Other Investments

6 Months Ended

Jun. 30, 2014

Regulated Entity, Other Assets, Noncurrent [Abstract]

Other Investments

Other Investments

Nuclear Decommissioning Trusts

Future decommissioning costs related to SCE's nuclear assets are expected to be funded from independent decommissioning trusts, which received $6 million in 2014 through SCE customer rates. Contributions to the decommissioning trusts are reviewed every three years by the CPUC.

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

	Longest Maturity Dates	Amortized Cost				Fair Value
(in millions)		June 30, 2014		December 31, 2013		June 30, 2014		December 31, 2013
Stocks	—	$	683	$	656	$	2,332	$	2,208
Municipal bonds	2051	688		675		812		756
U.S. government and agency securities	2044	824		902		881		947
Corporate bonds	2054	339		208		390		241
Short-term investments and receivables/payables	One-year	312		329		325		342
Total		$	2,846	$	2,770	$	4,740	$	4,494

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 $2.2 billion and $1.5 billion for the three months ended June 30, 2014 and 2013, and $3.8 billion and $2.0 billion for the six months ended June 30, 2014 and 2013, respectively. Unrealized holding gains, net of losses, were $1.9 billion and $1.7 billion at June 30, 2014 and December 31, 2013, respectively.

The following table sets forth a summary of changes in the fair value of the trust:

	Three months ended June 30,						Six months ended June 30,
(in millions)	2014			2013			2014			2013
Balance at beginning of period	$	4,587		$	4,246		$	4,494		$	4,048
Gross realized gains	28			137			38			142
Gross realized losses	—			(1		)	—			(2		)
Unrealized gains (losses), net	107			(185		)	169			(9		)
Other-than-temporary impairments	(3		)	(21		)	(6		)	(29		)
Interest, dividends, contributions and other	21			5			45			31
Balance at end of period	$	4,740		$	4,181		$	4,740		$	4,181

Due to regulatory mechanisms, changes in assets of the trusts from income items have no impact on operating revenue or earnings.