Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 25, 2013 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | EDISON INTERNATIONAL | |
Entity Central Index Key | 827052 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | 30-Sep-13 | |
Document Fiscal Year Focus | 2013 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | FALSE | |
Entity Common Stock, Shares Outstanding | 325,811,206 | |
Southern California Edison | ||
Document And Entity Information [Abstract] | ||
Entity Registrant Name | SOUTHERN CALIFORNIA EDISON CO | |
Entity Central Index Key | 92103 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Non-accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | 30-Sep-13 | |
Document Fiscal Year Focus | 2013 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | FALSE | |
Entity Common Stock, Shares Outstanding | 434,888,104 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Operating revenue | $3,960 | $3,734 | $9,638 | $8,802 |
Fuel | 95 | 83 | 249 | 220 |
Purchased power | 1,713 | 1,612 | 3,569 | 3,049 |
Operation and maintenance | 971 | 993 | 2,809 | 2,891 |
Depreciation, decommissioning and amortization | 392 | 399 | 1,224 | 1,187 |
Asset impairment and other | 0 | -66 | 575 | -65 |
Asset impairment | 575 | 0 | ||
Total operating expenses | 3,171 | 3,021 | 8,426 | 7,282 |
Operating income | 789 | 713 | 1,212 | 1,520 |
Interest and other income | 28 | 38 | 91 | 110 |
Interest expense | -137 | -131 | -402 | -390 |
Other expenses | -15 | -10 | -38 | -36 |
Income from continuing operations before income taxes | 665 | 610 | 863 | 1,204 |
Income tax expense | 177 | 228 | 173 | 421 |
Income from continuing operations | 488 | 382 | 690 | 783 |
Loss from discontinued operations, net of tax | -25 | -167 | -1 | -360 |
Net income | 463 | 215 | 689 | 423 |
Dividends on preferred and preference stock of utility | 25 | 25 | 75 | 66 |
Net income (loss) attributable to common shareholders | 438 | 190 | 614 | 357 |
Amounts attributable to common shareholders: | ||||
Income from continuing operations, net of tax | 463 | 357 | 615 | 717 |
Loss from discontinued operations, net of tax | -25 | -167 | -1 | -360 |
Net income (loss) attributable to common shareholders | 438 | 190 | 614 | 357 |
Basic earnings (loss) per common share attributable to Edison International common shareholders: | ||||
Weighted-average shares of common stock outstanding (in shares) | 326 | 326 | 326 | 326 |
Continuing operations (in dollars per share) | $1.42 | $1.09 | $1.88 | $2.20 |
Discontinued operations (in dollars per share) | ($0.08) | ($0.51) | $0 | ($1.11) |
Total (in dollars per share) | $1.34 | $0.58 | $1.88 | $1.09 |
Diluted earnings (loss) per common share attributable to Edison International common shareholders: | ||||
Weighted-average shares of common stock outstanding, including effect of dilutive securities (in shares) | 328 | 329 | 329 | 328 |
Continuing operations (in dollars per share) | $1.41 | $1.09 | $1.87 | $2.18 |
Discontinued operations (in dollars per share) | ($0.07) | ($0.51) | $0 | ($1.09) |
Total (in dollars per share) | $1.34 | $0.58 | $1.87 | $1.09 |
Dividends declared per common share (in dollars per share) | $0.34 | $0.33 | $1.01 | $0.98 |
Southern California Edison | ||||
Operating revenue | 3,957 | 3,731 | 9,631 | 8,794 |
Fuel | 95 | 82 | 249 | 220 |
Purchased power | 1,713 | 1,612 | 3,569 | 3,049 |
Operation and maintenance | 875 | 906 | 2,540 | 2,622 |
Depreciation, decommissioning and amortization | 392 | 399 | 1,223 | 1,187 |
Property and other taxes | 78 | 73 | 229 | 229 |
Asset impairment | 0 | 0 | 575 | 0 |
Total operating expenses | 3,153 | 3,072 | 8,385 | 7,307 |
Operating income | 804 | 659 | 1,246 | 1,487 |
Interest and other income | 27 | 38 | 89 | 108 |
Interest expense | -131 | -124 | -384 | -373 |
Other expenses | -15 | -9 | -38 | -36 |
Income from continuing operations before income taxes | 685 | 564 | 913 | 1,186 |
Income tax expense | 183 | 176 | 196 | 384 |
Net income | 502 | 388 | 717 | 802 |
Dividends on preferred and preference stock of utility | 25 | 25 | 75 | 66 |
Net income (loss) attributable to common shareholders | 477 | 363 | 642 | 736 |
Amounts attributable to common shareholders: | ||||
Net income (loss) attributable to common shareholders | $477 | $363 | $642 | $736 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net income | $463 | $215 | $689 | $423 |
Other comprehensive income (loss), net of tax: | ||||
Net loss arising during the period, net of income tax benefit | 0 | 0 | -2 | -3 |
Amortization of net loss included in net income, net of income tax expense | 3 | 4 | 10 | 12 |
Unrealized loss on derivatives qualified as cash flow hedges: | ||||
Unrealized holding loss arising during the period, net of income tax benefit | 0 | -16 | 0 | -19 |
Reclassification adjustments included in net income, net of income tax benefit | 0 | 1 | 0 | -19 |
Other comprehensive income (loss), net of tax | 3 | -11 | 8 | -29 |
Comprehensive income | 466 | 204 | 697 | 394 |
Less: Comprehensive income attributable to noncontrolling interests | 25 | 25 | 75 | 66 |
Comprehensive income attributable to Edison International | 441 | 179 | 622 | 328 |
Southern California Edison | ||||
Net income | 502 | 388 | 717 | 802 |
Other comprehensive income (loss), net of tax: | ||||
Net loss arising during the period, net of income tax benefit | 0 | 0 | -4 | -4 |
Amortization of net loss included in net income, net of income tax expense | 2 | 1 | 5 | 5 |
Unrealized loss on derivatives qualified as cash flow hedges: | ||||
Other comprehensive income (loss), net of tax | 2 | 1 | 1 | 1 |
Comprehensive income | $504 | $389 | $718 | $803 |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net loss arising during the period, tax benefit | $0 | $2 | $4 | $2 |
Amortization of net loss included in net income, tax expense | 1 | 1 | 2 | 5 |
Unrealized holding loss arising during the period, tax benefit | 0 | 19 | 0 | 2 |
Reclassification adjustments included in net income, tax benefit | 0 | 6 | 0 | 13 |
Southern California Edison | ||||
Net loss arising during the period, tax benefit | 0 | 3 | 3 | 3 |
Amortization of net loss included in net income, tax expense | $1 | $1 | $2 | $3 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $610 | $170 |
Receivables, less allowances of $72 and $75 for uncollectible accounts at respective dates | 1,174 | 762 |
Accrued unbilled revenue | 798 | 550 |
Inventory | 272 | 340 |
Prepaid taxes | 27 | 22 |
Derivative assets | 47 | 129 |
Margin and collateral deposits | 14 | 8 |
Regulatory assets | 506 | 572 |
Other current assets | 155 | 119 |
Total current assets | 3,603 | 2,672 |
Nuclear decommissioning trusts | 4,332 | 4,048 |
Other investments | 201 | 186 |
Total investments | 4,533 | 4,234 |
Utility property, plant and equipment, less accumulated depreciation of $7,817 and $7,424 at respective dates | 29,734 | 30,200 |
Nonutility property, plant and equipment, less accumulated depreciation of $74 and $123 at respective dates ($68 and $117 for SCE) | 75 | 73 |
Total property, plant and equipment | 29,809 | 30,273 |
Derivative assets | 207 | 85 |
Restricted deposits | 4 | 4 |
Regulatory assets | 8,015 | 6,422 |
Other long-term assets | 527 | 704 |
Total long-term assets | 8,753 | 7,215 |
Total assets | 46,698 | 44,394 |
LIABILITIES AND EQUITY | ||
Short-term debt | 1,528 | 175 |
Current portion of long-term debt | 401 | 0 |
Accounts payable | 1,240 | 1,423 |
Accrued taxes | 103 | 61 |
Accrued interest | 102 | 176 |
Customer deposits | 199 | 193 |
Derivative liabilities | 174 | 126 |
Regulatory liabilities | 629 | 536 |
Deferred income taxes | 159 | 64 |
Other current liabilities | 854 | 990 |
Total current liabilities | 5,389 | 3,744 |
Long-term debt | 9,232 | 9,231 |
Deferred income taxes | 6,546 | 6,127 |
Deferred investment tax credits | 106 | 104 |
Customer advances | 132 | 149 |
Derivative liabilities | 1,137 | 939 |
Pensions and benefits | 2,237 | 2,614 |
Asset retirement obligations | 3,371 | 2,782 |
Regulatory liabilities | 4,989 | 5,214 |
Other deferred credits and other long-term liabilities | 2,117 | 2,299 |
Total deferred credits and other liabilities | 20,635 | 20,228 |
Total liabilities | 35,256 | 33,203 |
Commitments and contingencies (Note 12) | ||
Common stock, no par value (800,000,000 shares authorized; 325,811,206 shares issued and outstanding at each date) and (560,000,000 shares authorized; 434,888,104 shares issued and outstanding at each date for SCE) | 2,397 | 2,373 |
Accumulated other comprehensive loss | -79 | -87 |
Retained earnings | 7,371 | 7,146 |
Total common shareholders' equity | 9,689 | 9,432 |
Preferred and preference stock of utility | 1,753 | 1,759 |
Total noncontrolling interests | 1,753 | 1,759 |
Total equity | 11,442 | 11,191 |
Total liabilities and equity | 46,698 | 44,394 |
Southern California Edison | ||
ASSETS | ||
Cash and cash equivalents | 522 | 45 |
Receivables, less allowances of $72 and $75 for uncollectible accounts at respective dates | 1,127 | 755 |
Accrued unbilled revenue | 798 | 550 |
Inventory | 272 | 340 |
Prepaid taxes | 22 | 48 |
Derivative assets | 47 | 129 |
Regulatory assets | 506 | 572 |
Other current assets | 167 | 123 |
Total current assets | 3,461 | 2,562 |
Nuclear decommissioning trusts | 4,332 | 4,048 |
Other investments | 130 | 116 |
Total investments | 4,462 | 4,164 |
Utility property, plant and equipment, less accumulated depreciation of $7,817 and $7,424 at respective dates | 29,734 | 30,200 |
Nonutility property, plant and equipment, less accumulated depreciation of $74 and $123 at respective dates ($68 and $117 for SCE) | 70 | 70 |
Total property, plant and equipment | 29,804 | 30,270 |
Derivative assets | 207 | 85 |
Regulatory assets | 8,015 | 6,422 |
Other long-term assets | 372 | 531 |
Total long-term assets | 8,594 | 7,038 |
Total assets | 46,321 | 44,034 |
LIABILITIES AND EQUITY | ||
Short-term debt | 1,354 | 175 |
Current portion of long-term debt | 400 | |
Accounts payable | 1,228 | 1,297 |
Accrued taxes | 148 | 72 |
Accrued interest | 101 | 172 |
Customer deposits | 199 | 193 |
Derivative liabilities | 174 | 126 |
Regulatory liabilities | 629 | 536 |
Deferred income taxes | 159 | 81 |
Other current liabilities | 842 | 861 |
Total current liabilities | 5,234 | 3,513 |
Long-term debt | 8,828 | 8,828 |
Deferred income taxes | 7,033 | 6,669 |
Deferred investment tax credits | 106 | 104 |
Customer advances | 132 | 149 |
Derivative liabilities | 1,137 | 939 |
Pensions and benefits | 1,726 | 2,245 |
Asset retirement obligations | 3,371 | 2,782 |
Regulatory liabilities | 4,989 | 5,214 |
Other deferred credits and other long-term liabilities | 1,774 | 1,848 |
Total deferred credits and other liabilities | 20,268 | 19,950 |
Total liabilities | 34,330 | 32,291 |
Commitments and contingencies (Note 12) | ||
Common stock, no par value (800,000,000 shares authorized; 325,811,206 shares issued and outstanding at each date) and (560,000,000 shares authorized; 434,888,104 shares issued and outstanding at each date for SCE) | 2,168 | 2,168 |
Additional paid-in capital | 589 | 581 |
Accumulated other comprehensive loss | -28 | -29 |
Retained earnings | 7,467 | 7,228 |
Total common shareholders' equity | 10,196 | 9,948 |
Preferred and preference stock of utility | 1,795 | 1,795 |
Total equity | 11,991 | 11,743 |
Total liabilities and equity | $46,321 | $44,034 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, except Share data, unless otherwise specified | ||
Receivables, allowances for uncollectible accounts (in dollars) | $66 | $75 |
Utility property, plant and equipment, accumulated depreciation (in dollars) | 7,578 | 7,424 |
Nonutility property, plant and equipment, accumulated depreciation (in dollars) | 69 | 123 |
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 | ||
Receivables, allowances for uncollectible accounts (in dollars) | 66 | 75 |
Utility property, plant and equipment, accumulated depreciation (in dollars) | 7,578 | 7,424 |
Nonutility property, plant and equipment, accumulated depreciation (in dollars) | $63 | $117 |
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_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash flows from operating activities: | ||
Net income | $689 | $423 |
Less: Income (loss) from discontinued operations, net of tax | -1 | -360 |
Income from continuing operations | 690 | 783 |
Adjustments to reconcile to net cash provided by operating activities: | ||
Depreciation, decommissioning and amortization | 1,224 | 1,187 |
Regulatory impacts of net nuclear decommissioning trust earnings | 265 | 147 |
Other amortization and other | 54 | 51 |
Asset impairment | 575 | 0 |
Gain on sale of assets and other | -2 | -65 |
Stock-based compensation | 18 | 24 |
Deferred income taxes and investment tax credits | 257 | 176 |
Proceeds from U.S. treasury grants | 0 | 29 |
Changes in operating assets and liabilities: | ||
Receivables | -406 | -328 |
Inventory | 68 | 13 |
Margin and collateral deposits, net of collateral received | -74 | 6 |
Prepaid taxes | -5 | 319 |
Other current assets | -276 | -254 |
Accounts payable | 155 | 162 |
Accrued taxes | 27 | 61 |
Other current liabilities | -130 | -124 |
Derivative assets and liabilities, net | 207 | 1 |
Regulatory assets and liabilities, net | 94 | 210 |
Other assets | 127 | -26 |
Other liabilities | -615 | 326 |
Operating cash flows from continuing operations | 2,253 | 2,698 |
Operating cash flows from discontinued operations, net | 0 | -540 |
Net cash provided by operating activities | 2,253 | 2,158 |
Cash flows from financing activities: | ||
Long-term debt issued | 398 | 395 |
Long-term debt issuance costs | -4 | -4 |
Long-term debt repaid | -5 | -4 |
Bonds remarketed, net | 195 | 0 |
Bonds purchased | -196 | 0 |
Preference stock issued, net | 387 | 804 |
Preference stock redeemed | -400 | -75 |
Short-term debt financing, net | 1,352 | -31 |
Settlements of stock-based compensation, net | -40 | -34 |
Dividends to noncontrolling interests | -82 | -63 |
Dividends paid | -330 | -318 |
Financing cash flows from continuing operations | 1,275 | 670 |
Financing cash flows from discontinued operations, net | 0 | 354 |
Net cash provided by financing activities | 1,275 | 1,024 |
Cash flows from investing activities: | ||
Capital expenditures | -2,761 | -3,105 |
Proceeds from sale of nuclear decommissioning trust investments | 4,574 | 1,525 |
Purchases of nuclear decommissioning trust investments and other | -4,857 | -1,689 |
Proceeds from sale of interest in project, net | 0 | 107 |
Investments in new businesses | -18 | 0 |
Customer advances for construction and other investments | -26 | 7 |
Investing cash flows from continuing operations | -3,088 | -3,155 |
Investing cash flows from discontinued operations, net | 0 | -361 |
Net cash used by investing activities | -3,088 | -3,516 |
Net (decrease) increase in cash and cash equivalents | 440 | -334 |
Cash and cash equivalents at beginning of period | 170 | 1,469 |
Cash and cash equivalents at end of period | 610 | 1,135 |
Cash and cash equivalents from discontinued operations | 0 | 753 |
Cash and cash equivalents from continuing operations | 610 | 382 |
Southern California Edison | ||
Cash flows from operating activities: | ||
Net income | 717 | 802 |
Adjustments to reconcile to net cash provided by operating activities: | ||
Depreciation, decommissioning and amortization | 1,223 | 1,187 |
Regulatory impacts of net nuclear decommissioning trust earnings | 265 | 147 |
Other amortization | 55 | 55 |
Asset impairment | 575 | 0 |
Stock-based compensation | 11 | 13 |
Deferred income taxes and investment tax credits | 197 | 426 |
Proceeds from U.S. treasury grants | 0 | 29 |
Changes in operating assets and liabilities: | ||
Receivables | -371 | -336 |
Inventory | 68 | 13 |
Margin and collateral deposits, net of collateral received | -74 | 6 |
Prepaid taxes | 26 | 230 |
Other current assets | -279 | -295 |
Accounts payable | 174 | 165 |
Accrued taxes | 76 | 49 |
Other current liabilities | -131 | -120 |
Derivative assets and liabilities, net | 207 | 63 |
Regulatory assets and liabilities, net | 94 | 147 |
Other assets | 142 | -26 |
Other liabilities | -629 | 101 |
Net cash provided by operating activities | 2,346 | 2,656 |
Cash flows from financing activities: | ||
Long-term debt issued | 398 | 395 |
Long-term debt issuance costs | -4 | -4 |
Long-term debt repaid | -5 | -4 |
Bonds remarketed, net | 195 | 0 |
Bonds purchased | -196 | 0 |
Preference stock issued, net | 387 | 804 |
Preference stock redeemed | -400 | -75 |
Short-term debt financing, net | 1,178 | -45 |
Settlements of stock-based compensation, net | -36 | -24 |
Dividends paid | -321 | -411 |
Net cash provided by financing activities | 1,196 | 636 |
Cash flows from investing activities: | ||
Capital expenditures | -2,761 | -3,105 |
Proceeds from sale of nuclear decommissioning trust investments | 4,574 | 1,525 |
Purchases of nuclear decommissioning trust investments and other | -4,857 | -1,689 |
Customer advances for construction and other investments | -21 | 10 |
Net cash used by investing activities | -3,065 | -3,259 |
Net (decrease) increase in cash and cash equivalents | 477 | 33 |
Cash and cash equivalents at beginning of period | 45 | 57 |
Cash and cash equivalents at end of period | $522 | $90 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
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 electricity to an approximately 50,000 square mile area of southern California. Edison International is also the parent company of nonutility subsidiaries that are engaged in competitive businesses related to the delivery or use of electricity. Such competitive 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 significant accounting policies were described in Note 1 of "Notes to Consolidated Financial Statements" included in the 2012 Form 10-K. The same accounting policies are followed for interim reporting purposes, with the exception of accounting principles adopted as of January 1, 2013, discussed below in "—New Accounting Guidance." This quarterly report should be read in conjunction with the financial statements and notes included in the 2012 Form 10-K. | ||||||||||||||||
Beginning in the fourth quarter of 2012, Edison Mission Energy ("EME") met the definition of a discontinued operation and was classified separately in Edison International's consolidated financial statements. Except as indicated, amounts in the notes to the consolidated financial statements relate to continuing operations of Edison International. See Note 16 for information related to discontinued operations. | ||||||||||||||||
In the opinion of management, all adjustments, consisting of recurring accruals, have been made that are necessary to fairly state the consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the United States of America for the periods covered by this quarterly report on Form 10-Q. The results of operations for the three- and nine-month periods ended September 30, 2013 are not necessarily indicative of the operating results for the full year. | ||||||||||||||||
The December 31, 2012 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. | ||||||||||||||||
Cash Equivalents | ||||||||||||||||
Cash equivalents included 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 | |||||||||||||||
(in millions) | September 30, | December 31, 2012 | September 30, | December 31, 2012 | ||||||||||||
2013 | 2013 | |||||||||||||||
Money market funds | $ | 518 | $ | 107 | $ | 453 | $ | 5 | ||||||||
Cash is temporarily invested until required for check clearing from the primary disbursement accounts. 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 | |||||||||||||||
(in millions) | September 30, | December 31, 2012 | September 30, | December 31, 2012 | ||||||||||||
2013 | 2013 | |||||||||||||||
Uncleared checks reclassified to accounts payable | $ | 202 | $ | 247 | $ | 201 | $ | 242 | ||||||||
Inventory | ||||||||||||||||
Inventory is stated at the lower of cost or market, cost being determined by the weighted-average cost method for fuel, and the average cost method for materials, supplies and spare parts. Inventory consisted of the following: | ||||||||||||||||
(in millions) | September 30, | December 31, 2012 | ||||||||||||||
2013 | ||||||||||||||||
Materials, supplies and spare parts | $ | 250 | $ | 319 | ||||||||||||
Fuel | 22 | 21 | ||||||||||||||
Total inventory | $ | 272 | $ | 340 | ||||||||||||
As a result of the permanent retirement of San Onofre, SCE has reclassified $100 million of its inventory to a regulatory asset, see Note 9 for further details. | ||||||||||||||||
Greenhouse Gas Allowances | ||||||||||||||||
SCE is allocated greenhouse gas ("GHG") allowances annually which it is then required to sell them into quarterly auctions. GHG proceeds from the auction are recorded as a regulatory liability to be refunded to customers. SCE purchases GHG allowances from quarterly auctions or bilateral parties to satisfy its compliance obligations and recovers such costs of GHG from customers. GHG allowances held for use are classified as "Other current assets" on the consolidated balance sheets and are stated at the lower of weighted-average cost or market. | ||||||||||||||||
Earnings Per Share | ||||||||||||||||
Edison International computes earnings per 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 stock options, performance shares and restricted stock units, which earn dividend equivalents on an equal basis with common shares. Stock options awarded during the period 2003 through 2006 received dividend equivalents. EPS attributable to Edison International common shareholders was computed as follows: | ||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Basic earnings per share – continuing operations: | ||||||||||||||||
Income from continuing operations available to common shareholders | $ | 463 | $ | 357 | $ | 615 | $ | 717 | ||||||||
Weighted average common shares outstanding | 326 | 326 | 326 | 326 | ||||||||||||
Basic earnings per share – continuing operations | $ | 1.42 | $ | 1.09 | $ | 1.88 | $ | 2.2 | ||||||||
Diluted earnings per share – continuing operations: | ||||||||||||||||
Income from continuing operations available to common shareholders | $ | 463 | $ | 357 | $ | 615 | $ | 717 | ||||||||
Income impact of assumed conversions | — | — | 1 | — | ||||||||||||
Income from continuing operations available to common shareholders and assumed conversions | $ | 463 | $ | 357 | $ | 616 | $ | 717 | ||||||||
Weighted average common shares outstanding | 326 | 326 | 326 | 326 | ||||||||||||
Incremental shares from assumed conversions | 2 | 3 | 3 | 2 | ||||||||||||
Adjusted weighted average shares – diluted | 328 | 329 | 329 | 328 | ||||||||||||
Diluted earnings per share – continuing operations | $ | 1.41 | $ | 1.09 | $ | 1.87 | $ | 2.18 | ||||||||
Stock-based compensation awards to purchase 4,109,363 and 3,238,581 shares of common stock for the three months ended September 30, 2013 and 2012, respectively, and 4,109,363 and 4,819,683 for the nine months ended September 30, 2013 and 2012, respectively, were outstanding, but were not included in the computation of diluted earnings per share because the exercise price of the awards was greater than the average market price of the common shares during the respective periods and, therefore, the effect would have been antidilutive. | ||||||||||||||||
Asset Retirement Obligation | ||||||||||||||||
SCE is in the process of developing a comprehensive decommissioning plan following its decision to permanently retire San Onofre. See Note 9 for further details. The asset retirement obligation ("ARO") liability related to San Onofre increased by $455 million in the second quarter of 2013 based on an updated decommissioning cost estimate for the retirement of both San Onofre Units 2 and 3. The ARO liability related to San Onofre at September 30, 2013 was $2.71 billion. | ||||||||||||||||
The following table summarizes the changes in SCE's ARO liability, including San Onofre and Palo Verde: | ||||||||||||||||
(in millions) | September 30, | December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||||
Beginning balance | $ | 2,782 | $ | 2,610 | ||||||||||||
Accretion expense1 | 134 | 161 | ||||||||||||||
Revisions | 455 | 12 | ||||||||||||||
Liabilities settled | — | (1 | ) | |||||||||||||
Ending balance | $ | 3,371 | $ | 2,782 | ||||||||||||
1 | An asset retirement obligation represents the present value of a future obligation. Accretion expense is an increase in the liability to account for the time value of money resulting from discounting. | |||||||||||||||
Related-Party Transactions | ||||||||||||||||
In 2008, EME was awarded by SCE, through a competitive bidding process, a 10-year power sales contract with SCE for the output of a 479 MW gas-fired peaking facility referred to as the Walnut Creek project. The power sales agreement was approved by the CPUC and FERC in 2008. Deliveries under the power sales agreement commenced in June 2013 and the expense for power purchased was $64 million and $70 million for the three- and nine-months ended September 30, 2013, respectively. | ||||||||||||||||
New Accounting Guidance | ||||||||||||||||
Accounting Guidance Adopted in 2013 | ||||||||||||||||
Offsetting Assets and Liabilities | ||||||||||||||||
In January 2013, the FASB issued accounting standard updates modifying the disclosure requirements about the nature of an entity's rights of offsetting recognized assets and liabilities in the statement of financial position under master netting agreements and similar arrangements associated with derivative instruments, repurchase agreements and securities lending transactions. The guidance requires increased disclosure of the gross and net recognized assets and liabilities, collateral positions and descriptions of setoff rights. Edison International and SCE adopted this guidance effective January 1, 2013. The adoption of this standard did not impact the consolidated income statements, balance sheets or cash flows of Edison International or SCE. See Note 6 for further details. | ||||||||||||||||
Items Reclassified out of Accumulated Other Comprehensive Income | ||||||||||||||||
In February 2013, the FASB issued an accounting standards update which requires disclosure related to items reclassified out of accumulated other comprehensive income ("AOCI"). The guidance requires companies to present separately, for each component of other comprehensive income, current period reclassifications and the remainder of the current-period other comprehensive income. In addition, for certain current period reclassifications, an entity is required to disclose the effect of the item reclassified out of AOCI on the respective line item(s) of net income. Edison International and SCE adopted this guidance effective January 1, 2013. See Note 14 for further details. | ||||||||||||||||
Accounting Guidance Not Yet Adopted | ||||||||||||||||
In July 2013, the FASB issued an accounting standards update that will require that an unrecognized tax benefit be presented on the balance sheet as a reduction of a deferred tax asset for a net operating loss ("NOL") or tax credit carryforward under certain circumstances. This proposal is effective January 1, 2014 and is not expected to have a material impact on the consolidated financial statements. |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Equity (Notes) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Statement of Stockholders' Equity [Abstract] | |||||||||||||||||||||||||||
Consolidated Statements of Changes in Equity | Consolidated Statements of Changes in Equity | ||||||||||||||||||||||||||
The following table provides Edison International's changes in equity for the nine months ended September 30, 2013: | |||||||||||||||||||||||||||
Equity Attributable to Edison International | Noncontrolling Interests | ||||||||||||||||||||||||||
(in millions) | Common | Accumulated | Retained | Subtotal | Preferred | Total | |||||||||||||||||||||
Stock | Other | Earnings | and | Equity | |||||||||||||||||||||||
Comprehensive | Preference | ||||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,373 | $ | (87 | ) | $ | 7,146 | $ | 9,432 | $ | 1,759 | $ | 11,191 | ||||||||||||||
Net income | — | — | 614 | 614 | 75 | 689 | |||||||||||||||||||||
Other comprehensive income | — | 8 | — | 8 | — | 8 | |||||||||||||||||||||
Common stock dividends declared ($1.0125 per share) | — | — | (330 | ) | (330 | ) | — | (330 | ) | ||||||||||||||||||
Dividends, distributions to noncontrolling interests | — | — | — | — | (75 | ) | (75 | ) | |||||||||||||||||||
Stock-based compensation and other | 5 | — | (45 | ) | (40 | ) | — | (40 | ) | ||||||||||||||||||
Noncash stock-based compensation and other | 19 | — | (6 | ) | 13 | (1 | ) | 12 | |||||||||||||||||||
Issuance of preference stock | — | — | — | — | 387 | 387 | |||||||||||||||||||||
Redemption of preference stock | — | — | (8 | ) | (8 | ) | (392 | ) | (400 | ) | |||||||||||||||||
Balance at September 30, 2013 | $ | 2,397 | $ | (79 | ) | $ | 7,371 | $ | 9,689 | $ | 1,753 | $ | 11,442 | ||||||||||||||
During the first quarter of 2013, SCE redeemed all outstanding shares of Series B and C preference stock and charged the issuance costs to retained earnings. | |||||||||||||||||||||||||||
The following table provides Edison International's changes in equity for the nine months ended September 30, 2012: | |||||||||||||||||||||||||||
Equity Attributable to Edison International | Noncontrolling Interests | ||||||||||||||||||||||||||
(in millions) | Common | Accumulated | Retained | Subtotal | Other | Preferred | Total | ||||||||||||||||||||
Stock | Other | Earnings | and | Equity | |||||||||||||||||||||||
Comprehensive | Preference | ||||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 2,360 | $ | (139 | ) | $ | 7,834 | $ | 10,055 | $ | 2 | $ | 1,029 | $ | 11,086 | ||||||||||||
Net income | — | — | 357 | 357 | — | 66 | 423 | ||||||||||||||||||||
Other comprehensive loss | — | (29 | ) | — | (29 | ) | — | — | (29 | ) | |||||||||||||||||
Contributions from noncontrolling interests | — | — | — | — | 238 | — | 238 | ||||||||||||||||||||
Transfer of assets to Capistrano Wind Partners | (21 | ) | — | — | (21 | ) | — | — | (21 | ) | |||||||||||||||||
Common stock dividends declared ($0.975 per share) | — | — | (318 | ) | (318 | ) | — | — | (318 | ) | |||||||||||||||||
Dividends, distributions to noncontrolling interests and other | — | — | — | — | (2 | ) | (66 | ) | (68 | ) | |||||||||||||||||
Stock-based compensation and other | 19 | — | (64 | ) | (45 | ) | — | — | (45 | ) | |||||||||||||||||
Noncash stock-based compensation and other | 27 | — | (2 | ) | 25 | — | — | 25 | |||||||||||||||||||
Issuance of preference stock | — | — | — | — | — | 804 | 804 | ||||||||||||||||||||
Redemption of preference stock | — | — | (1 | ) | (1 | ) | — | (74 | ) | (75 | ) | ||||||||||||||||
Balance at September 30, 2012 | $ | 2,385 | $ | (168 | ) | $ | 7,806 | $ | 10,023 | $ | 238 | $ | 1,759 | $ | 12,020 | ||||||||||||
The following table provides SCE's changes in equity for the nine months ended September 30, 2013: | |||||||||||||||||||||||||||
Equity Attributable to SCE | |||||||||||||||||||||||||||
(in millions) | Common | Additional | Accumulated | Retained | Preferred | Total | |||||||||||||||||||||
Stock | Paid-in | Other | Earnings | and | Equity | ||||||||||||||||||||||
Capital | Comprehensive | Preference | |||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,168 | $ | 581 | $ | (29 | ) | $ | 7,228 | $ | 1,795 | $ | 11,743 | ||||||||||||||
Net income | — | — | — | 717 | — | 717 | |||||||||||||||||||||
Other comprehensive income | — | — | 1 | — | — | 1 | |||||||||||||||||||||
Dividends declared on common stock | — | — | — | (360 | ) | — | (360 | ) | |||||||||||||||||||
Dividends declared on preferred and preference stock | — | — | — | (75 | ) | — | (75 | ) | |||||||||||||||||||
Stock-based compensation and other | — | 3 | — | (39 | ) | — | (36 | ) | |||||||||||||||||||
Noncash stock-based compensation and other | — | 10 | — | 4 | — | 14 | |||||||||||||||||||||
Issuance of preference stock | — | (13 | ) | — | — | 400 | 387 | ||||||||||||||||||||
Redemption of preference stock | — | 8 | — | (8 | ) | (400 | ) | (400 | ) | ||||||||||||||||||
Balance at September 30, 2013 | $ | 2,168 | $ | 589 | $ | (28 | ) | $ | 7,467 | $ | 1,795 | $ | 11,991 | ||||||||||||||
During the first quarter of 2013, SCE redeemed all outstanding shares of Series B and C preference stock and charged the issuance costs to retained earnings. | |||||||||||||||||||||||||||
The following table provides SCE's changes in equity for the nine months ended September 30, 2012: | |||||||||||||||||||||||||||
Equity Attributable to SCE | |||||||||||||||||||||||||||
(in millions) | Common | Additional | Accumulated | Retained | Preferred | Total | |||||||||||||||||||||
Stock | Paid-in | Other | Earnings | and | Equity | ||||||||||||||||||||||
Capital | Comprehensive | Preference | |||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 2,168 | $ | 596 | $ | (24 | ) | $ | 6,173 | $ | 1,045 | $ | 9,958 | ||||||||||||||
Net income | — | — | — | 802 | — | 802 | |||||||||||||||||||||
Other comprehensive income | — | — | 1 | — | — | 1 | |||||||||||||||||||||
Dividends declared on common stock | — | — | — | (349 | ) | — | (349 | ) | |||||||||||||||||||
Dividends declared on preferred and preference stock | — | — | — | (66 | ) | — | (66 | ) | |||||||||||||||||||
Stock-based compensation and other | — | 11 | — | (35 | ) | — | (24 | ) | |||||||||||||||||||
Noncash stock-based compensation and other | — | 13 | — | — | — | 13 | |||||||||||||||||||||
Issuance of preference stock | — | (21 | ) | — | — | 825 | 804 | ||||||||||||||||||||
Redemption of preference stock | — | 1 | — | (1 | ) | (75 | ) | (75 | ) | ||||||||||||||||||
Balance at September 30, 2012 | $ | 2,168 | $ | 600 | $ | (23 | ) | $ | 6,524 | $ | 1,795 | $ | 11,064 | ||||||||||||||
Variable_Interest_Entities
Variable Interest Entities | 9 Months Ended |
Sep. 30, 2013 | |
Variable Interest Entities Disclosure [Abstract] | |
Variable Interest Entities | Variable Interest Entities |
Variable Interest in VIEs that are not Consolidated | |
Power Purchase Contracts | |
SCE has power purchase agreements ("PPAs") that are classified as variable interests in variable interest entities ("VIEs"), including tolling agreements through which SCE provides the natural gas to fuel the plants and contracts with qualifying facilities ("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. In general, because 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 9 in the 2012 Form 10-K. 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 for these VIE projects was 5,290 MW and 2,094 MW at September 30, 2013 and 2012, respectively, and the amounts that SCE paid to these projects were $330 million and $158 million for the three months ended September 30, 2013 and 2012, respectively, and $527 million and $292 million for the nine months ended September 30, 2013 and 2012, respectively. These amounts are recoverable in customer rates, subject to reasonableness review. | |
Unconsolidated Trusts of SCE | |
SCE Trust I and Trust II were formed in 2012 and 2013, respectively, for the exclusive purpose of issuing the 5.625% and 5.10% 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. | |
In May 2012, SCE Trust I issued $475 million (aggregate liquidation preference) of 5.625% trust securities (cumulative, liquidation amount of $25 per share) to the public and $10,000 of common stock (100%) to SCE. The trust invested the proceeds of these trust securities in Series F Preference Stock issued by SCE in the principal amount of $475 million (cumulative, $2,500 per share liquidation value) and which have substantially the same payment terms as the trust securities. | |
In January 2013, SCE Trust II issued $400 million (aggregate liquidation preference) of 5.10% trust securities (cumulative, liquidation amount of $25 per share) to the public and $10,000 of common stock (100%) to SCE. The trust invested the proceeds of these trust securities in Series G Preference Stock issued by SCE in the principal amount of $400 million (cumulative, $2,500 per share liquidation value) and which have substantially the same payment terms as the trust securities. | |
The Series F and Series G Preference Stock and the corresponding trust securities do not have a maturity date. Upon any redemption of any shares of the Series F or Series G Preference Stock, a corresponding dollar amount of trust securities will be redeemed by the applicable trust (for further information see Note 13). The applicable trust will make distributions at the same rate and on the same dates on the applicable series of trust securities when and if the SCE board of directors declares and makes dividend payments on the Series F or Series G Preference Stock. The applicable trusts will use any dividends it receives on the Series F or Series G Preference Stock to make its corresponding distributions on the applicable series of trust securities. If SCE does not make a dividend payment to either trust, 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 Series F and Series G Preference Stock. | |
The Trust I balance sheet as of September 30, 2013 and December 31, 2012, consisted of an investment of $475 million in the Series F Preference Stock, $475 million of trust securities and $10,000 of common stock. The trust's income statement consisted of dividend income and dividend distributions of $7 million and $7 million each for the three months ended September 30, 2013 and 2012, respectively, and $20 million and $10 million each for the nine months ended September 30, 2013 and 2012, respectively. | |
The Trust II balance sheet as of September 30, 2013, consisted of an investment of $400 million in the Series G Preference Stock, $400 million of trust securities and $10,000 of common stock. The trust's income statement consisted of dividend income and dividend distributions of $5 million each for the three months ended September 30, 2013 and $14 million each for the nine months ended September 30, 2013. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
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 September 30, 2013 and December 31, 2012, 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. The hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). | ||||||||||||||||||||
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: | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||
and | ||||||||||||||||||||
Collateral1 | ||||||||||||||||||||
Assets at fair value | ||||||||||||||||||||
Money market funds | $ | 453 | $ | — | $ | — | $ | — | $ | 453 | ||||||||||
Mutual funds | 29 | — | — | — | 29 | |||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Congestion revenue rights | — | — | 245 | — | 245 | |||||||||||||||
Electricity | — | 1 | — | — | 1 | |||||||||||||||
Natural gas | — | 1 | — | (1 | ) | — | ||||||||||||||
Tolling | — | — | 8 | — | 8 | |||||||||||||||
Subtotal of derivative contracts | — | 2 | 253 | (1 | ) | 254 | ||||||||||||||
Long-term disability plan | 8 | — | — | — | 8 | |||||||||||||||
Nuclear decommissioning trusts: | ||||||||||||||||||||
Stocks2 | 2,027 | — | — | — | 2,027 | |||||||||||||||
U.S. government and agency securities | 823 | 101 | — | — | 924 | |||||||||||||||
Municipal bonds | — | 796 | — | — | 796 | |||||||||||||||
Corporate bonds | — | 221 | — | — | 221 | |||||||||||||||
Short-term investments, primarily cash equivalents4 | 322 | 45 | — | — | 367 | |||||||||||||||
Subtotal of nuclear decommissioning trusts | 3,172 | 1,163 | — | — | 4,335 | |||||||||||||||
Total assets | 3,662 | 1,165 | 253 | (1 | ) | 5,079 | ||||||||||||||
Liabilities at fair value | ||||||||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Electricity | — | 5 | 12 | (3 | ) | 14 | ||||||||||||||
Natural gas | — | 43 | — | (18 | ) | 25 | ||||||||||||||
Tolling | — | — | 1,272 | — | 1,272 | |||||||||||||||
Subtotal of derivative contracts | — | 48 | 1,284 | (21 | ) | 1,311 | ||||||||||||||
Total liabilities | — | 48 | 1,284 | (21 | ) | 1,311 | ||||||||||||||
Net assets (liabilities) | $ | 3,662 | $ | 1,117 | $ | (1,031 | ) | $ | 20 | $ | 3,768 | |||||||||
December 31, 2012 | ||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||
and | ||||||||||||||||||||
Collateral1 | ||||||||||||||||||||
Assets at fair value | ||||||||||||||||||||
Money market funds | $ | 5 | $ | — | $ | — | $ | — | $ | 5 | ||||||||||
Derivative contracts: | ||||||||||||||||||||
Congestion revenue rights | — | — | 186 | — | 186 | |||||||||||||||
Electricity | — | — | 31 | (13 | ) | 18 | ||||||||||||||
Natural gas | — | 8 | — | (2 | ) | 6 | ||||||||||||||
Tolling | — | — | 4 | — | 4 | |||||||||||||||
Subtotal of derivative contracts | — | 8 | 221 | (15 | ) | 214 | ||||||||||||||
Long-term disability plan | 8 | — | — | — | 8 | |||||||||||||||
Nuclear decommissioning trusts: | ||||||||||||||||||||
Stocks2 | 2,271 | — | — | — | 2,271 | |||||||||||||||
Municipal bonds | — | 644 | — | — | 644 | |||||||||||||||
U.S. government and agency securities | 477 | 126 | — | — | 603 | |||||||||||||||
Corporate bonds | — | 410 | — | — | 410 | |||||||||||||||
Short-term investments, primarily cash equivalents4 | 121 | — | — | — | 121 | |||||||||||||||
Subtotal of nuclear decommissioning trusts | 2,869 | 1,180 | — | — | 4,049 | |||||||||||||||
Total assets | 2,882 | 1,188 | 221 | (15 | ) | 4,276 | ||||||||||||||
Liabilities at fair value | ||||||||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Electricity | — | 2 | 5 | (2 | ) | 5 | ||||||||||||||
Natural gas | — | 113 | 2 | (60 | ) | 55 | ||||||||||||||
Tolling | — | — | 1,005 | — | 1,005 | |||||||||||||||
Subtotal of derivative contracts | — | 115 | 1,012 | (62 | ) | 1,065 | ||||||||||||||
Total liabilities | — | 115 | 1,012 | (62 | ) | 1,065 | ||||||||||||||
Net assets (liabilities) | $ | 2,882 | $ | 1,073 | $ | (791 | ) | $ | 47 | $ | 3,211 | |||||||||
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 69% and 66% of SCE's equity investments were located in the United States at September 30, 2013 and December 31, 2012, respectively. | |||||||||||||||||||
3 | At September 30, 2013 and December 31, 2012, SCE's corporate bonds were diversified and included collateralized mortgage obligations and other asset backed securities of $32 million and $56 million, respectively. | |||||||||||||||||||
4 | Excludes net payables of $3 million and $1 million at September 30, 2013 and December 31, 2012, respectively, 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 | ||||||||||||||||||||
Assets measured at fair value consisted of money market funds of $518 million and $107 million at September 30, 2013 and December 31, 2012, 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: | ||||||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||||||
September 30, | ||||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Fair value of net liabilities at beginning of period | $ | (967 | ) | $ | (739 | ) | $ | (791 | ) | $ | (754 | ) | ||||||||
Total realized/unrealized gains (losses): | ||||||||||||||||||||
Included in regulatory assets and liabilities1 | (50 | ) | (180 | ) | (205 | ) | (203 | ) | ||||||||||||
Purchases | 19 | 33 | 56 | 84 | ||||||||||||||||
Settlements | (33 | ) | (44 | ) | (91 | ) | (57 | ) | ||||||||||||
Fair value of net liabilities at end of period | $ | (1,031 | ) | $ | (930 | ) | $ | (1,031 | ) | $ | (930 | ) | ||||||||
Change during the period in unrealized losses related to assets and liabilities held at the end of the period | $ | (65 | ) | $ | (222 | ) | $ | (198 | ) | $ | (244 | ) | ||||||||
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 transfers between any levels during 2013 and 2012. | ||||||||||||||||||||
Valuation Techniques Used to Determine Fair Value | ||||||||||||||||||||
Level 1 | ||||||||||||||||||||
The fair value of Edison International 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 and derivatives, U.S. treasury securities, mutual funds and money market funds. | ||||||||||||||||||||
Level 2 | ||||||||||||||||||||
SCE's Level 2 assets and liabilities include fixed income securities 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. For further discussion on fixed income securities, see "—Nuclear Decommissioning Trusts" below. | ||||||||||||||||||||
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 over-the-counter options, tolling arrangements and derivative contracts that trade infrequently such as congestion revenue rights ("CRRs") and long-term power agreements. | ||||||||||||||||||||
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. | ||||||||||||||||||||
Level 3 Valuation Process | ||||||||||||||||||||
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 Level 3 assets and liabilities: | ||||||||||||||||||||
Fair Value (in millions) | Significant | Range | ||||||||||||||||||
September 30, 2013 | Assets | Liabilities | Valuation Technique(s) | Unobservable Input | (Weighted Average) | |||||||||||||||
Electricity: | ||||||||||||||||||||
Options | $ | 2 | $ | 10 | Option model | Volatility of gas prices | 24% - 30% (28%) | |||||||||||||
Volatility of power prices | 28% - 45% (39%) | |||||||||||||||||||
Power prices | $40.60 - $49.80 ($43.50) | |||||||||||||||||||
Forwards | — | 4 | Discounted cash flow | Power prices | $7.70 - $40.80 ($31.40) | |||||||||||||||
CRRs | 245 | — | Market simulation model | Load forecast | 7,603 MW - 24,896 MW | |||||||||||||||
Power prices | $(9.86) - $108.56 | |||||||||||||||||||
Gas prices | $3.50 - $7.10 | |||||||||||||||||||
Tolling | 8 | 1,272 | Option model | Volatility of gas prices | 16% - 30% (19%) | |||||||||||||||
Volatility of power prices | 25% - 45% (29%) | |||||||||||||||||||
Power prices | $35.90 - $62.60 ($46.90) | |||||||||||||||||||
Netting | (2 | ) | (2 | ) | ||||||||||||||||
Total derivative contracts | $ | 253 | $ | 1,284 | ||||||||||||||||
Fair Value (in millions) | Significant | Range | ||||||||||||||||||
31-Dec-12 | Assets | Liabilities | Valuation Technique(s) | Unobservable Input | (Weighted Average) | |||||||||||||||
Electricity: | ||||||||||||||||||||
Options | $ | 40 | $ | 12 | Option model | Volatility of gas prices | 25% - 36% (33%) | |||||||||||||
Volatility of power prices | 29% - 64% (42%) | |||||||||||||||||||
Power prices | $41.70 - $59.20 ($47.00) | |||||||||||||||||||
Forwards | 2 | 4 | Discounted cash flow | Power prices | $23.10 - $44.90 ($31.10) | |||||||||||||||
CRRs | 186 | — | Market simulation model | Load forecast | 7,597 MW - 26,612 MW | |||||||||||||||
Power prices | $(13.90) - $226.75 | |||||||||||||||||||
Gas prices | $2.95 - $7.78 | |||||||||||||||||||
Gas options | — | 2 | Option model | Volatility of gas prices | 28% - 36% (34%) | |||||||||||||||
Tolling | 4 | 1,005 | Option model | Volatility of gas prices | 17% - 36% (22%) | |||||||||||||||
Volatility of power prices | 26% - 64% (29%) | |||||||||||||||||||
Power prices | $35.00 - $84.10 ($55.40) | |||||||||||||||||||
Netting | (11 | ) | (11 | ) | ||||||||||||||||
Total derivative contracts | $ | 221 | $ | 1,012 | ||||||||||||||||
Level 3 Fair Value Sensitivity | ||||||||||||||||||||
Gas Options, Electricity Options, and Tolling Arrangements | ||||||||||||||||||||
The fair values of SCE's option contracts and 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 fair value of option contracts changes as the underlying commodity price moves away or towards the strike price. The option model for tolling arrangements reflects plant specific information such as operating and start-up costs. | ||||||||||||||||||||
For tolling arrangements and certain gas and power option contracts 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 the option contracts and tolling arrangements tends to increase. The valuation of power option contracts and tolling arrangements is also impacted by the correlation between gas and power prices. As the correlation increases, the fair value of power option contracts and tolling arrangements tends to decline. | ||||||||||||||||||||
Forward Power Contracts | ||||||||||||||||||||
Generally, an increase (decrease) in long-term forward power prices at illiquid locations where SCE is the buyer relative to the contract price will increase (decrease) fair value. | ||||||||||||||||||||
Congestion Revenue Rights | ||||||||||||||||||||
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. | ||||||||||||||||||||
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. | ||||||||||||||||||||
Fair Value of Long-Term Debt Recorded at Carrying Value | ||||||||||||||||||||
The carrying value and fair value of Edison International and SCE's long-term debt is as follows: | ||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||
(in millions) | Carrying | Fair | Carrying | Fair | ||||||||||||||||
Value | Value | Value | Value | |||||||||||||||||
SCE | $ | 8,828 | $ | 9,590 | $ | 8,828 | $ | 10,505 | ||||||||||||
Edison International | 9,232 | 10,016 | 9,231 | 10,944 | ||||||||||||||||
Fair value of Edison International 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 and SCE's trade receivables and payables, other investments, and short-term debt approximates fair value. |
Debt_and_Credit_Agreements
Debt and Credit Agreements | 9 Months Ended |
Sep. 30, 2013 | |
Debt Disclosure [Abstract] | |
Debt and Credit Agreements | Debt and Credit Agreements |
Long-Term Debt | |
In March 2013, SCE issued $400 million of 3.90% first and refunding mortgage bonds due in 2043. The proceeds from these bonds were used to repay commercial paper borrowings and to fund SCE's capital program. | |
Credit Agreements and Short-Term Debt | |
In July 2013, SCE and Edison International Parent amended their credit facilities to extend the maturity dates to July 2018 for $2.6 billion and $1.182 billion, respectively. The remaining $150 million and $68 million of the SCE and Edison International Parent credit facilities, respectively, will mature in May 2017. | |
At September 30, 2013, SCE's outstanding commercial paper was $1.35 billion at a weighted-average interest rate of 0.25%. This commercial paper was supported by a $2.75 billion multi-year revolving credit facility. At September 30, 2013, letters of credit issued under SCE's credit facility aggregated $140 million and are scheduled to expire in twelve months or less. At December 31, 2012, the outstanding commercial paper was $175 million at a weighted-average interest rate of 0.37%. | |
At September 30, 2013, Edison International Parent's outstanding short-term debt was $174 million at a weighted-average interest rate of 1.46%. This short-term debt was supported by a $1.25 billion multi-year revolving credit facility. At December 31, 2012, Edison International had no outstanding short-term debt. | |
Financing Subsequent to September 30, 2013 | |
In October 2013, SCE issued $200 million of floating rate due in 2014, $600 million of 3.50% due in 2023, and $800 million of 4.65% first and refunding mortgage bonds due in 2043. The proceeds from these bonds were used to redeem $800 million of outstanding first mortgage bonds in October 2013 (due in March 2014), to repay commercial paper borrowings and to fund SCE's capital program. |
Derivative_Instruments
Derivative Instruments | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | Derivative Instruments | ||||||||||||||||||||||||||||
Derivative financial instruments are used to manage exposure to commodity price risk. SCE manages commodity price risk in part by entering into forward commodity transactions, including options, swaps and forwards, tolling arrangements and CRRs. To mitigate credit and default risk SCE enters into master netting agreements or similar agreements whenever possible. These transactions are approved by the CPUC or executed in compliance with CPUC-approved procurement plans. SCE recovers its related hedging costs through the energy resource recovery account ("ERRA"), and as a result, exposure to commodity price and credit and default risks are not expected to impact earnings, but may impact cash flows. | |||||||||||||||||||||||||||||
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 represents 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 allows counterparties subject to the agreement to set-off 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 credit 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 pay the derivative liability or post additional collateral. The net fair value of all derivative liabilities with these credit-risk-related contingent features was $53 million and $6 million as of September 30, 2013 and December 31, 2012, respectively, for which SCE has posted no collateral to its counterparties for the respective periods. If the credit-risk-related contingent features underlying these agreements were triggered on September 30, 2013, SCE would be required to post collateral in the amount of $14 million, excluding the impact of unpaid closed positions as their settlement is not impacted by the credit-risk-related contingent features. | |||||||||||||||||||||||||||||
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. The following table summarizes the gross and net fair values of SCE's commodity derivative instruments: | |||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||||||||||||||
(in millions) | Short-Term | Long-Term | Subtotal | Short-Term | Long-Term | Subtotal | Net | ||||||||||||||||||||||
Liability | |||||||||||||||||||||||||||||
Commodity derivative contracts | |||||||||||||||||||||||||||||
Gross amounts recognized | $ | 53 | $ | 207 | $ | 260 | $ | 195 | $ | 1,143 | $ | 1,338 | $ | 1,078 | |||||||||||||||
Gross amounts offset in the consolidated balance sheets | (6 | ) | — | (6 | ) | (6 | ) | — | (6 | ) | — | ||||||||||||||||||
Cash collateral posted1 | — | — | — | (15 | ) | (6 | ) | (21 | ) | (21 | ) | ||||||||||||||||||
Net amounts presented in the consolidated balance sheets | $ | 47 | $ | 207 | $ | 254 | $ | 174 | $ | 1,137 | $ | 1,311 | $ | 1,057 | |||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||||||||||||||
(in millions) | Short-Term | Long-Term | Subtotal | Short-Term | Long-Term | Subtotal | Net | ||||||||||||||||||||||
Liability | |||||||||||||||||||||||||||||
Commodity derivative contracts | |||||||||||||||||||||||||||||
Gross amounts recognized | $ | 151 | $ | 91 | $ | 242 | $ | 186 | $ | 954 | $ | 1,140 | $ | 898 | |||||||||||||||
Gross amounts offset in the consolidated balance sheets | (22 | ) | (6 | ) | (28 | ) | (22 | ) | (6 | ) | (28 | ) | — | ||||||||||||||||
Cash collateral posted1 | — | — | — | (38 | ) | (9 | ) | (47 | ) | (47 | ) | ||||||||||||||||||
Net amounts presented in the consolidated balance sheets | $ | 129 | $ | 85 | $ | 214 | $ | 126 | $ | 939 | $ | 1,065 | $ | 851 | |||||||||||||||
1 | In addition, at September 30, 2013 and December 31, 2012, SCE had posted $14 million and $8 million, respectively, of collateral that is not offset against the 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 results 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: | |||||||||||||||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||||||||||||||
September 30, | |||||||||||||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Realized losses | $ | (15 | ) | $ | (77 | ) | $ | (38 | ) | $ | (199 | ) | |||||||||||||||||
Unrealized losses | (41 | ) | (91 | ) | (159 | ) | (29 | ) | |||||||||||||||||||||
Notional Volumes of Derivative Instruments | |||||||||||||||||||||||||||||
The following table summarizes the notional volumes of derivatives used for SCE hedging activities: | |||||||||||||||||||||||||||||
Economic Hedges | |||||||||||||||||||||||||||||
Commodity | Unit of Measure | September 30, | December 31, 2012 | ||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Electricity options, swaps and forwards | GWh | 8,964 | 15,884 | ||||||||||||||||||||||||||
Natural gas options, swaps and forwards | Bcf | 12 | 100 | ||||||||||||||||||||||||||
Congestion revenue rights | GWh | 127,772 | 149,774 | ||||||||||||||||||||||||||
Tolling arrangements | GWh | 97,893 | 101,485 | ||||||||||||||||||||||||||
Income_Taxes
Income Taxes | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||
Income Taxes | Income Taxes | |||||||||||||||
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: | ||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Income from continuing operations before income taxes | $ | 665 | $ | 610 | $ | 863 | $ | 1,204 | ||||||||
Provision for income tax at federal statutory rate of 35% | 233 | 214 | 302 | 421 | ||||||||||||
Increase (decrease) in income tax from: | ||||||||||||||||
State tax, net of federal benefit | 22 | 46 | 5 | 60 | ||||||||||||
Property-related | (57 | ) | (20 | ) | (121 | ) | (39 | ) | ||||||||
Uncertain tax positions | (5 | ) | 1 | 13 | 2 | |||||||||||
Other | (16 | ) | (13 | ) | (26 | ) | (23 | ) | ||||||||
Total income tax expense from continuing operations | $ | 177 | $ | 228 | $ | 173 | $ | 421 | ||||||||
Effective tax rate | 26.6 | % | 37.4 | % | 20 | % | 35 | % | ||||||||
SCE: | ||||||||||||||||
Income from continuing operations before income taxes | $ | 685 | $ | 564 | $ | 913 | $ | 1,186 | ||||||||
Provision for income tax at federal statutory rate of 35% | 240 | 197 | 319 | 415 | ||||||||||||
Increase (decrease) in income tax from: | ||||||||||||||||
State tax, net of federal benefit | 21 | 10 | 12 | 30 | ||||||||||||
Property-related | (57 | ) | (19 | ) | (121 | ) | (39 | ) | ||||||||
Uncertain tax positions | (6 | ) | 1 | 11 | 1 | |||||||||||
Other | (15 | ) | (13 | ) | (25 | ) | (23 | ) | ||||||||
Total income tax expense from continuing operations | $ | 183 | $ | 176 | $ | 196 | $ | 384 | ||||||||
Effective tax rate | 26.7 | % | 31.2 | % | 21.5 | % | 32.4 | % | ||||||||
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. The accounting treatment for these temporary differences results in recording regulatory assets and liabilities for amounts that would otherwise be recorded to deferred income tax expense. | ||||||||||||||||
Property-related items include recognition of income tax benefits from repair deductions for income tax purposes. | ||||||||||||||||
Tax Disputes | ||||||||||||||||
Edison International's federal income tax returns and its California combined franchise tax returns are currently open for years subsequent to 2002. In addition, specific California refund claims made by Edison International for years 1991 through 2002 are currently under review by the Franchise Tax Board. | ||||||||||||||||
Tax Years 2003 – 2006 | ||||||||||||||||
The IRS examination phase of tax years 2003 through 2006 was completed in the fourth quarter of 2010, which included proposed adjustments for the following two items: | ||||||||||||||||
• | A proposed adjustment increasing the taxable gain on the 2004 sale of EME's international assets, which if sustained, would result in a federal tax payment of approximately $205 million, including interest and penalties through September 30, 2013 (the IRS has asserted a 40% penalty for understatement of tax liability related to this matter). | |||||||||||||||
• | A proposed adjustment to disallow a component of SCE's repair allowance deduction, which if sustained, would result in a federal tax payment of approximately $99 million, including interest through September 30, 2013. | |||||||||||||||
Edison International disagrees with the proposed adjustments and filed a protest with the IRS in the first quarter of 2011. The appeals process to date has not resulted in a change in the proposed adjustment by the IRS on the taxable gain on the 2004 sale of EME's international assets. If a deficiency notice is issued on this item, it would require payment of the tax, interest and any penalties within 90 days of its issuance or a filing of a petition in United States Tax Court. | ||||||||||||||||
Tax Years 2007 – 2009 | ||||||||||||||||
The IRS examination phase of tax years 2007 through 2009 was completed during the first quarter of 2013. Edison International received a Revenue Agent Report from the IRS on February 28, 2013 which included a proposed adjustment to disallow a component of SCE's repair allowance deduction (similar to the 2003 – 2006 tax years). The proposed adjustment to disallow a component of SCE's repair allowance deduction, if sustained, would result in a federal tax payment of approximately $74 million, including interest through September 30, 2013. Edison International disagrees with the proposed adjustment and filed a protest with the IRS in April 2013. | ||||||||||||||||
Net Operating Loss and Tax Credit Carryforwards | ||||||||||||||||
Edison International recently completed filing its 2012 tax returns. As adjusted for the amounts reflected in these tax returns, Edison International had $311 million of federal tax credit carryforwards of which $289 million expire between 2029 and 2032 and the remainder has no expiration date. In addition, as adjusted for the amounts reflected in these tax returns there were $1.3 billion of net operating loss carryforwards (tax effected) of which $32 million expire between 2015 and 2024, and the remainder expire in 2031 and 2032. | ||||||||||||||||
As adjusted for the amounts reflected in these tax returns, SCE had $44 million of federal tax credit carryforwards of which $30 million expire between 2030 and 2032 and the remainder has no expiration date. In addition, as adjusted for the amounts reflected in these tax returns, there were $177 million of net operating loss carryforwards (tax effected) of which $18 million expire between 2015 and 2016, and the remainder expires in 2031 and 2032. | ||||||||||||||||
Edison International has recorded deferred tax assets related to net operating losses and tax credit carryforwards that pertain to Edison International's consolidated or combined federal and state tax returns. Edison International continues to consolidate EME for federal and certain combined state tax returns. Under federal and state tax regulations, a tax deconsolidation of EME in future periods, as expected through the bankruptcy proceeding would reduce the amounts that Edison International would be eligible to use in future periods. As a result of the expected future tax deconsolidation and separation of EME from Edison International, Edison International has recorded a valuation allowance based on the estimated amount of such benefits as calculated under the applicable federal and state tax regulations. During the third quarter of 2013, Edison International revised its estimate of the tax impact of net operating losses and valuation allowance based on completion of the 2012 tax returns, as well as the estimated impact during 2013, which resulted in a $25 million tax provision (recorded as part of discontinued operations). The tax impact related to completion of the 2012 tax returns resulted from lower net operating losses from EME and an increase in the amount of projected net operating loss retained by EME upon deconsolidation and separation from Edison International. Changes in the amount of tax attributes may impact the amount of the valuation allowance and thereby affect income or losses from discontinued operations (see Note 16). |
Compensation_and_Benefit_Plans
Compensation and Benefit Plans | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||||||||||
Compensation and Benefit Plans | Compensation and Benefit Plans | |||||||||||||||
Pension Plans | ||||||||||||||||
Edison International made contributions of $175 million during the nine months ended September 30, 2013, which includes contributions of $163 million by SCE. Edison International expects to make contributions of $13 million during the remainder of 2013, which includes $2 million from SCE. Annual contributions made to most of SCE's pension plans are anticipated to be recovered through CPUC-approved regulatory mechanisms. Annual contributions to these plans are expected to be, at a minimum, equal to the related annual expense. | ||||||||||||||||
Expense components for continuing operations are: | ||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Service cost | $ | 38 | $ | 44 | $ | 114 | $ | 121 | ||||||||
Interest cost | 42 | 46 | 126 | 137 | ||||||||||||
Expected return on plan assets | (58 | ) | (53 | ) | (172 | ) | (164 | ) | ||||||||
Settlement costs1 | 24 | 1 | 73 | 4 | ||||||||||||
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||||||||||
Amortization of net loss2 | 15 | 18 | 45 | 48 | ||||||||||||
Expense under accounting standards | $ | 62 | $ | 57 | $ | 189 | $ | 149 | ||||||||
Regulatory adjustment (deferred) | (7 | ) | (57 | ) | (21 | ) | (3 | ) | ||||||||
Total expense recognized | $ | 55 | $ | — | $ | 168 | $ | 146 | ||||||||
SCE: | ||||||||||||||||
Service cost | $ | 37 | $ | 46 | $ | 111 | $ | 120 | ||||||||
Interest cost | 41 | 45 | 123 | 135 | ||||||||||||
Expected return on plan assets | (57 | ) | (52 | ) | (171 | ) | (162 | ) | ||||||||
Settlement costs | 24 | 1 | 72 | 3 | ||||||||||||
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||||||||||
Amortization of net loss2 | 14 | 14 | 42 | 42 | ||||||||||||
Expense under accounting standards | $ | 60 | $ | 55 | $ | 180 | $ | 141 | ||||||||
Regulatory adjustment (deferred) | (7 | ) | (57 | ) | (21 | ) | (3 | ) | ||||||||
Total expense recognized | $ | 53 | $ | (2 | ) | $ | 159 | $ | 138 | |||||||
1 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International was $2 million for the nine months ended September 30, 2013. | |||||||||||||||
2 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was $4 million and $3 million for the three months ended September 30, 2013, respectively, and $11 million and $8 million for the nine months ended September 30, 2013, respectively. | |||||||||||||||
Under generally accepted accounting principles (“GAAP”), a settlement is recorded when lump-sum payments exceed estimated annual service and interest costs. As of May 31, 2013 and August 31, 2013, lump-sum payments to employees retiring in 2013 from the SCE Retirement Plan (primarily due to workforce reductions described below) exceeded the estimated service and interest costs for the year. A settlement requires re-measurement of both the plan pension obligations and plan assets as of the date of the settlement. The re-measurement of the SCE Retirement Plan as of May 31, 2013 and August 31, 2013 resulted in total actuarial gains of $338 million, including $341 million for SCE. The actuarial gains are primarily due to an increase in the discount rate (from 3.75% at December 31, 2012 to 4.25% as of May 31, 2013 and 4.50% as of August 31, 2013) due to higher interest rates and performance of the plan assets. | ||||||||||||||||
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. | ||||||||||||||||
The projected benefit obligations exceeded the fair value of the SCE Retirement Plan assets by $739 million, including $701 million for SCE, at August 31, 2013 compared to $1.11 billion, including $1.07 billion for SCE, at December 31, 2012. | ||||||||||||||||
Postretirement Benefits Other Than Pensions | ||||||||||||||||
Edison International made contributions of $22 million during the nine months ended September 30, 2013 and expects to make contributions of $13 million during the remainder of 2013, all of which are expected to be made by SCE. Annual contributions 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. Benefits under these plans, with some exceptions, are generally unvested and subject to change. | ||||||||||||||||
Expense components for continuing operations are: | ||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Service cost | $ | 14 | $ | 13 | $ | 42 | $ | 37 | ||||||||
Interest cost | 26 | 28 | 78 | 85 | ||||||||||||
Expected return on plan assets | (30 | ) | (27 | ) | (90 | ) | (81 | ) | ||||||||
Special termination benefits1 | — | 3 | 10 | 3 | ||||||||||||
Amortization of prior service credit | (9 | ) | (9 | ) | (27 | ) | (27 | ) | ||||||||
Amortization of net loss2 | 7 | 12 | 21 | 35 | ||||||||||||
Total expense | $ | 8 | $ | 20 | $ | 34 | $ | 52 | ||||||||
SCE: | ||||||||||||||||
Service cost | $ | 14 | $ | 12 | $ | 41 | $ | 36 | ||||||||
Interest cost | 26 | 28 | 78 | 84 | ||||||||||||
Expected return on plan assets | (30 | ) | (27 | ) | (90 | ) | (81 | ) | ||||||||
Special termination benefits1 | — | 3 | 10 | 3 | ||||||||||||
Amortization of prior service credit | (9 | ) | (9 | ) | (27 | ) | (27 | ) | ||||||||
Amortization of net loss2 | 7 | 11 | 21 | 33 | ||||||||||||
Total expense | $ | 8 | $ | 18 | $ | 33 | $ | 48 | ||||||||
1 | Due to the reduction in workforce, SCE has incurred costs for extended retiree health care coverage. | |||||||||||||||
2 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was less than $1 million and zero for the three- and nine-months ended September 30, 2013, respectively. | |||||||||||||||
Workforce Reductions | ||||||||||||||||
In 2012, SCE commenced multiple efforts to reduce its workforce, which were largely completed by the end of the second quarter of 2013, in order to reflect SCE's strategic direction to optimize its cost structure, moderate customer rate increases and align its cost structure with its peers. In addition, in June 2013, SCE announced plans to permanently retire San Onofre. This announcement will result in a further reduction of the San Onofre workforce by approximately 960 employees and support organizations by approximately 175 employees. The majority of such reductions occurred in 2013. See Note 9 for further details. The following table provides a summary of changes in the accrued severance liability associated with these reductions: | ||||||||||||||||
(in millions) | ||||||||||||||||
Balance at January 1, 2013 | $ | 104 | ||||||||||||||
Additions | 109 | |||||||||||||||
Payments | (132 | ) | ||||||||||||||
Balance at September 30, 2013 | $ | 81 | ||||||||||||||
The liability presented in the table above is reflected in "Other current liabilities" on the consolidated balance sheets. The severance costs are included in "Operation and maintenance" on the consolidated income statements. |
Permanent_Retirement_of_San_On
Permanent Retirement of San Onofre (Notes) | 9 Months Ended | |
Sep. 30, 2013 | ||
Retirement of Plant [Abstract] | ||
Permanent Retirement of San Onofre | Permanent Retirement of San Onofre | |
Tube Leak and Response | ||
Replacement steam generators were installed at San Onofre in 2010 and 2011. In the first quarter of 2012, a water 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 to tube wear. At the time, Unit 2 was off-line for a planned outage when areas of unexpected tube to support structure wear were found. Both Units have remained shut down since early 2012 and have undergone extensive inspections, testing and analysis following discovery of the leak. In October 2012, SCE submitted a restart plan to the Nuclear Regulatory Commission (“NRC”). | ||
Permanent Retirement | ||
On June 6, 2013 SCE decided to permanently retire Units 2 and 3. SCE concluded that despite the NRC's extensive review of SCE's restart plan for Unit 2 since October 2012, there still remained considerable uncertainty about when the review process would be concluded. Given the considerable uncertainty of when or whether SCE would be permitted to restart Unit 2, SCE concluded that it was in the best interest of its customers, shareholders and other stakeholders to permanently retire the Units and focus on planning for the replacement resources which will eventually be required for grid reliability. SCE also concluded that its decision to retire the Units would facilitate more orderly planning for California's energy future without the uncertainty of whether, when or how long San Onofre would continue to operate. | ||
CPUC Review | ||
In October 2012 the CPUC issued an Order Instituting Investigation (“OII”) that consolidated all San Onofre issues in related regulatory proceedings to consider appropriate cost recovery for all San Onofre costs, including among other costs, the cost of the steam generator replacement project, substitute market power costs, capital expenditures, operation and maintenance costs, and seismic study costs. The OII requires that all San Onofre-related costs incurred on and after January 1, 2012 be tracked in a memorandum account and, to the extent collected in rate levels authorized in the 2012 GRC or other proceeding, be subject to refund. The Order also states that the CPUC will determine whether to order the immediate removal, effective as of the date of the OII, of costs and rate base related to San Onofre from SCE's rates. Various other parties have filed testimony in the OII asking for disallowance of some or all of the San Onofre-related costs, including costs in excess of the amount impaired by SCE. | ||
A summary of financial items related to San Onofre and implicated in the OII are as follows: | ||
• | Approximately $1.1 billion of SCE's authorized revenue requirement collected since January 1, 2012 (subject to refund) associated with operating and maintenance expenses, depreciation, taxes and return on SCE's investment in Unit 2, Unit 3 and common plant. In June 2013, SCE recorded approximately $56 million in severance costs associated with its decision to retire both Units. Until funding of post June 6, 2013 activities related to the permanent closure of the plant is transitioned from base rates to SCE's nuclear decommissioning trusts set up for that purpose, SCE will continue to record these costs through the San Onofre OII memorandum account, subject to reasonableness review. | |
• | At May 31, 2013, SCE's net investment associated with San Onofre was $2.1 billion, including net book value of remaining property, plant and equipment, construction work-in-progress, nuclear fuel inventory and materials and supplies. | |
• | In 2005, the CPUC authorized expenditures of approximately $525 million ($665 million based on SCE's estimate after adjustment for inflation using the Handy-Whitman Index) for SCE's 78.21% share of the costs to purchase and install the four new steam generators in Units 2 and 3 and remove and dispose of their predecessors. SCE has spent $602 million on the steam generator replacement project, not including inspection, testing and repair costs subsequent to the replacement steam generator leak in Unit 3. | |
• | As a result of outages associated with the steam generator inspection and repair, electric power and capacity normally provided by San Onofre were purchased in the market by SCE. These market power costs will be reviewed as part of the CPUC's OII proceeding. Estimated market power costs calculated in accordance with the OII methodology were approximately $680 million as of June 6, 2013, excluding avoided nuclear fuel costs which are no longer included as a reduction due to SCE's decision to permanently retire Units 2 and 3. Such amount includes costs of approximately $65 million associated with planned outage periods. SCE believes that such costs should be excluded as they would have been incurred even had the replacement steam generators performed as expected. Estimated market power costs calculated in accordance with the OII methodology from June 7, 2013 through September 30, 2013 was approximately $191 million. The CPUC will ultimately determine a final methodology for estimating market power costs as it continues its review of the issues in the OII. | |
• | Through September 30, 2013, SCE's share of incremental inspection and repair costs totaled $115 million for both Units (not including payments made by MHI as described below). SCE recorded its share of payments made to date by MHI ($36 million) as a reduction of incremental inspection and repair costs in 2012. | |
SCE believes that the actions taken and costs incurred in connection with the San Onofre replacement steam generators, outages and permanent retirement have been prudent. Nevertheless, SCE cannot provide assurance that the CPUC will not disallow costs incurred or order refunds to customers of amounts collected in rates or that SCE will be successful in recovering amounts from third parties. Disallowances of costs and/or refund of amounts received from customers could be material and adversely affect SCE's financial condition, results of operations and cash flows. | ||
Accounting for Early Retirement of San Onofre Units 2 and 3 | ||
As a result of the decision to early retire San Onofre Units 2 and 3, GAAP requires reclassification of the amounts recorded in property, plant and equipment and related tangible operating assets to a regulatory asset to the extent that management concludes it is probable of recovery through future rates. Regulatory assets may also be recorded to the extent management concludes it is probable that direct and indirect costs incurred to retire Units 2 and 3 as of each reporting date are recoverable through future rates. These costs may include, but are not limited to, severance benefits to reduce the workforce at San Onofre to the staffing required to safely store and secure the plant prior to conducting decommissioning activities, losses on termination of purchase contracts, including nuclear fuel, and losses on disposition of excess inventory. GAAP also requires recognition of a liability to the extent management concludes it is probable SCE will be required to refund amounts from authorized revenues previously collected from customers. | ||
In assessing whether to record regulatory assets as a result of the decision to retire San Onofre Units 2 and 3 early and whether to record liabilities for refunds to customers, SCE considered the interrelationship of recovery of costs and refunds to customers for accounting purposes, as such matters are being considered by the CPUC on a consolidated basis in the San Onofre OII. SCE also considered that it will continue to use certain portions of the plant (such as fuel storage, security facilities and buildings) as part of ongoing activities at the site. SCE additionally reviewed relevant regulatory precedents and statutory provisions regarding the regulatory recovery of early retired assets previously placed in service and related materials, supplies and fuel. Such precedents have generally permitted cost recovery of the remaining net investment in early retired assets, absent a finding of imprudency. Such precedents vary on whether a full, partial or no rate of return is allowed on the investment in such assets, but generally provide accelerated recovery when less than a full return is authorized. Furthermore, once the Units are removed from rate base, under normal principles of cost of service ratemaking and relevant statutory provisions, SCE should, absent imprudence, recover the costs it incurs to purchase power that might otherwise have been produced by San Onofre. SCE continues to believe that the actions it has taken and the costs it has incurred in connection with the San Onofre replacement steam generators and outages have been prudent. | ||
As a result of such considerations, SCE considered a number of potential outcomes for the matters being considered by the CPUC in the San Onofre OII, none of which are assured, but a number of which in SCE's opinion appeared to be more likely than a number of other outcomes. SCE considered the likelihood of outcomes to determine the amount deemed probable of recovery. These outcomes included a number of variables, including recovery of and return on the components of SCE's net investment, and the potential for refunds to customers for either substitute power or operating costs occurring over different time periods. SCE also included in its consideration of possible outcomes, the requirement under GAAP to discount future cash flows from recovery of assets without a return at its incremental borrowing rate. | ||
As a result of the foregoing assessment, SCE: | ||
• | Reclassified $1,521 million of its total investment in San Onofre at May 31, 2013 as described above to a regulatory asset (“San Onofre Regulatory Asset”). Included in the San Onofre Regulatory Asset is approximately $404 million of property, plant and equipment, including construction work in progress that is expected to support ongoing activities at the site. In addition, to the extent the San Onofre Regulatory Asset includes excess nuclear fuel and material and supplies, SCE will, if possible, sell such excess amounts to third parties and reduce the amount of the regulatory asset by such proceeds. | |
• | Recorded an impairment charge of $575 million ($365 million after tax) in the second quarter of 2013. | |
As part of the decision to permanently retire the Units at San Onofre, SCE announced a workforce reduction of approximately 960 employees and accrued additional severance costs of $56 million (SCE's share) based on its conclusion that it is probable, though not certain, that such costs will be recovered in future rates. The estimate for these costs was previously included in SCE's estimate to decommission the units. After acceptance of the decommissioning plan by the NRC, SCE expects a further workforce reduction of approximately 175 employees. | ||
As of September 30, 2013, SCE recorded a net regulatory asset of $1.45 billion comprised of: $1.54 billion of property, plant and equipment; $33 million estimated losses on disposition of nuclear fuel inventory; less $129 million for estimated refunds of authorized revenue recorded in excess of SCE’s costs of service, including a return on capital through June 6, 2013. SCE's judgment that the San Onofre Regulatory Asset recorded at September 30, 2013 is probable, though not certain, of recovery is based on SCE's knowledge of the facts and judgment in applying relevant regulatory principles to the issues under review in the OII proceeding and in accordance with GAAP. Such judgment is subject to considerable uncertainty, and regulatory principles and precedents are not necessarily binding and are capable of interpretation. No decisions have been rendered in the OII proceeding regarding recoverability of costs from future rates or refunds of amounts to customers. The CPUC may or may not agree with SCE, after review of all of the facts and circumstances, and SCE may advocate positions that it believes are supported by relevant precedent and regulatory principles that are more favorable to SCE than the charges it has recorded in accordance with GAAP. The CPUC could also conclude that SCE acted imprudently regarding the San Onofre replacement steam generator project, including its response to the outage that commenced at the end of January 2012. Thus, there can be no assurance that the OII proceeding will provide for recoveries as estimated by SCE, including the recovery of costs recorded as a regulatory asset, or that the CPUC does not order refunds to customers from amounts that were previously authorized as subject to refund. Accordingly, the amount recorded for the San Onofre Regulatory Asset at September 30, 2013, is subject to change based upon future developments and the application of SCE's judgment to those events. | ||
Third-Party Recovery | ||
The replacement steam generators were designed and supplied by MHI and are warranted for an initial period of 20 years from acceptance. MHI is contractually obligated to repair or replace defective items with dispatch and to pay specified damages for certain repairs. MHI's 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 MHI's liability is not limited to $138 million, and MHI has advised SCE that it disagrees. In October 2013, after a prescribed 90-day waiting period from the service of an earlier notice of dispute, 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 that MHI totally and fundamentally failed to deliver what it promised, and that the contractual limitations of liability are subject to applicable exceptions in the contract and under law. Each of the other co-owners filed lawsuits against MHI, alleging claims arising from MHI's supplying the faulty steam generators. MHI has requested that these lawsuits be stayed pending the arbitration with SCE. | ||
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 any of the charges in the invoice. In January 2013, MHI advised SCE that it rejected a portion of the first invoice and required further documentation regarding the remainder of the invoice. In September 2013, SCE reiterated its request to MHI for payment of outstanding invoices. SCE has recorded its share of the invoice paid as a reduction of repair and inspection costs. | ||
San Onofre carries both accidental property damage and accidental outage insurance issued by Nuclear Electric Insurance Limited (“NEIL”) and has placed NEIL on notice of claims under both policies. The NEIL policies have a number of exclusions and limitations that may reduce or eliminate coverage. The estimated total claims under the accidental outage insurance through June 30, 2013 are approximately $390 million (SCE’s share of which is approximately $306 million). Pursuant to these proofs of loss, SCE is seeking the weekly indemnity amounts provided under the accidental outage policy for each Unit. Accidental outage policy benefits are reduced by 90% for the periods following announcement of the permanent retirement of the Units. SCE has not submitted a proof of loss under the accidental property damage insurance. No amounts have been recognized in SCE's financial statements, pending NEIL's response. SCE's current expectation is that NEIL will make a coverage determination by the end of the first quarter of 2014. | ||
Continuing NRC Proceedings | ||
As part of the NRC's review of the San Onofre outage and proceedings related to the possible restart of Unit 2, the NRC appointed an Augmented Inspection Team to review SCE's performance. In September 2013, the NRC issued an Inspection Report in connection with The Augmented Inspection Team’s review and SCE’s response to an earlier NRC Confirmatory Action Letter. The NRC’s report contained a preliminary “white” finding (low to moderate safety significance) and an apparent violation regarding the steam generators in Unit 3 and a preliminary “green” finding (very low safety significance) for Unit 2’s steam generators for failing to ensure that MHI’s modeling and analysis were adequate. Simultaneously, the NRC issued an Inspection Report to MHI containing a Notice of Nonconformance for its flawed computer modeling in the design of San Onofre’s steam generators. In October 2013, SCE submitted comments to the NRC on the characterizations contained in the Inspection Report but did not contest the findings or violation. In addition, the NRC's Office of Investigations has been conducting an investigation into the accuracy and completeness of information SCE provided to the Augmented Inspection Team. SCE has also been made aware of an investigation related to San Onofre by the NRC's Office of Inspector General, which generally reviews internal NRC affairs. Certain anti-nuclear groups and individual members of Congress have alleged that SCE knew of deficiencies in the steam generators when they were installed or otherwise did not correctly follow NRC requirements in connection with the design and installation of the replacement steam generators, something which SCE has vigorously denied, and have called for investigations, including by the Department of Justice. SCE cannot predict when or whether ongoing inquiries or investigations by the NRC will be completed or whether inquiries by other government agencies will be initiated. Should the NRC find a deficiency in SCE's provision of information, SCE could be subject to additional NRC actions, including the imposition of penalties, and the findings could be taken into consideration in the CPUC regulatory proceedings described above. |
Other_Investments
Other Investments | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Regulated Entity, Other Assets, Noncurrent [Abstract] | ||||||||||||||||||
Other Investments | Other Investments | |||||||||||||||||
Nuclear Decommissioning Trusts | ||||||||||||||||||
Future decommissioning costs of removal of SCE's nuclear assets are expected to be funded from independent decommissioning trusts, which currently receive contributions of approximately $23 million per year through SCE customer rates. | ||||||||||||||||||
The following table sets forth amortized cost and fair value of the trust investments: | ||||||||||||||||||
Longest | Amortized Cost | Fair Value | ||||||||||||||||
Maturity | ||||||||||||||||||
(in millions) | Dates | September 30, | December 31, | September 30, | December 31, 2012 | |||||||||||||
2013 | 2012 | 2013 | ||||||||||||||||
Stocks | — | $ | 635 | $ | 978 | $ | 2,027 | $ | 2,271 | |||||||||
Municipal bonds | 2051 | 701 | 518 | 796 | 644 | |||||||||||||
U.S. government and agency securities | 2043 | 861 | 547 | 924 | 603 | |||||||||||||
Corporate bonds | 2054 | 176 | 324 | 221 | 410 | |||||||||||||
Short-term investments, primarily cash equivalents | One-year | 351 | 117 | 367 | 121 | |||||||||||||
Total investments | 2,724 | 2,484 | 4,335 | 4,049 | ||||||||||||||
Net payables | (3 | ) | (1 | ) | (3 | ) | (1 | ) | ||||||||||
Total nuclear decommissioning trusts | $ | 2,721 | $ | 2,483 | $ | 4,332 | $ | 4,048 | ||||||||||
Trust fund earnings (based on specific identification) increase the trust fund balance and the ARO regulatory liability. Proceeds from sales of securities (which are reinvested) were $2.6 billion and $428 million for the three months ended September 30, 2013 and 2012, respectively and $4.6 billion and $1.5 billion for the nine months ended September 30, 2013 and 2012, respectively. Unrealized holding gains, net of losses, were $1.6 billion at both September 30, 2013 and December 31, 2012. | ||||||||||||||||||
The following table sets forth a summary of changes in the fair value of the trust: | ||||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||||
September 30, | ||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance at beginning of period | $ | 4,182 | $ | 3,810 | $ | 4,048 | $ | 3,592 | ||||||||||
Gross realized gains | 119 | 13 | 261 | 54 | ||||||||||||||
Gross realized losses | (17 | ) | — | (18 | ) | (5 | ) | |||||||||||
Unrealized gains, net | 55 | 156 | 46 | 272 | ||||||||||||||
Other-than-temporary impairments | (15 | ) | (7 | ) | (44 | ) | (30 | ) | ||||||||||
Interest, dividends, contributions and other | 8 | 25 | 39 | 114 | ||||||||||||||
Balance at end of period | $ | 4,332 | $ | 3,997 | $ | 4,332 | $ | 3,997 | ||||||||||
Due to regulatory mechanisms, earnings (including other-than-temporary impairments) and realized gains and losses have no impact on operating revenue or earnings. |
Regulatory_Assets_and_Liabilit
Regulatory Assets and Liabilities | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Regulatory Assets and Liabilities Disclosure [Abstract] | ||||||||
Regulatory Assets and Liabilities | Regulatory Assets and Liabilities | |||||||
As a result of the permanent retirement of San Onofre, SCE's net regulatory asset as of September 30, 2013 was $1.45 billion comprised of: $1.54 billion of property, plant and equipment; $33 million estimated losses on disposition of nuclear fuel inventory (see Note 12 for further information); less $129 million of authorized revenue from the 2012 GRC in excess of revenues recognized based on costs incurred and a return on capital through June 6, 2013, pending the outcome of the regulatory proceedings. | ||||||||
Regulatory Assets | ||||||||
Regulatory assets included on the consolidated balance sheets are: | ||||||||
(in millions) | September 30, | December 31, | ||||||
2013 | 2012 | |||||||
Current: | ||||||||
Regulatory balancing accounts | $ | 344 | $ | 502 | ||||
Energy derivatives | 162 | 70 | ||||||
Total current | 506 | 572 | ||||||
Long-term: | ||||||||
Deferred income taxes, net | 2,911 | 2,663 | ||||||
Pensions and other postretirement benefits | 1,105 | 1,550 | ||||||
Energy derivatives | 960 | 900 | ||||||
Unamortized investments, net | 358 | 507 | ||||||
San Onofre | 1,450 | — | ||||||
Unamortized loss on reacquired debt | 213 | 228 | ||||||
Nuclear-related investment, net | 34 | 141 | ||||||
Regulatory balancing accounts | 626 | 73 | ||||||
Other | 358 | 360 | ||||||
Total long-term | 8,015 | 6,422 | ||||||
Total regulatory assets | $ | 8,521 | $ | 6,994 | ||||
Regulatory Liabilities | ||||||||
Regulatory liabilities included on the consolidated balance sheets are: | ||||||||
(in millions) | September 30, | December 31, | ||||||
2013 | 2012 | |||||||
Current: | ||||||||
Regulatory balancing accounts | $ | 580 | $ | 484 | ||||
Other | 49 | 52 | ||||||
Total current | 629 | 536 | ||||||
Long-term: | ||||||||
Costs of removal | 2,814 | 2,731 | ||||||
Asset retirement obligations | 954 | 1,385 | ||||||
Regulatory balancing accounts | 1,210 | 1,091 | ||||||
Other | 11 | 7 | ||||||
Total long-term | 4,989 | 5,214 | ||||||
Total regulatory liabilities | $ | 5,618 | $ | 5,750 | ||||
The regulatory liability related to asset retirement obligations represents the nuclear decommissioning trust assets in excess of the related asset retirement obligations. The decrease in this regulatory liability resulted from a revision to the asset retirement obligations of San Onofre. For further information, see Note 1. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies |
Third-Party Power Purchase Agreements | |
During the nine months ended September 30, 2013, SCE had new power purchase contracts classified as operating leases. The additional commitments are estimated to be: $247 million for 2014, $340 million in 2015, $413 million in 2016, $415 million in 2017 and $4.43 billion for the period remaining thereafter. | |
Other Commitments | |
As of December 31, 2012, SCE had nuclear fuel supply commitments of $912 million for the 2013 – 2017 period and thereafter. As a result of the decision to permanently retire San Onofre Units 2 and 3, SCE has submitted fuel contract delivery cancellation notices for these contractual arrangements. As of September 30, 2013, SCE had accrued a liability of $33 million related to estimated costs associated with the cancellation and management of future deliveries of nuclear fuel and recorded a regulatory asset for recovery of costs in the future. See Note 9 for further discussion of SCE's decision to permanently retire San Onofre. | |
Indemnities | |
Edison International and SCE have various financial and performance guarantees and indemnity agreements which are issued in the normal course of business. The contracts discussed below included performance guarantees. | |
Indemnity Provided as Part of the Acquisition of Mountainview | |
In connection with the acquisition of the Mountainview power plant, SCE agreed to indemnify the seller with respect to specific environmental claims related to SCE's previously owned San Bernardino Generating Station, divested by SCE in 1998 and reacquired in 2004 as part of the Mountainview acquisition. SCE retained certain responsibilities with respect to environmental claims as part of the original divestiture of the station. The aggregate liability for either party to the purchase agreement for damages and other amounts is a maximum of $60 million. This indemnification for environmental liabilities expires on or before March 12, 2033. SCE has not recorded a liability related to this indemnity. | |
Mountainview Filter Cake Indemnity | |
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. | |
Other Indemnities | |
Edison International and SCE provide other 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. | |
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 results of operations or liquidity. | |
San Onofre | |
SCE believes that the actions taken and costs incurred in connection with the San Onofre replacement steam generators and outages have been prudent. Accordingly, SCE considers its operating, capital, and market power costs, recoverable through base rates and the ERRA balancing account, as offset by third-party recoveries where applicable. SCE cannot provide assurance that the CPUC will not disallow costs incurred or order refunds to customers of amounts collected in rates, or that SCE will be successful in recovering amounts from third parties. Disallowances of costs and/or refund of amounts received from customers could be material and adversely affect SCE's financial condition, results of operations and cash flows. SCE will pursue recoveries arising from available agreements, but there is no assurance that SCE will recover all of its applicable costs pursuant to these arrangements. See Note 9 for further details. | |
EME Chapter 11 Bankruptcy Filing | |
On December 17, 2012 (the "Petition Date"), EME and certain of its wholly-owned subsidiaries filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Northern District of Illinois, Eastern Division ("Bankruptcy Court") (see Note 16 for further details). Under the Transaction Support Agreement (the "Support Agreement") to which EME, Edison International and certain of EME's senior unsecured noteholders ("Consenting Noteholders") were parties, each of them had agreed to support Bankruptcy Court approval of the Settlement Transaction. EME was required to seek authority from the Bankruptcy Court to enter into the Settlement Transaction by the deadline set out in the Support Agreement and did not do so. EME's failure to meet this deadline rendered the Support Agreement terminable by Edison International or the Consenting Noteholders at any time, and on July 25, 2013, a requisite majority of the Consenting Noteholders provided Edison International and EME with a notice terminating the Support Agreement, effective August 1, 2013. As a result, the extension of the Tax Allocation Agreement contemplated by the Support Agreement has also terminated, and the Tax Allocation Agreement is now due to expire by its terms on December 31, 2013. Furthermore, claims, which Edison International submitted in the EME bankruptcy on a contingency basis, will not be released, and inasmuch as Edison International will not be entitled to the benefits of the Settlement Transaction, it will remain subject to any claims of EME and potentially its creditors, including claims relating to or arising out of any shared services, the Tax Allocation Agreement, and any other relationships or transactions between the companies. | |
On August 1, 2013, the Official Committee of Unsecured Creditors made a motion in the Bankruptcy Court to seek sole authority to file, prosecute and settle alleged claims against Edison International, SCE, certain other subsidiaries of Edison International, and present and former directors of Edison International, SCE and EME. Such motion has not been acted upon by the Bankruptcy Court but was supported by the Consenting Noteholders and was accompanied by a proposed complaint, which has not been filed or served. The motion was opposed by EME, and although EME indicated that immediate litigation was not in EME’s interest, EME indicated that it had been preparing a similar complaint and would file it were it to conclude that it would be in EME’s best interests to do so. The proposed complaint sets forth a variety of theories to allege damages against the named defendants, including, among other things, that $925 million in dividends paid by EME to Mission Energy Holding Company in 2007 are recoverable, that $183 million paid by EME under the Tax Allocation Agreement in September 2012 was not proper, that EME was operated between 2010 and 2012 for Edison International’s benefit and not in accordance with fiduciary duties owed to EME and its creditors, that the amendment of the Tax Allocation Agreement to have it expire December 31, 2013 in the absence of a settlement was a breach of fiduciary duty, that Edison International overcharged EME for shared services, that Edison International and certain of its competitive subsidiaries are alter egos of and should be substantively consolidated with EME and therefore liable for EME’s debts, and that utilization by Edison International and SCE of bonus depreciation following EME’s filing for bankruptcy was a violation of the automatic stay in the EME bankruptcy. Edison International does not know if a complaint containing such allegations or other allegations will be filed and served, but it would vigorously contest such allegations. | |
CPUC Safety and Enforcement Division Investigations | |
San Gabriel Valley Windstorm Investigation | |
In November 2011, a windstorm resulted in significant damage to SCE’s electric system and service outages for SCE customers primarily in the San Gabriel Valley. The CPUC directed its Safety and Enforcement Division (“SED”) to conduct an investigation focused on the cause of the outages, SCE’s service restoration effort, and SCE’s customer communications during the outages. The SED issued its final report on January 11, 2013. The report asserts that SCE and others with whom SCE shares utility poles violated certain CPUC safety rules applicable to overhead line construction, maintenance and operation, which may have caused the failures of affected poles and supporting cables. The report also concludes that SCE’s restoration time was not adequate and makes other assertions. Additionally, the report contends that SCE violated CPUC rules by failing to preserve evidence relevant to the investigation when it did not retain damaged poles that were replaced following the windstorm. If the CPUC issues an OII regarding this matter and SCE is found to have violated any CPUC rules, it could face penalties. SCE is unable to estimate a possible loss or range of loss associated with any penalties that may be imposed by the CPUC on SCE. | |
Malibu Fire Order Instituting Investigation | |
Following a 2007 wildfire in Malibu, California, the CPUC issued an OII to determine if any statutes, CPUC general orders, rules or regulations were violated by SCE or telecomm providers (“OII Respondents”) that shared the use of three failed power poles in the wildfire area. The SED alleged, among other things, that the poles were overloaded, that the OII Respondents violated the CPUC's rules governing the design, construction and inspection of poles, and that SCE failed to preserve evidence relevant to the investigation and misled the CPUC during its investigation of the fire. In May 2013, SCE and the SED agreed to the terms of a proposed settlement that would cause SCE to pay a total of $37 million, $17 million of which will be allocated to pole safety studies and remediation in the Malibu area and $20 million of which will be a penalty paid to the State General Fund. The settlement was approved by the CPUC in September 2013. | |
Four Corners New Source Review Litigation | |
In October 2011, four private environmental organizations filed a CAA citizen lawsuit against the co-owners of Four Corners. The complaint alleges that certain work performed at the Four Corners generating units 4 and 5, over the approximate periods of 1985 – 1986 and 2007 – 2010, constituted plant “major modifications” and the plant's failure to obtain permits and install best available control technology ("BACT") violated the PSD requirements and the New Source Performance Standards of the CAA. The complaint also alleges subsequent and continuing violations of BACT air emissions limits. The lawsuit seeks injunctive and declaratory relief, civil penalties, including a mitigation project and litigation costs. In November 2012, the parties requested a stay of the litigation to allow for settlement discussion, and the matter is currently stayed. In November 2010, SCE entered into an agreement to sell its ownership interest in generating units 4 and 5 to APS. The sale remains contingent upon APS obtaining a long-term fuel supply agreement for the plant. As of January 2013, the sale agreement became terminable by either party, but as of the date of this report, the agreement has not been terminated. The purchase price is subject to certain adjustments under the sale agreement, which includes a reduction in the purchase price of $7.5 million for each month between October 1, 2012 and the closing date. Under the agreement SCE would remain responsible for its pro-rata share of certain environmental liabilities, including penalties arising from environmental violations prior to the sale. SCE is unable to estimate a possible loss or range of loss associated with this matter. | |
Environmental Remediation | |
Edison International 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. Edison International 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, Edison International 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 September 30, 2013, Edison International's recorded estimated minimum liability to remediate its 19 identified material sites (sites in which the upper end of the range of the costs is at least $1 million) at SCE was $129 million, including $90 million related to San Onofre. In addition to its identified material sites, SCE also has 39 immaterial sites for which the total minimum recorded liability was $4 million. Of the $133 million total environmental remediation liability for SCE, $129 million has been recorded as a regulatory asset. SCE expects to recover $38 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 $91 million through a mechanism that allows SCE to recover 100% of the costs incurred at certain sites through customer rates. Edison International'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 Edison International 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 Edison International'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. Edison International 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 $161 million and $7 million, respectively, all of which is related to SCE. The upper limit of this range of costs was estimated using assumptions least favorable to Edison International 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 2013 and in each of the next five years are expected to range from $6 million to $31 million. Costs incurred for the nine months ended September 30, 2013 and 2012 were $5 million for both respective periods. | |
Based upon the CPUC's regulatory treatment of environmental remediation costs incurred at SCE, Edison International 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 liability claims from a nuclear incident to the amount of available financial protection, which is currently approximately $13.6 billion. SCE and other owners of San Onofre and Palo Verde have purchased the maximum private primary insurance available ($375 million). 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. | |
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 primary property damage, decontamination and excess property damage and accidental outage insurance policies. At San Onofre and Palo Verde, property damage insurance covers losses up to $500 million, including decontamination costs. Decontamination liability and excess property damage coverage exceeding the primary $500 million also has been purchased in amounts greater than the federal requirement of a minimum of approximately $1.06 billion. 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. | |
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. On September 1, 2013, Edison International, renewed its liability insurance coverage, which included coverage for SCE's wildfire liabilities up to a $500 million limit (with a self-insured retention of $10 million per wildfire occurrence). Various coverage limitations within the policies that make up this insurance coverage could result in additional self-insured costs in the event of multiple wildfire occurrences during the policy period (September 1, 2013 to May 31, 2014). SCE also has additional coverage for certain wildfire liabilities of $450 million, which applies when total covered wildfire claims exceed $550 million, through May 31, 2014. SCE 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 insurance coverage. | |
Spent Nuclear Fuel | |
Under federal law, the Department of Energy ("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 did not meet its contractual obligation to begin acceptance of spent nuclear fuel by January 31, 1998. 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 the 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 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 November 2011. SCE has returned to the San Onofre co-owners their respective share of the damage award paid. SCE, as operating agent, filed a lawsuit on behalf of the San Onofre owners against the DOE in the Court of Federal Claims in December 2011 seeking damages of approximately $98 million for the DOE's failure to meet its obligation to begin accepting spent nuclear fuel for the period from January 1, 2006 to December 31, 2010. Additional legal action would be necessary to recover damages incurred after December 31, 2010. 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 | 9 Months Ended |
Sep. 30, 2013 | |
Preferred And Preference Stock Of Utility Disclosure [Abstract] | |
Preferred and Preference Stock of Utility | Preferred and Preference Stock of Utility |
During the first quarter of 2013, SCE issued 160,004 shares of 5.10% Series G preference stock (cumulative, $2,500 liquidation value) to SCE Trust II, a special purpose entity formed to issue trust securities as discussed in Note 3. The Series G preference stock may be redeemed at par, in whole, but not in part, at any time prior to March 15, 2018 if certain changes in tax or investment company laws occur. After March 15, 2018, SCE may redeem the Series G shares at par, in whole or in part. The shares are not subject to mandatory redemption. The proceeds from the sale of these shares were used to redeem all outstanding shares of Series B and C preference stock. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||||||
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss | |||||||
Accumulated other comprehensive loss, net of tax, consists of: | ||||||||
Pension and PBOP – Net Loss | ||||||||
(in millions) | Three months ended September 30, 2013 | Nine months ended September 30, 2013 | ||||||
Edison International: | ||||||||
Balance at beginning of period | $ | (82 | ) | $ | (87 | ) | ||
Other comprehensive loss before reclassifications | — | (2 | ) | |||||
Amounts reclassified from accumulated other comprehensive loss1 | 3 | 10 | ||||||
Net current-period other comprehensive loss | 3 | 8 | ||||||
Balance at end of period | $ | (79 | ) | $ | (79 | ) | ||
Reclassifications from accumulated other comprehensive loss: | ||||||||
Amortization of net loss included in net income | $ | 4 | $ | 13 | ||||
Tax expense | 1 | 3 | ||||||
Total reclassification, net of tax | $ | 3 | $ | 10 | ||||
SCE: | ||||||||
Balance at beginning of period | $ | (30 | ) | $ | (29 | ) | ||
Other comprehensive loss before reclassifications | — | (4 | ) | |||||
Amounts reclassified from accumulated other comprehensive loss1 | 2 | 5 | ||||||
Net current-period other comprehensive loss | 2 | 1 | ||||||
Balance at end of period | $ | (28 | ) | $ | (28 | ) | ||
Reclassifications from accumulated other comprehensive loss: | ||||||||
Amortization of net loss included in net income | $ | 3 | $ | 8 | ||||
Tax expense | 1 | 3 | ||||||
Total reclassification, net of tax | $ | 2 | $ | 5 | ||||
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_
Interest and Other Income and Expenses | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||
Interest and Other Income and Expenses | Interest and Other Income and Other Expenses | ||||||||||||||||
Interest and other income and expenses are as follows: | |||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||
September 30, | |||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
SCE interest and other income: | |||||||||||||||||
Equity allowance for funds used during construction | $ | 14 | $ | 23 | $ | 54 | $ | 71 | |||||||||
Increase in cash surrender value of life insurance policies | 10 | 6 | 24 | 20 | |||||||||||||
Interest income | 2 | 2 | 8 | 5 | |||||||||||||
Other | 1 | 7 | 3 | 12 | |||||||||||||
Total SCE interest and other income | 27 | 38 | 89 | 108 | |||||||||||||
Edison International Parent and Other income | 1 | — | 2 | 2 | |||||||||||||
Total Edison International interest and other income | $ | 28 | $ | 38 | $ | 91 | $ | 110 | |||||||||
SCE other expenses: | |||||||||||||||||
Civic, political and related activities and donations | $ | 9 | $ | 5 | $ | 24 | $ | 22 | |||||||||
Other | 6 | 4 | 14 | 14 | |||||||||||||
Total SCE other expenses | 15 | 9 | 38 | 36 | |||||||||||||
Edison International Parent and Other other expenses | — | 1 | — | — | |||||||||||||
Total Edison International other expenses | $ | 15 | $ | 10 | $ | 38 | $ | 36 | |||||||||
Discontinued_Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2013 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations |
EME Chapter 11 Bankruptcy Filing | |
EME and certain of its subsidiaries filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court. See Note 12 for further details. | |
Deconsolidation | |
EME and those subsidiaries in Chapter 11 proceedings retain control of their assets and are authorized to operate their businesses as debtors-in-possession under the jurisdiction of the Bankruptcy Court. Effective December 17, 2012, Edison International no longer consolidates the earnings and losses of EME or its subsidiaries and has reflected its ownership interest in EME utilizing the cost method of accounting prospectively, under which Edison International's investment in EME is reflected as a single amount on the consolidated balance sheet of Edison International at December 31, 2012. Furthermore, Edison International has recorded a full impairment of the investment. | |
Edison International will not be affected by changes in EME's future financial results, other than those changes related to certain tax matters. Edison International has evaluated the continuing cash flows with EME and determined that these cash flows generated are indirect and immaterial. Edison International's continuing cash flows will not include any significant revenue-producing and cost-generating activities of EME. | |
Edison International considers EME to be an abandoned asset under generally accepted accounting principles, and, as a result, the operations of EME prior to December 17, 2012 and for all prior years are reflected as discontinued operations in the consolidated financial statements. Included in Edison International's consolidated income statement was an income tax expense of $25 million and $1 million for discontinued operations for the three- and nine-months ended September 30, 2013, respectively. Operating revenue and loss before income taxes for discontinued operations were $461 million and $262 million, respectively, for the three months ended September 30, 2012, and $1.31 billion and $645 million, respectively, for the nine months ended September 30, 2012. | |
Contingencies | |
Edison International Parent has not guaranteed the obligations of EME, however, under the Internal Revenue Code and applicable state statutes, Edison International Parent is jointly liable for qualified retirement plans and federal and specific state tax liabilities. As a result of the deconsolidation and the existence of joint liabilities, Edison International has recorded liabilities of $80 million for qualified retirement plans related to plan participants of EME and $192 million of liabilities related to joint tax liabilities. Under the qualified plan documents and tax allocation agreements, EME is obligated to pay for such liabilities and, accordingly, Edison International has recorded receivables of $238 million from EME net of amounts recorded in accumulated other comprehensive income of $34 million (related to actuarial losses under the qualified retirement plans). | |
If the Settlement Transaction had been approved and implemented, Edison International Parent would not have been entitled to receive reimbursement of the net receivable of $46 million and would be obligated to assume certain other retirement liabilities as specified in such agreement (estimated at $104 million). Inasmuch as the Settlement Transaction has been terminated, Edison International Parent will seek recovery of such joint liabilities as part of the EME bankruptcy proceeding. The outcome of the EME bankruptcy proceeding is uncertain, as was the disposition of the Support Agreement. Accordingly, management judgment was required to assess the collectibility of the receivables recorded and outcome of the bankruptcy proceeding. Management concluded that it is probable that a loss would be incurred and estimated a loss of $150 million. The outcome of the EME bankruptcy could result in losses different than the amounts recorded by Edison International and such amounts could be material. | |
For a discussion of other contingencies related to EME, see Tax Disputes discussed in Note 7 and potential litigation discussed in Note 12. |
Supplemental_Cash_Flows_Inform
Supplemental Cash Flows Information | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||||||
Supplemental Cash Flows Information | Supplemental Cash Flows Information | |||||||||||||||
Supplemental cash flows information for continuing operations is: | ||||||||||||||||
Edison International | SCE | |||||||||||||||
Nine months ended September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Cash payments (receipts) for interest and taxes: | ||||||||||||||||
Interest, net of amounts capitalized | $ | 431 | $ | 394 | $ | 415 | $ | 394 | ||||||||
Tax payments (refunds), net | 27 | (239 | ) | 18 | (243 | ) | ||||||||||
Non-cash financing and investing activities: | ||||||||||||||||
Dividends declared but not paid: | ||||||||||||||||
Common stock | $ | 110 | $ | 106 | $ | 120 | $ | — | ||||||||
Preferred and preference stock | 4 | 6 | 4 | 6 | ||||||||||||
SCE's accrued capital expenditures at September 30, 2013 and 2012 were $401 million and $414 million, respectively. Accrued capital expenditures will be included as an investing activity in the consolidated statements of cash flow in the period paid. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
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 electricity to an approximately 50,000 square mile area of southern California. Edison International is also the parent company of nonutility subsidiaries that are engaged in competitive businesses related to the delivery or use of electricity. Such competitive 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 significant accounting policies were described in Note 1 of "Notes to Consolidated Financial Statements" included in the 2012 Form 10-K. The same accounting policies are followed for interim reporting purposes, with the exception of accounting principles adopted as of January 1, 2013, discussed below in "—New Accounting Guidance." This quarterly report should be read in conjunction with the financial statements and notes included in the 2012 Form 10-K. | |
Beginning in the fourth quarter of 2012, Edison Mission Energy ("EME") met the definition of a discontinued operation and was classified separately in Edison International's consolidated financial statements. Except as indicated, amounts in the notes to the consolidated financial statements relate to continuing operations of Edison International. See Note 16 for information related to discontinued operations. | |
In the opinion of management, all adjustments, consisting of recurring accruals, have been made that are necessary to fairly state the consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the United States of America for the periods covered by this quarterly report on Form 10-Q. The results of operations for the three- and nine-month periods ended September 30, 2013 are not necessarily indicative of the operating results for the full year. | |
The December 31, 2012 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. | |
Cash Equivalents | Cash Equivalents |
Cash equivalents included 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. | |
Cash is temporarily invested until required for check clearing from the primary disbursement accounts. | |
Inventory | Inventory |
Inventory is stated at the lower of cost or market, cost being determined by the weighted-average cost method for fuel, and the average cost method for materials, supplies and spare parts. | |
Greenhouse Gas Emission Allowances | Greenhouse Gas Allowances |
SCE is allocated greenhouse gas ("GHG") allowances annually which it is then required to sell them into quarterly auctions. GHG proceeds from the auction are recorded as a regulatory liability to be refunded to customers. SCE purchases GHG allowances from quarterly auctions or bilateral parties to satisfy its compliance obligations and recovers such costs of GHG from customers. GHG allowances held for use are classified as "Other current assets" on the consolidated balance sheets and are stated at the lower of weighted-average cost or market. | |
Earnings Per Share | Earnings Per Share |
Edison International computes earnings per 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 stock options, performance shares and restricted stock units, which earn dividend equivalents on an equal basis with common shares. Stock options awarded during the period 2003 through 2006 received dividend equivalents. | |
New Accounting Guidance | New Accounting Guidance |
Accounting Guidance Adopted in 2013 | |
Offsetting Assets and Liabilities | |
In January 2013, the FASB issued accounting standard updates modifying the disclosure requirements about the nature of an entity's rights of offsetting recognized assets and liabilities in the statement of financial position under master netting agreements and similar arrangements associated with derivative instruments, repurchase agreements and securities lending transactions. The guidance requires increased disclosure of the gross and net recognized assets and liabilities, collateral positions and descriptions of setoff rights. Edison International and SCE adopted this guidance effective January 1, 2013. The adoption of this standard did not impact the consolidated income statements, balance sheets or cash flows of Edison International or SCE. See Note 6 for further details. | |
Items Reclassified out of Accumulated Other Comprehensive Income | |
In February 2013, the FASB issued an accounting standards update which requires disclosure related to items reclassified out of accumulated other comprehensive income ("AOCI"). The guidance requires companies to present separately, for each component of other comprehensive income, current period reclassifications and the remainder of the current-period other comprehensive income. In addition, for certain current period reclassifications, an entity is required to disclose the effect of the item reclassified out of AOCI on the respective line item(s) of net income. Edison International and SCE adopted this guidance effective January 1, 2013. See Note 14 for further details. | |
Accounting Guidance Not Yet Adopted | |
In July 2013, the FASB issued an accounting standards update that will require that an unrecognized tax benefit be presented on the balance sheet as a reduction of a deferred tax asset for a net operating loss ("NOL") or tax credit carryforward under certain circumstances. This proposal is effective January 1, 2014 and is not expected to have a material impact on the consolidated financial statements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||
Cash Equivalents | 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 | |||||||||||||||
(in millions) | September 30, | December 31, 2012 | September 30, | December 31, 2012 | ||||||||||||
2013 | 2013 | |||||||||||||||
Uncleared checks reclassified to accounts payable | $ | 202 | $ | 247 | $ | 201 | $ | 242 | ||||||||
The cash equivalents were as follows: | ||||||||||||||||
Edison International | SCE | |||||||||||||||
(in millions) | September 30, | December 31, 2012 | September 30, | December 31, 2012 | ||||||||||||
2013 | 2013 | |||||||||||||||
Money market funds | $ | 518 | $ | 107 | $ | 453 | $ | 5 | ||||||||
Inventory Components | Inventory consisted of the following: | |||||||||||||||
(in millions) | September 30, | December 31, 2012 | ||||||||||||||
2013 | ||||||||||||||||
Materials, supplies and spare parts | $ | 250 | $ | 319 | ||||||||||||
Fuel | 22 | 21 | ||||||||||||||
Total inventory | $ | 272 | $ | 340 | ||||||||||||
EPS Attributable to Edison International Common Shareholders | EPS attributable to Edison International common shareholders was computed as follows: | |||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Basic earnings per share – continuing operations: | ||||||||||||||||
Income from continuing operations available to common shareholders | $ | 463 | $ | 357 | $ | 615 | $ | 717 | ||||||||
Weighted average common shares outstanding | 326 | 326 | 326 | 326 | ||||||||||||
Basic earnings per share – continuing operations | $ | 1.42 | $ | 1.09 | $ | 1.88 | $ | 2.2 | ||||||||
Diluted earnings per share – continuing operations: | ||||||||||||||||
Income from continuing operations available to common shareholders | $ | 463 | $ | 357 | $ | 615 | $ | 717 | ||||||||
Income impact of assumed conversions | — | — | 1 | — | ||||||||||||
Income from continuing operations available to common shareholders and assumed conversions | $ | 463 | $ | 357 | $ | 616 | $ | 717 | ||||||||
Weighted average common shares outstanding | 326 | 326 | 326 | 326 | ||||||||||||
Incremental shares from assumed conversions | 2 | 3 | 3 | 2 | ||||||||||||
Adjusted weighted average shares – diluted | 328 | 329 | 329 | 328 | ||||||||||||
Diluted earnings per share – continuing operations | $ | 1.41 | $ | 1.09 | $ | 1.87 | $ | 2.18 | ||||||||
Asset Retirement Obligation | ||||||||||||||||
(in millions) | September 30, | December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||||
Beginning balance | $ | 2,782 | $ | 2,610 | ||||||||||||
Accretion expense1 | 134 | 161 | ||||||||||||||
Revisions | 455 | 12 | ||||||||||||||
Liabilities settled | — | (1 | ) | |||||||||||||
Ending balance | $ | 3,371 | $ | 2,782 | ||||||||||||
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Equity (Tables) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Statement of Stockholders' Equity [Abstract] | |||||||||||||||||||||||||||
Schedule of changes in equity | The following table provides Edison International's changes in equity for the nine months ended September 30, 2013: | ||||||||||||||||||||||||||
Equity Attributable to Edison International | Noncontrolling Interests | ||||||||||||||||||||||||||
(in millions) | Common | Accumulated | Retained | Subtotal | Preferred | Total | |||||||||||||||||||||
Stock | Other | Earnings | and | Equity | |||||||||||||||||||||||
Comprehensive | Preference | ||||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,373 | $ | (87 | ) | $ | 7,146 | $ | 9,432 | $ | 1,759 | $ | 11,191 | ||||||||||||||
Net income | — | — | 614 | 614 | 75 | 689 | |||||||||||||||||||||
Other comprehensive income | — | 8 | — | 8 | — | 8 | |||||||||||||||||||||
Common stock dividends declared ($1.0125 per share) | — | — | (330 | ) | (330 | ) | — | (330 | ) | ||||||||||||||||||
Dividends, distributions to noncontrolling interests | — | — | — | — | (75 | ) | (75 | ) | |||||||||||||||||||
Stock-based compensation and other | 5 | — | (45 | ) | (40 | ) | — | (40 | ) | ||||||||||||||||||
Noncash stock-based compensation and other | 19 | — | (6 | ) | 13 | (1 | ) | 12 | |||||||||||||||||||
Issuance of preference stock | — | — | — | — | 387 | 387 | |||||||||||||||||||||
Redemption of preference stock | — | — | (8 | ) | (8 | ) | (392 | ) | (400 | ) | |||||||||||||||||
Balance at September 30, 2013 | $ | 2,397 | $ | (79 | ) | $ | 7,371 | $ | 9,689 | $ | 1,753 | $ | 11,442 | ||||||||||||||
During the first quarter of 2013, SCE redeemed all outstanding shares of Series B and C preference stock and charged the issuance costs to retained earnings. | |||||||||||||||||||||||||||
The following table provides Edison International's changes in equity for the nine months ended September 30, 2012: | |||||||||||||||||||||||||||
Equity Attributable to Edison International | Noncontrolling Interests | ||||||||||||||||||||||||||
(in millions) | Common | Accumulated | Retained | Subtotal | Other | Preferred | Total | ||||||||||||||||||||
Stock | Other | Earnings | and | Equity | |||||||||||||||||||||||
Comprehensive | Preference | ||||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 2,360 | $ | (139 | ) | $ | 7,834 | $ | 10,055 | $ | 2 | $ | 1,029 | $ | 11,086 | ||||||||||||
Net income | — | — | 357 | 357 | — | 66 | 423 | ||||||||||||||||||||
Other comprehensive loss | — | (29 | ) | — | (29 | ) | — | — | (29 | ) | |||||||||||||||||
Contributions from noncontrolling interests | — | — | — | — | 238 | — | 238 | ||||||||||||||||||||
Transfer of assets to Capistrano Wind Partners | (21 | ) | — | — | (21 | ) | — | — | (21 | ) | |||||||||||||||||
Common stock dividends declared ($0.975 per share) | — | — | (318 | ) | (318 | ) | — | — | (318 | ) | |||||||||||||||||
Dividends, distributions to noncontrolling interests and other | — | — | — | — | (2 | ) | (66 | ) | (68 | ) | |||||||||||||||||
Stock-based compensation and other | 19 | — | (64 | ) | (45 | ) | — | — | (45 | ) | |||||||||||||||||
Noncash stock-based compensation and other | 27 | — | (2 | ) | 25 | — | — | 25 | |||||||||||||||||||
Issuance of preference stock | — | — | — | — | — | 804 | 804 | ||||||||||||||||||||
Redemption of preference stock | — | — | (1 | ) | (1 | ) | — | (74 | ) | (75 | ) | ||||||||||||||||
Balance at September 30, 2012 | $ | 2,385 | $ | (168 | ) | $ | 7,806 | $ | 10,023 | $ | 238 | $ | 1,759 | $ | 12,020 | ||||||||||||
The following table provides SCE's changes in equity for the nine months ended September 30, 2013: | |||||||||||||||||||||||||||
Equity Attributable to SCE | |||||||||||||||||||||||||||
(in millions) | Common | Additional | Accumulated | Retained | Preferred | Total | |||||||||||||||||||||
Stock | Paid-in | Other | Earnings | and | Equity | ||||||||||||||||||||||
Capital | Comprehensive | Preference | |||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 2,168 | $ | 581 | $ | (29 | ) | $ | 7,228 | $ | 1,795 | $ | 11,743 | ||||||||||||||
Net income | — | — | — | 717 | — | 717 | |||||||||||||||||||||
Other comprehensive income | — | — | 1 | — | — | 1 | |||||||||||||||||||||
Dividends declared on common stock | — | — | — | (360 | ) | — | (360 | ) | |||||||||||||||||||
Dividends declared on preferred and preference stock | — | — | — | (75 | ) | — | (75 | ) | |||||||||||||||||||
Stock-based compensation and other | — | 3 | — | (39 | ) | — | (36 | ) | |||||||||||||||||||
Noncash stock-based compensation and other | — | 10 | — | 4 | — | 14 | |||||||||||||||||||||
Issuance of preference stock | — | (13 | ) | — | — | 400 | 387 | ||||||||||||||||||||
Redemption of preference stock | — | 8 | — | (8 | ) | (400 | ) | (400 | ) | ||||||||||||||||||
Balance at September 30, 2013 | $ | 2,168 | $ | 589 | $ | (28 | ) | $ | 7,467 | $ | 1,795 | $ | 11,991 | ||||||||||||||
During the first quarter of 2013, SCE redeemed all outstanding shares of Series B and C preference stock and charged the issuance costs to retained earnings. | |||||||||||||||||||||||||||
The following table provides SCE's changes in equity for the nine months ended September 30, 2012: | |||||||||||||||||||||||||||
Equity Attributable to SCE | |||||||||||||||||||||||||||
(in millions) | Common | Additional | Accumulated | Retained | Preferred | Total | |||||||||||||||||||||
Stock | Paid-in | Other | Earnings | and | Equity | ||||||||||||||||||||||
Capital | Comprehensive | Preference | |||||||||||||||||||||||||
Loss | Stock | ||||||||||||||||||||||||||
Balance at December 31, 2011 | $ | 2,168 | $ | 596 | $ | (24 | ) | $ | 6,173 | $ | 1,045 | $ | 9,958 | ||||||||||||||
Net income | — | — | — | 802 | — | 802 | |||||||||||||||||||||
Other comprehensive income | — | — | 1 | — | — | 1 | |||||||||||||||||||||
Dividends declared on common stock | — | — | — | (349 | ) | — | (349 | ) | |||||||||||||||||||
Dividends declared on preferred and preference stock | — | — | — | (66 | ) | — | (66 | ) | |||||||||||||||||||
Stock-based compensation and other | — | 11 | — | (35 | ) | — | (24 | ) | |||||||||||||||||||
Noncash stock-based compensation and other | — | 13 | — | — | — | 13 | |||||||||||||||||||||
Issuance of preference stock | — | (21 | ) | — | — | 825 | 804 | ||||||||||||||||||||
Redemption of preference stock | — | 1 | — | (1 | ) | (75 | ) | (75 | ) | ||||||||||||||||||
Balance at September 30, 2012 | $ | 2,168 | $ | 600 | $ | (23 | ) | $ | 6,524 | $ | 1,795 | $ | 11,064 | ||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||
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: | |||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||
and | ||||||||||||||||||||
Collateral1 | ||||||||||||||||||||
Assets at fair value | ||||||||||||||||||||
Money market funds | $ | 453 | $ | — | $ | — | $ | — | $ | 453 | ||||||||||
Mutual funds | 29 | — | — | — | 29 | |||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Congestion revenue rights | — | — | 245 | — | 245 | |||||||||||||||
Electricity | — | 1 | — | — | 1 | |||||||||||||||
Natural gas | — | 1 | — | (1 | ) | — | ||||||||||||||
Tolling | — | — | 8 | — | 8 | |||||||||||||||
Subtotal of derivative contracts | — | 2 | 253 | (1 | ) | 254 | ||||||||||||||
Long-term disability plan | 8 | — | — | — | 8 | |||||||||||||||
Nuclear decommissioning trusts: | ||||||||||||||||||||
Stocks2 | 2,027 | — | — | — | 2,027 | |||||||||||||||
U.S. government and agency securities | 823 | 101 | — | — | 924 | |||||||||||||||
Municipal bonds | — | 796 | — | — | 796 | |||||||||||||||
Corporate bonds | — | 221 | — | — | 221 | |||||||||||||||
Short-term investments, primarily cash equivalents4 | 322 | 45 | — | — | 367 | |||||||||||||||
Subtotal of nuclear decommissioning trusts | 3,172 | 1,163 | — | — | 4,335 | |||||||||||||||
Total assets | 3,662 | 1,165 | 253 | (1 | ) | 5,079 | ||||||||||||||
Liabilities at fair value | ||||||||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Electricity | — | 5 | 12 | (3 | ) | 14 | ||||||||||||||
Natural gas | — | 43 | — | (18 | ) | 25 | ||||||||||||||
Tolling | — | — | 1,272 | — | 1,272 | |||||||||||||||
Subtotal of derivative contracts | — | 48 | 1,284 | (21 | ) | 1,311 | ||||||||||||||
Total liabilities | — | 48 | 1,284 | (21 | ) | 1,311 | ||||||||||||||
Net assets (liabilities) | $ | 3,662 | $ | 1,117 | $ | (1,031 | ) | $ | 20 | $ | 3,768 | |||||||||
December 31, 2012 | ||||||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Netting | Total | |||||||||||||||
and | ||||||||||||||||||||
Collateral1 | ||||||||||||||||||||
Assets at fair value | ||||||||||||||||||||
Money market funds | $ | 5 | $ | — | $ | — | $ | — | $ | 5 | ||||||||||
Derivative contracts: | ||||||||||||||||||||
Congestion revenue rights | — | — | 186 | — | 186 | |||||||||||||||
Electricity | — | — | 31 | (13 | ) | 18 | ||||||||||||||
Natural gas | — | 8 | — | (2 | ) | 6 | ||||||||||||||
Tolling | — | — | 4 | — | 4 | |||||||||||||||
Subtotal of derivative contracts | — | 8 | 221 | (15 | ) | 214 | ||||||||||||||
Long-term disability plan | 8 | — | — | — | 8 | |||||||||||||||
Nuclear decommissioning trusts: | ||||||||||||||||||||
Stocks2 | 2,271 | — | — | — | 2,271 | |||||||||||||||
Municipal bonds | — | 644 | — | — | 644 | |||||||||||||||
U.S. government and agency securities | 477 | 126 | — | — | 603 | |||||||||||||||
Corporate bonds | — | 410 | — | — | 410 | |||||||||||||||
Short-term investments, primarily cash equivalents4 | 121 | — | — | — | 121 | |||||||||||||||
Subtotal of nuclear decommissioning trusts | 2,869 | 1,180 | — | — | 4,049 | |||||||||||||||
Total assets | 2,882 | 1,188 | 221 | (15 | ) | 4,276 | ||||||||||||||
Liabilities at fair value | ||||||||||||||||||||
Derivative contracts: | ||||||||||||||||||||
Electricity | — | 2 | 5 | (2 | ) | 5 | ||||||||||||||
Natural gas | — | 113 | 2 | (60 | ) | 55 | ||||||||||||||
Tolling | — | — | 1,005 | — | 1,005 | |||||||||||||||
Subtotal of derivative contracts | — | 115 | 1,012 | (62 | ) | 1,065 | ||||||||||||||
Total liabilities | — | 115 | 1,012 | (62 | ) | 1,065 | ||||||||||||||
Net assets (liabilities) | $ | 2,882 | $ | 1,073 | $ | (791 | ) | $ | 47 | $ | 3,211 | |||||||||
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 69% and 66% of SCE's equity investments were located in the United States at September 30, 2013 and December 31, 2012, respectively. | |||||||||||||||||||
3 | At September 30, 2013 and December 31, 2012, SCE's corporate bonds were diversified and included collateralized mortgage obligations and other asset backed securities of $32 million and $56 million, respectively. | |||||||||||||||||||
4 | Excludes net payables of $3 million and $1 million at September 30, 2013 and December 31, 2012, respectively, 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: | |||||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||||||
September 30, | ||||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||
Fair value of net liabilities at beginning of period | $ | (967 | ) | $ | (739 | ) | $ | (791 | ) | $ | (754 | ) | ||||||||
Total realized/unrealized gains (losses): | ||||||||||||||||||||
Included in regulatory assets and liabilities1 | (50 | ) | (180 | ) | (205 | ) | (203 | ) | ||||||||||||
Purchases | 19 | 33 | 56 | 84 | ||||||||||||||||
Settlements | (33 | ) | (44 | ) | (91 | ) | (57 | ) | ||||||||||||
Fair value of net liabilities at end of period | $ | (1,031 | ) | $ | (930 | ) | $ | (1,031 | ) | $ | (930 | ) | ||||||||
Change during the period in unrealized losses related to assets and liabilities held at the end of the period | $ | (65 | ) | $ | (222 | ) | $ | (198 | ) | $ | (244 | ) | ||||||||
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 Level 3 assets and liabilities: | |||||||||||||||||||
Fair Value (in millions) | Significant | Range | ||||||||||||||||||
September 30, 2013 | Assets | Liabilities | Valuation Technique(s) | Unobservable Input | (Weighted Average) | |||||||||||||||
Electricity: | ||||||||||||||||||||
Options | $ | 2 | $ | 10 | Option model | Volatility of gas prices | 24% - 30% (28%) | |||||||||||||
Volatility of power prices | 28% - 45% (39%) | |||||||||||||||||||
Power prices | $40.60 - $49.80 ($43.50) | |||||||||||||||||||
Forwards | — | 4 | Discounted cash flow | Power prices | $7.70 - $40.80 ($31.40) | |||||||||||||||
CRRs | 245 | — | Market simulation model | Load forecast | 7,603 MW - 24,896 MW | |||||||||||||||
Power prices | $(9.86) - $108.56 | |||||||||||||||||||
Gas prices | $3.50 - $7.10 | |||||||||||||||||||
Tolling | 8 | 1,272 | Option model | Volatility of gas prices | 16% - 30% (19%) | |||||||||||||||
Volatility of power prices | 25% - 45% (29%) | |||||||||||||||||||
Power prices | $35.90 - $62.60 ($46.90) | |||||||||||||||||||
Netting | (2 | ) | (2 | ) | ||||||||||||||||
Total derivative contracts | $ | 253 | $ | 1,284 | ||||||||||||||||
Fair Value (in millions) | Significant | Range | ||||||||||||||||||
31-Dec-12 | Assets | Liabilities | Valuation Technique(s) | Unobservable Input | (Weighted Average) | |||||||||||||||
Electricity: | ||||||||||||||||||||
Options | $ | 40 | $ | 12 | Option model | Volatility of gas prices | 25% - 36% (33%) | |||||||||||||
Volatility of power prices | 29% - 64% (42%) | |||||||||||||||||||
Power prices | $41.70 - $59.20 ($47.00) | |||||||||||||||||||
Forwards | 2 | 4 | Discounted cash flow | Power prices | $23.10 - $44.90 ($31.10) | |||||||||||||||
CRRs | 186 | — | Market simulation model | Load forecast | 7,597 MW - 26,612 MW | |||||||||||||||
Power prices | $(13.90) - $226.75 | |||||||||||||||||||
Gas prices | $2.95 - $7.78 | |||||||||||||||||||
Gas options | — | 2 | Option model | Volatility of gas prices | 28% - 36% (34%) | |||||||||||||||
Tolling | 4 | 1,005 | Option model | Volatility of gas prices | 17% - 36% (22%) | |||||||||||||||
Volatility of power prices | 26% - 64% (29%) | |||||||||||||||||||
Power prices | $35.00 - $84.10 ($55.40) | |||||||||||||||||||
Netting | (11 | ) | (11 | ) | ||||||||||||||||
Total derivative contracts | $ | 221 | $ | 1,012 | ||||||||||||||||
Carrying Amounts and Fair Values of Long-term Debt, Including Current Portion | The carrying value and fair value of Edison International and SCE's long-term debt is as follows: | |||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||
(in millions) | Carrying | Fair | Carrying | Fair | ||||||||||||||||
Value | Value | Value | Value | |||||||||||||||||
SCE | $ | 8,828 | $ | 9,590 | $ | 8,828 | $ | 10,505 | ||||||||||||
Edison International | 9,232 | 10,016 | 9,231 | 10,944 | ||||||||||||||||
Derivative_Instruments_Tables
Derivative Instruments (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Fair Value of Derivative Instruments | The following table summarizes the gross and net fair values of SCE's commodity derivative instruments: | ||||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||||||||||||||
(in millions) | Short-Term | Long-Term | Subtotal | Short-Term | Long-Term | Subtotal | Net | ||||||||||||||||||||||
Liability | |||||||||||||||||||||||||||||
Commodity derivative contracts | |||||||||||||||||||||||||||||
Gross amounts recognized | $ | 53 | $ | 207 | $ | 260 | $ | 195 | $ | 1,143 | $ | 1,338 | $ | 1,078 | |||||||||||||||
Gross amounts offset in the consolidated balance sheets | (6 | ) | — | (6 | ) | (6 | ) | — | (6 | ) | — | ||||||||||||||||||
Cash collateral posted1 | — | — | — | (15 | ) | (6 | ) | (21 | ) | (21 | ) | ||||||||||||||||||
Net amounts presented in the consolidated balance sheets | $ | 47 | $ | 207 | $ | 254 | $ | 174 | $ | 1,137 | $ | 1,311 | $ | 1,057 | |||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||||||||||||||
(in millions) | Short-Term | Long-Term | Subtotal | Short-Term | Long-Term | Subtotal | Net | ||||||||||||||||||||||
Liability | |||||||||||||||||||||||||||||
Commodity derivative contracts | |||||||||||||||||||||||||||||
Gross amounts recognized | $ | 151 | $ | 91 | $ | 242 | $ | 186 | $ | 954 | $ | 1,140 | $ | 898 | |||||||||||||||
Gross amounts offset in the consolidated balance sheets | (22 | ) | (6 | ) | (28 | ) | (22 | ) | (6 | ) | (28 | ) | — | ||||||||||||||||
Cash collateral posted1 | — | — | — | (38 | ) | (9 | ) | (47 | ) | (47 | ) | ||||||||||||||||||
Net amounts presented in the consolidated balance sheets | $ | 129 | $ | 85 | $ | 214 | $ | 126 | $ | 939 | $ | 1,065 | $ | 851 | |||||||||||||||
1 | In addition, at September 30, 2013 and December 31, 2012, SCE had posted $14 million and $8 million, respectively, of collateral that is not offset against the derivative liabilities and is reflected in "Other current assets" on the consolidated balance sheets. | ||||||||||||||||||||||||||||
Summarization of Economic Hedging Activities | The following table summarizes the components of SCE's economic hedging activity: | ||||||||||||||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||||||||||||||
September 30, | |||||||||||||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Realized losses | $ | (15 | ) | $ | (77 | ) | $ | (38 | ) | $ | (199 | ) | |||||||||||||||||
Unrealized losses | (41 | ) | (91 | ) | (159 | ) | (29 | ) | |||||||||||||||||||||
Notional Volumes of Derivative Instruments | The following table summarizes the notional volumes of derivatives used for SCE hedging activities: | ||||||||||||||||||||||||||||
Economic Hedges | |||||||||||||||||||||||||||||
Commodity | Unit of Measure | September 30, | December 31, 2012 | ||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||
Electricity options, swaps and forwards | GWh | 8,964 | 15,884 | ||||||||||||||||||||||||||
Natural gas options, swaps and forwards | Bcf | 12 | 100 | ||||||||||||||||||||||||||
Congestion revenue rights | GWh | 127,772 | 149,774 | ||||||||||||||||||||||||||
Tolling arrangements | GWh | 97,893 | 101,485 | ||||||||||||||||||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||||||
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: | |||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Income from continuing operations before income taxes | $ | 665 | $ | 610 | $ | 863 | $ | 1,204 | ||||||||
Provision for income tax at federal statutory rate of 35% | 233 | 214 | 302 | 421 | ||||||||||||
Increase (decrease) in income tax from: | ||||||||||||||||
State tax, net of federal benefit | 22 | 46 | 5 | 60 | ||||||||||||
Property-related | (57 | ) | (20 | ) | (121 | ) | (39 | ) | ||||||||
Uncertain tax positions | (5 | ) | 1 | 13 | 2 | |||||||||||
Other | (16 | ) | (13 | ) | (26 | ) | (23 | ) | ||||||||
Total income tax expense from continuing operations | $ | 177 | $ | 228 | $ | 173 | $ | 421 | ||||||||
Effective tax rate | 26.6 | % | 37.4 | % | 20 | % | 35 | % | ||||||||
SCE: | ||||||||||||||||
Income from continuing operations before income taxes | $ | 685 | $ | 564 | $ | 913 | $ | 1,186 | ||||||||
Provision for income tax at federal statutory rate of 35% | 240 | 197 | 319 | 415 | ||||||||||||
Increase (decrease) in income tax from: | ||||||||||||||||
State tax, net of federal benefit | 21 | 10 | 12 | 30 | ||||||||||||
Property-related | (57 | ) | (19 | ) | (121 | ) | (39 | ) | ||||||||
Uncertain tax positions | (6 | ) | 1 | 11 | 1 | |||||||||||
Other | (15 | ) | (13 | ) | (25 | ) | (23 | ) | ||||||||
Total income tax expense from continuing operations | $ | 183 | $ | 176 | $ | 196 | $ | 384 | ||||||||
Effective tax rate | 26.7 | % | 31.2 | % | 21.5 | % | 32.4 | % |
Compensation_and_Benefit_Plans1
Compensation and Benefit Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Workforce Reductions [Abstract] | ||||||||||||||||
Workforce reductions | The following table provides a summary of changes in the accrued severance liability associated with these reductions: | |||||||||||||||
(in millions) | ||||||||||||||||
Balance at January 1, 2013 | $ | 104 | ||||||||||||||
Additions | 109 | |||||||||||||||
Payments | (132 | ) | ||||||||||||||
Balance at September 30, 2013 | $ | 81 | ||||||||||||||
Pension Plans | ||||||||||||||||
Pension and Other Postretirement Benefits | ||||||||||||||||
Expense Components for Plans | Expense components for continuing operations are: | |||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Service cost | $ | 38 | $ | 44 | $ | 114 | $ | 121 | ||||||||
Interest cost | 42 | 46 | 126 | 137 | ||||||||||||
Expected return on plan assets | (58 | ) | (53 | ) | (172 | ) | (164 | ) | ||||||||
Settlement costs1 | 24 | 1 | 73 | 4 | ||||||||||||
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||||||||||
Amortization of net loss2 | 15 | 18 | 45 | 48 | ||||||||||||
Expense under accounting standards | $ | 62 | $ | 57 | $ | 189 | $ | 149 | ||||||||
Regulatory adjustment (deferred) | (7 | ) | (57 | ) | (21 | ) | (3 | ) | ||||||||
Total expense recognized | $ | 55 | $ | — | $ | 168 | $ | 146 | ||||||||
SCE: | ||||||||||||||||
Service cost | $ | 37 | $ | 46 | $ | 111 | $ | 120 | ||||||||
Interest cost | 41 | 45 | 123 | 135 | ||||||||||||
Expected return on plan assets | (57 | ) | (52 | ) | (171 | ) | (162 | ) | ||||||||
Settlement costs | 24 | 1 | 72 | 3 | ||||||||||||
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||||||||||
Amortization of net loss2 | 14 | 14 | 42 | 42 | ||||||||||||
Expense under accounting standards | $ | 60 | $ | 55 | $ | 180 | $ | 141 | ||||||||
Regulatory adjustment (deferred) | (7 | ) | (57 | ) | (21 | ) | (3 | ) | ||||||||
Total expense recognized | $ | 53 | $ | (2 | ) | $ | 159 | $ | 138 | |||||||
1 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International was $2 million for the nine months ended September 30, 2013. | |||||||||||||||
2 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was $4 million and $3 million for the three months ended September 30, 2013, respectively, and $11 million and $8 million for the nine months ended September 30, 2013, respectively. | |||||||||||||||
Postretirement Benefits Other Than Pensions | ||||||||||||||||
Pension and Other Postretirement Benefits | ||||||||||||||||
Expense Components for Plans | Expense components for continuing operations are: | |||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||
September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Edison International: | ||||||||||||||||
Service cost | $ | 14 | $ | 13 | $ | 42 | $ | 37 | ||||||||
Interest cost | 26 | 28 | 78 | 85 | ||||||||||||
Expected return on plan assets | (30 | ) | (27 | ) | (90 | ) | (81 | ) | ||||||||
Special termination benefits1 | — | 3 | 10 | 3 | ||||||||||||
Amortization of prior service credit | (9 | ) | (9 | ) | (27 | ) | (27 | ) | ||||||||
Amortization of net loss2 | 7 | 12 | 21 | 35 | ||||||||||||
Total expense | $ | 8 | $ | 20 | $ | 34 | $ | 52 | ||||||||
SCE: | ||||||||||||||||
Service cost | $ | 14 | $ | 12 | $ | 41 | $ | 36 | ||||||||
Interest cost | 26 | 28 | 78 | 84 | ||||||||||||
Expected return on plan assets | (30 | ) | (27 | ) | (90 | ) | (81 | ) | ||||||||
Special termination benefits1 | — | 3 | 10 | 3 | ||||||||||||
Amortization of prior service credit | (9 | ) | (9 | ) | (27 | ) | (27 | ) | ||||||||
Amortization of net loss2 | 7 | 11 | 21 | 33 | ||||||||||||
Total expense | $ | 8 | $ | 18 | $ | 33 | $ | 48 | ||||||||
1 | Due to the reduction in workforce, SCE has incurred costs for extended retiree health care coverage. | |||||||||||||||
2 | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was less than $1 million and zero for the three- and nine-months ended September 30, 2013, respectively. |
Other_Investments_Tables
Other Investments (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
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: | |||||||||||||||||
Longest | Amortized Cost | Fair Value | ||||||||||||||||
Maturity | ||||||||||||||||||
(in millions) | Dates | September 30, | December 31, | September 30, | December 31, 2012 | |||||||||||||
2013 | 2012 | 2013 | ||||||||||||||||
Stocks | — | $ | 635 | $ | 978 | $ | 2,027 | $ | 2,271 | |||||||||
Municipal bonds | 2051 | 701 | 518 | 796 | 644 | |||||||||||||
U.S. government and agency securities | 2043 | 861 | 547 | 924 | 603 | |||||||||||||
Corporate bonds | 2054 | 176 | 324 | 221 | 410 | |||||||||||||
Short-term investments, primarily cash equivalents | One-year | 351 | 117 | 367 | 121 | |||||||||||||
Total investments | 2,724 | 2,484 | 4,335 | 4,049 | ||||||||||||||
Net payables | (3 | ) | (1 | ) | (3 | ) | (1 | ) | ||||||||||
Total nuclear decommissioning trusts | $ | 2,721 | $ | 2,483 | $ | 4,332 | $ | 4,048 | ||||||||||
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: | |||||||||||||||||
Three months ended September 30, | Nine months ended | |||||||||||||||||
September 30, | ||||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance at beginning of period | $ | 4,182 | $ | 3,810 | $ | 4,048 | $ | 3,592 | ||||||||||
Gross realized gains | 119 | 13 | 261 | 54 | ||||||||||||||
Gross realized losses | (17 | ) | — | (18 | ) | (5 | ) | |||||||||||
Unrealized gains, net | 55 | 156 | 46 | 272 | ||||||||||||||
Other-than-temporary impairments | (15 | ) | (7 | ) | (44 | ) | (30 | ) | ||||||||||
Interest, dividends, contributions and other | 8 | 25 | 39 | 114 | ||||||||||||||
Balance at end of period | $ | 4,332 | $ | 3,997 | $ | 4,332 | $ | 3,997 | ||||||||||
Regulatory_Assets_and_Liabilit1
Regulatory Assets and Liabilities (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Regulatory Assets and Liabilities Disclosure [Abstract] | ||||||||
Regulatory Assets Included on the Consolidated Balance Sheets | Regulatory assets included on the consolidated balance sheets are: | |||||||
(in millions) | September 30, | December 31, | ||||||
2013 | 2012 | |||||||
Current: | ||||||||
Regulatory balancing accounts | $ | 344 | $ | 502 | ||||
Energy derivatives | 162 | 70 | ||||||
Total current | 506 | 572 | ||||||
Long-term: | ||||||||
Deferred income taxes, net | 2,911 | 2,663 | ||||||
Pensions and other postretirement benefits | 1,105 | 1,550 | ||||||
Energy derivatives | 960 | 900 | ||||||
Unamortized investments, net | 358 | 507 | ||||||
San Onofre | 1,450 | — | ||||||
Unamortized loss on reacquired debt | 213 | 228 | ||||||
Nuclear-related investment, net | 34 | 141 | ||||||
Regulatory balancing accounts | 626 | 73 | ||||||
Other | 358 | 360 | ||||||
Total long-term | 8,015 | 6,422 | ||||||
Total regulatory assets | $ | 8,521 | $ | 6,994 | ||||
Regulatory Liabilities Included on the Consolidated Balance Sheets | Regulatory liabilities included on the consolidated balance sheets are: | |||||||
(in millions) | September 30, | December 31, | ||||||
2013 | 2012 | |||||||
Current: | ||||||||
Regulatory balancing accounts | $ | 580 | $ | 484 | ||||
Other | 49 | 52 | ||||||
Total current | 629 | 536 | ||||||
Long-term: | ||||||||
Costs of removal | 2,814 | 2,731 | ||||||
Asset retirement obligations | 954 | 1,385 | ||||||
Regulatory balancing accounts | 1,210 | 1,091 | ||||||
Other | 11 | 7 | ||||||
Total long-term | 4,989 | 5,214 | ||||||
Total regulatory liabilities | $ | 5,618 | $ | 5,750 | ||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||||||
Components of Accumulated Other Comprehensive Loss | Accumulated other comprehensive loss, net of tax, consists of: | |||||||
Pension and PBOP – Net Loss | ||||||||
(in millions) | Three months ended September 30, 2013 | Nine months ended September 30, 2013 | ||||||
Edison International: | ||||||||
Balance at beginning of period | $ | (82 | ) | $ | (87 | ) | ||
Other comprehensive loss before reclassifications | — | (2 | ) | |||||
Amounts reclassified from accumulated other comprehensive loss1 | 3 | 10 | ||||||
Net current-period other comprehensive loss | 3 | 8 | ||||||
Balance at end of period | $ | (79 | ) | $ | (79 | ) | ||
Reclassifications from accumulated other comprehensive loss: | ||||||||
Amortization of net loss included in net income | $ | 4 | $ | 13 | ||||
Tax expense | 1 | 3 | ||||||
Total reclassification, net of tax | $ | 3 | $ | 10 | ||||
SCE: | ||||||||
Balance at beginning of period | $ | (30 | ) | $ | (29 | ) | ||
Other comprehensive loss before reclassifications | — | (4 | ) | |||||
Amounts reclassified from accumulated other comprehensive loss1 | 2 | 5 | ||||||
Net current-period other comprehensive loss | 2 | 1 | ||||||
Balance at end of period | $ | (28 | ) | $ | (28 | ) | ||
Reclassifications from accumulated other comprehensive loss: | ||||||||
Amortization of net loss included in net income | $ | 3 | $ | 8 | ||||
Tax expense | 1 | 3 | ||||||
Total reclassification, net of tax | $ | 2 | $ | 5 | ||||
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_1
Interest and Other Income and Expenses (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||
Interest and Other Income and Expenses | Interest and other income and expenses are as follows: | ||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||
September 30, | |||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
SCE interest and other income: | |||||||||||||||||
Equity allowance for funds used during construction | $ | 14 | $ | 23 | $ | 54 | $ | 71 | |||||||||
Increase in cash surrender value of life insurance policies | 10 | 6 | 24 | 20 | |||||||||||||
Interest income | 2 | 2 | 8 | 5 | |||||||||||||
Other | 1 | 7 | 3 | 12 | |||||||||||||
Total SCE interest and other income | 27 | 38 | 89 | 108 | |||||||||||||
Edison International Parent and Other income | 1 | — | 2 | 2 | |||||||||||||
Total Edison International interest and other income | $ | 28 | $ | 38 | $ | 91 | $ | 110 | |||||||||
SCE other expenses: | |||||||||||||||||
Civic, political and related activities and donations | $ | 9 | $ | 5 | $ | 24 | $ | 22 | |||||||||
Other | 6 | 4 | 14 | 14 | |||||||||||||
Total SCE other expenses | 15 | 9 | 38 | 36 | |||||||||||||
Edison International Parent and Other other expenses | — | 1 | — | — | |||||||||||||
Total Edison International other expenses | $ | 15 | $ | 10 | $ | 38 | $ | 36 | |||||||||
Supplemental_Cash_Flows_Inform1
Supplemental Cash Flows Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||||||
Supplemental Cash Flows Information | Supplemental cash flows information for continuing operations is: | |||||||||||||||
Edison International | SCE | |||||||||||||||
Nine months ended September 30, | ||||||||||||||||
(in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||||
Cash payments (receipts) for interest and taxes: | ||||||||||||||||
Interest, net of amounts capitalized | $ | 431 | $ | 394 | $ | 415 | $ | 394 | ||||||||
Tax payments (refunds), net | 27 | (239 | ) | 18 | (243 | ) | ||||||||||
Non-cash financing and investing activities: | ||||||||||||||||
Dividends declared but not paid: | ||||||||||||||||
Common stock | $ | 110 | $ | 106 | $ | 120 | $ | — | ||||||||
Preferred and preference stock | 4 | 6 | 4 | 6 | ||||||||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (Southern California Edison, Electric Utility) | 9 Months Ended |
Sep. 30, 2013 | |
sqmi | |
Southern California Edison | Electric Utility | |
Summary of Significant Accounting Policies [Line Items] | |
Supply of electricity, area covered (square mile) | 50,000 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Cash) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Cash and Cash Equivalents Items [Line Items] | ||
Maximum maturity period of cash equivalent investments (in months) | 3 months | |
Money market funds | $518 | $107 |
Cash reclassified to accounts payable | 202 | 247 |
Southern California Edison | ||
Cash and Cash Equivalents Items [Line Items] | ||
Money market funds | 453 | 5 |
Cash reclassified to accounts payable | $201 | $242 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Inventory) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-13 | 31-May-13 |
In Millions, unless otherwise specified | Southern California Edison | Southern California Edison | San Onofre (nuclear) | San Onofre (nuclear) | ||
Southern California Edison | Inventory | |||||
Southern California Edison | ||||||
Summary of Significant Accounting Policies [Line Items] | ||||||
Materials and supplies, and spare parts | $250 | $319 | ||||
Fuel | 22 | 21 | ||||
Total inventory | 272 | 340 | 272 | 340 | ||
Amount of assets reclassified to a regulatory asset | $1,521 | $100 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Earnings Per Share) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Basic earnings per share - continuing operations: | |||||
Income from continuing operations available to common shareholders | $463 | $357 | $615 | $717 | |
Weighted average common shares outstanding (in shares) | 326,000,000 | 326,000,000 | 326,000,000 | 326,000,000 | |
Basic earnings per share b continuing operations (in dollars per share) | $1.42 | $1.09 | $1.88 | $2.20 | |
Diluted earnings per share - continuing operations: | |||||
Income from continuing operations available to common shareholders | 463 | 357 | 615 | 717 | |
Income impact of assumed conversions | 0 | 0 | 1 | 0 | |
Income from continuing operations available to common shareholders and assumed conversions | $463 | $357 | $616 | $717 | |
Weighted average common shares outstanding (in shares) | 326,000,000 | 326,000,000 | 326,000,000 | 326,000,000 | |
Incremental shares from assumed conversions (in shares) | 2,000,000 | [1] | 3,000,000 | 3,000,000 | 2,000,000 |
Adjusted weighted average shares - diluted (in shares) | 328,000,000 | 329,000,000 | 329,000,000 | 328,000,000 | |
Diluted earnings per share b continuing operations (in dollars per share) | $1.41 | $1.09 | $1.87 | $2.18 | |
Stock-Based Compensation Awards | |||||
Diluted earnings per share - continuing operations: | |||||
Stock-based compensation awards excluded from the computation of diluted earnings per share (in shares) | 4,109,363 | 3,238,581 | 4,109,363 | 4,819,683 | |
[1] |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies (Asset Retirement Obligation) (Details) (USD $) | 9 Months Ended | 12 Months Ended | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Sep. 30, 2013 |
San Onofre (nuclear) | San Onofre (nuclear) | |||
Significant Accounting Policies [Line Items] | ||||
Increase in ARO liability | $455 | |||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||||
Beginning balance | 2,782 | 2,610 | 2,710 | |
Accretion expense | 134 | 161 | ||
Revisions | 455 | 12 | ||
Liabilities settled | 0 | -1 | ||
Ending balance | $3,371 | $2,782 | $2,710 |
Summary_of_Significant_Account8
Summary of Significant Accounting Policies (Related Party) (Details) (Southern California Edison, Edison Mission Energy, USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
MW | ||
Southern California Edison | Edison Mission Energy | ||
Significant Accounting Policies [Line Items] | ||
Length of contract | 10 years | |
Plant output | 479 | |
Expense for power purchased | $64 | $70 |
Consolidated_Statements_of_Cha2
Consolidated Statements of Changes in Equity (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | $11,191 | $11,086 | ||
Net income | 463 | 215 | 689 | 423 |
Other comprehensive income (loss) | 3 | -11 | 8 | -29 |
Contributions from noncontrolling interests | 238 | |||
Transfer of assets to Capistrano Wind Partners | -21 | |||
Common stock dividends declared | -330 | -318 | ||
Dividends, distributions to noncontrolling interests and other | -75 | -68 | ||
Stock-based compensation and other | -40 | -45 | ||
Noncash stock-based compensation and other | 12 | 25 | ||
Issuance of preference stock | 387 | 804 | ||
Redemption of preference stock | -400 | -75 | ||
Balance, at the end of the period | 11,442 | 12,020 | 11,442 | 12,020 |
Dividends declared per common share (in dollars per share) | $0.34 | $0.33 | $1.01 | $0.98 |
Common Stock Including Additional Paid in Capital [Member] | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 2,373 | 2,360 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Contributions from noncontrolling interests | 0 | |||
Transfer of assets to Capistrano Wind Partners | -21 | |||
Common stock dividends declared | 0 | 0 | ||
Dividends, distributions to noncontrolling interests and other | 0 | 0 | ||
Stock-based compensation and other | 5 | 19 | ||
Noncash stock-based compensation and other | 19 | 27 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | 0 | 0 | ||
Balance, at the end of the period | 2,397 | 2,385 | 2,397 | 2,385 |
Accumulated Other Comprehensive Loss | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | -87 | -139 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 8 | -29 | ||
Contributions from noncontrolling interests | 0 | |||
Transfer of assets to Capistrano Wind Partners | 0 | |||
Common stock dividends declared | 0 | 0 | ||
Dividends, distributions to noncontrolling interests and other | 0 | 0 | ||
Stock-based compensation and other | 0 | 0 | ||
Noncash stock-based compensation and other | 0 | 0 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | 0 | 0 | ||
Balance, at the end of the period | -79 | -168 | -79 | -168 |
Retained Earnings | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 7,146 | 7,834 | ||
Net income | 614 | 357 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Contributions from noncontrolling interests | 0 | |||
Transfer of assets to Capistrano Wind Partners | 0 | |||
Common stock dividends declared | -330 | -318 | ||
Dividends, distributions to noncontrolling interests and other | 0 | 0 | ||
Stock-based compensation and other | -45 | -64 | ||
Noncash stock-based compensation and other | -6 | -2 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | -8 | -1 | ||
Balance, at the end of the period | 7,371 | 7,806 | 7,371 | 7,806 |
Subtotal | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 9,432 | 10,055 | ||
Net income | 614 | 357 | ||
Other comprehensive income (loss) | 8 | -29 | ||
Contributions from noncontrolling interests | 0 | |||
Transfer of assets to Capistrano Wind Partners | -21 | |||
Common stock dividends declared | -330 | -318 | ||
Dividends, distributions to noncontrolling interests and other | 0 | 0 | ||
Stock-based compensation and other | -40 | -45 | ||
Noncash stock-based compensation and other | 13 | 25 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | -8 | -1 | ||
Balance, at the end of the period | 9,689 | 10,023 | 9,689 | 10,023 |
Other Noncontrolling Interests | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 2 | |||
Net income | 0 | |||
Other comprehensive income (loss) | 0 | |||
Contributions from noncontrolling interests | 238 | |||
Transfer of assets to Capistrano Wind Partners | 0 | |||
Common stock dividends declared | 0 | |||
Dividends, distributions to noncontrolling interests and other | -2 | |||
Stock-based compensation and other | 0 | |||
Noncash stock-based compensation and other | 0 | |||
Issuance of preference stock | 0 | |||
Redemption of preference stock | 0 | |||
Balance, at the end of the period | 238 | 238 | ||
Preferred Stock and Preference Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 1,759 | 1,029 | ||
Net income | 75 | 66 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Contributions from noncontrolling interests | 0 | |||
Transfer of assets to Capistrano Wind Partners | 0 | |||
Common stock dividends declared | 0 | 0 | ||
Dividends, distributions to noncontrolling interests and other | -75 | -66 | ||
Stock-based compensation and other | 0 | 0 | ||
Noncash stock-based compensation and other | -1 | 0 | ||
Issuance of preference stock | 387 | 804 | ||
Redemption of preference stock | -392 | -74 | ||
Balance, at the end of the period | 1,753 | 1,759 | 1,753 | 1,759 |
Southern California Edison | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 11,743 | 9,958 | ||
Net income | 502 | 388 | 717 | 802 |
Other comprehensive income (loss) | 2 | 1 | 1 | 1 |
Common stock dividends declared | -360 | -349 | ||
Dividends declared on preferred and preference stock | -75 | -66 | ||
Stock-based compensation and other | -36 | -24 | ||
Noncash stock-based compensation and other | 14 | 13 | ||
Issuance of preference stock | 387 | 804 | ||
Redemption of preference stock | -400 | -75 | ||
Balance, at the end of the period | 11,991 | 11,064 | 11,991 | 11,064 |
Southern California Edison | Common Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 2,168 | 2,168 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Common stock dividends declared | 0 | 0 | ||
Dividends declared on preferred and preference stock | 0 | 0 | ||
Stock-based compensation and other | 0 | 0 | ||
Noncash stock-based compensation and other | 0 | 0 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | 0 | 0 | ||
Balance, at the end of the period | 2,168 | 2,168 | 2,168 | 2,168 |
Southern California Edison | Additional Paid-in Capital | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 581 | 596 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Common stock dividends declared | 0 | 0 | ||
Dividends declared on preferred and preference stock | 0 | 0 | ||
Stock-based compensation and other | 3 | 11 | ||
Noncash stock-based compensation and other | 10 | 13 | ||
Issuance of preference stock | -13 | -21 | ||
Redemption of preference stock | 8 | 1 | ||
Balance, at the end of the period | 589 | 600 | 589 | 600 |
Southern California Edison | Accumulated Other Comprehensive Loss | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | -29 | -24 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 1 | 1 | ||
Common stock dividends declared | 0 | 0 | ||
Dividends declared on preferred and preference stock | 0 | 0 | ||
Stock-based compensation and other | 0 | 0 | ||
Noncash stock-based compensation and other | 0 | 0 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | 0 | 0 | ||
Balance, at the end of the period | -28 | -23 | -28 | -23 |
Southern California Edison | Retained Earnings | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 7,228 | 6,173 | ||
Net income | 717 | 802 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Common stock dividends declared | -360 | -349 | ||
Dividends declared on preferred and preference stock | -75 | -66 | ||
Stock-based compensation and other | -39 | -35 | ||
Noncash stock-based compensation and other | 4 | 0 | ||
Issuance of preference stock | 0 | 0 | ||
Redemption of preference stock | -8 | -1 | ||
Balance, at the end of the period | 7,467 | 6,524 | 7,467 | 6,524 |
Southern California Edison | Preferred Stock and Preference Stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Balance, at the beginning of the period | 1,795 | 1,045 | ||
Net income | 0 | 0 | ||
Other comprehensive income (loss) | 0 | 0 | ||
Common stock dividends declared | 0 | 0 | ||
Dividends declared on preferred and preference stock | 0 | 0 | ||
Stock-based compensation and other | 0 | 0 | ||
Noncash stock-based compensation and other | 0 | 0 | ||
Issuance of preference stock | 400 | 825 | ||
Redemption of preference stock | -400 | -75 | ||
Balance, at the end of the period | $1,795 | $1,795 | $1,795 | $1,795 |
Variable_Interest_Entities_Det
Variable Interest Entities (Details) (Southern California Edison, USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | 31-May-12 | 31-May-12 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-12 | Sep. 30, 2013 | Sep. 30, 2013 | Jan. 31, 2013 | Jan. 31, 2013 | Sep. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2013 | Jan. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust I | SCE Trust II | SCE Trust II | SCE Trust II | SCE Trust II | SCE Trust II | SCE Trust II | SCE Trust II | SCE Trust II | Variable Interest Entity, Not Primary Beneficiary | Variable Interest Entity, Not Primary Beneficiary | Variable Interest Entity, Not Primary Beneficiary | Variable Interest Entity, Not Primary Beneficiary | |
Trust Securities | Trust Securities | Trust Securities | Series F Preferred Stock | Series F Preferred Stock | Series F Preferred Stock | Trust Securities | Trust Securities | Series G Preferred Stock | Series G Preferred Stock | Series G Preferred Stock | SCE Power Purchase Contracts | SCE Power Purchase Contracts | SCE Power Purchase Contracts | SCE Power Purchase Contracts | ||||||||||
MW | MW | MW | MW | |||||||||||||||||||||
Details of projects or entities | ||||||||||||||||||||||||
Power generating capacity (in megawatts) | 5,290 | 2,094 | 5,290 | 2,094 | ||||||||||||||||||||
Payments to unconsolidated VIEs for power purchase contracts | $330,000,000 | $158,000,000 | $527,000,000 | $292,000,000 | ||||||||||||||||||||
Unconsolidated Trust | ||||||||||||||||||||||||
Liquidation preference | 475,000,000 | 400,000,000 | ||||||||||||||||||||||
Security dividend rate, (as a percent) | 5.63% | 5.10% | 5.10% | |||||||||||||||||||||
Liquidation value (in dollars per share) | $25 | $2,500 | $25 | $2,500 | $2,500 | |||||||||||||||||||
Common stock | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | 10,000 | |||||||||||||||||
Common stock, percentage issued to Southern California Edison | 100.00% | 100.00% | ||||||||||||||||||||||
Preference stock | 475,000,000 | 475,000,000 | 475,000,000 | 475,000,000 | 475,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | ||||||||||||||||
Dividend income and distributions | $7,000,000 | $7,000,000 | $20,000,000 | $10,000,000 | $5,000,000 | $14,000,000 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements (Fair Value by Level) (Details) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 | ||
In Millions, unless otherwise specified | ||||||||
Assets at Fair Value | ||||||||
Money market funds | $518 | $107 | ||||||
Nuclear decommissioning trusts | 4,332 | 4,048 | ||||||
Liabilities at Fair Value | ||||||||
Receivables (payables) net related to investments | -3 | -1 | ||||||
Level 3 | ||||||||
Assets at Fair Value | ||||||||
Total assets | 253 | 221 | ||||||
Liabilities at Fair Value | ||||||||
Total liabilities | 1,284 | 1,012 | ||||||
Southern California Edison | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 453 | 5 | ||||||
Nuclear decommissioning trusts | 4,332 | 4,182 | 4,048 | 3,997 | 3,810 | 3,592 | ||
Liabilities at Fair Value | ||||||||
Percentage of equity investments located in the United States (as a percent) | 69.00% | 66.00% | ||||||
Collateralized mortgage obligations and other asset backed securities | 32 | 56 | ||||||
Receivables (payables) net related to investments | -3 | -1 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 453 | 5 | ||||||
Mutual funds | 29 | |||||||
Derivative contracts | 0 | 0 | ||||||
Long-term disability plan | 8 | 8 | ||||||
Nuclear decommissioning trusts | 3,172 | 2,869 | ||||||
Total assets | 3,662 | 2,882 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Total liabilities | 0 | 0 | ||||||
Net assets (liabilities) | 3,662 | 2,882 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Stocks | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 2,027 | [1] | 2,271 | [1] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | U.S. government and agency securities | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 823 | 477 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Municipal bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Corporate bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [2] | 0 | [2] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Short-term investments, primarily cash equivalents | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 322 | [3] | 121 | [3] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Congestion Revenue Rights | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Electricity | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Natural Gas | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 1 | Tolling | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 0 | 0 | ||||||
Mutual funds | 0 | |||||||
Derivative contracts | 2 | 8 | ||||||
Long-term disability plan | 0 | 0 | ||||||
Nuclear decommissioning trusts | 1,163 | 1,180 | ||||||
Total assets | 1,165 | 1,188 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 48 | 115 | ||||||
Total liabilities | 48 | 115 | ||||||
Net assets (liabilities) | 1,117 | 1,073 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Stocks | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [1] | 0 | [1] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | U.S. government and agency securities | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 101 | 126 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Municipal bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 796 | 644 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Corporate bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 221 | [2] | 410 | [2] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Short-term investments, primarily cash equivalents | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 45 | [3] | 0 | [3] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Congestion Revenue Rights | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Electricity | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 1 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 5 | 2 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Natural Gas | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 1 | 8 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 43 | 113 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 2 | Tolling | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 0 | 0 | ||||||
Mutual funds | 0 | |||||||
Derivative contracts | 253 | 221 | ||||||
Long-term disability plan | 0 | 0 | ||||||
Nuclear decommissioning trusts | 0 | 0 | ||||||
Total assets | 253 | 221 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 1,284 | 1,012 | ||||||
Total liabilities | 1,284 | 1,012 | ||||||
Net assets (liabilities) | -1,031 | -791 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Stocks | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [1] | 0 | [1] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | U.S. government and agency securities | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Municipal bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | 0 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Corporate bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [2] | 0 | [2] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Short-term investments, primarily cash equivalents | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [3] | 0 | [3] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Congestion Revenue Rights | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 245 | 186 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Electricity | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 31 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 12 | 5 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Natural Gas | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 0 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | 2 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Level 3 | Tolling | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 8 | 4 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 1,272 | 1,005 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 0 | [4] | 0 | [4] | ||||
Mutual funds | 0 | |||||||
Derivative contracts | -1 | [4] | -15 | [4] | ||||
Long-term disability plan | 0 | [4] | 0 | [4] | ||||
Nuclear decommissioning trusts | 0 | [4] | 0 | [4] | ||||
Total assets | -1 | [4] | -15 | [4] | ||||
Liabilities at Fair Value | ||||||||
Derivative contracts | -21 | [4] | -62 | [4] | ||||
Total liabilities | -21 | [4] | -62 | [4] | ||||
Net assets (liabilities) | 20 | [4] | 47 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Stocks | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [1],[4] | 0 | [1],[4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | U.S. government and agency securities | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [4] | 0 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Municipal bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [4] | 0 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Corporate bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [2],[4] | 0 | [2],[4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Short-term investments, primarily cash equivalents | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 0 | [3],[4] | 0 | [3],[4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Congestion Revenue Rights | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | [4] | 0 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Electricity | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | [4] | -13 | [4] | ||||
Liabilities at Fair Value | ||||||||
Derivative contracts | -3 | [4] | -2 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Natural Gas | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | -1 | [4] | -2 | [4] | ||||
Liabilities at Fair Value | ||||||||
Derivative contracts | -18 | [4] | -60 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Netting and Collateral | Tolling | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | [4] | 0 | [4] | ||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 0 | [4] | 0 | [4] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | ||||||||
Assets at Fair Value | ||||||||
Money market funds | 453 | 5 | ||||||
Mutual funds | 29 | |||||||
Derivative contracts | 254 | 214 | ||||||
Long-term disability plan | 8 | 8 | ||||||
Nuclear decommissioning trusts | 4,335 | 4,049 | ||||||
Total assets | 5,079 | 4,276 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 1,311 | 1,065 | ||||||
Total liabilities | 1,311 | 1,065 | ||||||
Net assets (liabilities) | 3,768 | 3,211 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Stocks | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 2,027 | [1] | 2,271 | [1] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | U.S. government and agency securities | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 924 | 603 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Municipal bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 796 | 644 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Corporate bonds | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 221 | [2] | 410 | [2] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Short-term investments, primarily cash equivalents | ||||||||
Assets at Fair Value | ||||||||
Nuclear decommissioning trusts | 367 | [3] | 121 | [3] | ||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Congestion Revenue Rights | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 245 | 186 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Electricity | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 1 | 18 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 14 | 5 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Natural Gas | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 0 | 6 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | 25 | 55 | ||||||
Southern California Edison | Fair Value, Measurements, Recurring | Total | Tolling | ||||||||
Assets at Fair Value | ||||||||
Derivative contracts | 8 | 4 | ||||||
Liabilities at Fair Value | ||||||||
Derivative contracts | $1,272 | $1,005 | ||||||
[1] | Approximately 69% and 66% of SCE's equity investments were located in the United States at SeptemberB 30, 2013 and DecemberB 31, 2012, respectively. | |||||||
[2] | At SeptemberB 30, 2013 and DecemberB 31, 2012, SCE's corporate bonds were diversified and included collateralized mortgage obligations and other asset backed securities of $32 million and $56 million, respectively. | |||||||
[3] | Excludes net payables of $3 million and $1 million at SeptemberB 30, 2013 and DecemberB 31, 2012, respectively, of interest and dividend receivables as well as receivables and payables related to SCE's pending securities sales and purchases. | |||||||
[4] | 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. |
Fair_Value_Measurements_Level_
Fair Value Measurements (Level 3 Rollforward) (Details) (Southern California Edison, Level 3, USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Southern California Edison | Level 3 | ||||||||
Fair Value Disclosures Level 3 [Roll Forward] | ||||||||
Fair value of net asset (liabilities) at beginning of period | ($967) | ($739) | ($791) | ($754) | ||||
Total realized/unrealized gains (losses): | ||||||||
Included in regulatory assets and liabilities | -50 | [1] | -180 | [1] | -205 | [1] | -203 | [1] |
Purchases | 19 | 33 | 56 | 84 | ||||
Settlements | -33 | -44 | -91 | -57 | ||||
Fair value of net liabilities at end of period | -1,031 | -930 | -1,031 | -930 | ||||
Change during the period in unrealized losses related to assets and liabilities held at the end of the period | ($65) | ($222) | ($198) | ($244) | ||||
[1] | Due to regulatory mechanisms, SCE's realized and unrealized gains and losses are recorded as regulatory assets and liabilities. |
Fair_Value_Measurements_Quanti
Fair Value Measurements (Quantitative Information About Level 3 Fair Value Measurements) (Details) (Level 3, USD $) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Dec. 31, 2012 | |
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | $253,000,000 | $221,000,000 |
Fair Value, Liabilities | 1,284,000,000 | 1,012,000,000 |
Electricity Options | Option Model | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | 2,000,000 | 40,000,000 |
Fair Value, Liabilities | 10,000,000 | 12,000,000 |
Electricity Options | Option Model | Power Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 28.00% | 29.00% |
Expected prices (in dollars per unit) | 40.6 | 41.7 |
Electricity Options | Option Model | Power Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 45.00% | 64.00% |
Expected prices (in dollars per unit) | 49.8 | 59.2 |
Electricity Options | Option Model | Power Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 39.00% | 42.00% |
Expected prices (in dollars per unit) | 43.5 | 47 |
Electricity Options | Option Model | Gas Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 24.00% | 25.00% |
Electricity Options | Option Model | Gas Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 30.00% | 36.00% |
Electricity Options | Option Model | Gas Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 28.00% | 33.00% |
Electricity Forwards | Discounted Cash Flow | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | 0 | 2,000,000 |
Fair Value, Liabilities | 4,000,000 | 4,000,000 |
Electricity Forwards | Discounted Cash Flow | Power Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 7.7 | 23.1 |
Electricity Forwards | Discounted Cash Flow | Power Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 40.8 | 44.9 |
Electricity Forwards | Discounted Cash Flow | Power Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 31.4 | 31.1 |
Congestion Revenue Rights | Market Simulation Model | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | 245,000,000 | 186,000,000 |
Fair Value, Liabilities | 0 | 0 |
Congestion Revenue Rights | Market Simulation Model | Load Forecast | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair value inputs, power units (in megawatts) | 7,603 | 7,597 |
Congestion Revenue Rights | Market Simulation Model | Load Forecast | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair value inputs, power units (in megawatts) | 24,896 | 26,612 |
Congestion Revenue Rights | Market Simulation Model | Power Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | -9.86 | -13.9 |
Congestion Revenue Rights | Market Simulation Model | Power Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 108.56 | 226.75 |
Congestion Revenue Rights | Market Simulation Model | Gas Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 3.5 | 2.95 |
Congestion Revenue Rights | Market Simulation Model | Gas Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected prices (in dollars per unit) | 7.1 | 7.78 |
Gas Options | Option Model | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | 0 | |
Fair Value, Liabilities | 2,000,000 | |
Gas Options | Option Model | Gas Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 28.00% | |
Gas Options | Option Model | Gas Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 36.00% | |
Gas Options | Option Model | Gas Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 34.00% | |
Tolling | Option Model | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | 8,000,000 | 4,000,000 |
Fair Value, Liabilities | 1,272,000,000 | 1,005,000,000 |
Tolling | Option Model | Power Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 25.00% | 26.00% |
Expected prices (in dollars per unit) | 35.9 | 35 |
Tolling | Option Model | Power Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 45.00% | 64.00% |
Expected prices (in dollars per unit) | 62.6 | 84.1 |
Tolling | Option Model | Power Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 29.00% | 29.00% |
Expected prices (in dollars per unit) | 46.9 | 55.4 |
Tolling | Option Model | Gas Prices | Minimum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 16.00% | 17.00% |
Tolling | Option Model | Gas Prices | Maximum | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 30.00% | 36.00% |
Tolling | Option Model | Gas Prices | Weighted Average | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Expected volatility rate (as a percent) | 19.00% | 22.00% |
Netting | ||
Quantitative Information About Level 3 Measurements [Line Items] | ||
Fair Value, Assets | -2,000,000 | -11,000,000 |
Fair Value, Liabilities | ($2,000,000) | ($11,000,000) |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements (Fair Value of Long-Term Debt Recorded at Carrying Value) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value of Long-Term Debt Recorded at Carrying Value | ||
Carrying Value | $9,232 | $9,231 |
Fair Value | 10,016 | 10,944 |
Southern California Edison | ||
Fair Value of Long-Term Debt Recorded at Carrying Value | ||
Carrying Value | 8,828 | 8,828 |
Fair Value | $9,590 | $10,505 |
Debt_and_Credit_Agreements_Det
Debt and Credit Agreements (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Mar. 31, 2013 | Jul. 18, 2013 | Jul. 18, 2013 | Sep. 30, 2013 | Jul. 18, 2013 | Dec. 31, 2012 | Jul. 18, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 |
In Millions, unless otherwise specified | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Edison International Parent and Other | Edison International Parent and Other | Edison International Parent and Other | Edison International Parent and Other | Commercial paper | Commercial paper | Letters of credit | Subsequent Event | Subsequent Event | Subsequent Event | Subsequent Event | ||
3.90% First and refunding mortgage bonds due 2043 | Revolving credit facility | Credit facility maturing in July 2018 | Revolving credit facility | Revolving credit facility | Revolving credit facility | Credit facility maturing in July 2018 | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | |||||
Revolving credit facility | Revolving credit facility | Revolving credit facility | First and refunding mortgage bonds | 3.50% First and refunding mortgage bonds due 2023 | 4.65% First and refunding mortgage bonds due 2043 | Floating rate bonds due 2014 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||
Issuance of debt | $400 | $600 | $800 | $200 | ||||||||||||||
Stated interest rate (as a percent) | 3.90% | 3.50% | 4.65% | |||||||||||||||
Extinguishment of Debt, Amount | 800 | |||||||||||||||||
Outstanding borrowings | 1,350 | 175 | ||||||||||||||||
Weighted average interest rate (as a percent) | 1.46% | 0.25% | 0.37% | |||||||||||||||
Commitment | 150 | 2,600 | 1,250 | 68 | 1,182 | 2,750 | ||||||||||||
Outstanding letters of credit | 140 | |||||||||||||||||
Letters of credit expiration period | 12 months | |||||||||||||||||
Short-term debt | $1,528 | $175 | $1,354 | $175 | $174 | $0 |
Derivative_Instruments_Balance
Derivative Instruments (Balance Sheet Disclosures) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | $47 | $129 | ||
Long-Term, Derivative Assets | 207 | 85 | ||
Short-Term, Derivative Liabilities | 174 | 126 | ||
Long-Term, Derivative Liabilities | 1,137 | 939 | ||
Southern California Edison | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | 47 | 129 | ||
Long-Term, Derivative Assets | 207 | 85 | ||
Short-Term, Derivative Liabilities | 174 | 126 | ||
Long-Term, Derivative Liabilities | 1,137 | 939 | ||
Southern California Edison | Commodity Contracts | Electric Utility | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | 47 | 129 | ||
Long-Term, Derivative Assets | 207 | 85 | ||
Derivative Assets, Total | 254 | 214 | ||
Short-Term, Derivative Liabilities | 174 | 126 | ||
Long-Term, Derivative Liabilities | 1,137 | 939 | ||
Derivative Liabilities, Total | 1,311 | 1,065 | ||
Net Liability | 1,057 | 851 | ||
Southern California Edison | Commodity Contracts | Electric Utility | Economic hedges | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | 53 | 151 | ||
Long-Term, Derivative Assets | 207 | 91 | ||
Derivative Assets, Total | 260 | 242 | ||
Short-Term, Derivative Liabilities | 195 | 186 | ||
Long-Term, Derivative Liabilities | 1,143 | 954 | ||
Derivative Liabilities, Total | 1,338 | 1,140 | ||
Net Liability | 1,078 | 898 | ||
Southern California Edison | Commodity Contracts | Electric Utility | Netting and Collateral | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | -6 | -22 | ||
Long-Term, Derivative Assets | 0 | -6 | ||
Derivative Assets, Total | -6 | -28 | ||
Short-Term, Derivative Liabilities | -6 | -22 | ||
Long-Term, Derivative Liabilities | 0 | -6 | ||
Derivative Liabilities, Total | -6 | -28 | ||
Net Liability | 0 | 0 | ||
Southern California Edison | Commodity Contracts | Electric Utility | Cash Collateral Posted | ||||
Fair Value of Derivative Instruments | ||||
Short-Term, Derivative Assets | 0 | [1] | 0 | [1] |
Long-Term, Derivative Assets | 0 | [1] | 0 | [1] |
Derivative Assets, Total | 0 | [1] | 0 | [1] |
Short-Term, Derivative Liabilities | -15 | [1] | -38 | [1] |
Long-Term, Derivative Liabilities | -6 | [1] | -9 | [1] |
Derivative Liabilities, Total | -21 | [1] | -47 | [1] |
Net Liability | ($21) | [1] | ($47) | [1] |
[1] | In addition, at SeptemberB 30, 2013 and DecemberB 31, 2012, SCE had posted $14 million and $8 million, respectively, of collateral that is not offset against the derivative liabilities and is reflected in "Other current assets" on the consolidated balance sheets. |
Derivative_Instruments_Notiona
Derivative Instruments (Notional Values) (Details) (Southern California Edison, Electric Utility, Economic hedges) | Sep. 30, 2013 | Dec. 31, 2012 |
GWh | GWh | |
Electricity options, swaps and forwards (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 8,964 | 15,884 |
Natural gas options, swaps and forwards (Bcf) | ||
Derivatives | ||
Notional volumes of derivative instruments | 12 | 100 |
Congestion revenue rights (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 127,772 | 149,774 |
Tolling arrangements (GWh) | ||
Derivatives | ||
Notional volumes of derivative instruments | 97,893 | 101,485 |
Derivative_Instruments_Additio
Derivative Instruments (Additional Disclosures) (Details) (Southern California Edison, USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Electric Utility | Economic hedges | |||||
Derivatives | |||||
Realized losses | ($15) | ($77) | ($38) | ($199) | |
Unrealized losses | -41 | -91 | -159 | -29 | |
Aggregate fair value of all derivative liabilities with credit-risk-related contingent features | 53 | 53 | 6 | ||
Additional collateral, aggregate fair value | 14 | 14 | |||
Collateral already posted | 0 | 0 | 0 | ||
Other current assets | Commodity Contracts | |||||
Derivatives | |||||
Collateral already posted | $14 | $14 | $8 |
Income_Taxes_Tax_Rate_Reconcil
Income Taxes (Tax Rate Reconciliation) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Effective Tax Rate | ||||
Income (loss) from continuing operations before income taxes | $665 | $610 | $863 | $1,204 |
Provision for income tax at federal statutory rate of 35% | 233 | 214 | 302 | 421 |
State tax, net of federal benefit | 22 | 46 | 5 | 60 |
Property-related | -57 | -20 | -121 | -39 |
Uncertain tax positions | -5 | 1 | 13 | 2 |
Other | -16 | -13 | -26 | -23 |
Total income tax expense (benefit) from continuing operations | 177 | 228 | 173 | 421 |
Federal statutory rate (as a percent) | 35.00% | 35.00% | 35.00% | 35.00% |
Effective tax rate | 26.60% | 37.40% | 20.00% | 35.00% |
Southern California Edison | ||||
Effective Tax Rate | ||||
Income (loss) from continuing operations before income taxes | 685 | 564 | 913 | 1,186 |
Provision for income tax at federal statutory rate of 35% | 240 | 197 | 319 | 415 |
State tax, net of federal benefit | 21 | 10 | 12 | 30 |
Property-related | -57 | -19 | -121 | -39 |
Uncertain tax positions | -6 | 1 | 11 | 1 |
Other | -15 | -13 | -25 | -23 |
Total income tax expense (benefit) from continuing operations | $183 | $176 | $196 | $384 |
Federal statutory rate (as a percent) | 35.00% | 35.00% | 35.00% | 35.00% |
Effective tax rate | 26.70% | 31.20% | 21.50% | 32.40% |
Income_Taxes_Textual_Details
Income Taxes (Textual) (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Income Tax Disclosure [Line Items] | |
Operating Loss Carryforwards | $1,300 |
Income tax expense from discontinued operations | 25 |
IRS Examination | |
Income Tax Disclosure [Line Items] | |
Estimated potential future federal tax payment as of the balance sheet date, including interest and penalties, based on a proposed adjustment | 205 |
Penalty for understatement of tax liability (as a percent) | 40.00% |
Southern California Edison | |
Income Tax Disclosure [Line Items] | |
Estimated federal tax payment as a result of the proposed adjustment to adjust repair allowance deduction | 74 |
Operating Loss Carryforwards | 177 |
Southern California Edison | IRS Examination | |
Income Tax Disclosure [Line Items] | |
Estimated potential future federal tax payment as of the balance sheet date, including interest and penalties, based on a proposed adjustment | 99 |
General Business Tax Credit Carryforward [Member] | IRS Examination | |
Income Tax Disclosure [Line Items] | |
Tax Credit Carryforward, Amount | 311 |
General Business Tax Credit Carryforward [Member] | Southern California Edison | IRS Examination | |
Income Tax Disclosure [Line Items] | |
Tax Credit Carryforward, Amount | 44 |
2029-2032 | General Business Tax Credit Carryforward [Member] | IRS Examination | |
Income Tax Disclosure [Line Items] | |
Tax Credit Carryforwards, Subject to Expiration | 289 |
2015-2024 | |
Income Tax Disclosure [Line Items] | |
Operating Loss Carryforwards, Subject to Expiration | 32 |
2030-2032 | General Business Tax Credit Carryforward [Member] | Southern California Edison | IRS Examination | |
Income Tax Disclosure [Line Items] | |
Tax Credit Carryforwards, Subject to Expiration | 30 |
2015-2016 | Southern California Edison | |
Income Tax Disclosure [Line Items] | |
Operating Loss Carryforwards, Subject to Expiration | $18 |
Compensation_and_Benefit_Plans2
Compensation and Benefit Plans (Expense Components) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Postretirement Benefits Other Than Pensions | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||||||||
Service cost | $14 | $13 | $42 | $37 | ||||
Interest cost | 26 | 28 | 78 | 85 | ||||
Expected return on plan assets | -30 | -27 | -90 | -81 | ||||
Special termination benefits | 0 | [1] | 3 | [1] | 10 | [1] | 3 | [1] |
Amortization of prior service cost | -9 | -9 | -27 | -27 | ||||
Amortization of net loss | 7 | [2] | 12 | [2] | 21 | [2] | 35 | [2] |
Expense under accounting standards | 8 | 20 | 34 | 52 | ||||
Pension Plans | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||||||||
Service cost | 38 | 44 | 114 | 121 | ||||
Interest cost | 42 | 46 | 126 | 137 | ||||
Expected return on plan assets | -58 | -53 | -172 | -164 | ||||
Settlement costs | 24 | [3] | 1 | [3] | 73 | [3] | 4 | [3] |
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||
Amortization of net loss | 15 | [4] | 18 | [4] | 45 | [4] | 48 | [4] |
Expense under accounting standards | 62 | 57 | 189 | 149 | ||||
Regulatory adjustment (deferred) | -7 | -57 | -21 | -3 | ||||
Total expense recognized | 55 | 0 | 168 | 146 | ||||
Net loss reclassified | 4 | 11 | ||||||
Net loss reclassified, settlement costs | 2 | |||||||
Southern California Edison | Postretirement Benefits Other Than Pensions | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||||||||
Service cost | 14 | 12 | 41 | 36 | ||||
Interest cost | 26 | 28 | 78 | 84 | ||||
Expected return on plan assets | -30 | -27 | -90 | -81 | ||||
Special termination benefits | 0 | [1] | 3 | [1] | 10 | [1] | 3 | [1] |
Amortization of prior service cost | -9 | -9 | -27 | -27 | ||||
Amortization of net loss | 7 | [2] | 11 | [2] | 21 | [2] | 33 | [2] |
Expense under accounting standards | 8 | 18 | 33 | 48 | ||||
Net loss reclassified | 0 | 0 | ||||||
Southern California Edison | Pension Plans | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||||||||
Service cost | 37 | 46 | 111 | 120 | ||||
Interest cost | 41 | 45 | 123 | 135 | ||||
Expected return on plan assets | -57 | -52 | -171 | -162 | ||||
Settlement costs | 24 | 1 | 72 | 3 | ||||
Amortization of prior service cost | 1 | 1 | 3 | 3 | ||||
Amortization of net loss | 14 | [4] | 14 | [4] | 42 | [4] | 42 | [4] |
Expense under accounting standards | 60 | 55 | 180 | 141 | ||||
Regulatory adjustment (deferred) | -7 | -57 | -21 | -3 | ||||
Total expense recognized | 53 | -2 | 159 | 138 | ||||
Net loss reclassified | 3 | 8 | ||||||
Maximum | Postretirement Benefits Other Than Pensions | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ||||||||
Net loss reclassified | $1 | $1 | ||||||
[1] | Due to the reduction in workforce, SCE has incurred costs for extended retiree health care coverage. | |||||||
[2] | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was less than $1 million and zero for the three- and nine-months ended SeptemberB 30, 2013, respectively. | |||||||
[3] | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International was $2B million for the nine months ended September 30, 2013. | |||||||
[4] | Includes the amount of net loss reclassified from other comprehensive loss. The amount reclassified for Edison International and SCE was $4 million and $3 million for the three months ended SeptemberB 30, 2013, respectively, and $11 million and $8B million for the nine months ended September 30, 2013, respectively. |
Compensation_and_Benefit_Plans3
Compensation and Benefit Plans (Workforce Reduction) (Details) (Southern California Edison, USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 |
positions | positions | |
Employee severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Beginning balance | 104 | |
Additions | 109 | |
Payments | -132 | |
Ending balance | 81 | |
San Onofre [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
San Onofre expected number of positions to be eliminated | 960 | 960 |
Support Organizations, Expected Number of Positions to Be Eliminated | 175 |
Compensation_and_Benefit_Plans4
Compensation and Benefit Plans (Textual) (Details) (USD $) | 9 Months Ended | 9 Months Ended | 9 Months Ended | |||||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Aug. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Aug. 31, 2013 | 31-May-13 |
Pension Plans | Postretirement Benefits Other Than Pensions | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Initial | Revised | Revised | ||||
Pension Plans | ||||||||||||
Pension and Other Postretirement Benefits | ||||||||||||
Defined Benefit Plan, Actuarial Gain (Loss) | $338 | $341 | ||||||||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.75% | 4.50% | 4.25% | |||||||||
Defined Benefit Plan, Unfunded Status of Plan | 739 | 1,110 | 701 | 1,070 | ||||||||
Employer contributions | 175 | 22 | 163 | |||||||||
Estimated future contributions in remainder of 2013 | $13 | $13 | $2 |
Permanent_Retirement_of_San_On1
Permanent Retirement of San Onofre (Details) (USD $) | 3 Months Ended | 9 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 4 Months Ended | 9 Months Ended | 9 Months Ended | 3 Months Ended | |||||||||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | 31-May-13 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |
San Onofre (nuclear) | San Onofre (nuclear) | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Mitsubishi Heavy Industries Ltd [Member] | Replacement Steam Generators | Supporting Ongoing Activities at the Site | Employee severance | Decommissioning Plan | Property, plant and equipment | Estimated losses on disposal of nuclear fuel inventory | Refunds of excess revenue | ||||||
San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | ||||||||||
positions | invoices | positions | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | |||||||||||||
invoices | positions | |||||||||||||||||||||
Regulatory Assets [Line Items] | ||||||||||||||||||||||
Cumulative amount of revenue collected since January 1, 2012 | $1,100,000,000 | $1,100,000,000 | ||||||||||||||||||||
Cost of service | 56,000,000 | -129,000,000 | ||||||||||||||||||||
Decommissioning Nuclear Facilities Net Investment | 2,100,000,000 | |||||||||||||||||||||
Authorized expenditures by authoritative body | 525,000,000 | 525,000,000 | ||||||||||||||||||||
Authorized expenditures by authoritative body, after adjustments for inflation | 665,000,000 | 665,000,000 | ||||||||||||||||||||
Jointly Owned Utility Plant, Proportionate Ownership Share | 78.21% | 78.21% | ||||||||||||||||||||
Authorized expenditures by authoritative body, spent to date | 602,000,000 | |||||||||||||||||||||
Authorized expenditures by authoritative body, market costs incurred | 191,000,000 | 680,000,000 | ||||||||||||||||||||
Authorized expenditures by authoritative body, Planned Outage Costs | 65,000,000 | |||||||||||||||||||||
Public Utilities, Incremental Inspection and Repair Costs | 115,000,000 | |||||||||||||||||||||
Public Utilities, Incremental Inspection and Repair Costs, Payments from Third Party | 36,000,000 | |||||||||||||||||||||
Amount of assets reclassified to a regulatory asset | 1,521,000,000 | |||||||||||||||||||||
Regulatory assets | 8,015,000,000 | 8,015,000,000 | 6,422,000,000 | 8,015,000,000 | 6,422,000,000 | 404,000,000 | ||||||||||||||||
Asset impairment and other | 0 | -66,000,000 | 575,000,000 | -65,000,000 | 575,000,000 | |||||||||||||||||
Asset impairment net of tax | 365,000,000 | |||||||||||||||||||||
San Onofre expected number of positions to be eliminated | 960 | 960 | 175 | |||||||||||||||||||
Disposal Group, Including Discontinued Operation, Accrued Liabilities | 56,000,000 | |||||||||||||||||||||
Net regulatory asset | 1,450,000,000 | 1,450,000,000 | 1,540,000,000 | 33,000,000 | -129,000,000 | |||||||||||||||||
Warranty Period | 20 years | |||||||||||||||||||||
Maximum liability for purchase agreement for damages | 138,000,000 | |||||||||||||||||||||
Notice of intent to sue, notice time period | 90 days | |||||||||||||||||||||
Number of Invoices for Reimbursement | 7 | 7 | ||||||||||||||||||||
Gain Contingency, Invoiced Amount for Reimbursement | 149,000,000 | 149,000,000 | ||||||||||||||||||||
Gain Contingency, Invoiced Amount Paid for Reimbursement | 45,000,000 | |||||||||||||||||||||
Notice Of Claim Amount | $390,000,000 | $306,000,000 | $306,000,000 | |||||||||||||||||||
Outage Policy Benefit Reduction Percentage | 90.00% |
Other_Investments_Amortized_Co
Other Investments (Amortized Cost and Fair Value of Nuclear Decommissioning Trusts) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | ||
Stocks | Stocks | Municipal bonds | Municipal bonds | U.S. government and agency securities | U.S. government and agency securities | Corporate bonds | Corporate bonds | Short-term investments and receivables/payables | Short-term investments and receivables/payables | |||||||||
Nuclear Decommissioning Trusts Disclosures | ||||||||||||||||||
Longest Maturity Dates (in years) | 0 | 2051 | 2043 | 2054 | One-year | |||||||||||||
Total Investments, Amortized Cost | $2,724 | $2,484 | $635 | $978 | $701 | $518 | $861 | $547 | $176 | $324 | $351 | $117 | ||||||
Total Investments, Fair Value | 4,335 | 4,049 | 2,027 | 2,271 | 796 | 644 | 924 | 603 | 221 | 410 | 367 | 121 | ||||||
Net payables | -3 | -1 | -3 | -1 | ||||||||||||||
Total Nuclear Decommissioning Trusts, Amortized Cost | 2,721 | 2,483 | ||||||||||||||||
Total Nuclear Decommissioning Trusts, Fair Value | $4,332 | $4,048 | $4,332 | $4,182 | $4,048 | $3,997 | $3,810 | $3,592 |
Other_Investments_Summary_of_C
Other Investments (Summary of Changes in Fair Value of the Nuclear Decommissioning Trusts) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
In Millions, unless otherwise specified | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | ||
Summary Of Changes In The Fair Value [Roll Forward] | ||||||
Balance at beginning of period | $4,332 | $4,048 | $4,182 | $3,810 | $4,048 | $3,592 |
Gross realized gains | 119 | 13 | 261 | 54 | ||
Gross realized losses | -17 | 0 | -18 | -5 | ||
Unrealized gains, net | 55 | 156 | 46 | 272 | ||
Other-than-temporary impairments | -15 | -7 | -44 | -30 | ||
Interest, dividends, contributions and other | 8 | 25 | 39 | 114 | ||
Balance at end of period | $4,332 | $4,048 | $4,332 | $3,997 | $4,332 | $3,997 |
Other_Investments_Textual_Deta
Other Investments (Textual) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Other Investments [Line Items] | ||||
Proceeds from sale of securities | $4,574,000,000 | $1,525,000,000 | ||
Southern California Edison | ||||
Other Investments [Line Items] | ||||
Contributions received for decommissioning trusts | 23,000,000 | |||
Proceeds from sale of securities | 2,600,000,000 | 428,000,000 | 4,574,000,000 | 1,525,000,000 |
Unrealized holding gains, net of losses | $1,600,000,000 | $1,600,000,000 |
Regulatory_Assets_and_Liabilit2
Regulatory Assets and Liabilities (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Regulatory Assets | ||
Regulatory Assets, Current | $506 | $572 |
Regulatory Asset, Long-term | 8,015 | 6,422 |
Regulatory Liabilities | ||
Regulatory Liabilities, Current | 629 | 536 |
Regulatory Liabilities, Long-term | 4,989 | 5,214 |
Southern California Edison | ||
Regulatory Assets | ||
Regulatory Assets, Current | 506 | 572 |
Regulatory Asset, Long-term | 8,015 | 6,422 |
Total Regulatory Assets | 8,521 | 6,994 |
Regulatory Liabilities | ||
Regulatory Liabilities, Current | 629 | 536 |
Regulatory Liabilities, Long-term | 4,989 | 5,214 |
Total Regulatory Liabilities | 5,618 | 5,750 |
Southern California Edison | Regulatory balancing accounts | ||
Regulatory Assets | ||
Regulatory Assets, Current | 344 | 502 |
Regulatory Asset, Long-term | 626 | 73 |
Southern California Edison | Energy derivatives | ||
Regulatory Assets | ||
Regulatory Assets, Current | 162 | 70 |
Regulatory Asset, Long-term | 960 | 900 |
Southern California Edison | Deferred income taxes, net | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 2,911 | 2,663 |
Southern California Edison | Other | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 358 | 360 |
Regulatory Liabilities | ||
Regulatory Liabilities, Current | 49 | 52 |
Regulatory Liabilities, Long-term | 11 | 7 |
Southern California Edison | Pensions and other postretirement benefits | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 1,105 | 1,550 |
Southern California Edison | Unamortized investments, net | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 358 | 507 |
Southern California Edison | San Onofre (nuclear) | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 1,450 | 0 |
Southern California Edison | Unamortized loss on reacquired debt | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 213 | 228 |
Southern California Edison | Nuclear-related investment, net | ||
Regulatory Assets | ||
Regulatory Asset, Long-term | 34 | 141 |
Southern California Edison | Regulatory balancing accounts | ||
Regulatory Liabilities | ||
Regulatory Liabilities, Current | 580 | 484 |
Regulatory Liabilities, Long-term | 1,210 | 1,091 |
Southern California Edison | Costs of Removal | ||
Regulatory Liabilities | ||
Regulatory Liabilities, Long-term | 2,814 | 2,731 |
Southern California Edison | Asset Retirement Obligations | ||
Regulatory Liabilities | ||
Regulatory Liabilities, Long-term | $954 | $1,385 |
Regulatory_Assets_and_Liabilit3
Regulatory Assets and Liabilities (Textual) (Details) (San Onofre (nuclear), Southern California Edison, USD $) | 1 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 |
Regulatory Assets [Line Items] | ||
Net regulatory asset | $1,450 | |
Cost of service | 56 | -129 |
Property, plant and equipment | ||
Regulatory Assets [Line Items] | ||
Net regulatory asset | 1,540 | |
Estimated losses on disposal of nuclear fuel inventory | ||
Regulatory Assets [Line Items] | ||
Net regulatory asset | $33 |
Commitments_and_Contingencies_
Commitments and Contingencies (Operating Leases) (Details) (Southern California Edison, USD $) | Sep. 30, 2013 |
Southern California Edison | |
Lease Disclosures [Line Items] | |
Future minimum payments due, 2014 | $247,000,000 |
Future minimum payments due, 2015 | 340,000,000 |
Future minimum payments due, 2016 | 413,000,000 |
Future minimum payments due, 2017 | 415,000,000 |
Future minimum payments due, 2018 | $4,430,000,000 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 1 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | 12 Months Ended | 1 Months Ended | 9 Months Ended | 9 Months Ended | ||||||||||||||||
Jun. 30, 2010 | Sep. 30, 2013 | Dec. 31, 2011 | Sep. 30, 2013 | Sep. 01, 2013 | Jun. 01, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2007 | 31-May-13 | Oct. 31, 2011 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | 31-May-13 | 31-May-13 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | |
Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | Edison International | Malibu Fire Order Instituting Investigation | Malibu Fire Order Instituting Investigation | Alleged violations of PSD requirements and New Source Performance Standards of the CAA | Nuclear Insurance | Nuclear Insurance | Nuclear Insurance | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre (nuclear) | San Onofre and Palo Verde | Pole Safety Studies and Remediation | Penalty Paid to State General Fund | Nuclear fuel supply commitments | Nuclear fuel supply commitments | Dividends Paid By EME to Holdings [Member] | Amount Paid By EME Under Tax Allocation Scheme [Member] | |||
sites | Environmental Indemnities | sites | Southern California Edison | Southern California Edison | Southern California Edison | Southern California Edison | SCE and other owners of San Onofre and Palo Verde | Southern California Edison | Southern California Edison | Nuclear Insurance | Malibu Fire Order Instituting Investigation | Malibu Fire Order Instituting Investigation | Southern California Edison | Southern California Edison | Eme Chapter 11 Bankruptcy Filing [Member] | Eme Chapter 11 Bankruptcy Filing [Member] | ||||||||
power_pole | private_environmental_organization | Southern California Edison | Southern California Edison | Southern California Edison | ||||||||||||||||||||
Schedule Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||
Supply commitment | $912,000,000 | |||||||||||||||||||||||
Accrued liabilities related to cancellation of contracts | 33,000,000 | |||||||||||||||||||||||
Maximum liability for purchase agreement for damages | 60,000,000 | |||||||||||||||||||||||
Notice Of Claim Amount | 390,000,000 | 306,000,000 | 925,000,000 | 183,000,000 | ||||||||||||||||||||
Number of failed power poles (in power poles) | 3 | |||||||||||||||||||||||
Proposed settlement amount | 37,000,000 | 17,000,000 | 20,000,000 | |||||||||||||||||||||
Number of plaintiffs (entities) | 4 | |||||||||||||||||||||||
Identified material sites for environmental remediation (in number of sites) | 19 | |||||||||||||||||||||||
Minimum costs to be Identified Site | 1,000,000 | |||||||||||||||||||||||
Minimum liability for environmental remediation for material sites | 129,000,000 | 90,000,000 | ||||||||||||||||||||||
Immaterial sites for environmental remediation (in number of sites) | 39 | |||||||||||||||||||||||
Immaterial sites, range of liability, minimum | 4,000,000 | |||||||||||||||||||||||
Environmental remediation liability | 133,000,000 | |||||||||||||||||||||||
Regulatory assets related to environmental remediation | 129,000,000 | |||||||||||||||||||||||
Portion of recorded liability recoverable from incentive mechanism | 38,000,000 | |||||||||||||||||||||||
Percentage of environmental remediation costs recoverable through an incentive mechanism (as a percent) | 90.00% | |||||||||||||||||||||||
Liability incurred at majority of the remaining sites through customer rates | 91,000,000 | |||||||||||||||||||||||
Environmental remediation costs to be recovered (as a percent) | 100.00% | |||||||||||||||||||||||
Amount that cleanup costs could exceed recorded liability for identified material sites | 161,000,000 | |||||||||||||||||||||||
Amount that cleanup costs could exceed recorded liability for immaterial sites | 7,000,000 | |||||||||||||||||||||||
Maximum expected period for cleanup of identified sites (in years) | 30 years | |||||||||||||||||||||||
Expected annual environmental remediation costs, low end of range | 6,000,000 | |||||||||||||||||||||||
Expected annual environmental remediation costs, high end of range | 31,000,000 | |||||||||||||||||||||||
Environmental remediation costs | 5,000,000 | |||||||||||||||||||||||
Federal limit on public liability claims from nuclear incident, approximate | 13,600,000,000 | |||||||||||||||||||||||
Private primary insurance purchased | 375,000,000 | |||||||||||||||||||||||
Maximum assessment per each nuclear incident | 255,000,000 | |||||||||||||||||||||||
Maximum yearly assessment per nuclear incident | 38,000,000 | |||||||||||||||||||||||
Loss limit, property damage insurance | 500,000,000 | |||||||||||||||||||||||
Loss limit, property damage insurance, federal minimum requirement | 1,060,000,000 | |||||||||||||||||||||||
Limit on assessment of retrospective premium adjustments, per year, approximate | 52,000,000 | |||||||||||||||||||||||
Insurance coverage for wildfire liabilities Limit | 500,000,000 | 450,000,000 | ||||||||||||||||||||||
Self insurance retention per wildfire occurrence | 10,000,000 | |||||||||||||||||||||||
Wildfire Threshold For Additional Coverage | 550,000,000 | |||||||||||||||||||||||
Amount of damages, decision by US Court of Federal Claims, spent nuclear fuel litigation | 142,000,000 | |||||||||||||||||||||||
Damages sought | $98,000,000 |
Preferred_and_Preference_Stock1
Preferred and Preference Stock of Utility (Details) (SCE Trust II, Southern California Edison, Series G Preferred Stock, USD $) | 3 Months Ended | |
Mar. 31, 2013 | Jan. 31, 2013 | |
SCE Trust II | Southern California Edison | Series G Preferred Stock | ||
Preferred and Preference Stock of Utility | ||
Shares issued (in shares) | 160,004 | |
Preference stock dividend rate (percent) | 5.10% | |
Liquidation value (in dollars per share) | $2,500 | $2,500 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||
Increase (Decrease) in Accumulated Other Comprehensive Loss | ||||||
Balance at the beginning of period | ($87) | |||||
Net current-period other comprehensive loss | 3 | -11 | 8 | -29 | ||
Balance at the end of period | -79 | -79 | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Loss [Abstract] | ||||||
Tax expense | 177 | 228 | 173 | 421 | ||
Total reclassification, net of tax | 463 | 215 | 689 | 423 | ||
Southern California Edison | ||||||
Increase (Decrease) in Accumulated Other Comprehensive Loss | ||||||
Balance at the beginning of period | -29 | |||||
Net current-period other comprehensive loss | 2 | 1 | 1 | 1 | ||
Balance at the end of period | -28 | -28 | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Loss [Abstract] | ||||||
Tax expense | 183 | 176 | 196 | 384 | ||
Total reclassification, net of tax | 502 | 388 | 717 | 802 | ||
Accumulated Defined Benefit Plans Adjustment | ||||||
Increase (Decrease) in Accumulated Other Comprehensive Loss | ||||||
Balance at the beginning of period | -82 | -87 | ||||
Other comprehensive loss before reclassifications | 0 | -2 | ||||
Amounts reclassified from accumulated other comprehensive loss | 3 | [1] | 10 | [1] | ||
Net current-period other comprehensive loss | 3 | 8 | ||||
Balance at the end of period | -79 | -79 | ||||
Accumulated Defined Benefit Plans Adjustment | Southern California Edison | ||||||
Increase (Decrease) in Accumulated Other Comprehensive Loss | ||||||
Balance at the beginning of period | -30 | -29 | ||||
Other comprehensive loss before reclassifications | 0 | -4 | ||||
Amounts reclassified from accumulated other comprehensive loss | 2 | [1] | 5 | [1] | ||
Net current-period other comprehensive loss | 2 | 1 | ||||
Balance at the end of period | -28 | -28 | ||||
Accumulated Defined Benefit Plans Adjustment | Reclassification out of Accumulated Other Comprehensive Loss | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Loss [Abstract] | ||||||
Amortization of net loss included in net income | 4 | 13 | ||||
Tax expense | 1 | 3 | ||||
Total reclassification, net of tax | 3 | 10 | ||||
Accumulated Defined Benefit Plans Adjustment | Reclassification out of Accumulated Other Comprehensive Loss | Southern California Edison | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Loss [Abstract] | ||||||
Amortization of net loss included in net income | 3 | 8 | ||||
Tax expense | 1 | 3 | ||||
Total reclassification, net of tax | $2 | $5 | ||||
[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_2
Interest and Other Income and Expenses (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Other income: | ||||
Total consolidated interest and other income | $28 | $38 | $91 | $110 |
Other expenses: | ||||
Total consolidated other expenses | 15 | 10 | 38 | 36 |
Southern California Edison | ||||
Other income: | ||||
Equity allowance for funds used during construction | 14 | 23 | 54 | 71 |
Increase in cash surrender value of life insurance policies | 10 | 6 | 24 | 20 |
Interest income | 2 | 2 | 8 | 5 |
Other | 1 | 7 | 3 | 12 |
Total interest and other income | 27 | 38 | 89 | 108 |
Total consolidated interest and other income | 27 | 38 | 89 | 108 |
Other expenses: | ||||
Civic, political and related activities and donations | 9 | 5 | 24 | 22 |
Other | 6 | 4 | 14 | 14 |
Total other expenses | 15 | 9 | 38 | 36 |
Total consolidated other expenses | 15 | 9 | 38 | 36 |
Edison International | ||||
Other income: | ||||
Other income | 1 | 0 | 2 | 2 |
Other expenses: | ||||
Other expenses | $0 | $1 | $0 | $0 |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Edison Mission Energy | Edison Mission Energy | Edison Mission Energy | Plan Support Agreement | |||||
Pension Plans | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Income tax expense from discontinued operations | $25 | $25 | $1 | |||||
Operating revenues from discontinued operations | 461 | 1,310 | ||||||
Loss from discontinued operation before income taxes | 262 | 645 | ||||||
Pensions and benefits | 2,237 | 2,614 | 80 | |||||
Joint tax liability | 192 | 192 | ||||||
Receivables from EME | 238 | 238 | ||||||
Deconsolidated charges recorded in accumulated other comprehensive income | 34 | |||||||
Net receivable under plan support agreement | 46 | |||||||
Retirement liabilities assumed under plan support agreement | 104 | |||||||
Estimated loss under plan support agreement | $150 |
Supplemental_Cash_Flows_Inform2
Supplemental Cash Flows Information (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash payments (receipts) for interest and taxes: | ||
Interest, net of amounts capitalized | $431 | $394 |
Tax payments (refunds), net | 27 | -239 |
Dividends declared but not paid: | ||
Common stock | 110 | 106 |
Preferred and preference stock | 4 | 6 |
Southern California Edison | ||
Cash payments (receipts) for interest and taxes: | ||
Interest, net of amounts capitalized | 415 | 394 |
Tax payments (refunds), net | 18 | -243 |
Dividends declared but not paid: | ||
Common stock | 120 | 0 |
Preferred and preference stock | 4 | 6 |
Accrued capital expenditures | $401 | $414 |