Other Investments

Nuclear Decommissioning Trusts

Future decommissioning costs of removal of nuclear assets are expected to be funded from independent decommissioning trusts, which currently receive contributions of approximately $23 million per year included in SCE customer rates. Contributions to the decommissioning trusts are reviewed every three years by the CPUC. If additional funds are needed for decommissioning, it is probable that the additional funds will be recoverable through customer rates. Funds collected, together with accumulated earnings, will be utilized solely for decommissioning. The CPUC has set certain restrictions related to the investments of these trusts.

The following table sets forth amortized cost and fair value of the trust investments:



		Amortized Cost				Fair Value
(in millions)	Longest Maturity Dates	December 31, 2011		December 31, 2010		December 31, 2011		December 31, 2010
Stocks	—	$	865	$	895	$	1,899	$	2,029
Municipal bonds	2051	625		706		756		790
U.S. government and agency securities	2041	516		270		580		288
Corporate bonds	2054	259		288		317		346
Short-term investments and receivables/payables	One-year	38		26		40		27
Total		$	2,303	$	2,185	$	3,592	$	3,480

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 $2.8 billion, $1.4 billion and $2.2 billion for the years ended

December 31, 2011, 2010 and 2009, respectively. Unrealized holding gains, net of losses, were $1.3 billion at both December 31, 2011 and 2010.

The following table sets forth a summary of changes in the fair value of the trust for the years ended December 31:



(in millions)	2011			2010			2009
Balance at beginning of period	$	3,480		$	3,140		$	2,524
Gross realized gains	108			125			242
Gross realized losses	(17		)	(4		)	(147		)
Unrealized gains (losses) – net	(7		)	148			526
Other-than-temporary impairments	(47		)	(27		)	(111		)
Interest, dividends, contributions and other	75			98			106
Balance at end of period	$	3,592		$	3,480		$	3,140

Due to regulatory mechanisms, earnings and realized gains and losses (including other-than-temporary impairments) have no impact on operating revenue or earnings.