News Release
FOR IMMEDIATE RELEASE
Media Contact: (626) 302-1033
www.edison.com
Edison International Reports
Financial Results for the First Quarter of 2004
ROSEMEAD, Calif., May 7, 2004 -- Edison International (NYSE: EIX) recorded consolidated earnings per share
of 30 cents in the first quarter of 2004, compared to 17 cents in the first quarter of 2003 on a reported basis.
The increased earnings primarily reflect higher operating results at Edison Mission Energy (EME) and a gain on
the sale of its interest in Four Star Oil & Gas.
"We are off to an encouraging start for the year, led by improved results at Edison Mission Energy and
continued strength at Southern California Edison," said EIX Chairman John Bryson.
Reported earnings in the first quarter of 2003 included a three-cents-per-share charge at EME from the
implementation of a new accounting principle and one cent per share in earnings from discontinued operations at
SCE. EIX's earnings from continuing operations, which exclude the two items above, were 30 cents per share in
the first quarter of 2004 compared to 19 cents per share in the same period last year.
FIRST QUARTER EARNINGS DETAIL
Earnings (Loss) from Continuing Operations
SCE earnings from continuing operations were essentially unchanged with $100 million in the first quarter
of 2004, compared to $99 million in the same period last year.
EME's first quarter 2004 earnings from continuing operations were $31 million compared to a loss of $8
million in the same period last year. The improved results are primarily due to stronger operating performance
at the Illinois Plants, driven by higher merchant generation and wholesale energy prices, and higher ancillary
services and mark-to-market impacts on forward contracts at the First Hydro project in the UK. The Contact
Energy projects in New Zealand, the Loy Yang B project in Australia and the Paiton project in Indonesia also
contributed to the earnings increase. First quarter results for 2004 include a $29 million after-tax gain from
the sale of EME's interest in Four Star Oil & Gas. These favorable items were partially offset by outages in
2004 at the Homer City project and 2003 earnings at Four Star Oil & Gas, which did not occur in 2004 due to the
sale. EME's earnings are seasonal with higher earnings expected during the summer months.
Edison Capital's earnings for the first quarter of 2004 were $11 million, down $4 million from the same
period last year. This decrease is primarily due to a maturing investment portfolio which produces lower
income.
The first quarter 2004 losses from Mission Energy Holding Company of $25 million and "EIX parent company and
other" of $19 million were essentially unchanged from the same period last year.
- more -
Earnings from Discontinued Operations
Discontinued operations of $3 million in the first quarter of 2003 reflect earnings from SCE's fuel oil
pipeline and storage business, which was sold in the third quarter of 2003.
Change in Accounting Principle
Edison Capital's 2004 results include a $1 million charge for the cumulative effect of a change in
accounting principle reflecting the impact of Edison Capital's implementation of an accounting standard that
requires the consolidation of certain variable interest entities. EME's 2003 results include a $9 million charge
related to the accounting standard for recording asset retirement obligations. Because SCE follows accounting
principles for rate-regulated enterprises, implementation of the asset retirement accounting standard did not
affect its earnings.
Quarter Ended March 31,
Earnings (Loss) Per Share (Unaudited) 2004 2003 Change
- ------------------------------------- -------------------------------------------------------
Southern California Edison $0.31 $0.30 $0.01
Edison Mission Energy 0.10 (0.02) 0.12
Edison Capital 0.03 0.04 (0.01)
Mission Energy Holding Co. (0.08) (0.07) (0.01)
EIX parent company and other (0.06) (0.06) --
- ----------------------------------------------------------------------------------------------------------------
EIX Consol. Earnings from Continuing Operations 0.30 0.19 0.11
- ----------------------------------------------------------------------------------------------------------------
Earnings from Discontinued Operations -- 0.01 (0.01)
Cumulative Effect of Accounting Change -- (0.03) 0.03
- ----------------------------------------------------------------------------------------------------------------
Total EIX Consolidated Earnings $0.30 $0.17 $0.13
================================================================================================================
Quarter Ended March 31,
Earnings (Loss) (in millions) (Unaudited) 2004 2003 Change
- ----------------------------------------- -------------------------------------------------------
Southern California Edison $100 $99 $1
Edison Mission Energy 31 (8) 39
Edison Capital 11 15 (4)
Mission Energy Holding Co. (25) (24) (1)
EIX parent company and other (19) (19) --
- ----------------------------------------------------------------------------------------------------------------
EIX Consol. Earnings from Continuing Operations 98 63 35
- ----------------------------------------------------------------------------------------------------------------
Earnings from Discontinued Operations -- 3 (3)
Cumulative Effect of Accounting Change (1) (9) 8
- ----------------------------------------------------------------------------------------------------------------
Total EIX Consolidated Earnings $97 $57 $40
================================================================================================================
###
Based in Rosemead, Calif., Edison International is the parent company of Southern California Edison,
Edison Mission Energy and Edison Capital.
EDISON INTERNATIONAL
SUMMARY OF CONSOLIDATED EARNINGS
(UNAUDITED)
IN MILLIONS, EXCEPT PER-SHARE AMOUNTS QUARTER ENDED MARCH 31,
- ---------------------------------------------------------------------------------------------------------
2004 2003
- ---------------------------------------------------------------------------------------------------------
ELECTRIC UTILITY $ 1,696 $ 1,814
NONUTILITY POWER GENERATION 783 684
FINANCIAL SERVICES AND OTHER 31 25
- ---------------------------------------------------------------------------------------------------------
TOTAL OPERATING REVENUE 2,510 2,523
- ---------------------------------------------------------------------------------------------------------
FUEL 342 334
PURCHASED POWER 580 452
PROVISIONS FOR REGULATORY ADJUSTMENT CLAUSES - NET (19) 304
OTHER OPERATION AND MAINTENANCE 905 783
DEPRECIATION, DECOMMISSIONING AND AMORTIZATION 295 288
PROPERTY AND OTHER TAXES 51 51
- ---------------------------------------------------------------------------------------------------------
TOTAL OPERATING EXPENSES 2,154 2,212
- ---------------------------------------------------------------------------------------------------------
OPERATING INCOME 356 311
INTEREST AND DIVIDEND INCOME 13 46
EQUITY IN INCOME FROM PARTNERSHIPS AND
UNCONSOLIDATED SUBSIDIARIES - NET 64 60
OTHER NONOPERATING INCOME 80 16
INTEREST EXPENSE - NET OF AMOUNTS CAPITALIZED (316) (299)
OTHER NONOPERATING DEDUCTIONS (31) (12)
DIVIDENDS ON PREFERRED SECURITIES
SUBJECT TO MANDATORY REDEMPTION - (28)
DIVIDENDS ON UTILITY PREFERRED STOCK
NOT SUBJECT TO MANDATORY REDEMPTION (1) (1)
- ---------------------------------------------------------------------------------------------------------
INCOME FROM CONTINUING OPERATIONS BEFORE TAX 165 93
INCOME TAX 67 30
- ---------------------------------------------------------------------------------------------------------
INCOME FROM CONTINUING OPERATIONS 98 63
INCOME FROM DISCONTINUED OPERATIONS - NET OF TAX - 3
- ---------------------------------------------------------------------------------------------------------
INCOME BEFORE ACCOUNTING CHANGE 98 66
CUMULATIVE EFFECT OF ACCOUNTING CHANGE - NET OF TAX (1) (9)
- ---------------------------------------------------------------------------------------------------------
NET INCOME $ 97 $ 57
=========================================================================================================
WEIGHTED-AVERAGE SHARES OF COMMON STOCK OUTSTANDING 326 326
BASIC EARNINGS PER SHARE:
CONTINUING OPERATIONS $ 0.30 $ 0.19
DISCONTINUED OPERATIONS - 0.01
CUMULATIVE EFFECT OF ACCOUNTING CHANGE - (0.03)
---------------- ---------------
TOTAL $ 0.30 $ 0.17
================ ===============
WEIGHTED-AVERAGE SHARES, INCLUDING
EFFECT OF DILUTIVE SECURITIES 330 328
DILUTED EARNINGS PER SHARE:
CONTINUING OPERATIONS $ 0.30 $ 0.19
DISCONTINUED OPERATIONS - 0.01
CUMULATIVE EFFECT OF ACCOUNTING CHANGE - (0.03)
---------------- ---------------
TOTAL $ 0.30 $ 0.17
================ ===============
DIVIDENDS DECLARED PER COMMON SHARE $ 0.20 $ -
EDISON INTERNATIONAL
FINANCIAL OVERVIEW
MARCH 31, 2004
UNAUDITED
Dollars in Millions, Except Per-Share Amounts
EDISON INTERNATIONAL (Consolidated Totals)
First Quarter
-------------
2004 2003
-------- --------
Assets $35,818 $35,184
Common Equity $5,415 $4,512
Revenue $2,510 $2,523
Earnings* $97 $57
Earnings Per Share* $0.30 $0.17
Book Value Per Share $16.62 $13.85
*includes parent company and discontinued operations
SOUTHERN CALIFORNIA EDISON (Electric Utility)
First Quarter
-------------
2004 2003
------- -------
Assets $19,617 $20,037
Common Equity $4,158 $4,487
Revenue $1,696 $1,814
Earnings $100 $102
Earnings Per Share $0.31 $0.31
EDISON MISSION ENERGY (Nonutility Power Generation)
First Quarter
-------------
2004 2003
------- --------
Assets $11,788 $11,623
Common Equity $1,931 $1,693
Revenue $783 $683
Earnings (Loss) $31 $(17)
Earnings (Loss) Per Share $0.10 $(0.05)
EDISON CAPITAL (Capital and Financial Services Provider)
First Quarter
-------------
2004 2003
------ -------
Assets $3,623 $3,509
Common Equity $625 $796
Revenue $29 $22
Earnings $11 $15
Earnings Per Share $0.03 $0.04
SOUTHERN CALIFORNIA EDISON
kWh SALES (IN THOUSANDS)
MARCH 31, 2004
QUARTER ENDED MARCH 31, 2004
----------------------------
INCREASE/(DECREASE)
FROM
KwH LAST YEAR %
-------------------------------------------------
RESIDENTIAL 6,590,902 570,526 9.48
AGRICULTURAL 174,828 7,581 4.53
COMMERCIAL 8,701,865 346,828 4.15
INDUSTRIAL 2,581,417 (62,814) (2.38)
PUBLIC AUTHORITIES 1,381,823 18,246 1.34
RAILROADS & RAILWAYS 15,682 309 2.01
INTERDEPARTMENTAL 139 62 80.52
----------------------------------
SALES TO ULTIMATE CONSUMERS 19,446,656 880,738 4.74
RESALE SALES 2,892,841 2,100,874 *
----------------------------------
TOTAL KWH SALES 22,339,497 2,981,612 15.40
==================================
*over 200%
