OTHER FINANCIAL DATA (Tables)

3 Months Ended

Mar. 31, 2015

Other Financial Data (Tables) [Abstract]

Net Periodic Benefit Cost Table

NET PERIODIC BENEFIT COST – SEMPRA ENERGY CONSOLIDATED
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended March 31,
	2015		2014		2015		2014
Service cost	$	30	$	26	$	7	$	6
Interest cost		39		41		12		12
Expected return on assets		(44)		(43)		(17)		(16)
Amortization of:
Prior service cost (credit)		3		2		(1)		(1)
Actuarial loss		8		5		―		―
Settlement		―		3		―		―
Regulatory adjustment		(29)		(24)		―		―
Total net periodic benefit cost	$	7	$	10	$	1	$	1

NET PERIODIC BENEFIT COST – SDG&E
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended March 31,
	2015		2014		2015		2014
Service cost	$	8	$	8	$	2	$	2
Interest cost		10		11		2		2
Expected return on assets		(14)		(14)		(3)		(3)
Amortization of:
Prior service cost		―		―		1		1
Actuarial loss		2		1		―		―
Regulatory adjustment		(5)		(5)		(2)		(2)
Total net periodic benefit cost	$	1	$	1	$	―	$	―

NET PERIODIC BENEFIT COST – SOCALGAS
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended March 31,
	2015		2014		2015		2014
Service cost	$	19	$	16	$	5	$	4
Interest cost		25		25		9		9
Expected return on assets		(27)		(26)		(14)		(13)
Amortization of:
Prior service cost (credit)		2		2		(2)		(2)
Actuarial loss		5		2		―		―
Regulatory adjustment		(24)		(19)		2		2
Total net periodic benefit cost	$	―	$	―	$	―	$	―

Contributions to Benefit Plans Table

BENEFIT PLAN CONTRIBUTIONS
(Dollars in millions)
	Sempra Energy
	Consolidated		SDG&E		SoCalGas
Contributions through March 31, 2015:
Pension plans	$	15	$	1	$	1
Other postretirement benefit plans		1		―		―
Total expected contributions in 2015:
Pension plans	$	31	$	3	$	2
Other postretirement benefit plans		11		8		―

Earnings Per Share Computations Table

EARNINGS PER SHARE COMPUTATIONS
(Dollars in millions, except per share amounts; shares in thousands)
		Three months ended March 31,
		2015		2014
Numerator:
Earnings/Income attributable to common shares		$	437	$	247
Denominator:
Weighted-average common shares
	outstanding for basic EPS		247,722		245,277
Dilutive effect of stock options, restricted
	stock awards and restricted stock units		3,484		4,392
Weighted-average common shares
	outstanding for diluted EPS		251,206		249,669
Earnings per share:
Basic		$	1.76	$	1.01
Diluted		$	1.74	$	0.99

Capitalized Financing Costs Table

CAPITALIZED FINANCING COSTS
(Dollars in millions)
	Three months ended March 31,
	2015		2014
Sempra Energy Consolidated:
AFUDC related to debt	$	6	$	6
AFUDC related to equity		27		25
Other capitalized financing costs		17		8
Total Sempra Energy Consolidated	$	50	$	39
SDG&E:
AFUDC related to debt	$	3	$	4
AFUDC related to equity		8		11
Total SDG&E	$	11	$	15
SoCalGas:
AFUDC related to debt	$	3	$	2
AFUDC related to equity		9		5
Total SoCalGas	$	12	$	7

Changes in Components of Accumulated Comprehensive Income Table

CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT(1)
SEMPRA ENERGY CONSOLIDATED
(Dollars in millions)
				Pension and other
				postretirement benefits
		Foreign								Total
		currency		Unamortized		Unamortized				accumulated other
		translation		net actuarial		prior service		Financial		comprehensive
		adjustments		gain (loss)		cost		instruments		income (loss)
		Three months ended March 31, 2015 and 2014
2015:
Balance as of December 31, 2014		$	(322)	$	(83)	$	(2)	$	(90)	$	(497)
Other comprehensive loss before
reclassifications			(62)		―		―		(54)		(116)
Amounts reclassified from accumulated other
comprehensive income (loss)			―		1		―		(1)		―
Net other comprehensive income (loss)			(62)		1		―		(55)		(116)
Balance as of March 31, 2015		$	(384)	$	(82)	$	(2)	$	(145)	$	(613)
2014:
Balance as of December 31, 2013		$	(129)	$	(73)	$	―	$	(26)	$	(228)
Other comprehensive loss before
reclassifications			(43)		―		―		(14)		(57)
Amounts reclassified from accumulated other
comprehensive income			―		3		―		9		12
Net other comprehensive income (loss)			(43)		3		―		(5)		(45)
Balance as of March 31, 2014		$	(172)	$	(70)	$	―	$	(31)	$	(273)
(1)	All amounts are net of income tax, if subject to tax, and exclude noncontrolling interests.

Reclassifications out of AOCI Table

RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
(Dollars in millions)
Details about accumulated		Amounts reclassified
other comprehensive income (loss)		from accumulated other				Affected line item on Condensed
components		comprehensive income (loss)				Consolidated Statements of Operations
		Three months ended March 31,
		2015		2014
Sempra Energy Consolidated:
Financial instruments:
Interest rate and foreign exchange instruments		$	6	$	3	Interest Expense
Interest rate instruments			―		2	Gain on Sale of Equity Interest
Interest rate instruments			3		3	Equity Earnings, Before Income Tax
Commodity contracts not subject						Revenues: Energy-Related
	to rate recovery		(7)		10	Businesses
Total before income tax			2		18
			1		(6)	Income Tax Expense
Net of income tax			3		12
			(4)		(3)	Earnings Attributable to Noncontrolling Interests
		$	(1)	$	9
Pension and other postretirement benefits:
Amortization of actuarial loss		$	2	$	5	See (1) below
			(1)		(2)	Income Tax Expense
Net of income tax		$	1	$	3
Total reclassifications for the period, net of tax		$	―	$	12
SDG&E:
Financial instruments:
Interest rate instruments		$	3	$	3	Interest Expense
			(3)		(3)	Earnings Attributable to Noncontrolling Interest
		$	―	$	―
(1)	Amounts are included in the computation of net periodic benefit cost (see "Pension and Other Postretirement Benefits" above).

Shareholders' Equity and Noncontrolling Interests Table

SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS ― SEMPRA ENERGY CONSOLIDATED
(Dollars in millions)
		Sempra Energy		Non-
		shareholders’		controlling		Total
		equity		interests		equity
Balance at December 31, 2014	$	11,326	$	774	$	12,100
Comprehensive income		321		8		329
Share-based compensation expense		13		―		13
Common stock dividends declared		(173)		―		(173)
Issuance of common stock		30		―		30
Repurchase of common stock		(65)		―		(65)
Tax benefit related to share-based compensation		52		―		52
Distributions to noncontrolling interests		―		(5)		(5)
Balance at March 31, 2015	$	11,504	$	777	$	12,281
Balance at December 31, 2013	$	11,008	$	842	$	11,850
Comprehensive income		202		17		219
Share-based compensation expense		10		―		10
Common stock dividends declared		(162)		―		(162)
Issuance of common stock		11		―		11
Repurchase of common stock		(37)		―		(37)
Tax benefit related to share-based compensation		8		―		8
Equity contributed by noncontrolling interest		―		1		1
Distributions to noncontrolling interests		―		(11)		(11)
Balance at March 31, 2014	$	11,040	$	849	$	11,889

SHAREHOLDER'S EQUITY AND NONCONTROLLING INTEREST ― SDG&E
(Dollars in millions)
		SDG&E		Non-
		shareholder’s		controlling		Total
		equity		interest		equity
Balance at December 31, 2014	$	4,932	$	60	$	4,992
Comprehensive income		147		2		149
Distributions to noncontrolling interest		―		(3)		(3)
Balance at March 31, 2015	$	5,079	$	59	$	5,138
Balance at December 31, 2013	$	4,628	$	91	$	4,719
Comprehensive income		99		2		101
Distributions to noncontrolling interest		―		(6)		(6)
Balance at March 31, 2014	$	4,727	$	87	$	4,814

Amounts Due To and From Affiliates at SDG&E and SoCalGas Table

AMOUNTS DUE TO AND FROM AFFILIATES AT SDG&E AND SOCALGAS
(Dollars in millions)
		March 31, 2015		December 31, 2014
SDG&E:
Current:
Due from Sempra Energy		$	40	$	―
Due from various affiliates			1		1
		$	41	$	1
Due to Sempra Energy		$	―	$	17
Due to SoCalGas			2		4
		$	2	$	21
Income taxes due from Sempra Energy(1)		$	15	$	16
SoCalGas:
Current:
Due from Sempra Energy		$	59	$	―
Due from SDG&E			2		4
		$	61	$	4
Due to Sempra Energy		$	―	$	13
Income taxes due (to) from Sempra Energy(1)		$	(107)	$	9
(1)	SDG&E and SoCalGas are included in the consolidated income tax return of Sempra Energy and are allocated income tax expense from Sempra Energy in an amount equal to that which would result from the companies having always filed a separate return.

Revenues From Unconsolidated Affiliates at SDG&E and SoCalGas Table

REVENUES FROM UNCONSOLIDATED AFFILIATES AT SDG&E AND SOCALGAS
(Dollars in millions)
	Three months ended March 31,
	2015		2014
SDG&E	$	3	$	3
SoCalGas		19		18

Other Income and Expense Table

OTHER INCOME, NET
(Dollars in millions)
		Three months ended March 31,
		2015		2014
Sempra Energy Consolidated:
Allowance for equity funds used during construction		$	27	$	25
Investment gains(1)			9		8
Regulatory interest, net(2)			1		1
Foreign currency losses			(1)		―
Gains on interest rate and foreign exchange instruments, net			―		2
Sundry, net			3		4
Total		$	39	$	40
SDG&E:
Allowance for equity funds used during construction		$	8	$	11
Regulatory interest, net(2)			1		1
Sundry, net			―		1
Total		$	9	$	13
SoCalGas:
Allowance for equity funds used during construction		$	9	$	5
Sundry, net			(1)		(1)
Total		$	8	$	4
(1)	Represents investment gains on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are partially offset by corresponding changes in compensation expense related to the plans.
(2)	Interest on regulatory balancing accounts.

Income Tax Expense and Effective Income Tax Rates Table

INCOME TAX EXPENSE AND EFFECTIVE INCOME TAX RATES
(Dollars in millions)
			Effective				Effective
		Income tax	income			Income tax	income
		expense	tax rate			expense	tax rate
		Three months ended March 31,
		2015				2014
Sempra Energy Consolidated	$	163	27	%	$	127	33	%
SDG&E		88	37			83	45
SoCalGas		95	31			38	33

Variable Interest Entity Table

AMOUNTS ASSOCIATED WITH OTAY MESA VIE
(Dollars in millions)
	Three months ended March 31,
	2015		2014
Operating expenses
Cost of electric fuel and purchased power	$	(18)	$	(18)
Operation and maintenance		4		5
Depreciation		6		7
Total operating expenses		(8)		(6)
Operating income		8		6
Interest expense		(4)		(4)
Income before income taxes/Net income		4		2
Earnings attributable to noncontrolling interest		(4)		(2)
Earnings attributable to common shares	$	―	$	―

Ownership Interests Held By Others Table

OTHER NONCONTROLLING INTERESTS
(Dollars in millions)
		Percent ownership held by others
		March 31,		December 31,			March 31,		December 31,
		2015		2014			2015		2014
SDG&E:
Otay Mesa VIE		100	%	100	%	$	59	$	60
Sempra South American Utilities:
Chilquinta Energía subsidiaries(1)		23.5 – 43.4		23.6 – 43.4			23		23
Luz del Sur		16.4		16.4			174		177
Tecsur		9.8		9.8			3		4
Sempra Mexico:
IEnova, S.A.B. de C.V.		18.9		18.9			460		452
Sempra Natural Gas:
Bay Gas Storage Company, Ltd.		9.1		9.1			23		23
Liberty Gas Storage, LLC		25.0		25.0			14		14
Southern Gas Transmission Company		49.0		49.0			1		1
Total Sempra Energy						$	757	$	754
(1)	Chilquinta Energía has four subsidiaries with noncontrolling interests held by others. Percentage range reflects the highest and lowest ownership percentages amongst these subsidiaries.

Inventory Table

INVENTORY BALANCES
(Dollars in millions)
	Natural gas				Liquefied natural gas				Materials and supplies				Total
	March 31, 2015		December 31, 2014		March 31, 2015		December 31, 2014		March 31, 2015		December 31, 2014		March 31, 2015		December 31, 2014
SDG&E	$	6	$	8	$	―	$	―	$	63	$	65	$	69	$	73
SoCalGas		83		155		―		―		26		26		109		181
Sempra South American
Utilities		―		―		―		―		32		33		32		33
Sempra Mexico		―		―		7		9		9		9		16		18
Sempra Renewables		―		―		―		―		2		2		2		2
Sempra Natural Gas		22		83		4		5		1		1		27		89
Sempra Energy
Consolidated	$	111	$	246	$	11	$	14	$	133	$	136	$	255	$	396

Afiliate Loans Table

DUE FROM UNCONSOLIDATED AFFILIATES(1)
(Dollars in millions)
			March 31, 2015		December 31, 2014
Sempra South American Utilities:
Eletrans S.A.:
4% Note(2)		$	46	$	41
Sempra Mexico:
Affiliates of joint venture with PEMEX:
Note due November 13, 2017(3)			44		44
Note due November 14, 2018(3)			41		40
Note due November 14, 2018(3)			33		33
Note due November 14, 2018(3)			8		8
Energía Sierra Juárez:
Note due June 15, 2018(4)			23		22
Other(5)			5		38
Total		$	200	$	226
(1)	Amounts include principal balances plus accumulated interest outstanding.
(2)	U.S. dollar-denominated loan, at a fixed interest rate with no stated maturity date, to provide project financing for the construction of transmission lines at Eletrans S.A., an affiliate of Chilquinta Energía.
(3)	U.S. dollar-denominated loan, at a variable interest rate based on a 30-day LIBOR plus 450 basis points (4.67 percent at March 31, 2015), to finance the Los Ramones Norte pipeline project.
(4)	U.S. dollar-denominated loan, at a variable interest rate based on a 30-day LIBOR plus 637.5 basis points (6.55 percent at March 31, 2015), to finance the first phase of the Energía Sierra Juárez wind project.
(5)	Amounts represent accounts receivable from various Sempra Renewables and Sempra Mexico joint venture investments.