EXHIBIT 99.1
FOR IMMEDIATE RELEASE | Media relations contact: | |
Charles Coleman, (626) 302-7982
Investor relations contact: Scott Cunningham, (626) 302-2540 |
Edison International Reports Fourth Quarter 2010 Results;
Announces 2011 Earnings Guidance
ROSEMEAD, Calif., Feb. 28, 2011 – Edison International (NYSE: EIX) today reported fourth quarter 2010 basic earnings of $0.51 per share, compared to $0.65 per share in the same quarter last year. Fourth quarter 2010 core earnings were $0.58 per share, compared to core earnings of $0.59 per share in the fourth quarter of 2009. Higher fourth quarter earnings at Southern California Edison (SCE) were more than offset by lower results at Edison Mission Group (EMG) and higher parent company costs.
For 2010, the company reported basic earnings of $3.84 per share compared to $2.59 per share in 2009, while core earnings for 2010 increased 7 percent to $3.48 per share compared to $3.25 per share in 2009. The improvement in core earnings was driven by higher earnings at SCE, offset by a decline in earnings at EMG and a slight increase in parent company costs.
“Edison International had a solid year, led by SCE’s strong earnings growth,” said Theodore F. Craver, Jr., chairman and chief executive officer of Edison International. “Looking ahead to 2011, we expect continued earnings growth at SCE. EMG faces weak power market fundamentals in the year ahead, but we see positive value in the business as power market fundamentals improve.”
Fourth Quarter Earnings Detail
SCE’s fourth quarter 2010 basic earnings were $0.56 per share compared to $0.53 per share in the fourth quarter of 2009. Core earnings were also $0.56 per share while fourth quarter 2009 earnings were $0.51 per share. The core earnings increase was primarily driven by rate base growth. Fourth quarter 2009 results included a non-core benefit related to tax settlements.
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Note: GAAP earnings and losses refer to net income or losses attributable to Edison International throughout this release. Core earnings is a non-GAAP financial measure. See Reconciliation of Core Earnings to GAAP Earnings and Reconciliation of Core Earnings Guidance to GAAP Earnings Guidance.
Edison International Reports Fourth Quarter 2010 Financial Results
Page 2 of 13
EMG’s fourth quarter 2010 basic earnings were $0.03 per share compared to $0.17 per share in the fourth quarter of 2009. Core earnings were $0.10 per share compared to $0.13 per share in the same quarter last year. Core earnings declined largely from higher income tax expense and lower trading revenues. Fourth quarter 2010 results included a non-core charge related to write-offs of capitalized costs at its Powerton plant in Illinois. Fourth quarter 2009 results included a non-core benefit from tax settlements.
Edison International parent company and other reported a fourth quarter 2010 loss of $0.08 per share compared to a $0.05 per share loss in the fourth quarter of 2009 due to higher income tax expense.
Full-Year Earnings Detail
SCE’s basic earnings in 2010 were $3.19 per share compared to $3.76 per share in 2009. Core earnings in 2010 were $3.01 per share compared to $2.68 per share in 2009. The increase in core earnings was primarily due to rate base growth, lower income tax expense and earnings from construction activities. The lower tax expense in 2010 includes a change in the method of tax accounting for asset removal costs primarily related to SCE’s infrastructure replacement program.Non-core items in 2010 included benefits from tax settlements and a charge related to health care legislation, and in 2009 included benefits from the tax settlements and transferring a power plant to utility rate base.
EMG’s basic earnings in 2010 were $0.69 per share compared to a 2009 loss of $1.21 per share. Core earnings were $0.59 per share compared to $0.68 per share in 2009. EMG’s core earnings were lower primarily from higher plant maintenance costs in 2010 due to scheduled merchant power plant outages, unrealized hedge-related accounting losses in 2010 compared to unrealized gains in 2009, and higher income tax expense. The decline was partially offset by higher energy trading revenues. Non-core items included the impacts of discontinued operations in both periods, a benefit from tax settlements and the charge from the write-off of capitalized costs in 2010, and a charge related to the tax settlements and related termination of leases in 2009.
Edison International parent company and other reported a 2010 basic loss of $0.04 per share compared to basic earnings of $0.04 per share in the prior year. Core losses were $0.12 per share in 2010 and $0.11 per share in 2009. Core losses exclude non-core benefits associated with the global settlement in both years.
2011 Earnings Guidance
The company announced 2011 core earnings guidance of $2.60 to $2.90 per share. See the risk disclosure statement on page 4 and the presentation accompanying the company’s conference call for further information.
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Edison International Reports Fourth Quarter 2010 Financial Results
Page 3 of 13
Reconciliation of Core Earnings Guidance to Basic Earnings Guidance1
Per Share | 2011 Earnings Guidance | |||
EIX core earnings1 | $ | 2.60 - $2.90 | ||
Non-Core Items | — | |||
EIX basic earnings | $ | 2.60 - $2.90 | ||
Midpoint of 2011 core guidance by business element: | ||||
SCE | $ | 3.08 | ||
EMG | (0.19 | ) | ||
EIX parent company and other | (0.14 | ) | ||
Total | $ | 2.75 | ||
1 | See Use of Non-GAAP Financial Measures on page 4. Basic earnings per share refer to basic earnings per common share attributable to Edison International common shareholders. There is no expected impact of participating securities. |
About Edison International
Edison International, through its subsidiaries, is a generator and distributor of electric power and an investor in infrastructure and energy assets, including renewable energy. Headquartered in Rosemead, California, Edison International is the parent company of Southern California Edison, one of the nation’s largest electric utilities, and Edison Mission Group, a competitive power generation business and parent company to Edison Mission Energy and Edison Capital.
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Edison International Reports Fourth Quarter 2010 Financial Results
Page 4 of 13
Appendix
Use of Non-GAAP Financial Measures, Conference Call Information,
Risk Disclosure Statement and Financial Schedules
Use of Non-GAAP Financial Measures
Edison International’s earnings are prepared in accordance with generally accepted accounting principles used in the United States and represent the company’s earnings as reported to the Securities and Exchange Commission. Our management uses core earnings and earnings per share (EPS) by principal operating subsidiary internally for financial planning and for analysis of performance. We also use core earnings and EPS by principal operating subsidiary when communicating with analysts and investors regarding our earnings results and outlook to facilitate comparisons of the Company’s performance from period to period.
Core earnings is a non-GAAP financial measure and may not be comparable to those of other companies. Core earnings and core earnings per share are defined as GAAP earnings and basic earnings per share excluding income or loss from discontinued operations and income or loss from significant discrete items that management does not consider representative of ongoing earnings. GAAP earnings refer to net income attributable to Edison International common shareholders or attributable to the common shareholders of each subsidiary. Core earnings are reconciled to GAAP earnings in the attached tables. EPS by principal operating subsidiary is based on the principal operating subsidiaries’ net income attributable to the common shareholders of each operating subsidiary, respectively, and Edison International’s weighted average outstanding common shares. The impact of participating securities (vested stock options that earn dividend equivalents that may participate in undistributed earnings with common stock) for each principal operating subsidiary is not material to each principal operating subsidiary’s EPS and is therefore reflected in the results of the Edison International holding company, which we refer to as EIX parent company and other. EIX core EPS and core EPS by principal operating subsidiary are reconciled to basic EPS.
Reminder: Edison International Will Hold a Conference Call Today
Today, Edison International will hold a conference call to discuss its fourth quarter 2010 financial results at 8 a.m. (Pacific Standard Time). Two-way participation in the telephone call is limited to financial analysts and investors, while all other interested parties are invited to participate in a simultaneous webcast at www.edisoninvestor.com. A presentation accompanying management’s comments on the conference call will be available on the website as well at www.edisoninvestor.com. The domestic call-in number is (800) 369-2198 and the number for international callers is (773) 756-4618. The pass code is “Edison”. In addition to the live simulcast, the webcast will remain posted at www.edisoninvestor.com and telephone replays will be available through March 7, 2011 at the following numbers: (800) 224-1285 for callers in the United States and (402) 220-3691 for international callers. Replay passcode is 80709.
Risk Disclosure Statement
Statements contained in this news release about future earnings are forward-looking statements. These forward-looking statements reflect our current expectations; however, such statements involve risks and uncertainties. Actual results could differ materially from current expectations. Important factors that could cause different results are discussed under the headings “Risk Factors” and “Management’s Discussion and Analysis” in Edison International’s 2010 Form 10-K and other reports filed with the Securities and Exchange Commission and are available on our Web site at www.edisoninvestor.com. These forward-looking statements represent our expectations only as of the date of this news release, and Edison International assumes no duty to update them to reflect new information, events or circumstances.
Edison International Reports Fourth Quarter 2010 Financial Results
Page 5 of 13
Summary Financial Schedules
Fourth Quarter Basic Earnings Per Share
Earnings (Loss) Per Common Share Attributable to Edison International (Unaudited) | Quarter Ended December 31, | Change | ||||||||||
2010 | 2009 | |||||||||||
SCE | $ | 0.56 | $ | 0.53 | $ | 0.03 | ||||||
EMG | 0.03 | 0.17 | (0.14 | ) | ||||||||
EIX parent company and other | (0.08 | ) | (0.05 | ) | (0.03 | ) | ||||||
EIX earnings from continuing operations | 0.51 | 0.65 | (0.14 | ) | ||||||||
EIX earnings from discontinued operations | — | — | — | |||||||||
EIX basic earnings1 | $ | 0.51 | $ | 0.65 | $ | (0.14 | ) | |||||
EIX diluted earnings | $ | 0.51 | $ | 0.65 | $ | (0.14 | ) | |||||
1 | The impact of participating securities on the per share amounts is included in EIX parent company and other and was zero per share for both quarters. |
Fourth Quarter Reconciliation of Core Earnings Per Share to Basic Earnings Per Share
Earnings (Loss) Per Common Share Attributable to Edison International (Unaudited) | Quarter Ended December 31, | Change | ||||||||||
2010 | 2009 | |||||||||||
Core Earnings1 | ||||||||||||
SCE | $ | 0.56 | $ | 0.51 | $ | 0.05 | ||||||
EMG | 0.10 | 0.13 | (0.03 | ) | ||||||||
EIX parent company and other | (0.08 | ) | (0.05 | ) | (0.03 | ) | ||||||
EIX core earnings | 0.58 | 0.59 | (0.01 | ) | ||||||||
Non-core items | ||||||||||||
Global settlement2 | ||||||||||||
SCE | — | 0.02 | (0.02 | ) | ||||||||
EMG | — | 0.04 | (0.04 | ) | ||||||||
EMG write-off of capitalized costs | (0.07 | ) | — | (0.07 | ) | |||||||
EMG – discontinued operations | — | — | — | |||||||||
Total non-core items | (0.07 | ) | 0.06 | (0.13 | ) | |||||||
EIX basic earnings1 | $ | 0.51 | $ | 0.65 | $ | (0.14 | ) | |||||
1 | See Use of Non-GAAP Financial Measures on page 4. The impact of participating securities on the per share amounts is included in EIX parent company and other and was zero per share for both quarters. |
2 | Tax settlements including resolution of Federal and state tax matters and related lease terminations. |
Edison International Reports Fourth Quarter 2010 Financial Results
Page 6 of 13
Fourth Quarter Basic Earnings
Earnings (Loss) (in millions) Attributable to Edison International (Unaudited) | Quarter Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
SCE | $ | 181 | $ | 172 | $ | 9 | ||||||
EMG | 10 | 56 | (46 | ) | ||||||||
EIX parent company and other | (25 | ) | (15 | ) | (10 | ) | ||||||
EIX earnings from continuing operations | 166 | 213 | (47 | ) | ||||||||
EIX loss from discontinued operations | — | (1 | ) | 1 | ||||||||
EIX basic earnings | $ | 166 | $ | 212 | $ | (46 | ) | |||||
Fourth Quarter Reconciliation of Core Earnings to Basic Earnings
Earnings (Loss) (in millions) Attributable to Edison International (Unaudited) | Quarter Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
Core Earnings1 | ||||||||||||
SCE | $ | 181 | $ | 167 | $ | 14 | ||||||
EMG | 34 | 42 | (8 | ) | ||||||||
EIX parent company and other | (25 | ) | (15 | ) | (10 | ) | ||||||
EIX core earnings | 190 | 194 | (4 | ) | ||||||||
Non-core items | ||||||||||||
Global settlement | ||||||||||||
SCE | — | 5 | (5 | ) | ||||||||
EMG | — | 14 | (14 | ) | ||||||||
EMG – write-off of capitalized costs | (24 | ) | — | (24 | ) | |||||||
EMG – discontinued operations | — | (1 | ) | 1 | ||||||||
Total non-core items | (24 | ) | 18 | (42 | ) | |||||||
EIX basic earnings | $ | 166 | $ | 212 | $ | (46 | ) | |||||
1 | See Use of Non-GAAP Financial Measures on page 4. |
Edison International Reports Fourth Quarter 2010 Financial Results
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Full-Year Basic Earnings Per Share
Earnings (Loss) Per Common Share Attributable to Edison International (Unaudited) | Year Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
SCE | $ | 3.19 | $ | 3.76 | $ | (0.57 | ) | |||||
EMG | 0.68 | (1.19 | ) | 1.87 | ||||||||
EIX parent company and other | (0.04 | ) | 0.04 | (0.08 | ) | |||||||
EIX earnings from continuing operations | 3.83 | 2.61 | 1.22 | |||||||||
EIX earnings (loss) from discontinued operations | 0.01 | (0.02 | ) | 0.03 | ||||||||
EIX basic earnings1 | $ | 3.84 | $ | 2.59 | $ | 1.25 | ||||||
EIX diluted earnings | $ | 3.82 | $ | 2.58 | $ | 1.24 | ||||||
1 | The impact of participating securities is included in EIX parent company and other and was $(0.01) per share for 2010 and 2009. |
Full-Year Reconciliation of Core Earnings Per Share to Basic Earnings Per Share
Earnings (Loss) Per Common Share Attributable to Edison International (Unaudited) | Year Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
Core Earnings1 | ||||||||||||
SCE | $ | 3.01 | $ | 2.68 | $ | 0.33 | ||||||
EMG | 0.59 | 0.68 | (0.09 | ) | ||||||||
EIX parent company and other | (0.12 | ) | (0.11 | ) | (0.01 | ) | ||||||
EIX core earnings | 3.48 | 3.25 | 0.23 | |||||||||
Non-core items | ||||||||||||
SCE – regulatory items | (0.12 | ) | 0.14 | (0.26 | ) | |||||||
Global settlement | ||||||||||||
SCE | 0.30 | 0.94 | (0.64 | ) | ||||||||
EMG | 0.16 | (1.87 | ) | 2.03 | ||||||||
EIX parent company and other | 0.08 | 0.15 | (0.07 | ) | ||||||||
EMG – write-off of capitalized costs | (0.07 | ) | — | (0.07 | ) | |||||||
EMG – discontinued operations | 0.01 | (0.02 | ) | 0.03 | ||||||||
Total non-core items | 0.36 | (0.66 | ) | 1.02 | ||||||||
EIX basic earnings1 | $ | 3.84 | $ | 2.59 | $ | 1.25 | ||||||
1 | See Use of Non-GAAP Financial Measures on page 4. The impact of participating securities is included in EIX parent company and other and was $(0.01) per share for 2010 and 2009. |
Edison International Reports Fourth Quarter 2010 Financial Results
Page 8 of 13
Full-Year Basic Earnings
Earnings (Loss) (in millions) Attributable to Edison International (Unaudited) | Year Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
SCE | $ | 1,040 | $ | 1,226 | $ | (186 | ) | |||||
EMG | 220 | (388 | ) | 608 | ||||||||
EIX parent company and other | (8 | ) | 18 | (26 | ) | |||||||
EIX earnings from continuing operations | 1,252 | 856 | 396 | |||||||||
EIX earnings (loss) from discontinued operations | 4 | (7 | ) | 11 | ||||||||
EIX basic earnings | $ | 1,256 | $ | 849 | $ | 407 | ||||||
Full-Year Reconciliation of Core Earnings to Basic Earnings
Earnings (Loss) (in millions) Attributable to Edison International (Unaudited) | Year Ended December 31, | |||||||||||
2010 | 2009 | Change | ||||||||||
Core Earnings1 | ||||||||||||
SCE | $ | 984 | $ | 874 | $ | 110 | ||||||
EMG | 192 | 222 | (30 | ) | ||||||||
EIX parent company and other | (36 | ) | (32 | ) | (4 | ) | ||||||
EIX core earnings | 1,140 | 1,064 | 76 | |||||||||
Non-core items | ||||||||||||
SCE – regulatory items | (39 | ) | 46 | (85 | ) | |||||||
Global settlement | ||||||||||||
SCE | 95 | 306 | (211 | ) | ||||||||
EMG | 52 | (610 | ) | 662 | ||||||||
EIX parent company and other | 28 | 50 | (22 | ) | ||||||||
EMG – write-off of capitalized costs | (24 | ) | — | (24 | ) | |||||||
EMG – discontinued operations | 4 | (7 | ) | 11 | ||||||||
Total non-core items | 116 | (215 | ) | 331 | ||||||||
EIX basic earnings | $ | 1,256 | $ | 849 | $ | 407 | ||||||
1 | See Use of Non-GAAP Financial Measures on page 4. |
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Edison International Reports Fourth Quarter 2010 Financial Results
Page 9 of 13
Consolidated Statements of Income | Edison International | |||||||||||
Years ended December 31, | ||||||||||||
(in millions, except per-share amounts) | 2010 | 2009 | 2008 | |||||||||
Electric utility | $ | 9,980 | $ | 9,962 | $ | 11,246 | ||||||
Competitive power generation | 2,429 | 2,399 | 2,866 | |||||||||
Total operating revenue | 12,409 | 12,361 | 14,112 | |||||||||
Fuel | 1,172 | 1,517 | 2,147 | |||||||||
Purchased power | 2,930 | 2,751 | 3,845 | |||||||||
Operations and maintenance | 4,612 | 4,387 | 4,288 | |||||||||
Depreciation, decommissioning and amortization | 1,522 | 1,418 | 1,313 | |||||||||
Lease terminations and other | 47 | 890 | (44 | ) | ||||||||
Total operating expenses | 10,283 | 10,963 | 11,549 | |||||||||
Operating income | 2,126 | 1,398 | 2,563 | |||||||||
Interest and dividend income | 31 | 32 | 62 | |||||||||
Equity in income from partnerships and unconsolidated subsidiaries – net | 106 | 42 | 31 | |||||||||
Other income | 148 | 171 | 113 | |||||||||
Interest expense – net of amounts capitalized | (703 | ) | (732 | ) | (700 | ) | ||||||
Other expenses | (51 | ) | (57 | ) | (125 | ) | ||||||
Income from continuing operations before income taxes | 1,657 | 854 | 1,944 | |||||||||
Income tax expense (benefit) | 354 | (98 | ) | 596 | ||||||||
Income from continuing operations | 1,303 | 952 | 1,348 | |||||||||
Income (loss) from discontinued operations – net of tax | 4 | (7 | ) | — | ||||||||
Net income | 1,307 | 945 | 1,348 | |||||||||
Less: Dividends on preferred and preference stock of utility | 52 | 51 | 51 | |||||||||
Other noncontrolling interests | (1 | ) | 45 | 82 | ||||||||
Net income attributable to Edison International common shareholders | $ | 1,256 | $ | 849 | $ | 1,215 | ||||||
Amounts attributable to Edison International common shareholders: | ||||||||||||
Income from continuing operations, net of tax | $ | 1,252 | $ | 856 | $ | 1,215 | ||||||
Income (loss) from discontinued operations, net of tax | 4 | (7 | ) | — | ||||||||
Net income attributable to Edison International common shareholders | $ | 1,256 | $ | 849 | $ | 1,215 | ||||||
Basic earnings per common share attributable to Edison International common shareholders: | ||||||||||||
Weighted-average shares of common stock outstanding | 326 | 326 | 326 | |||||||||
Continuing operations | $ | 3.83 | $ | 2.61 | $ | 3.69 | ||||||
Discontinued operations | 0.01 | (0.02 | ) | — | ||||||||
Total | $ | 3.84 | $ | 2.59 | $ | 3.69 | ||||||
Diluted earnings per common share attributable to Edison International common shareholders: | ||||||||||||
Weighted-average shares of common stock outstanding, including effect of dilutive securities | 329 | 327 | 329 | |||||||||
Continuing operations | $ | 3.81 | $ | 2.60 | $ | 3.68 | ||||||
Discontinued operations | 0.01 | (0.02 | ) | — | ||||||||
Total | $ | 3.82 | $ | 2.58 | $ | 3.68 | ||||||
Dividends declared per common share | $ | 1.265 | $ | 1.245 | $ | 1.225 |
Edison International Reports Fourth Quarter 2010 Financial Results
Page 10 of 13
Consolidated Balance Sheets | Edison International | |||||||
December 31, | ||||||||
(in millions) | 2010 | 2009 | ||||||
ASSETS | ||||||||
Cash and cash equivalents | $ | 1,389 | $ | 1,673 | ||||
Receivables, less allowances of $85 and $53 for uncollectible accounts at respective dates | 931 | 1,017 | ||||||
Accrued unbilled revenue | 442 | 347 | ||||||
Inventory | 568 | 533 | ||||||
Prepaid taxes | 390 | 33 | ||||||
Derivative assets | 133 | 357 | ||||||
Restricted cash | 2 | 69 | ||||||
Margin and collateral deposits | 65 | 125 | ||||||
Regulatory assets | 378 | 120 | ||||||
Other current assets | 124 | 156 | ||||||
Total current assets | 4,422 | 4,430 | ||||||
Nuclear decommissioning trusts | 3,480 | 3,140 | ||||||
Investments in partnerships and unconsolidated subsidiaries | 559 | 216 | ||||||
Other investments | 223 | 251 | ||||||
Total investments | 4,262 | 3,607 | ||||||
Utility property, plant and equipment, net | 24,778 | 21,966 | ||||||
Competitive power generation and other property, plant and equipment, net | 5,406 | 5,147 | ||||||
Total property, plant and equipment | 30,184 | 27,113 | ||||||
Derivative assets | 437 | 268 | ||||||
Restricted deposits | 47 | 43 | ||||||
Rent payments in excess of levelized rent expense under plant operating leases | 1,187 | 1,038 | ||||||
Regulatory assets | 4,347 | 4,139 | ||||||
Other long-term assets | 644 | 806 | ||||||
Total long-term assets | 6,662 | 6,294 | ||||||
Total assets | $ | 45,530 | $ | 41,444 | ||||
Edison International Reports Fourth Quarter 2010 Financial Results
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Consolidated Balance Sheets | Edison International | |||||||
December 31, | ||||||||
(in millions, except share amounts) | 2010 | 2009 | ||||||
LIABILITIES AND EQUITY | ||||||||
Short-term debt | $ | 115 | $ | 85 | ||||
Current portion of long-term debt | 48 | 377 | ||||||
Accounts payable | 1,362 | 1,347 | ||||||
Accrued taxes | 52 | 186 | ||||||
Accrued interest | 205 | 196 | ||||||
Customer deposits | 217 | 238 | ||||||
Derivative liabilities | 217 | 107 | ||||||
Regulatory liabilities | 738 | 367 | ||||||
Other current liabilities | 998 | 884 | ||||||
Total current liabilities | 3,952 | 3,787 | ||||||
Long-term debt | 12,371 | 10,437 | ||||||
Deferred income taxes | 5,625 | 4,334 | ||||||
Deferred investment tax credits | 122 | 102 | ||||||
Customer advances | 112 | 119 | ||||||
Derivative liabilities | 468 | 529 | ||||||
Pensions and benefits | 2,260 | 2,061 | ||||||
Asset retirement obligations | 2,561 | 3,241 | ||||||
Regulatory liabilities | 4,524 | 3,328 | ||||||
Other deferred credits and other long-term liabilities | 2,041 | 2,500 | ||||||
Total deferred credits and other liabilities | 17,713 | 16,214 | ||||||
Total liabilities | 34,036 | 30,438 | ||||||
Common stock, no par value (800,000,000 shares authorized; 325,811,206 shares issued and outstanding at each date) | 2,331 | 2,304 | ||||||
Accumulated other comprehensive income (loss) | (76 | ) | 37 | |||||
Retained earnings | 8,328 | 7,500 | ||||||
Total Edison International’s common shareholders’ equity | 10,583 | 9,841 | ||||||
Preferred and preference stock of utility | 907 | 907 | ||||||
Other noncontrolling interests | 4 | 258 | ||||||
Total noncontrolling interests | 911 | 1,165 | ||||||
Total equity | 11,494 | 11,006 | ||||||
Total liabilities and equity | $ | 45,530 | $ | 41,444 | ||||
Edison International Reports Fourth Quarter 2010 Financial Results
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Consolidated Statements of Cash Flows | Edison International | |||||||||||
Years ended December 31, | ||||||||||||
(in millions) | 2010 | 2009 | 2008 | |||||||||
Cash flows from operating activities: | ||||||||||||
Net income | $ | 1,307 | $ | 945 | $ | 1,348 | ||||||
Less: Income (loss) from discontinued operations | 4 | (7 | ) | — | ||||||||
Income from continuing operations | 1,303 | 952 | 1,348 | |||||||||
Adjustments to reconcile to net cash provided by operating activities: | ||||||||||||
Depreciation, decommissioning and amortization | 1,522 | 1,418 | 1,313 | |||||||||
Regulatory impacts of net nuclear decommissioning trust earnings (reflected in accumulated depreciation) | 189 | 158 | (10 | ) | ||||||||
Other amortization | 118 | 120 | 106 | |||||||||
Lease terminations and other | 47 | 888 | (44 | ) | ||||||||
Stock-based compensation | 30 | 22 | 34 | |||||||||
Equity in income from partnerships and unconsolidated subsidiaries – net | (106 | ) | (42 | ) | (31 | ) | ||||||
Distributions and dividends from unconsolidated entities | 92 | 31 | (8 | ) | ||||||||
Deferred income taxes and investment tax credits | 1,139 | (1,457 | ) | 207 | ||||||||
Proceeds from U.S. Treasury grants | 92 | — | — | |||||||||
Income from leveraged leases | (5 | ) | (14 | ) | (51 | ) | ||||||
Changes in operating assets and liabilities: | ||||||||||||
Receivables | (155 | ) | 80 | 128 | ||||||||
Inventory | (49 | ) | 20 | (114 | ) | |||||||
Restricted cash | 68 | (69 | ) | — | ||||||||
Margin and collateral deposits – net of collateral received | 63 | 30 | (19 | ) | ||||||||
Prepaid taxes | (357 | ) | 178 | (66 | ) | |||||||
Other current assets | (92 | ) | 24 | 18 | ||||||||
Rent payments in excess of levelized rent expense | (149 | ) | (160 | ) | (162 | ) | ||||||
Accounts payable | (3 | ) | 152 | (160 | ) | |||||||
Accrued taxes | (135 | ) | (402 | ) | 340 | |||||||
Other current liabilities | 13 | 31 | (39 | ) | ||||||||
Derivative assets and liabilities – net | (44 | ) | (581 | ) | 849 | |||||||
Regulatory assets and liabilities – net | 278 | 1,457 | (2,946 | ) | ||||||||
Other assets | (71 | ) | 62 | 224 | ||||||||
Other liabilities | (315 | ) | 154 | 1,344 | ||||||||
Operating cash flows from discontinued operations | 4 | (7 | ) | — | ||||||||
Net cash provided by operating activities | 3,477 | 3,045 | 2,261 | |||||||||
Cash flows from financing activities: | ||||||||||||
Long-term debt issued | 1,936 | 939 | 2,632 | |||||||||
Long-term debt issuance costs | (38 | ) | (25 | ) | (21 | ) | ||||||
Long-term debt repaid | (396 | ) | (1,044 | ) | (295 | ) | ||||||
Bonds repurchased | — | (219 | ) | (212 | ) | |||||||
Preferred stock redeemed | — | — | (7 | ) | ||||||||
Short-term debt financing – net | 30 | (2,058 | ) | 1,643 | ||||||||
Settlements of stock-based compensation – net | (16 | ) | (3 | ) | (26 | ) | ||||||
Cash contributions from noncontrolling interests | — | 2 | 12 | |||||||||
Dividends and distributions to noncontrolling interests | (52 | ) | (117 | ) | (170 | ) | ||||||
Dividends paid | (411 | ) | (404 | ) | (397 | ) | ||||||
Net cash provided (used) by financing activities | $ | 1,053 | $ | (2,929 | ) | $ | 3,159 | |||||
Edison International Reports Fourth Quarter 2010 Financial Results
Page 13 of 13
Consolidated Statements of Cash Flows | Edison International | |||||||||||
Years ended December 31, | ||||||||||||
(in millions) | 2010 | 2009 | 2008 | |||||||||
Cash flows from investing activities: | ||||||||||||
Capital expenditures | $ | (4,543 | ) | $ | (3,282 | ) | $ | (2,824 | ) | |||
Purchase of interest in acquired companies | (4 | ) | (22 | ) | (19 | ) | ||||||
Proceeds from termination of leases | — | 1,420 | — | |||||||||
Proceeds from sale of property and interests in projects | 2 | 7 | 113 | |||||||||
Proceeds from sale of nuclear decommissioning trust investments | 1,432 | 2,217 | 3,130 | |||||||||
Purchases of nuclear decommissioning trust investments and other | (1,651 | ) | (2,416 | ) | (3,137 | ) | ||||||
Proceeds from partnerships and unconsolidated subsidiaries, net of investment | 44 | 11 | 65 | |||||||||
Maturities and sale of short-term investments | 7 | 4 | 96 | |||||||||
Purchase of short-term investments | (4 | ) | (7 | ) | (22 | ) | ||||||
Investments in other assets | (6 | ) | (291 | ) | (347 | ) | ||||||
Effect of consolidation and deconsolidation of variable interest entities | (91 | ) | — | — | ||||||||
Net cash used by investing activities | (4,814 | ) | (2,359 | ) | (2,945 | ) | ||||||
Net increase (decrease) in cash and cash equivalents | (284 | ) | (2,243 | ) | 2,475 | |||||||
Cash and cash equivalents, beginning of year | 1,673 | 3,916 | 1,441 | |||||||||
Cash and cash equivalents, end of year | $ | 1,389 | $ | 1,673 | $ | 3,916 | ||||||