ 125 | $ 149 | |
Discount rate (percent) | 3.94% | 4.18% | |
Permissible range of asset class weights (percent) | 3.00% | ||
Publicly traded equity investments located in the US (percent) | 69.00% | 63.00% | |
Pension Plans | US Equities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 29.00% | ||
Pension Plans | Non-US Equities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 17.00% | ||
Pension Plans | Fixed Income | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 35.00% | ||
Pension Plans | Opportunistic Alternative Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 15.00% | ||
Pension Plans | Other Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 4.00% | ||
Voluntary Employee Beneficiary Association (VEBA) | Non-US Equities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 5.00% | ||
Voluntary Employee Beneficiary Association (VEBA) | Fixed Income | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 85.00% | ||
Voluntary Employee Beneficiary Association (VEBA) | Opportunistic Alternative Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 10.00% | ||
Postretirement Benefits Other Than Pensions | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected contributions | $ 21 | ||
Eligibility age | 55 years | ||
Service period for eligibility (at least) (years) | 10 years | ||
Defined benefit obligation increase (decrease) during the period | $ (40) | $ (62) | |
Actuarial gain (loss) | 110 | 500 | |
Experience gains | 165 | 300 | |
(Loss) income from a (decrease) increase in the discount rate | $ (95) | $ 140 | |
Discount rate (percent) | 4.29% | 4.55% | 4.16% |
Publicly traded equity investments located in the US (percent) | 63.00% | 71.00% | |
Postretirement Benefits Other Than Pensions | US Equities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 41.00% | ||
Postretirement Benefits Other Than Pensions | Non-US Equities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 17.00% | ||
Postretirement Benefits Other Than Pensions | Fixed Income | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 34.00% | ||
Postretirement Benefits Other Than Pensions | Opportunistic Alternative Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 7.00% | ||
Postretirement Benefits Other Than Pensions | Other Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target plan asset allocations (percent) | 1.00% | ||
SCE | Pension Plans | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected contributions | $ 85 | ||
Actuarial gain (loss) | $ 140 | $ 143 | |
Discount rate (percent) | 3.94% | 4.18% | |
SCE | Postretirement Benefits Other Than Pensions | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit obligation increase (decrease) during the period | $ (40) | $ (61) | |
Actuarial gain (loss) | $ 110 | $ 500 | |
Discount rate (percent) | 4.29% | 4.55% |
Compensation and Benefit Plan88
Compensation and Benefit Plans (Plan Assets and Benefit Obligation) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Long-term liabilities | $ (1,354,000,000) | $ (1,759,000,000) | |
Assumed health care cost trend rates: | |||
Net loss reclassified from other comprehensive loss | 0 | 0 | $ 3,000,000 |
SCE | |||
Amounts recognized in the consolidated balance sheets consist of: | |||
Long-term liabilities | (896,000,000) | (1,284,000,000) | |
Pension Plans | |||
Change in projected benefit obligation | |||
Projected benefit obligation at beginning of year | 4,374,000,000 | 4,517,000,000 | |
Service cost | 139,000,000 | 142,000,000 | |
Interest cost | 171,000,000 | 170,000,000 | |
Actuarial gain | (125,000,000) | (149,000,000) | |
Benefits paid | (275,000,000) | (305,000,000) | |
Other | 0 | (1,000,000) | |
Projected benefit obligation at end of year | 4,284,000,000 | 4,374,000,000 | 4,517,000,000 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 3,298,000,000 | 3,454,000,000 | |
Actual return on plan assets | 262,000,000 | 30,000,000 | |
Employer contributions | 103,000,000 | 119,000,000 | |
Benefits paid | (275,000,000) | (305,000,000) | |
Fair value of plan assets at end of year | 3,388,000,000 | 3,298,000,000 | 3,454,000,000 |
Funded status at end of year | (896,000,000) | (1,076,000,000) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Long-term assets | 2,000,000 | 0 | |
Current liabilities | (50,000,000) | (27,000,000) | |
Long-term liabilities | (848,000,000) | (1,049,000,000) | |
Total liabilities | (896,000,000) | (1,076,000,000) | |
Amounts recognized in accumulated other comprehensive loss consist of: | |||
Prior service cost | (1,000,000) | 0 | |
Net loss | (93,000,000) | (96,000,000) | |
Total amounts recognized in accumulated other comprehensive loss | (92,000,000) | (96,000,000) | |
Amounts recognized as a regulatory asset | 574,000,000 | 675,000,000 | |
Total not yet recognized as expense | 666,000,000 | 771,000,000 | |
Accumulated benefit obligation at end of year | 4,138,000,000 | 4,200,000,000 | |
Pension plans with an accumulated benefit obligation in excess of plan assets: | |||
Projected benefit obligation | 4,284,000,000 | 4,374,000,000 | |
Accumulated benefit obligation | 4,138,000,000 | 4,200,000,000 | |
Fair value of plan assets | $ 3,388,000,000 | $ 3,298,000,000 | |
Weighted-average assumptions used to determine obligations at end of year: | |||
Discount rate | 3.94% | 4.18% | |
Rate of compensation increase | 4.00% | 4.00% | |
Assumed health care cost trend rates: | |||
Net loss | $ (92,000,000) | $ (96,000,000) | |
Pension Plans | Edison International | |||
Assumed health care cost trend rates: | |||
Long-term payable | 124,000,000 | 123,000,000 | |
Pension Plans | SCE | |||
Change in projected benefit obligation | |||
Projected benefit obligation at beginning of year | 3,878,000,000 | 3,999,000,000 | |
Service cost | 132,000,000 | 133,000,000 | |
Interest cost | 150,000,000 | 150,000,000 | |
Actuarial gain | (140,000,000) | (143,000,000) | |
Benefits paid | (229,000,000) | (261,000,000) | |
Other | 0 | 0 | |
Projected benefit obligation at end of year | 3,791,000,000 | 3,878,000,000 | 3,999,000,000 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 3,080,000,000 | 3,217,000,000 | |
Actual return on plan assets | 239,000,000 | 27,000,000 | |
Employer contributions | 82,000,000 | 97,000,000 | |
Benefits paid | (229,000,000) | (261,000,000) | |
Fair value of plan assets at end of year | 3,172,000,000 | 3,080,000,000 | 3,217,000,000 |
Funded status at end of year | (619,000,000) | (798,000,000) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Long-term assets | 0 | 0 | |
Current liabilities | (4,000,000) | (4,000,000) | |
Long-term liabilities | (615,000,000) | (794,000,000) | |
Total liabilities | (619,000,000) | (798,000,000) | |
Amounts recognized in accumulated other comprehensive loss consist of: | |||
Prior service cost | 0 | 0 | |
Net loss | (24,000,000) | (27,000,000) | |
Total amounts recognized in accumulated other comprehensive loss | (24,000,000) | (27,000,000) | |
Amounts recognized as a regulatory asset | 574,000,000 | 675,000,000 | |
Total not yet recognized as expense | 598,000,000 | 702,000,000 | |
Accumulated benefit obligation at end of year | 3,683,000,000 | 3,744,000,000 | |
Pension plans with an accumulated benefit obligation in excess of plan assets: | |||
Projected benefit obligation | 3,791,000,000 | 3,878,000,000 | |
Accumulated benefit obligation | 3,683,000,000 | 3,744,000,000 | |
Fair value of plan assets | $ 3,172,000,000 | $ 3,080,000,000 | |
Weighted-average assumptions used to determine obligations at end of year: | |||
Discount rate | 3.94% | 4.18% | |
Rate of compensation increase | 4.00% | 4.00% | |
Assumed health care cost trend rates: | |||
Net loss | $ (24,000,000) | $ (27,000,000) | |
Net loss reclassified from other comprehensive loss | 20,000,000 | 18,000,000 | |
Postretirement Benefits Other Than Pensions | |||
Change in projected benefit obligation | |||
Projected benefit obligation at beginning of year | 2,350,000,000 | 2,784,000,000 | |
Service cost | 35,000,000 | 46,000,000 | 40,000,000 |
Interest cost | 97,000,000 | 102,000,000 | 117,000,000 |
Special termination benefits | 2,000,000 | (2,000,000) | |
Plan Amendments | (6,000,000) | 0 | |
Actuarial gain | (110,000,000) | (500,000,000) | |
Plan participants' contributions | 19,000,000 | 20,000,000 | |
Benefits paid | (111,000,000) | (100,000,000) | |
Projected benefit obligation at end of year | 2,276,000,000 | 2,350,000,000 | 2,784,000,000 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 2,036,000,000 | 2,086,000,000 | |
Actual return on plan assets | 137,000,000 | 6,000,000 | |
Employer contributions | 21,000,000 | 24,000,000 | |
Plan participants' contributions | 19,000,000 | 20,000,000 | |
Benefits paid | (111,000,000) | (100,000,000) | |
Fair value of plan assets at end of year | 2,102,000,000 | 2,036,000,000 | $ 2,086,000,000 |
Funded status at end of year | (174,000,000) | (314,000,000) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Current liabilities | (14,000,000) | (15,000,000) | |
Long-term liabilities | (160,000,000) | (299,000,000) | |
Total liabilities | (174,000,000) | (314,000,000) | |
Amounts recognized in accumulated other comprehensive loss consist of: | |||
Total amounts recognized in accumulated other comprehensive loss | (4,000,000) | (4,000,000) | |
Amounts recognized as a regulatory asset | 136,000,000 | 174,000,000 | |
Total not yet recognized as expense | $ 140,000,000 | $ 178,000,000 | |
Weighted-average assumptions used to determine obligations at end of year: | |||
Discount rate | 4.29% | 4.55% | 4.16% |
Assumed health care cost trend rates: | |||
Rate assumed for following year | 7.00% | 7.50% | |
Ultimate rate | 5.00% | 5.00% | |
Net loss | $ (4,000,000) | $ (4,000,000) | |
Postretirement Benefits Other Than Pensions | SCE | |||
Change in projected benefit obligation | |||
Projected benefit obligation at beginning of year | 2,341,000,000 | 2,775,000,000 | |
Service cost | 34,000,000 | 46,000,000 | $ 40,000,000 |
Interest cost | 97,000,000 | 102,000,000 | 117,000,000 |
Special termination benefits | 2,000,000 | (2,000,000) | |
Plan Amendments | (6,000,000) | 0 | |
Actuarial gain | (110,000,000) | (500,000,000) | |
Plan participants' contributions | 19,000,000 | 20,000,000 | |
Benefits paid | (111,000,000) | (100,000,000) | |
Projected benefit obligation at end of year | 2,266,000,000 | 2,341,000,000 | 2,775,000,000 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 2,036,000,000 | 2,086,000,000 | |
Actual return on plan assets | 137,000,000 | 6,000,000 | |
Employer contributions | 21,000,000 | 24,000,000 | |
Plan participants' contributions | 19,000,000 | 20,000,000 | |
Benefits paid | (111,000,000) | (100,000,000) | |
Fair value of plan assets at end of year | 2,102,000,000 | 2,036,000,000 | $ 2,086,000,000 |
Funded status at end of year | (164,000,000) | (305,000,000) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Current liabilities | (13,000,000) | (15,000,000) | |
Long-term liabilities | (151,000,000) | (290,000,000) | |
Total liabilities | (164,000,000) | (305,000,000) | |
Amounts recognized in accumulated other comprehensive loss consist of: | |||
Total amounts recognized in accumulated other comprehensive loss | 0 | 0 | |
Amounts recognized as a regulatory asset | 136,000,000 | 174,000,000 | |
Total not yet recognized as expense | $ 136,000,000 | $ 174,000,000 | |
Weighted-average assumptions used to determine obligations at end of year: | |||
Discount rate | 4.29% | 4.55% | |
Assumed health care cost trend rates: | |||
Rate assumed for following year | 7.00% | 7.50% | |
Ultimate rate | 5.00% | 5.00% | |
Net loss | $ 0 | $ 0 |
Compensation and Benefit Plan89
Compensation and Benefit Plans (Expense Components) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension and Other Postretirement Benefits | |||
Net loss reclassified from other comprehensive loss | $ 0 | $ 0 | $ 3,000,000 |
Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Service cost | 139,000,000 | 142,000,000 | |
Interest cost | 171,000,000 | 170,000,000 | |
Other | 10,000,000 | 14,000,000 | 9,000,000 |
Postretirement Benefits Other Than Pensions | |||
Pension and Other Postretirement Benefits | |||
Service cost | 35,000,000 | 46,000,000 | 40,000,000 |
Interest cost | 97,000,000 | 102,000,000 | 117,000,000 |
Expected return on plan assets | (112,000,000) | (116,000,000) | (108,000,000) |
Settlement costs | 2,000,000 | 1,000,000 | 3,000,000 |
Amortization of prior service cost | (2,000,000) | (12,000,000) | (36,000,000) |
Amortization of net loss | 0 | 3,000,000 | 6,000,000 |
Expense under accounting standards | 20,000,000 | 24,000,000 | 22,000,000 |
SCE | Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Service cost | 132,000,000 | 133,000,000 | |
Interest cost | 150,000,000 | 150,000,000 | |
Net loss reclassified from other comprehensive loss | 20,000,000 | 18,000,000 | |
Other | 6,000,000 | 8,000,000 | 4,000,000 |
SCE | Postretirement Benefits Other Than Pensions | |||
Pension and Other Postretirement Benefits | |||
Service cost | 34,000,000 | 46,000,000 | 40,000,000 |
Interest cost | 97,000,000 | 102,000,000 | 117,000,000 |
Expected return on plan assets | (112,000,000) | (116,000,000) | (108,000,000) |
Settlement costs | 2,000,000 | 1,000,000 | 3,000,000 |
Amortization of prior service cost | (2,000,000) | (12,000,000) | (35,000,000) |
Amortization of net loss | 0 | 2,000,000 | 5,000,000 |
Expense under accounting standards | 19,000,000 | 23,000,000 | 22,000,000 |
Continuing Operations | Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Service cost | 139,000,000 | 142,000,000 | 133,000,000 |
Interest cost | 172,000,000 | 170,000,000 | 181,000,000 |
Expected return on plan assets | (220,000,000) | (233,000,000) | (229,000,000) |
Settlement costs | 0 | 0 | 45,000,000 |
Curtailment gain | 0 | 0 | (4,000,000) |
Amortization of prior service cost | 4,000,000 | 5,000,000 | 5,000,000 |
Amortization of net loss | 27,000,000 | 40,000,000 | 12,000,000 |
Expense under accounting standards | 122,000,000 | 124,000,000 | 143,000,000 |
Regulatory adjustment (deferred) | (21,000,000) | (6,000,000) | 8,000,000 |
Total expense recognized | 101,000,000 | 118,000,000 | 151,000,000 |
Continuing Operations | SCE | Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Service cost | 136,000,000 | 139,000,000 | 128,000,000 |
Interest cost | 156,000,000 | 155,000,000 | 164,000,000 |
Expected return on plan assets | (205,000,000) | (217,000,000) | (213,000,000) |
Settlement costs | 0 | 0 | 42,000,000 |
Curtailment gain | 0 | 0 | 0 |
Amortization of prior service cost | 4,000,000 | 5,000,000 | 5,000,000 |
Amortization of net loss | 23,000,000 | 35,000,000 | 7,000,000 |
Expense under accounting standards | 114,000,000 | 117,000,000 | 133,000,000 |
Regulatory adjustment (deferred) | (21,000,000) | (6,000,000) | 8,000,000 |
Total expense recognized | $ 93,000,000 | $ 111,000,000 | $ 141,000,000 |
Compensation and Benefit Plan90
Compensation and Benefit Plans (Changes in Plan Assets and Benefits Obligations Recognized in OCI) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Postretirement Benefits Other Than Pensions | |||
Pension and Other Postretirement Benefits | |||
Unrecognized prior service cost (credit) to be amortized | $ (2) | ||
Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Net loss (gain) | 6 | $ 7 | $ 85 |
Amortization of net loss and other | (10) | (15) | (13) |
Total recognized in other comprehensive loss | (4) | (8) | 72 |
Total recognized in expense and other comprehensive loss | 97 | 110 | 223 |
Unrecognized net loss to be amortized | 19 | ||
Unrecognized prior service cost (credit) to be amortized | 3 | ||
Amount of net loss expected to be reclassified from other comprehensive loss | 10 | ||
SCE | Postretirement Benefits Other Than Pensions | |||
Pension and Other Postretirement Benefits | |||
Unrecognized prior service cost (credit) to be amortized | (2) | ||
SCE | Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Net loss (gain) | 4 | (9) | 37 |
Amortization of net loss and other | (6) | (9) | (4) |
Total recognized in other comprehensive loss | (2) | (18) | 33 |
Total recognized in expense and other comprehensive loss | 91 | $ 93 | $ 174 |
Unrecognized net loss to be amortized | 15 | ||
Unrecognized prior service cost (credit) to be amortized | 3 | ||
Amount of net loss expected to be reclassified from other comprehensive loss | $ 6 |
Compensation and Benefit Plan91
Compensation and Benefit Plans (Weighted Average Assumptions) (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Postretirement Benefits Other Than Pensions | |||
Assumed health care cost trend rates: | |||
Ultimate rate | 5.00% | 5.00% | |
Pension Plans | |||
Pension and Other Postretirement Benefits | |||
Discount rate | 4.18% | 3.85% | 4.50% |
Rate of compensation increase | 4.00% | 4.00% | 4.00% |
Expected long-term return on plan assets | 7.00% | 7.00% | 7.00% |
Continuing Operations | Postretirement Benefits Other Than Pensions | |||
Pension and Other Postretirement Benefits | |||
Discount rate | 4.55% | 4.16% | 5.00% |
Expected long-term return on plan assets | 5.60% | 5.50% | 5.50% |
Assumed health care cost trend rates: | |||
Current year | 7.50% | 7.75% | 7.75% |
Ultimate rate | 5.00% | 5.00% | 5.00% |
Compensation and Benefit Plan92
Compensation and Benefit Plans (Expected Future Benefit Payments) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Pension Plans | |
Years ended December 31, | |
2,017 | $ 346 |
2,018 | 332 |
2,019 | 344 |
2,020 | 341 |
2,021 | 341 |
2022 – 2026 | 1,566 |
Postretirement Benefits Other Than Pensions | |
Years ended December 31, | |
2,017 | 98 |
2,018 | 102 |
2,019 | 105 |
2,020 | 109 |
2,021 | 113 |
2022 – 2026 | 612 |
SCE | Pension Plans | |
Years ended December 31, | |
2,017 | 271 |
2,018 | 298 |
2,019 | 300 |
2,020 | 304 |
2,021 | 304 |
2022 – 2026 | 1,396 |
SCE | Postretirement Benefits Other Than Pensions | |
Years ended December 31, | |
2,017 | 98 |
2,018 | 102 |
2,019 | 105 |
2,020 | 109 |
2,021 | 112 |
2022 – 2026 | $ 609 |
Compensation and Benefit Plan93
Compensation and Benefit Plans (Pension Plan Assets - Fair Value Levels) (Details) - Pension Plans - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | $ 3,548 | $ 3,368 | |
Fair value NAV | 1,284 | 1,232 | |
Receivables and payables, net | (160) | (70) | |
Net plan assets available for benefits | 3,388 | 3,298 | $ 3,454 |
Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 1,103 | 971 | |
Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 1,161 | 1,165 | |
Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
U.S. government and agency securities | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 526 | 425 | |
Fair value NAV | 0 | 0 | |
U.S. government and agency securities | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 217 | 127 | |
U.S. government and agency securities | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 309 | 298 | |
U.S. government and agency securities | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Corporate stocks | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 735 | 736 | |
Fair value NAV | $ 0 | $ 0 | |
Corporate stocks | Russell Indexes | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 62.00% | 59.00% | |
Corporate stocks | MSCI | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 38.00% | 41.00% | |
Corporate stocks | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | $ 720 | $ 720 | |
Corporate stocks | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 15 | 16 | |
Corporate stocks | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Corporate bonds | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 725 | 755 | |
Fair value NAV | 0 | 0 | |
Corporate bonds | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Corporate bonds | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 725 | 755 | |
Corporate bonds | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Common/collective funds | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 692 | 640 | |
Fair value NAV | 692 | 640 | |
Common/collective funds | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Common/collective funds | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Common/collective funds | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Partnerships/joint ventures | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 333 | 325 | |
Fair value NAV | 333 | 325 | |
Partnerships/joint ventures | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Partnerships/joint ventures | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Partnerships/joint ventures | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Other investment entities | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 253 | 263 | |
Fair value NAV | 253 | 263 | |
Other investment entities | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Other investment entities | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Other investment entities | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Registered investment companies | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 130 | 121 | |
Fair value NAV | 6 | 4 | |
Registered investment companies | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 124 | 117 | |
Registered investment companies | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Registered investment companies | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Interest-bearing cash | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 42 | 6 | |
Fair value NAV | 0 | 0 | |
Interest-bearing cash | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 42 | 6 | |
Interest-bearing cash | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Interest-bearing cash | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Other | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 112 | 97 | |
Fair value NAV | 0 | 0 | |
Other | Level 1 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 1 | |
Other | Level 2 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 112 | 96 | |
Other | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 0 | 0 | |
Collateralized mortgage obligations and other asset backed securities | |||
Pension and Other Postretirement Benefits | |||
Fair value of plan assets | 76 | 123 | |
Mortgage obligations and other asset backed securities, below investment grade | $ 27 | $ 25 | |
Equity index fund | S&P 500 | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 45.00% | 46.00% | |
Equity index fund | MSCI All Country World Index exUS | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 15.00% | ||
Equity index fund | MSCI-EAFE | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 16.00% | ||
Undervalued Securities | Russell Indexes | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 15.00% | 14.00% | |
Non-index fund | |||
Pension and Other Postretirement Benefits | |||
Performance percentage benchmark, percentage | 23.00% | 22.00% | |
Asset backed securities including distressed mortgages | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Actual plan asset allocations, percentage | 4.00% | 15.00% | |
Private equity and venture capital funds including branded consumer products, clean and information technology and healthcare | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Actual plan asset allocations, percentage | 55.00% | 51.00% | |
Publicly traded fixed income securities | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Actual plan asset allocations, percentage | 22.00% | 20.00% | |
Broad range of financial assets in all global markets | Level 3 | |||
Pension and Other Postretirement Benefits | |||
Actual plan asset allocations, percentage | 18.00% | 14.00% | |
SCE | |||
Pension and Other Postretirement Benefits | |||
Net plan assets available for benefits | $ 3,172 | $ 3,080 | $ 3,217 |
Compensation and Benefit Plan94
Compensation and Benefit Plans (Effect of Change in One Percent) (Details) - Postretirement Benefits Other Than Pensions $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Effect on ABO of one-percentage-point increase in assumed health care cost trend rate | $ 244 |
Effect on ABO of one-percentage-point decrease in assumed health care cost trend rate | (200) |
Effect on annual aggregate service and interest costs of one-percentage-point increase in assumed health care cost trend rate | 11 |
Effect on annual aggregate service and interest costs of one-percentage-point decrease in assumed health care cost trend rate | (9) |
SCE | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Effect on ABO of one-percentage-point increase in assumed health care cost trend rate | 243 |
Effect on ABO of one-percentage-point decrease in assumed health care cost trend rate | (199) |
Effect on annual aggregate service and interest costs of one-percentage-point increase in assumed health care cost trend rate | 11 |
Effect on annual aggregate service and interest costs of one-percentage-point decrease in assumed health care cost trend rate | $ (9) |
Compensation and Benefit Plan95
Compensation and Benefit Plans (Other Postretirement Plan Assets - Fair Value Levels) (Details) - Postretirement Benefits Other Than Pensions - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Net plan assets available for benefits | $ 2,102 | $ 2,036 | $ 2,086 |
Collateralized mortgage obligations and other asset backed securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Receivables and payables, net | $ 47 | $ 27 | |
Non-index U.S. equity fund | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Actual plan asset allocations, percentage | 18.00% | 17.00% | |
Municipal Notes | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | $ 76 | $ 97 | |
Russell Indexes | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Performance percentage benchmark, percentage | 47.00% | ||
Russell 1000 index | Common or collective equity funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Performance percentage benchmark, percentage | 39.00% | 38.00% | |
MSCI-EAFE | Equity index fund | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Performance percentage benchmark, percentage | 39.00% | 41.00% | |
MSCI All Country World Index | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Performance percentage benchmark, percentage | 53.00% | 53.00% | |
Level 3 | Private equity and venture capital funds including branded consumer products, clean and information technology and healthcare | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Actual plan asset allocations, percentage | 59.00% | 56.00% | |
Level 3 | Broad range of financial assets in all global markets | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Actual plan asset allocations, percentage | 31.00% | 21.00% | |
Level 3 | Asset backed securities including distressed mortgages | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Actual plan asset allocations, percentage | 9.00% | 23.00% | |
SCE | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | $ 2,133 | $ 2,060 | |
Fair value NAV | 542 | 520 | |
Receivables and payables, net | (31) | (24) | |
Net plan assets available for benefits | 2,102 | 2,036 | $ 2,086 |
SCE | U.S. government and agency securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 281 | 242 | |
Fair value NAV | 0 | 0 | |
SCE | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 230 | 222 | |
Fair value NAV | 0 | 0 | |
SCE | Corporate notes and bonds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 877 | 867 | |
Fair value NAV | 0 | 0 | |
SCE | Common/collective funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 462 | 424 | |
Fair value NAV | 462 | 424 | |
SCE | Partnerships | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 79 | 93 | |
Fair value NAV | 79 | 93 | |
SCE | Registered investment companies | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 49 | 63 | |
Fair value NAV | 1 | 3 | |
SCE | Interest bearing cash | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 48 | 31 | |
Fair value NAV | 0 | 0 | |
SCE | Other | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 107 | 118 | |
Fair value NAV | 0 | 0 | |
SCE | Level 1 | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 552 | 518 | |
SCE | Level 1 | U.S. government and agency securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 222 | 200 | |
SCE | Level 1 | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 230 | 222 | |
SCE | Level 1 | Corporate notes and bonds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 1 | Common/collective funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 1 | Partnerships | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 1 | Registered investment companies | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 48 | 60 | |
SCE | Level 1 | Interest bearing cash | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 48 | 31 | |
SCE | Level 1 | Other | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 4 | 5 | |
SCE | Level 2 | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 1,039 | 1,022 | |
SCE | Level 2 | U.S. government and agency securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 59 | 42 | |
SCE | Level 2 | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 2 | Corporate notes and bonds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 877 | 867 | |
SCE | Level 2 | Common/collective funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 2 | Partnerships | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 2 | Registered investment companies | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 2 | Interest bearing cash | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 2 | Other | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 103 | 113 | |
SCE | Level 3 | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | U.S. government and agency securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Corporate stocks | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Corporate notes and bonds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Common/collective funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Partnerships | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Registered investment companies | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Interest bearing cash | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
SCE | Level 3 | Other | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | $ 0 | $ 0 |
Compensation and Benefit Plan96
Compensation and Benefit Plans (Expense and Tax Benefits of Stock Based Compensation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 34 | $ 29 | $ 40 |
Income tax benefits related to stock compensation expense | 41 | 12 | 16 |
Excess tax benefits (expense) | 0 | 15 | 15 |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 14 | 14 | 16 |
Performance shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 13 | 7 | 16 |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 6 | 7 | 7 |
Other | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 1 | 1 | 1 |
SCE | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 16 | 16 | 20 |
Income tax benefits related to stock compensation expense | 20 | 7 | 8 |
Excess tax benefits (expense) | 0 | 23 | 20 |
SCE | Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 7 | 8 | 8 |
SCE | Performance shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 6 | 4 | 8 |
SCE | Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 3 | 4 | 4 |
SCE | Other | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 0 | $ 0 | $ 0 |
Compensation and Benefit Plan97
Compensation and Benefit Plans (Black-Scholes Option Pricing Model Assumptions) (Details) - Stock options | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected terms (in years) | 5 years 10 months 24 days | 5 years 10 months 24 days | 6 years |
Risk-free interest rate, minimum | 1.20% | 1.60% | 1.80% |
Risk-free interest rate, maximum | 2.20% | 2.10% | 2.10% |
Weighted-average expected dividend yield | 2.90% | 2.60% | 2.70% |
Expected volatility, minimum | 17.20% | 16.40% | 17.80% |
Expected volatility, maximum | 17.50% | 17.00% | 19.10% |
Weighted-average volatility | 17.40% | 16.50% | 18.90% |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 2.50% | 2.60% | 2.40% |
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 3.00% | 3.20% | 2.70% |
Compensation and Benefit Plan98
Compensation and Benefit Plans (Stock Option Activity) (Details) - Stock options $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Stock options | |
Beginning balance (number of options) | shares | 12,866,597 |
Grants (number of options) | shares | 2,120,009 |
Expired (number of options) | shares | 0 |
Forfeited (number of options) | shares | (274,166) |
Exercised (number of options) | shares | (3,167,939) |
Ending balance (number of options) | shares | 11,544,501 |
Vested and expected to vest (number of options) | shares | 11,437,110 |
Exercisable (number of options) | shares | 7,685,341 |
Exercise Price | |
Beginning balance, weighted average exercise price (dollars per share) | $ / shares | $ 45.93 |
Granted, weighted average exercise price (dollars per share) | $ / shares | 67.41 |
Expired, weighted average exercise price (dollars per share) | $ / shares | 0 |
Forfeited, weighted average exercise price (dollars per share) | $ / shares | 64.02 |
Exercised, weighted average exercise price (dollars per share) | $ / shares | 42.93 |
Ending balance, weighted average exercise price (dollars per share) | $ / shares | 50.26 |
Vested and expected to vest, weighted average exercise price (dollars per share) | $ / shares | 50.12 |
Exercisable, weighted average exercise price (dollars per share) | $ / shares | $ 43.99 |
Remaining Contractual Term (Years) | |
Outstanding at December 31, 2016 (term) | 6 years 7 days |
Vested and expected to vest at December 31, 2016 (term) | 5 years 11 months 27 days |
Exercisable at December 31, 2016 (term) | 4 years 11 months 5 days |
Aggregate Intrinsic Value (in millions) | |
Vested and expected to vest at December 31, 2016 | $ | $ 250 |
Exercisable at December 31, 2016 | $ | $ 215 |
SCE | |
Stock options | |
Beginning balance (number of options) | shares | 5,840,057 |
Grants (number of options) | shares | 959,478 |
Expired (number of options) | shares | 0 |
Forfeited (number of options) | shares | (120,842) |
Exercised (number of options) | shares | (1,705,053) |
Transfers, net (number of options) | shares | (246,224) |
Ending balance (number of options) | shares | 4,727,416 |
Vested and expected to vest (number of options) | shares | 4,667,784 |
Exercisable (number of options) | shares | 2,782,770 |
Exercise Price | |
Beginning balance, weighted average exercise price (dollars per share) | $ / shares | $ 47.77 |
Granted, weighted average exercise price (dollars per share) | $ / shares | 67.36 |
Expired, weighted average exercise price (dollars per share) | $ / shares | 0 |
Forfeited, weighted average exercise price (dollars per share) | $ / shares | 61.96 |
Exercised, weighted average exercise price (dollars per share) | $ / shares | 44.59 |
Transfers, net, weighted average exercise price (dollars per share) | $ / shares | 59.29 |
Ending balance, weighted average exercise price (dollars per share) | $ / shares | 51.81 |
Vested and expected to vest, weighted average exercise price (dollars per share) | $ / shares | 51.63 |
Exercisable, weighted average exercise price (dollars per share) | $ / shares | $ 44.04 |
Remaining Contractual Term (Years) | |
Outstanding at December 31, 2016 (term) | 6 years 2 months 27 days |
Vested and expected to vest at December 31, 2016 (term) | 6 years 2 months 16 days |
Exercisable at December 31, 2016 (term) | 4 years 10 months 2 days |
Aggregate Intrinsic Value (in millions) | |
Vested and expected to vest at December 31, 2016 | $ | $ 95 |
Exercisable at December 31, 2016 | $ | $ 78 |
Compensation and Benefit Plan99
Compensation and Benefit Plans (Unrecognized Compensation Costs) (Details) - Stock options $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Pension and Other Postretirement Benefits | |
Unrecognized compensation cost, net of expected forfeitures | $ 13 |
Weighted-average period (in years) | 2 years 3 months 18 days |
SCE | |
Pension and Other Postretirement Benefits | |
Unrecognized compensation cost, net of expected forfeitures | $ 8 |
Weighted-average period (in years) | 2 years 3 months 18 days |
Compensation and Benefit Pla100
Compensation and Benefit Plans (Supplemental Data on Stock Options) (Details) - Stock options - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value per option granted (dollars per share) | $ 7.38 | $ 7.54 | $ 7.26 |
Fair value of options vested | $ 11 | $ 20 | $ 17 |
Cash used to purchase shares to settle options | 220 | 170 | 300 |
Cash from participants to exercise stock options | 136 | 113 | 205 |
Value of options exercised | 84 | 57 | 95 |
Tax benefits from options exercised | $ 34 | $ 23 | $ 39 |
SCE | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value per option granted (dollars per share) | $ 7.50 | $ 7.53 | $ 7.34 |
Fair value of options vested | $ 5 | $ 11 | $ 9 |
Cash used to purchase shares to settle options | 118 | 69 | 181 |
Cash from participants to exercise stock options | 77 | 45 | 125 |
Value of options exercised | 41 | 24 | 56 |
Tax benefits from options exercised | $ 17 | $ 10 | $ 23 |
Compensation and Benefit Pla101
Compensation and Benefit Plans (Nonvested Performance Share Activity) (Details) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Equity Awards | |
Restricted Stock Units | |
Beginning balance (number of shares) | 57,779 |
Granted (number of shares) | 0 |
Forfeited (number of shares) | (1,258) |
Vested (number of shares) | (56,521) |
Ending balance (number of shares) | 0 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 61.18 |
Granted, weighted average grant date fair value (dollars per share) | $ / shares | 0 |
Forfeited, weighted average grant date fair value (dollars per share) | $ / shares | 60.83 |
Vested, weighted average grant date fair value (dollars per share) | $ / shares | 61.18 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 0 |
Liability Awards | |
Restricted Stock Units | |
Beginning balance (number of shares) | 165,629 |
Granted (number of shares) | 111,754 |
Forfeited (number of shares) | (13,502) |
Vested (number of shares) | (56,384) |
Ending balance (number of shares) | 207,497 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 68.44 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 84.30 |
SCE | Equity Awards | |
Restricted Stock Units | |
Beginning balance (number of shares) | 32,463 |
Granted (number of shares) | 0 |
Forfeited (number of shares) | (1,012) |
Vested (number of shares) | (29,080) |
Affiliate transfers, net (number of shares) | (2,371) |
Ending balance (number of shares) | 0 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 62.01 |
Granted, weighted average grant date fair value (dollars per share) | $ / shares | 0 |
Forfeited, weighted average grant date fair value (dollars per share) | $ / shares | 49.73 |
Vested, weighted average grant date fair value (dollars per share) | $ / shares | 50.75 |
Affiliate transfers, net, weighted average grant date fair value (dollars per share) | $ / shares | 72.10 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 0 |
SCE | Liability Awards | |
Restricted Stock Units | |
Beginning balance (number of shares) | 90,393 |
Granted (number of shares) | 50,599 |
Forfeited (number of shares) | (5,751) |
Vested (number of shares) | (28,963) |
Affiliate transfers, net (number of shares) | (9,611) |
Ending balance (number of shares) | 96,667 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 68.64 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 84.25 |
Compensation and Benefit Pla102
Compensation and Benefit Plans (Restricted Stock Unit Activity) (Details) - Restricted stock units | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Restricted Stock Units | |
Beginning balance (number of shares) | shares | 248,143 |
Granted (number of shares) | shares | 123,266 |
Forfeited (number of shares) | shares | (16,435) |
Vested (number of shares) | shares | (9,579) |
Affiliate transfers, net (number of shares) | shares | 0 |
Ending balance (number of shares) | shares | 345,395 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 57.89 |
Granted, weighted average grant date fair value (dollars per share) | $ / shares | 67.42 |
Forfeited, weighted average grant date fair value (dollars per share) | $ / shares | 63.73 |
Vested, weighted average grant date fair value (dollars per share) | $ / shares | 52.01 |
Affiliate transfers, net, weighted average grant date fair value (dollars per share) | $ / shares | 0 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 61.05 |
SCE | |
Restricted Stock Units | |
Beginning balance (number of shares) | shares | 134,375 |
Granted (number of shares) | shares | 55,800 |
Forfeited (number of shares) | shares | (7,580) |
Vested (number of shares) | shares | (8,032) |
Affiliate transfers, net (number of shares) | shares | (13,775) |
Ending balance (number of shares) | shares | 160,788 |
Weighted-Average Grant Date Fair Value | |
Beginning balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 58.13 |
Granted, weighted average grant date fair value (dollars per share) | $ / shares | 67.37 |
Forfeited, weighted average grant date fair value (dollars per share) | $ / shares | 61.45 |
Vested, weighted average grant date fair value (dollars per share) | $ / shares | 56.53 |
Affiliate transfers, net, weighted average grant date fair value (dollars per share) | $ / shares | 62.09 |
Ending balance, weighted average grant date fair value (dollars per share) | $ / shares | $ 60.80 |
Compensation and Benefit Pla103
Compensation and Benefit Plans (Workforce Reduction) (Details) - SCE - Employee Severance $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Restructuring Reserve [Roll Forward] | |
Balance at January 1, 2016 | $ 22 |
Additions | 21 |
Payments | (40) |
Balance at December 31, 2016 | $ 3 |
Investments (Amortized Cost and
Investments (Amortized Cost and Fair Value of Nuclear Decommissioning Trusts) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value | $ 4,242 | $ 4,331 | ||
SCE | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value | 4,242 | 4,331 | $ 4,799 | $ 4,494 |
Repurchase agreements payable | 114 | 81 | ||
SCE | Fair Value, Measurements, Recurring | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 2,784 | 2,917 | ||
Fair Value | 4,369 | 4,355 | ||
Decommissioning Trust Investments | 4,242 | 4,331 | ||
SCE | Fair Value, Measurements, Recurring | Stocks | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 319 | 304 | ||
Fair Value | 1,547 | 1,460 | ||
SCE | Fair Value, Measurements, Recurring | Municipal bonds | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 659 | 691 | ||
Fair Value | 766 | 840 | ||
SCE | Fair Value, Measurements, Recurring | U.S. government and agency securities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 1,131 | 1,070 | ||
Fair Value | 1,191 | 1,128 | ||
SCE | Fair Value, Measurements, Recurring | Corporate bonds | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 600 | 708 | ||
Fair Value | 659 | 755 | ||
SCE | Fair Value, Measurements, Recurring | Short-term investments and receivables/payables | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized Cost | 75 | 144 | ||
Fair Value | $ 79 | $ 148 |
Investments (Nuclear Decommissi
Investments (Nuclear Decommissioning Trusts) (Details) - SCE - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Investment Holdings [Line Items] | ||
Unrealized holding gains, net of losses | $ 1,500 | $ 1,400 |
Deferred income taxes related to unrealized gains | 348 | |
Nuclear decommissioning trusts | $ 3,900 |
Investments (Summary of Changes
Investments (Summary of Changes in Fair Value of the Nuclear Decommissioning Trust) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary Of Changes In The Fair Value [Roll Forward] | |||
Balance at beginning of period | $ 4,331 | ||
Balance at end of period | 4,242 | $ 4,331 | |
SCE | |||
Summary Of Changes In The Fair Value [Roll Forward] | |||
Balance at beginning of period | 4,331 | 4,799 | $ 4,494 |
Gross realized gains | 92 | 326 | 197 |
Gross realized losses | (19) | (26) | (5) |
Unrealized gains (losses) | 44 | (364) | 75 |
Other-than-temporary impairments | (36) | (29) | (14) |
Interest, dividends and other | 116 | 115 | 118 |
Contributions | 0 | 54 | 5 |
Income taxes | (58) | (64) | (62) |
Decommissioning disbursements | (224) | (471) | (4) |
Administrative expenses and other | (4) | (9) | (5) |
Balance at end of period | $ 4,242 | $ 4,331 | $ 4,799 |
Investments (Acquisitions) (Det
Investments (Acquisitions) (Details) $ in Millions | Feb. 01, 2017USD ($)MWhproject | Dec. 31, 2015USD ($)business | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($) |
Investment Holdings [Line Items] | ||||
After tax charge related to the buy-out of an earn-out provision | $ 13 | |||
Minnesota solar garden development project | Subsequent event | ||||
Investment Holdings [Line Items] | ||||
Businesses acquired | project | 4 | |||
Aggregate purchase price | $ 10.5 | |||
Power generating capacity of acquired projects (in megawatts) | MWh | 28 | |||
Minnesota solar garden development project | Maximum | ||||
Investment Holdings [Line Items] | ||||
Purchase price | $ 41.9 | |||
Reimbursed project specific interconnection costs | $ 8.7 | |||
Series of Individually Immaterial Business Acquisitions | ||||
Investment Holdings [Line Items] | ||||
Businesses acquired | business | 3 | |||
Aggregate purchase price | $ 100 | |||
Intangible Assets, Net (Including Goodwill) | $ 90 |
Regulatory Assets and Liabil108
Regulatory Assets and Liabilities (Textual) (Details) - SCE | Feb. 01, 2012 | Dec. 31, 2016 | Dec. 31, 2015 |
Regulatory Assets [Line Items] | |||
Regulatory assets, energy derivatives, low range of contract expiration (in years) | 10 years | ||
Regulatory assets, energy derivatives, high range of contract expiration (in years) | 45 years | ||
Regulatory assets related to deferred income taxes, recovery period, low range (in years) | 1 year | ||
Regulatory assets related to deferred income taxes, recovery period, high range (in years) | 60 years | ||
Low end of the range of remaining original amortization (in years) | 10 years | ||
High end of the range of remaining original amortization (in years) | 35 years | ||
San Onofre | |||
Regulatory Assets [Line Items] | |||
Return rate earned on assets included in rate base (as a percent) | 2.62% | 2.62% | |
Period for rate recovery | 10 years | ||
Unamortized investments, net | |||
Regulatory Assets [Line Items] | |||
Return rate earned on assets included in rate base (as a percent) | 7.90% | 7.90% | |
Unamortized investments, net | Legacy Meters | |||
Regulatory Assets [Line Items] | |||
Return rate earned on assets included in rate base (as a percent) | 6.46% | 6.46% |
Regulatory Assets and Liabil109
Regulatory Assets and Liabilities (Schedule of Regulatory Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Regulatory Assets [Line Items] | ||
Current regulatory assets | $ 350 | $ 560 |
Long-term regulatory assets | 7,455 | 7,512 |
SCE | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 350 | 560 |
Long-term regulatory assets | 7,455 | 7,512 |
Total regulatory assets | 7,805 | 8,072 |
SCE | Regulatory balancing accounts | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 135 | 382 |
Long-term regulatory assets | 66 | 36 |
SCE | Energy derivatives | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 150 | 159 |
Long-term regulatory assets | 947 | 1,027 |
SCE | Unamortized investments, net | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 49 | 0 |
Long-term regulatory assets | 80 | 182 |
SCE | Other | ||
Regulatory Assets [Line Items] | ||
Current regulatory assets | 16 | 19 |
Long-term regulatory assets | 7 | 288 |
SCE | Deferred income taxes, net | ||
Regulatory Assets [Line Items] | ||
Long-term regulatory assets | 4,478 | 3,757 |
SCE | Pensions and other postretirement benefits | ||
Regulatory Assets [Line Items] | ||
Long-term regulatory assets | 710 | 849 |
SCE | San Onofre | ||
Regulatory Assets [Line Items] | ||
Long-term regulatory assets | 857 | 1,043 |
SCE | Unamortized loss on reacquired debt | ||
Regulatory Assets [Line Items] | ||
Long-term regulatory assets | 184 | 201 |
SCE | Environmental remediation | ||
Regulatory Assets [Line Items] | ||
Long-term regulatory assets | $ 126 | $ 129 |
Regulatory Assets and Liabil110
Regulatory Assets and Liabilities (Schedule of Regulatory Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Regulatory Liabilities [Line Items] | ||
Current regulatory liabilities | $ 756 | $ 1,128 |
Long-term regulatory liabilities | 5,726 | 5,676 |
SCE | ||
Regulatory Liabilities [Line Items] | ||
Current regulatory liabilities | 756 | 1,128 |
Long-term regulatory liabilities | 5,726 | 5,676 |
Total regulatory liabilities | 6,482 | 6,804 |
SCE | Regulatory balancing accounts | ||
Regulatory Liabilities [Line Items] | ||
Current regulatory liabilities | 736 | 1,106 |
Long-term regulatory liabilities | 1,180 | 1,314 |
SCE | Other | ||
Regulatory Liabilities [Line Items] | ||
Current regulatory liabilities | 20 | 22 |
Long-term regulatory liabilities | 60 | 79 |
SCE | Costs of removal | ||
Regulatory Liabilities [Line Items] | ||
Long-term regulatory liabilities | 2,847 | 2,781 |
SCE | Recoveries in excess of ARO liabilities | ||
Regulatory Liabilities [Line Items] | ||
Long-term regulatory liabilities | $ 1,639 | $ 1,502 |
Regulatory Assets and Liabil111
Regulatory Assets and Liabilities (Regulatory Balancing Accounts) (Details) - SCE - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Regulatory balancing accounts | Energy resource recovery account | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | $ (20) | $ (439) |
Regulatory balancing accounts | New system generation balancing account | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (6) | (171) |
Refunds of excess revenue | Significant components | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (1,715) | (2,002) |
Refunds of excess revenue | Public purpose programs and energy efficiency programs | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (992) | (683) |
Refunds of excess revenue | Base revenue requirement balancing account | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (426) | (319) |
Refunds of excess revenue | Tax accounting memorandum account and pole loading | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (142) | (248) |
Refunds of excess revenue | Department of Energy litigation memorandum account | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (122) | 0 |
Refunds of excess revenue | Greenhouse gas auction revenue | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | 31 | (75) |
Refunds of excess revenue | FERC balancing accounts | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | (69) | 74 |
Refunds of excess revenue | Other | ||
Regulatory Assets and Liabilities | ||
Net Regulatory Assets Pertaining to Balancing Accounts | $ 31 | $ (141) |
Commitments and Contingencie112
Commitments and Contingencies (Commitments Textual) (Details) - SCE $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)contractagreement | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Costs incurred for power purchase agreements | $ 3,300 | $ 3,200 | $ 3,800 |
Operating leases expense | $ 68 | 80 | 96 |
Renewable Energy Contracts | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Renewable energy contracts (number) | contract | 119 | ||
Signed contracts, due in next twelve months | $ 1,516 | ||
Signed contracts, due within two years | 1,606 | ||
Signed contracts, due within three years | 1,704 | ||
Signed contracts, due within four years | 1,776 | ||
Signed contracts, due within five years | 1,786 | ||
Signed contracts, due after five years | $ 22,811 | ||
Qualifying Facility Power Purchase Agreements | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
QF contracts (number) | contract | 55 | ||
Signed contracts, due in next twelve months | $ 187 | ||
Signed contracts, due within two years | 148 | ||
Signed contracts, due within three years | 87 | ||
Signed contracts, due within four years | 39 | ||
Signed contracts, due within five years | 16 | ||
Signed contracts, due after five years | $ 53 | ||
Combined Heat and Power Contracts | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Heat and power contracts (number) | agreement | 30 | ||
Other Power Purchase Agreements | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Signed contracts, due in next twelve months | $ 769 | ||
Signed contracts, due within two years | 604 | ||
Signed contracts, due within three years | 516 | ||
Signed contracts, due within four years | 472 | ||
Signed contracts, due within five years | 420 | ||
Signed contracts, due after five years | 1,258 | ||
Signed contracts, not meeting critical contract provisions | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Signed contracts, due in next twelve months | 53 | ||
Signed contracts, due within two years | 235 | ||
Signed contracts, due within three years | 312 | ||
Signed contracts, due within four years | 554 | ||
Signed contracts, due within five years | 630 | ||
Signed contracts, due after five years | 9,100 | ||
Other contractual obligations | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Cost incurred for other commitments | 141 | 182 | 90 |
Other commitments due in next twelve months | 156 | ||
Other commitments due in second year | 141 | ||
Other commitments due in third year | 103 | ||
Other commitments due in fourth year | 98 | ||
Other commitments due in fifth year | 82 | ||
Other commitments due after fifth year | 631 | ||
Other contractual obligations not meeting critical contract provisions | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Other commitments due in next twelve months | 3 | ||
Other commitments due in second year | 24 | ||
Other commitments due in third year | 94 | ||
Other commitments due in fourth year | 93 | ||
Other commitments due in fifth year | 71 | ||
Other commitments due after fifth year | 478 | ||
Operating Leases Purchase Power Contracts | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Net operating leases expense | 1,900 | 1,700 | 1,700 |
Contingent operating lease expense | 1,400 | 1,100 | 944 |
Contingent capital lease expense | $ 109 | $ 1 | $ 1 |
Commitments and Contingencie113
Commitments and Contingencies (Undiscounted Future Minimum Expected Payments for Power Purchase Agreements) (Details) - SCE $ in Millions | Dec. 31, 2016USD ($) |
Renewable Energy Contracts | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2,017 | $ 1,516 |
2,018 | 1,606 |
2,019 | 1,704 |
2,020 | 1,776 |
2,021 | 1,786 |
Thereafter | 22,811 |
Total future commitments | 31,199 |
Qualifying Facility Power Purchase Agreements | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2,017 | 187 |
2,018 | 148 |
2,019 | 87 |
2,020 | 39 |
2,021 | 16 |
Thereafter | 53 |
Total future commitments | 530 |
Other Power Purchase Agreements | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2,017 | 769 |
2,018 | 604 |
2,019 | 516 |
2,020 | 472 |
2,021 | 420 |
Thereafter | 1,258 |
Total future commitments | $ 4,039 |
Commitments and Contingencie114
Commitments and Contingencies (Power Purchase Agreement - Operating and Capital Leases) (Details) - Southern California Edison Company $ in Millions | Dec. 31, 2016USD ($) |
Operating Leases | |
Operating Leases | |
2,017 | $ 341 |
2,018 | 237 |
2,019 | 161 |
2,020 | 146 |
2,021 | 142 |
Thereafter | 1,355 |
Total future commitments | 2,382 |
Capital Leases | |
Capital Leases | |
2,017 | 1 |
2,018 | 1 |
2,019 | 1 |
2,020 | 2 |
2,021 | 2 |
Thereafter | 9 |
Total future commitments | 16 |
Amount representing executory costs | (7) |
Amount representing interest | (2) |
Net commitments | $ 7 |
Commitments and Contingencie115
Commitments and Contingencies (Other Lease Commitments) (Details) - SCE - Operating Leases – Other $ in Millions | Dec. 31, 2016USD ($) |
Operating Leased Assets [Line Items] | |
2,017 | $ 52 |
2,018 | 46 |
2,019 | 37 |
2,020 | 28 |
2,021 | 22 |
Thereafter | 258 |
Total future commitments | $ 443 |
Commitments and Contingencie116
Commitments and Contingencies (Other Commitments) (Details) - SCE - Other contractual obligations $ in Millions | Dec. 31, 2016USD ($) |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2,017 | $ 156 |
2,018 | 141 |
2,019 | 103 |
2,020 | 98 |
2,021 | 82 |
Thereafter | 631 |
Total | $ 1,211 |
Commitments and Contingencie117
Commitments and Contingencies (San Onofre CPUC Proceedings) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 7,455 | $ 7,512 |
SCE | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | 7,455 | 7,512 |
San Onofre | SCE | ||
Regulatory Assets [Line Items] | ||
Regulatory assets | $ 857 | $ 1,043 |
Commitments and Contingencie118
Commitments and Contingencies (MHI Claims) (Details) | Apr. 30, 2013USD ($)invoice | Oct. 31, 2013USD ($) | Jun. 30, 2010USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2012USD ($) |
SCE | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Damages sought | $ 112,000,000 | ||||
SCE | San Onofre | Mitsubishi Heavy Industries Ltd | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Invoices for reimbursement (number) | invoice | 7 | ||||
Invoices for repair costs | $ 149,000,000 | ||||
Invoice paid for repair costs | $ 45,000,000 | ||||
SCE portion of invoice paid for repair costs | $ 35,000,000 | ||||
SCE | San Onofre | Mitsubishi Heavy Industries Ltd | Minimum | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Damages sought | $ 4,000,000,000 | ||||
SCE | San Onofre | Mitsubishi Heavy Industries Ltd | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Allocated to customer (percent) | 50.00% | ||||
SCE allocation (percent) | 50.00% | ||||
Customers' portion of recoveries | $ 282,000,000 | ||||
SCE | San Onofre | Replacement Steam Generators | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Warranty period | 20 years | ||||
Mitsubishi Heavy Industries Ltd | San Onofre | |||||
Jointly Owned Utility Plant Interests [Line Items] | |||||
Stated liability under the purchase agreement | $ 138,000,000 | ||||
Asserted counter claim | $ 41,000,000 |
Commitments and Contingencie119
Commitments and Contingencies (Environmental Remediation) (Details) - SCE $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)site | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Jointly Owned Utility Plant Interests [Line Items] | |||
Identified material sites (number) | site | 19 | ||
Minimum estimated liability | $ 1 | ||
Recorded estimated minimum liability | $ 131 | ||
Immaterial sites (number) | site | 18 | ||
Environmental remediation regulatory assets | $ 126 | ||
Expected recovery from incentive mechanism | $ 46 | ||
Expected recovery from incentive mechanism (percent) | 90.00% | ||
Recovery through customer rates | $ 80 | ||
Recovery through customer rates (percent) | 100.00% | ||
Cost may exceed recorded liability, material sites | $ 168 | ||
Cost may exceed recorded liability, immaterial sites | $ 8 | ||
Clean up (period) | 30 years | ||
Expected remediation costs for each of the next four years, low end of range | $ 8 | ||
Expected remediation costs for each of the next four years, high end of range | 20 | ||
Environmental remediation expense | 4 | $ 5 | $ 4 |
San Onofre | |||
Jointly Owned Utility Plant Interests [Line Items] | |||
Recorded estimated minimum liability | 77 | ||
Material sites | |||
Jointly Owned Utility Plant Interests [Line Items] | |||
Recorded estimated minimum liability | 128 | ||
Immaterial sites | Minimum | |||
Jointly Owned Utility Plant Interests [Line Items] | |||
Recorded estimated minimum liability | $ 3 |
Commitments and Contingencie120
Commitments and Contingencies (Nuclear Insurance) (Details) - Insurance Claims | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Loss Contingencies [Line Items] | |
Federal loss limit, bodily injury and property damage from nuclear incident | $ 13,400,000,000 |
SCE and other owners of San Onofre and Palo Verde | San Onofre and Palo Verde | |
Loss Contingencies [Line Items] | |
Maximum private primary insurance | 450,000,000 |
ANI Facility Form coverage aggregate limit | 450,000,000 |
Minimum federal requirement of nuclear property insurance | 1,060,000,000 |
SCE | |
Loss Contingencies [Line Items] | |
Maximum assessment per each nuclear incident | 255,000,000 |
Maximum yearly assessment per nuclear incident | 38,000,000 |
Limit on assessment of retrospective premium adjustments, per year, approximate | $ 52,000,000 |
Commitments and Contingencie121
Commitments and Contingencies (Wildfire Insurance) (Details) - SCE $ in Millions | Dec. 31, 2016USD ($) |
Loss Contingencies [Line Items] | |
Threshold for wildfire claims | $ 1,000 |
Self insurance retention per wildfire occurrence | $ 10 |
Commitments and Contingencie122
Commitments and Contingencies (Spent Nuclear Fuel) (Details) - USD ($) $ in Millions | 1 Months Ended | |||
Apr. 30, 2016 | Jun. 30, 2010 | Feb. 28, 2017 | Sep. 30, 2016 | |
SCE and other owners of San Onofre and Palo Verde | ||||
Loss Contingencies [Line Items] | ||||
Damages sought | $ 142 | |||
Damage award | $ 162 | |||
SCE | ||||
Loss Contingencies [Line Items] | ||||
Damages sought | $ 112 | |||
Damage award | $ 124 | |||
Claim to recover damages incurred | $ 56 | |||
SCE | Subsequent event | ||||
Loss Contingencies [Line Items] | ||||
Claim to recover damages incurred | $ 43 |
Preferred and Preference Sto123
Preferred and Preference Stock of Utility (Textual) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Preferred and Preference Stock | |||
Preferred and Preference Stock of Utility | |||
Preferred stock, shares issued | 0 | 0 | 0 |
Preferred stock, shares redeemed | 0 | 0 | 0 |
Dividends payable | $ 12 | $ 14 | $ 18 |
SCE | Cumulative preferred stock $100 par value | |||
Preferred and Preference Stock of Utility | |||
Preferred stock, par value (in dollars per share) | $ 100 | ||
Preferred stock, shares authorized | 12,000,000 | ||
SCE | Cumulative preferred stock $25 par value | |||
Preferred and Preference Stock of Utility | |||
Preferred stock, par value (in dollars per share) | $ 25 | ||
Preferred stock, shares authorized | 24,000,000 | ||
SCE | No par value: | |||
Preferred and Preference Stock of Utility | |||
Preferred stock, shares authorized | 50,000,000 | ||
SCE | Preferred and Preference Stock | |||
Preferred and Preference Stock of Utility | |||
Dividends payable | $ 12 | $ 14 | $ 18 |
SCE | 5.45% Series K (cumulative) | |||
Preferred and Preference Stock of Utility | |||
Issuance of preference stock, during the period, value | $ 125 |
Preferred and Preference Sto124
Preferred and Preference Stock of Utility (Schedule of Preferred and Preference Stock) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Preferred and Preference Stock of Utility | ||
Edison International's preferred and preference stock of utility | $ 2,191 | $ 2,020 |
SCE | ||
Preferred and Preference Stock of Utility | ||
Edison International's preferred and preference stock of utility | $ 2,245 | 2,070 |
SCE | 4.08% Series | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 4.08% | |
Shares Outstanding | 650,000 | |
Redemption Price (in dollars per share) | $ 25.5 | |
Preferred stock before issuance costs | $ 16 | 16 |
SCE | 4.24% Series | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 4.24% | |
Shares Outstanding | 1,200,000 | |
Redemption Price (in dollars per share) | $ 25.8 | |
Preferred stock before issuance costs | $ 30 | 30 |
SCE | 4.32% Series | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 4.32% | |
Shares Outstanding | 1,653,429 | |
Redemption Price (in dollars per share) | $ 28.75 | |
Preferred stock before issuance costs | $ 41 | 41 |
SCE | 4.78% Series | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 4.78% | |
Shares Outstanding | 1,296,769 | |
Redemption Price (in dollars per share) | $ 25.8 | |
Preferred stock before issuance costs | $ 33 | 33 |
SCE | Preference stock | ||
Preferred and Preference Stock of Utility | ||
Preferred stock before issuance costs | 2,245 | 2,070 |
Less issuance costs | (54) | (50) |
Edison International's preferred and preference stock of utility | $ 2,191 | 2,020 |
SCE | 6.50% Series D (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 6.50% | |
Shares Outstanding | 1,250,000 | |
Redemption Price (in dollars per share) | $ 100 | |
Preferred stock before issuance costs | $ 0 | 125 |
SCE | 6.25% Series E (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 6.25% | |
Shares Outstanding | 350,000 | |
Redemption Price (in dollars per share) | $ 1,000 | |
Preferred stock before issuance costs | $ 350 | 350 |
SCE | 5.625% Series F (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 5.625% | |
Shares Outstanding | 190,004 | |
Redemption Price (in dollars per share) | $ 2,500 | |
Preferred stock before issuance costs | $ 475 | 475 |
SCE | 5.10% Series G (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 5.10% | |
Shares Outstanding | 160,004 | |
Redemption Price (in dollars per share) | $ 2,500 | |
Preferred stock before issuance costs | $ 400 | 400 |
SCE | 5.75% Series H (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 5.75% | |
Shares Outstanding | 110,004 | |
Redemption Price (in dollars per share) | $ 2,500 | |
Preferred stock before issuance costs | $ 275 | 275 |
SCE | 5.375% Series J (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 5.375% | |
Shares Outstanding | 130,004 | |
Redemption Price (in dollars per share) | $ 2,500 | |
Preferred stock before issuance costs | $ 325 | 325 |
SCE | 5.45% Series K (cumulative) | ||
Preferred and Preference Stock of Utility | ||
Preferred Stock, dividend rate, (as a percent) | 5.45% | |
Shares Outstanding | 120,004 | |
Redemption Price (in dollars per share) | $ 2,500 | |
Preferred stock before issuance costs | $ 300 | $ 0 |
Accumulated Other Comprehens125
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension and PBOP – net gain (loss): | |||
Other | $ 1 | $ 0 | $ 2 |
Accumulated Other Comprehensive Loss | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (56) | (58) | |
Pension and PBOP – net gain (loss): | |||
Ending balance | (53) | (56) | (58) |
Accumulated Defined Benefit Plans Adjustment | |||
Pension and PBOP – net gain (loss): | |||
Other comprehensive (loss) income before reclassifications | (4) | (8) | |
Reclassified from accumulated other comprehensive loss | 6 | 10 | |
Other | 1 | 0 | |
Change | 3 | 2 | |
SCE | |||
Pension and PBOP – net gain (loss): | |||
Other | 1 | 0 | 2 |
SCE | Accumulated Other Comprehensive Loss | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (22) | (28) | |
Pension and PBOP – net gain (loss): | |||
Ending balance | (20) | (22) | $ (28) |
SCE | Accumulated Defined Benefit Plans Adjustment | |||
Pension and PBOP – net gain (loss): | |||
Other comprehensive (loss) income before reclassifications | (2) | 1 | |
Reclassified from accumulated other comprehensive loss | 3 | 5 | |
Other | 1 | 0 | |
Change | $ 2 | $ 6 |
Interest and Other Income an126
Interest and Other Income and Other Expenses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
SCE interest and other income: | |||
Total Edison International interest and other income | $ 123 | $ 174 | $ 147 |
SCE other expenses: | |||
Total Edison International other expenses | (44) | (59) | (80) |
SCE | |||
SCE interest and other income: | |||
Equity allowance for funds used during construction | 74 | 87 | 65 |
Increase in cash surrender value of life insurance policies and life insurance benefits | 39 | 26 | 36 |
Interest income | 3 | 4 | 5 |
Other | 7 | 6 | 16 |
Total SCE interest and other income | 123 | 123 | 122 |
Total Edison International interest and other income | 123 | 123 | 122 |
SCE other expenses: | |||
Civic, political and related activities and donations | (32) | (35) | (35) |
Other | (12) | (24) | (44) |
Total SCE other expenses | (44) | (59) | (79) |
Total Edison International other expenses | (44) | (59) | (79) |
Edison International Parent and Other | |||
SCE interest and other income: | |||
Other income of Edison International Parent and Other1 | 0 | 51 | 25 |
SCE other expenses: | |||
Other expense of Edison International Parent and Other | $ 0 | $ 0 | $ (1) |
Discontinued Operations (Detail
Discontinued Operations (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 31, 2014installment | Apr. 30, 2014USD ($) | Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Income (loss) from discontinued operations, net of tax | $ 13 | $ 0 | $ (2) | $ 1 | $ (8) | $ 43 | $ 0 | $ 0 | $ 12 | $ 35 | $ 185 | ||
Income (loss) before income taxes | 1 | 15 | (525) | ||||||||||
Income tax benefits | (11) | (21) | (710) | ||||||||||
Edison Mission Energy | |||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Cash portion of settlement payment | $ 225 | ||||||||||||
Number of installments | installment | 2 | ||||||||||||
Installment one, tax attribute settlement | $ 204 | ||||||||||||
Installment two, tax attribute settlement | $ 214 | ||||||||||||
Edison International | |||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||
Income (loss) from discontinued operations, net of tax | $ 12 | $ 35 | 185 | ||||||||||
Income tax benefits | $ (710) |
Supplemental Cash Flows Info128
Supplemental Cash Flows Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash payments (receipts) for interest and taxes: | |||
Interest, net of amounts capitalized | $ 504 | $ 512 | $ 504 |
Tax payments (refunds), net | 18 | 1 | 32 |
Details of debt exchange: | |||
Pollution-control bonds redeemed (2.875%) | 0 | (203) | 0 |
Pollution-control bonds issued (1.875%) | 0 | 203 | 0 |
Notes issued under EME Settlement Agreement | 0 | 0 | 418 |
Common Stock | |||
Non-cash financing and investing activities: | |||
Dividends declared but not paid | 177 | 156 | 136 |
Preference stock | |||
Non-cash financing and investing activities: | |||
Dividends declared but not paid | $ 12 | $ 14 | $ 18 |
2.875% Pollution-Control Bonds | |||
Details of debt exchange: | |||
Interest rate on converted debt | 2.875% | 2.875% | 2.875% |
1.875% Pollution-Control Bonds Due in 2029 | |||
Details of debt exchange: | |||
Interest rate on converted debt | 1.875% | 1.875% | 1.875% |
SCE | |||
Cash payments (receipts) for interest and taxes: | |||
Interest, net of amounts capitalized | $ 475 | $ 478 | $ 487 |
Tax payments (refunds), net | 78 | 144 | (88) |
Details of debt exchange: | |||
Pollution-control bonds redeemed (2.875%) | 0 | (203) | 0 |
Pollution-control bonds issued (1.875%) | 0 | 203 | 0 |
Notes issued under EME Settlement Agreement | 0 | 0 | 0 |
Accrued capital expenditures | 540 | 543 | 837 |
Reduction in lease obligation | 147 | ||
SCE | Common Stock | |||
Non-cash financing and investing activities: | |||
Dividends declared but not paid | 0 | 0 | 147 |
SCE | Preference stock | |||
Non-cash financing and investing activities: | |||
Dividends declared but not paid | $ 12 | $ 14 | $ 18 |
SCE | 2.875% Pollution-Control Bonds | |||
Details of debt exchange: | |||
Interest rate on converted debt | 2.875% | 2.875% | 2.875% |
SCE | 1.875% Pollution-Control Bonds Due in 2029 | |||
Details of debt exchange: | |||
Interest rate on converted debt | 1.875% | 1.875% | 1.875% |
Quarterly Financial Data (Un129
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Data [Line Items] | |||||||||||
Total operating revenue | $ 2,884 | $ 3,767 | $ 2,777 | $ 2,440 | $ 2,341 | $ 3,763 | $ 2,908 | $ 2,512 | $ 11,869 | $ 11,524 | $ 13,413 |
Operating income | 566 | 695 | 381 | 448 | 340 | 608 | 524 | 538 | 2,092 | 2,008 | 2,472 |
Net income | 1,425 | 1,117 | 1,721 | ||||||||
Income (loss) from continuing operations | 347 | 451 | 310 | 305 | (47) | 405 | 406 | 318 | 1,413 | 1,082 | 1,536 |
Income (loss) from discontinued operations, net | 13 | 0 | (2) | 1 | (8) | 43 | 0 | 0 | 12 | 35 | 185 |
Net income (loss) attributable to common shareholders | $ 329 | $ 421 | $ 280 | $ 281 | $ (79) | $ 421 | $ 379 | $ 299 | $ 1,311 | $ 1,020 | $ 1,612 |
Basic earnings per share – continuing operations: | |||||||||||
Continuing operations (in dollars per share) | $ 0.97 | $ 1.29 | $ 0.87 | $ 0.86 | $ (0.22) | $ 1.16 | $ 1.16 | $ 0.92 | $ 3.99 | $ 3.02 | $ 4.38 |
Discontinued operations (in dollars per share) | 0.04 | 0 | (0.01) | 0 | (0.02) | 0.13 | 0 | 0 | 0.03 | 0.11 | 0.57 |
Total (in dollars per share) | 1.01 | 1.29 | 0.86 | 0.86 | (0.24) | 1.29 | 1.16 | 0.92 | 4.02 | 3.13 | 4.95 |
Diluted earnings per share – continuing operations: | |||||||||||
Continuing operations (in dollars per share) | 0.96 | 1.27 | 0.86 | 0.85 | (0.22) | 1.15 | 1.15 | 0.91 | 3.94 | 2.99 | 4.33 |
Diluted earnings (loss) per share – discontinued operations (in dollars per share) | 0.04 | 0 | (0.01) | 0 | (0.02) | 0.13 | 0 | 0 | 0.03 | 0.11 | 0.56 |
Total (in dollars per share) | 1 | 1.27 | 0.85 | 0.85 | (0.24) | 1.28 | 1.15 | 0.91 | 3.97 | 3.10 | 4.89 |
Dividends declared per common share (in dollars per share) | 0.5425 | 0.4800 | 0.4800 | 0.4800 | 0.48 | 0.4175 | 0.4175 | 0.4175 | 1.9825 | 1.7325 | $ 1.4825 |
Common stock prices: | |||||||||||
High (in dollars per share) | 73.81 | 78.72 | 77.71 | 72.34 | 66.29 | 63.18 | 64.55 | 69.59 | 78.72 | 69.59 | |
Low (in dollars per share) | 67.44 | 71.31 | 67.71 | 57.97 | 57.51 | 55.52 | 55.18 | 61.02 | 57.97 | 55.18 | |
Close (in dollars per share) | $ 71.99 | $ 72.25 | $ 77.67 | $ 71.89 | $ 59.21 | $ 63.07 | $ 55.58 | $ 62.47 | $ 71.99 | $ 59.21 | |
Disallowance of Repair Allowance Deduction | |||||||||||
Common stock prices: | |||||||||||
Income tax charge (benefit) | $ (133) | ||||||||||
As reported in Form 10-Q filings | |||||||||||
Quarterly Financial Data [Line Items] | |||||||||||
Income (loss) from continuing operations | $ 449 | $ 306 | $ 295 | ||||||||
Net income (loss) attributable to common shareholders | $ 419 | $ 276 | $ 271 | ||||||||
Basic earnings per share – continuing operations: | |||||||||||
Continuing operations (in dollars per share) | $ 1.29 | $ 0.86 | $ 0.83 | ||||||||
Diluted earnings per share – continuing operations: | |||||||||||
Continuing operations (in dollars per share) | $ 1.27 | $ 0.85 | $ 0.82 | ||||||||
SCE | |||||||||||
Quarterly Financial Data [Line Items] | |||||||||||
Total operating revenue | $ 2,874 | $ 3,752 | $ 2,768 | $ 2,435 | $ 2,319 | $ 3,757 | $ 2,901 | $ 2,508 | $ 11,830 | $ 11,485 | 13,380 |
Operating income | 594 | 721 | 429 | 472 | 366 | 626 | 536 | 550 | 2,217 | 2,080 | 2,529 |
Net income | 359 | 466 | 349 | 325 | (51) | 417 | 412 | 333 | 1,499 | 1,111 | 1,565 |
Net income (loss) attributable to common shareholders | 328 | 435 | 318 | 295 | (80) | 389 | 384 | 305 | 1,376 | 998 | $ 1,453 |
Common stock prices: | |||||||||||
Common dividends declared | $ 191 | 170 | 170 | 170 | 170 | $ 147 | $ 147 | $ 147 | $ 701 | 611 | |
SCE | Disallowance of Repair Allowance Deduction | |||||||||||
Common stock prices: | |||||||||||
Income tax charge (benefit) | $ 382 | $ 382 | |||||||||
SCE | As reported in Form 10-Q filings | |||||||||||
Quarterly Financial Data [Line Items] | |||||||||||
Net income | 466 | 346 | 317 | ||||||||
Net income (loss) attributable to common shareholders | $ 435 | $ 315 | $ 287 |
Schedule I - Condensed Finan130
Schedule I - Condensed Financial Information of Parent (Details) | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Assets: | |||||||||||||||
Cash and cash equivalents | $ 96,000,000 | $ 161,000,000 | $ 161,000,000 | $ 132,000,000 | $ 161,000,000 | $ 132,000,000 | $ 146,000,000 | $ 96,000,000 | $ 161,000,000 | $ 132,000,000 | $ 146,000,000 | ||||
Other current assets | 281,000,000 | 251,000,000 | |||||||||||||
Total current assets | 2,123,000,000 | 2,654,000,000 | |||||||||||||
Other long-term assets | 415,000,000 | 360,000,000 | |||||||||||||
Total assets | 51,319,000,000 | 50,229,000,000 | |||||||||||||
Liabilities and equity: | |||||||||||||||
Short-term debt | 1,307,000,000 | 695,000,000 | |||||||||||||
Current portion of long-term debt | 981,000,000 | 295,000,000 | |||||||||||||
Other current liabilities | 991,000,000 | 967,000,000 | |||||||||||||
Total current liabilities | 5,912,000,000 | 4,927,000,000 | |||||||||||||
Long-term debt | 10,175,000,000 | 10,883,000,000 | |||||||||||||
Total equity | 14,187,000,000 | 13,388,000,000 | 12,982,000,000 | 11,691,000,000 | |||||||||||
Total liabilities and equity | 51,319,000,000 | $ 50,229,000,000 | |||||||||||||
Condensed Statements of Income: | |||||||||||||||
Interest income from affiliates | 2,884,000,000 | $ 3,767,000,000 | $ 2,777,000,000 | 2,440,000,000 | 2,341,000,000 | $ 3,763,000,000 | $ 2,908,000,000 | 2,512,000,000 | 11,869,000,000 | 11,524,000,000 | 13,413,000,000 | ||||
Operating expenses and interest expense | 9,777,000,000 | 9,516,000,000 | 10,941,000,000 | ||||||||||||
Operating income (loss) | 566,000,000 | 695,000,000 | 381,000,000 | 448,000,000 | 340,000,000 | 608,000,000 | 524,000,000 | 538,000,000 | 2,092,000,000 | 2,008,000,000 | 2,472,000,000 | ||||
Income tax benefit | 177,000,000 | 486,000,000 | 443,000,000 | ||||||||||||
Income from continuing operations | 347,000,000 | 451,000,000 | 310,000,000 | 305,000,000 | (47,000,000) | 405,000,000 | 406,000,000 | 318,000,000 | 1,413,000,000 | 1,082,000,000 | 1,536,000,000 | ||||
Income from discontinued operations, net of tax | 13,000,000 | 0 | (2,000,000) | 1,000,000 | (8,000,000) | 43,000,000 | 0 | 0 | 12,000,000 | 35,000,000 | 185,000,000 | ||||
Condensed Statements of Comprehensive Income | |||||||||||||||
Other comprehensive income (loss), net of tax | 3,000,000 | 2,000,000 | (45,000,000) | ||||||||||||
Comprehensive income | 1,314,000,000 | 1,022,000,000 | 1,567,000,000 | ||||||||||||
Condensed Statements of Cash Flows: | |||||||||||||||
Net cash provided by (used in) operating activities | 3,256,000,000 | 4,509,000,000 | 3,248,000,000 | ||||||||||||
Cash flows from financing activities: | |||||||||||||||
Long-term debt issued | 397,000,000 | 1,420,000,000 | 494,000,000 | ||||||||||||
Short-term debt financing, net | 611,000,000 | (572,000,000) | 1,079,000,000 | ||||||||||||
Dividends paid | (626,000,000) | (544,000,000) | (463,000,000) | ||||||||||||
Net cash (used in) provided by financing activities | 95,000,000 | (588,000,000) | 645,000,000 | ||||||||||||
Net cash used in investing activities | (3,416,000,000) | (3,892,000,000) | (3,907,000,000) | ||||||||||||
Net (decrease) increase in cash and cash equivalents | (65,000,000) | 29,000,000 | (14,000,000) | ||||||||||||
Cash and cash equivalents, beginning of year | 161,000,000 | 132,000,000 | 161,000,000 | 132,000,000 | 146,000,000 | ||||||||||
Cash and cash equivalents, end of year | 96,000,000 | 161,000,000 | 96,000,000 | 161,000,000 | 132,000,000 | ||||||||||
Senior Notes Due 2017 | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Interest rate on debt (as a percent) | 3.75% | ||||||||||||||
Multi-year credit facilities | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Commitment | $ 1,250,000,000 | ||||||||||||||
Weighted average interest rate (as a percent) | 0.97% | 0.78% | |||||||||||||
Outstanding borrowings (outstanding commercial paper was $619 million at year-end) | $ (538,000,000) | $ (646,000,000) | |||||||||||||
Amount available | 712,000,000 | ||||||||||||||
Senior notes | 2.95% Senior notes due 2023 | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Debt, face amount | $ 400,000,000 | ||||||||||||||
Interest rate on debt (as a percent) | 2.95% | ||||||||||||||
Edison International | |||||||||||||||
Assets: | |||||||||||||||
Cash and cash equivalents | 6,000,000 | $ 7,000,000 | 7,000,000 | 8,000,000 | 7,000,000 | 8,000,000 | 13,000,000 | 6,000,000 | 7,000,000 | 8,000,000 | 13,000,000 | ||||
Other current assets | 261,000,000 | 259,000,000 | |||||||||||||
Total current assets | 267,000,000 | 266,000,000 | |||||||||||||
Investments in subsidiaries | 13,459,000,000 | 12,696,000,000 | |||||||||||||
Deferred income taxes | 646,000,000 | 626,000,000 | |||||||||||||
Other long-term assets | 108,000,000 | 110,000,000 | |||||||||||||
Total assets | 14,480,000,000 | 13,698,000,000 | |||||||||||||
Liabilities and equity: | |||||||||||||||
Short-term debt | 539,000,000 | 646,000,000 | |||||||||||||
Current portion of long-term debt | 400,000,000 | 214,000,000 | |||||||||||||
Other current liabilities | 484,000,000 | 368,000,000 | |||||||||||||
Total current liabilities | 1,423,000,000 | 1,228,000,000 | |||||||||||||
Long-term debt | 397,000,000 | 398,000,000 | |||||||||||||
Other long-term liabilities | 664,000,000 | 704,000,000 | |||||||||||||
Total equity | 11,996,000,000 | 11,368,000,000 | |||||||||||||
Total liabilities and equity | 14,480,000,000 | 13,698,000,000 | |||||||||||||
Condensed Statements of Income: | |||||||||||||||
Interest income from affiliates | 6,000,000 | 3,000,000 | 3,000,000 | ||||||||||||
Operating expenses and interest expense | 86,000,000 | 78,000,000 | 94,000,000 | ||||||||||||
Operating income (loss) | (80,000,000) | (75,000,000) | (91,000,000) | ||||||||||||
Equity in earnings of subsidiaries | 1,337,000,000 | 1,025,000,000 | 1,482,000,000 | ||||||||||||
Income before income taxes | 1,257,000,000 | 950,000,000 | 1,391,000,000 | ||||||||||||
Income tax benefit | (42,000,000) | (35,000,000) | (36,000,000) | ||||||||||||
Income from continuing operations | 1,299,000,000 | 985,000,000 | 1,427,000,000 | ||||||||||||
Income from discontinued operations, net of tax | 12,000,000 | 35,000,000 | 185,000,000 | ||||||||||||
Net income | 1,311,000,000 | 1,020,000,000 | 1,612,000,000 | ||||||||||||
Condensed Statements of Comprehensive Income | |||||||||||||||
Net income | 1,311,000,000 | 1,020,000,000 | 1,612,000,000 | ||||||||||||
Other comprehensive income (loss), net of tax | 3,000,000 | 2,000,000 | (45,000,000) | ||||||||||||
Comprehensive income | 1,314,000,000 | 1,022,000,000 | 1,567,000,000 | ||||||||||||
Condensed Statements of Cash Flows: | |||||||||||||||
Net cash provided by (used in) operating activities | 493,000,000 | 641,000,000 | (73,000,000) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||
Long-term debt issued | 400,000,000 | 0 | 0 | ||||||||||||
Long-term debt issuance costs | (3,000,000) | 0 | 0 | ||||||||||||
Payable due to affiliates | 34,000,000 | 54,000,000 | 66,000,000 | ||||||||||||
Short-term debt financing, net | (108,000,000) | 26,000,000 | 584,000,000 | ||||||||||||
Settlements of stock-based compensation, net | (44,000,000) | (42,000,000) | (24,000,000) | ||||||||||||
Dividends paid | (626,000,000) | (544,000,000) | (463,000,000) | ||||||||||||
Net cash (used in) provided by financing activities | (347,000,000) | (506,000,000) | 163,000,000 | ||||||||||||
Capital contributions to affiliate | (147,000,000) | (30,000,000) | (35,000,000) | ||||||||||||
Loans to affiliate | 0 | (106,000,000) | (60,000,000) | ||||||||||||
Net cash used in investing activities | (147,000,000) | (136,000,000) | (95,000,000) | ||||||||||||
Net (decrease) increase in cash and cash equivalents | (1,000,000) | (1,000,000) | (5,000,000) | ||||||||||||
Cash and cash equivalents, beginning of year | 7,000,000 | 8,000,000 | 7,000,000 | 8,000,000 | 13,000,000 | ||||||||||
Cash and cash equivalents, end of year | 6,000,000 | 7,000,000 | 6,000,000 | 7,000,000 | 8,000,000 | ||||||||||
Basis of Presentation | |||||||||||||||
Cash dividends received from consolidated subsidiaries | 701,000,000 | 758,000,000 | 378,000,000 | ||||||||||||
Related Party Transactions | |||||||||||||||
Current receivables due from affiliates | 262,000,000 | 252,000,000 | |||||||||||||
Current payables due to affiliates | 221,000,000 | 149,000,000 | |||||||||||||
Long-term receivables due from affiliate | 103,000,000 | 105,000,000 | |||||||||||||
Long-term payables due to affiliates | $ 243,000,000 | 213,000,000 | |||||||||||||
Edison International | Senior Notes Due 2017 | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Interest rate on debt (as a percent) | 3.75% | ||||||||||||||
Senior notes | $ 400,000,000 | 400,000,000 | |||||||||||||
Edison International | Credit Facility July 2020 | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Commitment | 1,250,000,000 | ||||||||||||||
Edison International | Revolving credit facility maturing in July 2018 | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Amount available | $ 712,000,000 | ||||||||||||||
Covenant requirement, consolidated debt to total capitalization, ratio | 0.65 | ||||||||||||||
Consolidated debt to total capitalization, ratio | 0.47 | ||||||||||||||
Edison International | SCE | |||||||||||||||
Related Party Transactions | |||||||||||||||
Expenses from services provided by SCE | 3,000,000 | 3,000,000 | 3,000,000 | ||||||||||||
Interest expense from loans due to affiliates | 3,000,000 | 6,000,000 | 1,000,000 | ||||||||||||
SCE | |||||||||||||||
Assets: | |||||||||||||||
Cash and cash equivalents | 39,000,000 | 26,000,000 | 26,000,000 | 38,000,000 | 26,000,000 | 38,000,000 | 54,000,000 | $ 39,000,000 | 26,000,000 | 38,000,000 | 54,000,000 | ||||
Other current assets | 262,000,000 | 234,000,000 | |||||||||||||
Total current assets | 2,031,000,000 | 2,443,000,000 | |||||||||||||
Other long-term assets | 231,000,000 | 239,000,000 | |||||||||||||
Total assets | 50,891,000,000 | 49,795,000,000 | |||||||||||||
Liabilities and equity: | |||||||||||||||
Short-term debt | 769,000,000 | 49,000,000 | |||||||||||||
Current portion of long-term debt | 579,000,000 | 79,000,000 | |||||||||||||
Other current liabilities | 729,000,000 | 760,000,000 | |||||||||||||
Total current liabilities | 4,707,000,000 | 3,821,000,000 | |||||||||||||
Long-term debt | 9,754,000,000 | 10,460,000,000 | |||||||||||||
Total equity | 14,483,000,000 | 13,672,000,000 | $ 13,282,000,000 | $ 12,138,000,000 | |||||||||||
Total liabilities and equity | 50,891,000,000 | $ 49,795,000,000 | |||||||||||||
Condensed Statements of Income: | |||||||||||||||
Interest income from affiliates | 2,874,000,000 | 3,752,000,000 | 2,768,000,000 | 2,435,000,000 | 2,319,000,000 | 3,757,000,000 | 2,901,000,000 | 2,508,000,000 | 11,830,000,000 | 11,485,000,000 | 13,380,000,000 | ||||
Operating expenses and interest expense | 9,613,000,000 | 9,405,000,000 | 10,851,000,000 | ||||||||||||
Operating income (loss) | 594,000,000 | $ 721,000,000 | $ 429,000,000 | 472,000,000 | 366,000,000 | $ 626,000,000 | $ 536,000,000 | 550,000,000 | 2,217,000,000 | 2,080,000,000 | 2,529,000,000 | ||||
Income tax benefit | 256,000,000 | 507,000,000 | 474,000,000 | ||||||||||||
Condensed Statements of Comprehensive Income | |||||||||||||||
Other comprehensive income (loss), net of tax | 2,000,000 | 6,000,000 | (17,000,000) | ||||||||||||
Condensed Statements of Cash Flows: | |||||||||||||||
Net cash provided by (used in) operating activities | 3,523,000,000 | 4,624,000,000 | 3,660,000,000 | ||||||||||||
Cash flows from financing activities: | |||||||||||||||
Long-term debt issued | 0 | 1,413,000,000 | 498,000,000 | ||||||||||||
Short-term debt financing, net | 719,000,000 | (619,000,000) | 490,000,000 | ||||||||||||
Dividends paid | (824,000,000) | (874,000,000) | (489,000,000) | ||||||||||||
Net cash (used in) provided by financing activities | (219,000,000) | (812,000,000) | 181,000,000 | ||||||||||||
Net cash used in investing activities | (3,291,000,000) | (3,824,000,000) | (3,857,000,000) | ||||||||||||
Net (decrease) increase in cash and cash equivalents | 13,000,000 | (12,000,000) | (16,000,000) | ||||||||||||
Cash and cash equivalents, beginning of year | $ 26,000,000 | $ 38,000,000 | 26,000,000 | 38,000,000 | 54,000,000 | ||||||||||
Cash and cash equivalents, end of year | $ 39,000,000 | $ 26,000,000 | $ 39,000,000 | $ 26,000,000 | $ 38,000,000 | ||||||||||
Basis of Presentation | |||||||||||||||
Minimum percentage of weighted-average common equity component authorization, set by CPUC (as a percent) | 48.00% | ||||||||||||||
Weighted-average common equity component authorization, set by CPUC remaining over number of months (in months) | 13 months | ||||||||||||||
Period for calculation of weighted average common equity component (months) | 13 months | ||||||||||||||
Weighted-average common equity component of total capitalization (as a percent) | 50.40% | ||||||||||||||
Capacity to pay additional dividends | $ 585,000,000 | ||||||||||||||
Restriction on net assets | 13,900,000,000 | ||||||||||||||
SCE | Multi-year credit facilities | |||||||||||||||
Debt and Credit Agreements | |||||||||||||||
Commitment | 2,750,000,000 | ||||||||||||||
Outstanding borrowings (outstanding commercial paper was $619 million at year-end) | (769,000,000) | ||||||||||||||
Amount available | $ 1,890,000,000 |
Schedule II - Valuation and 131
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | $ 61.7 | $ 72.2 | $ 70 | |
Charged to Costs and Expenses | 33.6 | 41.9 | 43.8 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 33.5 | 52.4 | 41.6 | |
Balance at End of Period | 61.8 | 61.7 | 72.2 | |
Deferred tax assets, loss and credit carryforwards | 1,418 | 1,388 | $ 2,200 | |
Customers | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 46.2 | 48.9 | 52.2 | |
Charged to Costs and Expenses | 17.7 | 23.9 | 24.1 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 22.7 | 26.6 | 27.4 | |
Balance at End of Period | 41.2 | 46.2 | 48.9 | |
All others | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 15.5 | 23.3 | 17.8 | |
Charged to Costs and Expenses | 15.9 | 18 | 19.7 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 10.8 | 25.8 | 14.2 | |
Balance at End of Period | 20.6 | 15.5 | 23.3 | |
Tax valuation allowance | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 32 | 29 | 1,380 | |
Charged to Costs and Expenses | 0 | 3 | 0 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 8 | 0 | 1,351 | |
Balance at End of Period | 24 | 32 | 29 | |
Edison Mission Energy | ||||
Movement in Valuation and Qualifying Accounts | ||||
Deferred tax assets, loss and credit carryforwards | 1,600 | |||
Deferred income tax benefits, net | $ 220 | |||
Southern California Edison Company | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 61.7 | 67.6 | 65.5 | |
Charged to Costs and Expenses | 32.9 | 41.9 | 43.7 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 33.5 | 47.8 | 41.6 | |
Balance at End of Period | 61.1 | 61.7 | 67.6 | |
Deferred tax assets, loss and credit carryforwards | 0 | 0 | ||
Southern California Edison Company | Customers | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 46.2 | 48.9 | 52.2 | |
Charged to Costs and Expenses | 17 | 23.9 | 24.1 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 22.7 | 26.6 | 27.4 | |
Balance at End of Period | 40.5 | 46.2 | 48.9 | |
Southern California Edison Company | All others | ||||
Movement in Valuation and Qualifying Accounts | ||||
Balance at Beginning of Period | 15.5 | 18.7 | 13.3 | |
Charged to Costs and Expenses | 15.9 | 18 | 19.6 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions | 10.8 | 21.2 | 14.2 | |
Balance at End of Period | $ 20.6 | $ 15.5 | $ 18.7 |