Edison International 8-K on 3Q Earnings

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 4, 2005

EDISON INTERNATIONAL

(Exact name of registrant as specified in its charter)

	CALIFORNIA			001-9936			95-4137452
(State or other jurisdiction			(Commission			(I.R.S. Employer
		of incorporation)	File Number)		Identification No.)

2244 Walnut Grove Avenue

(P.O. Box 800)

Rosemead, California 91770

(Address of principal executive offices, including zip code)

626-302-2222

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

This current report and its exhibits include forward-looking statements. Edison International based these forward looking statements on its current expectations and projections about future events in light of its knowledge of facts as of the date of this current report and its assumptions about future circumstances. These forward-looking statements are subject to various risks and uncertainties that may be outside the control of Edison International and its subsidiaries. Edison International has no obligation to publicly update or revise any forward-looking statements, whether due to new information, future events, or otherwise. This current report should be read with Edison International’s Annual Report on Form 10-K for the year ended December 31, 2004, and subsequent Quarterly Reports on Form 10-Q.

Section 2 – Financial Information

Item 2.02 Results of Operations and Financial Condition.

On November 4, 2005, Edison International issued a press release reporting its financial results for the third quarter ended September 30, 2005. A copy of the press release is attached as Exhibit 99.1. The information furnished in this Item 2.02 and Exhibit 99.1 shall not be deemed to be “filed” for purposes of the Securities Exchange Act of 1934, nor shall it be deemed to be incorporated by reference in any filing under the Securities Act of 1933.

Section 9 - Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits.

(c)

Exhibits

See the Exhibit Index below.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	EDISON INTERNATIONAL
		(Registrant)

	/s/ Linda G. Sullivan
	----------------------------------------------
	Linda G. Sullivan
	Vice President and Controller

Date: November 4, 2005

EXHIBIT INDEX

Exhibit No.

Description

99.1

Press Release of Edison International of November 4, 2005.

[GRAPHIC OMITTED][GRAPHIC OMITTED] News Release FOR IMMEDIATE RELEASE Contact: Corporate Communications, (626) 302-2255 www.edisonnews.com Edison International Reports Financial Results for Third Quarter 2005 ROSEMEAD, Calif., Nov. 4, 2005-- o Edison International (EIX) recorded in the third quarter of 2005 consolidated earnings per common share of $1.41, compared to $2.49 for the same period last year. In both years, reported earnings include discontinued operations that primarily reflect gains related to the sale of Mission Energy Holding Company's (MEHC) international assets. o Core earnings per share were $1.24 in the third quarter of 2005 compared to 87 cents in the same period last year. Core earnings exclude earnings from discontinued operations and other non-core items. o EIX is increasing its 2005 core earnings guidance to $2.80 - $2.90 per share from $2.53 - $2.63 per share. Third Quarter 2005 Financial Highlights: o Core earnings per common share - $1.24 o Net Income - $462 million o Revenue - $3.8 billion o Assets - $35.5 billion THIRD-QUARTER EARNINGS SUMMARY For the third quarter of 2005, EIX recorded consolidated earnings of $462 million compared to earnings of $813 million in the same period last year. The decrease is primarily due to the impacts from the sales of the international assets in 2004 reported as discontinued operations, partially offset by improved operating results at MEHC from higher wholesale energy prices, higher energy trading income, and lower net interest expense. "Our core earnings for the third quarter were up 43% over the same period last year, driven by strong results at our independent power business," reported Chairman and CEO, John Bryson. "SCE continued to increase its core earnings, in part, on its large capital investment to strengthen and modernize the utility power grid. Based on our current outlook, we are increasing our prior earnings guidance for 2005 by slightly more than 10% to a range of $2.80 to $2.90 per share." - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 2 of 10 THIRD-QUARTER EARNINGS DETAIL Earnings from Continuing Operations SCE's earnings from continuing operations were $280 million in the third quarter of 2005, compared with $259 million in the third quarter of 2004. SCE's 2005 third-quarter earnings included a positive item of $61 million related to a favorable tax settlement. Third quarter 2004 earnings included $50 million of positive regulatory items, primarily from implementation of the 2003 general rate case (GRC) decision. Excluding these non-core items, core earnings were up $10 million on a quarter-to-quarter comparison basis. Higher net revenue and a tax benefit from a new IRS regulation more than offset the expected timing difference related to the implementation of the 2003 GRC decision in July of last year. MEHC's income from continuing operations was $154 million in the third quarter of 2005 compared to $60 million in the third quarter of 2004. MEHC's third-quarter 2005 results include an impairment charge of $34 million related to MEHC's March Point project as the rise in forecast fuel costs lowered projected cash flows. MEHC's 2004 third-quarter results included charges of $22 million, primarily from an impairment related to Midwest Generation's (MWG) small peaking plants and the termination of the Collins Station lease. Excluding these charges, MEHC's core earnings increased by $106 million over the third quarter of 2004. This increase is primarily due to higher wholesale energy prices, higher energy trading income, and lower net corporate interest expense. Earnings in the third quarter of 2005 for Edison Capital were $3 million compared to $12 million in the same period last year. The decrease primarily reflects lower income from Edison Capital's investment in the Emerging Europe Infrastructure Fund. The loss for "EIX parent company and other" decreased by $15 million primarily due to lower net interest expense. Earnings from Discontinued Operations The third-quarter 2005 earnings from discontinued operations primarily reflect positive tax adjustments of $28 million resulting from the sales of international projects. Beginning in the third quarter of 2004, MEHC reclassified the results of its international projects to discontinued operations for all periods presented due to completion of the sale of its interest in Contact Energy and its agreement to sell the remaining international projects. Earnings from discontinued operations during the third quarter of 2004, including a gain and recognition of a tax benefit, were $499 million. - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 3 of 10 Quarter Ended September 30, Earnings (Loss) Per Common Share (Unaudited) 2005 2004 Change ---------------------------------------------------- Southern California Edison $0.86 $0.79 $0.07 Mission Energy Holding Company 0.48 0.18 0.30 Edison Capital 0.01 0.04 (0.03) EIX parent company and other (0.02) (0.05) 0.03 - --------------------------------------------------------------------------------------------------------- EIX Consol. Earnings from Continuing Operations 1.33 0.96 0.37 - --------------------------------------------------------------------------------------------------------- Earnings from Discontinued Operations - MEHC 0.08 1.53 (1.45) - --------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $1.41 $2.49 $(1.08) ========================================================================================================= Quarter Ended September 30, Earnings (Loss) (in millions) (Unaudited) 2005 2004 Change ---------------------------------------------------- Southern California Edison $280 $259 $21 Mission Energy Holding Company 154 60 94 Edison Capital 3 12 (9) EIX parent company and other (2) (17) 15 - ---------------------------------------------------------------------------------------------------------- EIX Consol. Earnings from Continuing Operations 435 314 121 - ---------------------------------------------------------------------------------------------------------- Earnings from Discontinued Operations - MEHC 27 499 (472) - ---------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $462 $813 $(351) ========================================================================================================== Quarter Ended September 30, Core Earnings (Loss) (in millions) (Unaudited) 2005 2004 Change ------------------------------------------------------ Southern California Edison Company $219 $209 $10 Mission Energy Holding Company 188 82 106 Edison Capital 3 12 (9) EIX parent company and other (2) (17) 15 - ---------------------------------------------------------------------------------------------------------- EIX Consolidated Core Earnings 408 286 122 - ---------------------------------------------------------------------------------------------------------- Non-core items SCE - Regulatory and tax items 61 50 11 MEHC - March Point impairment (34) -- (34) MEHC - Peaker impairment -- (18) 18 MEHC - Collins lease termination -- (4) 4 MEHC - Discontinued operations 27 499 (472) - ---------------------------------------------------------------------------------------------------------- 54 527 (473) - ---------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $462 $813 $(351) ========================================================================================================== - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 4 of 10 YEAR-TO-DATE EARNINGS SUMMARY EIX recorded earnings of $2.64 per share for the nine-month period ending September 30, 2005, compared to $1.65 per share for the same period last year. The results included several non-core adjustments detailed in the tables below. EIX's core earnings were $2.43 per share for the nine-month period ending September 30, 2005, compared to $1.15 per share for the same period last year. This increase reflects higher wholesale energy prices and higher energy trading income at MEHC, lower net interest expense, higher net revenue and tax items at SCE, and gains from Edison Capital's Emerging Europe Infrastructure Fund. YEAR-TO-DATE EARNINGS DETAIL Earnings (Loss) from Continuing Operations SCE's earnings from continuing operations for the nine-month period ending September 30, 2005, of $572 million decreased by $28 million, compared to the same period last year. SCE's results for 2005 included a positive item of $61 million from a favorable IRS settlement. SCE's results in 2004 included net positive regulatory items of $172 million primarily related to the implementation of SCE's 2003 GRC decision. Excluding these items, SCE's core earnings were $511 million, an increase of $83 million compared to the same period last year. SCE's increased earnings were primarily from higher net revenue for 2005, favorable resolution of tax issues, and the impact of a new tax regulation. MEHC had earnings from continuing operations of $179 million for the nine months ended September 30, 2005, compared to a loss of $614 million in the same period last year. MEHC's earnings in 2005 included a $34 million charge related to the March Point plant impairment, and a $15 million charge related to early debt retirements. MEHC's 2004 results included a $590 million charge for the termination of the Collins Station lease, a net gain of $27 million on the sale of its interest in Four Star Oil and Gas and the Brooklyn Navy Yard projects and a charge of $18 million related to a peaker impairment. Excluding these items, MEHC's core earnings were $228 million, an increase of $261 million. This increase primarily reflects higher wholesale energy prices, higher energy trading income, and lower net corporate interest expense. Edison Capital's earnings for the nine months ended September 30, 2005, were $80 million, up $46 million from the same period last year. This increase is primarily due to gains from its Emerging Europe Infrastructure Fund. The loss for the nine months ended September 30, 2005, for "EIX parent company and other" decreased by $30 million compared to the same period last year, mainly due to lower net interest expense. - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 5 of 10 Earnings from Discontinued Operations Earnings from discontinued operations for the nine months ended September 30, 2005, were $55 million, including positive tax adjustments of $28 million related to the international asset sales and distributions from the Lakeland project of $24 million.Earnings from discontinued operations for the nine months ended September 30, 2004, were $570 million representing the operating results, gain on sale and recognition of tax benefits related to MEHC's international projects. Year-To-Date Ended Sept. 30, Earnings (Loss) Per Common Share (Unaudited) 2005 2004 Change ------------------------------------------------ Southern California Edison $1.75 $1.84 $(0.09) Mission Energy Holding Company 0.55 (1.88) 2.43 Edison Capital 0.25 0.11 0.14 EIX parent company and other (0.08) (0.17) 0.09 - ----------------------------------------------------------------------------------------------------------- EIX Consol. Earnings (Loss) from Continuing Ops. 2.47 (0.10) 2.57 - ----------------------------------------------------------------------------------------------------------- Earnings from Discontinued Ops. - MEHC 0.17 1.75 (1.58) - ----------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $2.64 $1.65 $0.99 =========================================================================================================== Year-To-Date Ended Sept. 30, Earnings (Loss) (in millions) (Unaudited) 2005 2004 Change ------------------------------------------------ Southern California Edison $572 $600 $(28) Mission Energy Holding Company 179 (614) 793 Edison Capital 80 34 46 EIX parent company and other (22) (52) 30 - --------------------------------------------------------------------------------------------------------- EIX Consol. Earnings (Loss) from Continuing Ops. 809 (32) 841 - --------------------------------------------------------------------------------------------------------- Earnings from Discontinued Ops. - MEHC 55 570 (515) Cumulative Effect of Accounting Change - EC -- (1) 1 - --------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $864 $537 $327 ========================================================================================================= - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 6 of 10 Year-to-Date Ended Sept. 30, Core Earnings (Loss) (in millions) (Unaudited) 2005 2004 Change ------------------------------------------- Southern California Edison Company $511 $428 $83 Mission Energy Holding Company 228 (33) 261 Edison Capital 80 34 46 EIX parent company and other (22) (52) 30 - --------------------------------------------------------------------------------------------------- EIX Consolidated Core Earnings 797 3 420 - --------------------------------------------------------------------------------------------------- Non-core items SCE - Regulatory and tax items 61 172 (111) MEHC - Collins lease termination -- (590) 590 MEHC - March Point impairment (34) -- (34) MEHC - Gain on sale re: Four Star Oil & Gas -- 29 (29) MEHC - Peaker impairment -- (18) 18 MEHC - Early debt retirements (15) -- (15) MEHC - Loss on sale re: Brooklyn Navy Yard -- (2) 2 MEHC - Discontinued Operations 55 570 (515) - --------------------------------------------------------------------------------------------------- 67 161 (94) Cumulative Effect of Accounting Change - (1) 1 - --------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $864 $537 $327 =================================================================================================== Reminder: EIX Will Hold a Conference Call Today Today, EIX will hold a conference call to discuss its 2005 third-quarter financial results at 8 a.m. PST. Although two-way participation in the telephone call is limited to financial analysts and investors, all other interested parties are invited to participate in a "listen-only mode" through a simultaneous Webcast on the company's Web site at www.edisoninvestor.com. Additional financial and other statistical information, if any, presented during the call will be available on the Web site. The domestic call-in number is (800) 356-8584 and the ID# is 10500. Charts that will be referenced in the conference call follow. - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 7 of 10 CHART 1 Quarter Ended September 30, Core Earnings (Loss) Per Common Share (Unaudited) 2005 2004 Change --------------------------------------------------------- Southern California Edison Company $0.67 $0.64 $0.03 Mission Energy Holding Company 0.58 0.24 0.34 Edison Capital 0.01 0.04 (0.03) EIX parent company and other (0.02) (0.05) 0.03 - -------------------------------------------------------------------------------------------------------------------- EIX Consolidated Core Earnings 1.24 0.87 0.37 - -------------------------------------------------------------------------------------------------------------------- Non-core items SCE - Regulatory and tax items 0.19 0.15 0.04 MEHC - March Point impairment (0.10) -- (0.10) MEHC - Peaker impairment -- (0.05) 0.05 MEHC - Collins lease termination -- (0.01) 0.01 MEHC - Discontinued operations and other 0.08 1.53 (1.45) - -------------------------------------------------------------------------------------------------------------------- 0.17 1.62 (1.45) - -------------------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $1.41 $2.49 $(1.08) ==================================================================================================================== CHART 2 Year-to-Date Ended Sept. 30, Core Earnings (Loss) Per Common Share (Unaudited) 2005 2004 Change ------------------------------------------------------ Southern California Edison Company $1.56 $1.31 $0.25 Mission Energy Holding Company 0.70 (0.10) 0.80 Edison Capital 0.25 0.11 0.14 EIX parent company and other (0.08) (0.17) 0.09 - ------------------------------------------------------------------------------------------------------------- EIX Consolidated Core Earnings 2.43 1.15 1.28 - ------------------------------------------------------------------------------------------------------------- Non-core items SCE - Regulatory and tax items 0.19 0.53 (0.34) MEHC - Collins lease termination -- (1.81) 1.81 MEHC - March Point impairment (0.10) -- (0.10) MEHC - Gain on sale re: Four Star Oil & Gas -- 0.09 (0.09) MEHC - Peaker impairment -- (0.05) 0.05 MEHC - Early debt retirements (0.05) -- (0.05) MEHC - Loss on sale re: Brooklyn Navy Yard -- (0.01) 0.01 MEHC - Discontinued operations 0.17 1.75 (1.58) - ------------------------------------------------------------------------------------------------------------- 0.21 0.50 (0.29) - ------------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $2.64 $1.65 $0.99 ============================================================================================================= - MORE - Edison International Third-Quarter Financial Results Page 8 of 10 CHART 3 Edison International Supplemental Table - Coal-Fired Generation Midwest Generation and Homer City Three Months Ended September 30, Nine Months Ended September 30 2005 2004 Change % 2005 2004 Change % - ---------------------------------------------------------------------------------------------------------------------- Midwest Generation Generation (in TWhr) Merchant 8.1 4.4 3.7 84.6% 22.4 12.4 10.0 80.9% Power Purchase Agreement 3.9 (3.9) -100.0% 9.8 (9.8) -100.0% -------------------------------------------------------------------------- Total coal-fired generation 8.1 8.3 (0.2) -2.0% 22.4 22.2 0.2 0.8% -------------------------------------------------------------------------- Equivalent Availability 87.9% 91.9% -4.0% 76.8% 81.8% -5.0% Forced Outage Rate (EFOR) 9.4% 5.0% 4.4% 9.0% 6.5% 2.5% Flat Energy Price -Nihub($/MWh) 54.75 28.40 26.35 92.8% 44.26 29.36 14.90 50.7% Average Energy Price ($/MWh) Merchant 53.85 32.96 20.89 63.4% 45.12 30.98 14.14 45.6% Power Purchase Agreement 16.56 (16.56) -100.0% 17.18 (17.18) -100.0% -------------------------------------------------------------------------- 53.85 25.27 28.58 113.1% 45.12 24.90 20.22 81.2% -------------------------------------------------------------------------- Homer City Generation (in TWhr) 4.1 3.6 0.5 14.0% 10.7 9.9 0.8 7.6% Equivalent Availability 98.7% 91.7% 7.0% 88.0% 82.9% 5.1% Forced Outage Rate 0.2% 1.4% -1.2% 3.6% 5.6% -2.0% Flat Energy Price -PJM West Hub($/MWh) 75.33 41.40 33.93 82.0% 56.61 43.50 13.11 30.1% Flat Energy Price -HC Hub($/MWh) 62.56 38.49 24.07 62.5% 50.54 41.97 8.57 20.4% Average Energy Price ($/MWh) 45.45 35.99 9.46 26.3% 44.17 36.36 7.81 21.5% Hedge Program status at September 30, 2005 Remainder of 2005 2006 2007 ---- ---- ---- Midwest Generation Megawatt hours (in TWh) 4.8 14.2 6.8 Average Energy Price ($/MWh) 35.34 43.02 42.24 Percent of Coal Requirements Under Contract 100% 100% 91% Homer City Megawatt hours (in TWh) 2.2 8.5 3.6 Average Energy Price ($/MWh) 43.14 53.24 60.68 Percent of Coal Requirements Under Contract 100% 78% 78% - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 9 of 10 CHART 4 Edison International 2005 Outlook Original Revised Current 2005 Outlook 2005 Outlook 2005 Outlook Oct. 2004 Aug. 2005 Nov. 2005 --------------------------------------------------------- Southern California Edison Company $1.75 $1.80 $1.80 Mission Energy Holding Company Consolidated 0.34 0.55 - 0.65 0.85 - 0.95 Edison Capital 0.08 0.28 0.27 EIX parent company and other (0.03) (0.10) (0.12) - -------------------------------------------------------------------------------------------------------------------- EIX Consolidated Core Earnings 2.14 2.53 - 2.63 2.80 - 2.90 - -------------------------------------------------------------------------------------------------------------------- Non-core items Southern California Edison Company (a) 0.11 0.11 0.19 Mission Energy Holding Company Consolidated (b)(0.05) (c)0.23 (d)0.02 ------------------------------------------------------------------------------------------------------------------- 0.06 0.34 0.21 - -------------------------------------------------------------------------------------------------------------------- Total EIX Consolidated Earnings $2.20 $2.87-$2.97 $3.01-$3.11 ==================================================================================================================== a) Favorable tax settlement b) Early debt retirements c) Discontinued operations $0.28 and early debt retirements $(0.05) d) Discontinued operations $0.17, March Point $(0.10) and early debt retirements $(0.05) Risk Disclosure Statement This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect Edison International's current expectations and projections about future events based on Edison International's knowledge of present facts and circumstances and assumptions about future events and include any statement that does not directly relate to a historical or current fact. In this report and elsewhere, the words "expects," "believes," "anticipates," "estimates," "projects," "intends," "plans," "probable," "may," "will," "could," "would," "should," and variations of such words and similar expressions, or discussions of strategy or of plans, are intended to identify forward-looking statements. Such statements necessarily involve risks and uncertainties that could cause actual results to differ materially from those anticipated. Some of the risks, uncertainties and other important factors that could cause results to differ, or that otherwise could impact Edison International or its subsidiaries, include but are not limited to: o the ability of Edison International to meet its financial obligations and to pay dividends on its common stock if its subsidiaries are unable to pay dividends; o the ability of SCE to recover its costs in a timely manner from its customers through regulated rates; o decisions and other actions by the California Public Utilities Commission and other regulatory authorities and delays in regulatory actions; - MORE - EDISON INTERNATIONAL THIRD-QUARTER FINANCIAL RESULTS Page 10 of 10 o market risks affecting SCE's energy procurement activities; o access to capital markets and the cost of capital; o changes in interest rates and rates of inflation; o governmental, statutory, regulatory or administrative changes or initiatives affecting the electricity industry, including the market structure rules applicable to each markeT and environmental regulations that could require additional expenditures or otherwise affect the cost and manner of doing business; o risks associated with operating nuclear and other power generating facilities, including operating risks, equipment failure, availability, heat rate and output; o the availability of labor, equipment, and materials; o the ability to obtain sufficient insurance; o effects of legal proceedings, changes in tax laws, rates or policies, and changes in accounting standards; o supply and demand for electric capacity and energy, and the resulting prices and dispatch volumes, in the wholesale markets to which Edison Mission Energy's (EME) generating units have access; o the cost of and availability of coal, natural gas, and fuel oil, and associated transportation costs; o the cost of and availability of emission credits or allowances for emission credits for EME and its subsidiaries; o transmission congestion in and to each market area and the resulting differences in prices between delivery points in which EME and its subsidiaries operate; o the ability to provide sufficient collateral in support of hedging activities and purchases of fuel and electric energy; o the extent of additional supplies of capacity, energy and ancillary services from current competitors or new market entrants, including the development of new generation facilities, including new plants and technologies that may be developed in the future; o general political, economic and business conditions; o weather conditions, natural disasters and other unforeseen events; and o changes in the fair value of investments accounted for using fair value accounting. Additional information about risks and uncertainties, including more detail about the factors described above, is contained in Edison International's reports filed with the Securities and Exchange Commission. Readers are urged to read such reports and carefully consider the risks, uncertainties and other factors that affect Edison International's business. Readers also should review future reports filed by Edison International with the Securities and Exchange Commission. The information contained in this release is subject to change without notice. Forward-looking statements speak only as of the date they are made and Edison International is not obligated to publicly update or revise forward-looking statements. # # # Based in Rosemead, Calif., Edison International (NYSE:EIX) is the parent company of Southern California Edison, Edison Mission Energy, and Edison Capital. EDISON INTERNATIONAL SUMMARY OF CONSOLIDATED EARNINGS (UNAUDITED) IN MILLIONS, EXCEPT PER-SHARE AMOUNTS QUARTER ENDED SEPT. 30, YEAR TO DATE SEPT. 30, - ----------------------------------------------------------------------------------------------------------------------- 2005 2004 2005 2004 - ----------------------------------------------------------------------------------------------------------------------- ELECTRIC UTILITY $ 3,084 $ 2,655 $ 7,194 $ 6,527 NONUTILITY POWER GENERATION 677 509 1,605 1,257 FINANCIAL SERVICES AND OTHER 22 24 79 85 - ----------------------------------------------------------------------------------------------------------------------- TOTAL OPERATING REVENUE 3,783 3,188 8,878 7,869 - ----------------------------------------------------------------------------------------------------------------------- FUEL 489 415 1,309 1,027 PURCHASED POWER 502 915 1,633 2,022 PROVISIONS FOR REGULATORY ADJUSTMENT CLAUSES - NET 766 (34) 790 (85) OTHER OPERATION AND MAINTENANCE 862 787 2,485 2,367 ASSET IMPAIRMENT AND LOSS ON LEASE TERMINATION - 35 12 989 DEPRECIATION, DECOMMISSIONING AND AMORTIZATION 270 232 796 755 PROPERTY AND OTHER TAXES 51 50 153 148 - ----------------------------------------------------------------------------------------------------------------------- TOTAL OPERATING EXPENSES 2,940 2,400 7,178 7,223 - ----------------------------------------------------------------------------------------------------------------------- OPERATING INCOME 843 788 1,700 646 INTEREST AND DIVIDEND INCOME 31 3 78 26 EQUITY IN INCOME FROM PARTNERSHIPS AND UNCONSOLIDATED SUBSIDIARIES - NET 27 32 136 61 OTHER NONOPERATING INCOME 34 8 70 96 INTEREST EXPENSE - NET OF AMOUNTS CAPITALIZED (198) (251) (615) (741) IMPAIRMENT LOSS ON EQUITY METHOD INVESTMENT (55) - (55) - LOSS ON EARLY EXTINGUISHMENT OF DEBT - - (24) - OTHER NONOPERATING DEDUCTIONS (35) (8) (58) (36) - ----------------------------------------------------------------------------------------------------------------------- INCOME FROM CONTINUING OPERATIONS BEFORE TAX AND MINORITY INTEREST 647 572 1,232 52 INCOME TAX (BENEFIT) 129 181 267 (40) DIVIDENDS ON UTILITY PREFERRED AND PREFERENCE STOCK NOT SUBJECT TO MANDATORY REDEMPTION 7 1 14 4 MINORITY INTEREST 76 76 142 120 - ----------------------------------------------------------------------------------------------------------------------- INCOME (LOSS) FROM CONTINUING OPERATIONS 435 314 809 (32) INCOME FROM DISCONTINUED OPERATIONS - NET OF TAX 27 499 55 570 - ----------------------------------------------------------------------------------------------------------------------- INCOME BEFORE ACCOUNTING CHANGE 462 813 864 538 CUMULATIVE EFFECT OF ACCOUNTING CHANGE - NET OF TAX - - - (1) - ----------------------------------------------------------------------------------------------------------------------- NET INCOME $ 462 $ 813 $ 864 $ 537 ======================================================================================================================= WEIGHTED-AVERAGE SHARES OF COMMON STOCK OUTSTANDING 326 326 326 326 BASIC EARNINGS (LOSS) PER COMMON SHARE: CONTINUING OPERATIONS $ 1.33 $ 0.96 $ 2.47 $ (0.10) DISCONTINUED OPERATIONS 0.08 1.53 0.17 1.75 ----------- ------------- ------------ -------------- TOTAL $ 1.41 $ 2.49 $ 2.64 $ 1.65 =========== ============= ============ ============== WEIGHTED-AVERAGE SHARES, INCLUDING EFFECT OF DILUTIVE SECURITIES 332 330 331 330 DILUTED EARNINGS (LOSS) PER COMMON SHARE: CONTINUING OPERATIONS $ 1.31 $ 0.95 $ 2.45 $ (0.10) DISCONTINUED OPERATIONS 0.08 1.51 0.16 1.73 ----------- ------------- ------------ -------------- TOTAL $ 1.39 $ 2.46 $ 2.61 $ 1.63 =========== ============= ============ ============== DIVIDENDS DECLARED PER COMMON SHARE $ 0.25 $ 0.20 $ 0.75 $ 0.60 EDISON INTERNATIONAL Financial Overview September 30, 2005 EDISON INTERNATIONAL (Consolidated Totals) Third Quarter Year-to-Date -------------------- --------------------- 2005 2004 2005 2004 ---- ---- ---- ---- Assets $35,508 $33,738 $35,508 $33,738 Common Equity $6,366 $5,648 $6,366 $5,648 Revenue $3,783 $3,188 $8,878 $7,869 Earnings* $462 $813 $864 $537 Earnings Per Common Share* $1.41 $2.49 $2.64 $1.65 Book Value Per Common Share $19.54 $17.34 $19.54 $17.34 *includes parent company SOUTHERN CALIFORNIA EDISON (Electric Utility) Third Quarter Year-to-Date -------------------- --------------------- 2005 2004 2005 2004 ---- ---- ---- ---- Assets $25,450 $19,799 $25,450 $19,799 Common Equity $4,859 $4,363 $4,859 $4,363 Revenue $3,084 $2,655 $7,195 $6,527 Earnings $280 $259 $572 $600 Earnings Per EIX Common Share $0.86 $0.79 $1.75 $1.84 MISSION ENERGY HOLDING COMPANY-CONSOLIDATED (Nonutility Power Generation) Third Quarter Year-to-Date --------------------- -------------------- 2005 2004 2005 2004 ---- ---- ---- ---- Assets $6,675 $10,168 $6,675 $10,168 Common Equity $847 $713 $847 $713 Revenue $677 $509 $1,605 $1,257 Earnings (Loss) $181 $559 $234 $(44) Earnings (Loss) Per EIX Common Share $0.56 $1.71 $0.72 $(0.13) EDISON CAPITAL (Capital and Financial Services Provider) Third Quarter Year-to-Date ----------------------------------------------- 2005 2004 2005 2004 ---- ---- ---- ---- Assets $3,667 $3,630 $3,667 $3,630 Common Equity $686 $660 $686 $660 Revenue $21 $22 $72 $78 Earnings $3 $12 $80 $34 Earnings Per EIX Common Share $0.01 $0.04 $0.25 $0.11 SOUTHERN CALIFORNIA EDISON kWh Sales (In thousands) September 30, 2005 QUARTER ENDED SEPTEMBER 30, 2005 INCREASE/(DECREASE) FROM KwH LAST YEAR % ----------------------------------------------- RESIDENTIAL 8,908,962 477,631 5.66 AGRICULTURAL 415,721 (24,920) (5.66) COMMERCIAL 11,044,615 473,387 4.48 INDUSTRIAL 2,768,421 (82,464) (2.89) PUBLIC AUTHORITIES 1,683,590 12,339 0.74 RAILROADS & RAILWAYS 15,866 358 2.31 INTERDEPARTMENTAL 417 237 131.67 ---------------------------------- SALES TO ULTIMATE CONSUMERS 24,837,592 856,568 3.57 RESALE SALES 3,828,475 814,350 27.02 ---------------------------------- TOTAL KWH SALES 28,666,067 1,670,918 6.19 ================================== NINE MONTHS ENDED SEPTEMBER 30, 2005 INCREASE/(DECREASE) FROM KwH LAST YEAR % ----------------------------------------------- RESIDENTIAL 22,243,616 912,033 4.28 AGRICULTURAL 834,449 (143,811) (14.70) COMMERCIAL 29,710,816 915,698 3.18 INDUSTRIAL 8,093,511 (148,992) (1.81) PUBLIC AUTHORITIES 4,523,348 (89,863) (1.95) RAILROADS & RAILWAYS 46,458 250 0.54 INTERDEPARTMENTAL 691 213 44.56 ---------------------------------- SALES TO ULTIMATE CONSUMERS 65,452,889 1,445,528 2.26 RESALE SALES 11,400,651 1,067,131 10.33 ---------------------------------- TOTAL KWH SALES 76,853,540 2,512,659 3.38 ==================================