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Investments
 6 Months Ended
Jun. 30, 2017
Regulated Entity, Other Assets, Noncurrent [Abstract]  
Investments
Investments
Nuclear Decommissioning Trusts
Future decommissioning costs related to SCE's nuclear assets are expected to be funded from independent decommissioning trusts.
The following table sets forth amortized cost and fair value of the trust investments (see Note 4 for a discussion of fair value of the trust investments):
 
Longest
Maturity
Dates
 
Amortized Cost
 
Fair Value
(in millions)
 
June 30,
2017
 
December 31,
2016
 
June 30,
2017
 
December 31, 2016
Stocks
—
 
$
304

 
$
319

 
$
1,611

 
$
1,547

Municipal bonds
2054
 
617

 
659

 
737

 
766

U.S. government and agency securities
2067
 
1,209

 
1,131

 
1,288

 
1,191

Corporate bonds
2057
 
523

 
600

 
584

 
659

Short-term investments and receivables/payables1
One-year
 
156

 
75

 
161

 
79

Total
 
 
$
2,809

 
$
2,784

 
$
4,381

 
$
4,242


1
Short-term investments include $32 million and $114 million of repurchase agreements payable by financial institutions which earn interest, are fully secured by U.S. Treasury securities and mature by July 3, 2017 and January 4, 2017 as of June 30, 2017 and December 31, 2016, respectively.
Trust fund earnings (based on specific identification) increase the trust fund balance and the asset retirement obligation ("ARO") regulatory liability. Unrealized holding gains, net of losses, were $1.6 billion and $1.5 billion at June 30, 2017 and December 31, 2016, 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)
 
2017
 
2016
 
2017
 
2016
Balance at beginning of period
 
$
4,352

 
$
4,290

 
$
4,242

 
$
4,331

Gross realized gains
 
13

 
22

 
112

 
75

Gross realized losses
 
—

 
(1
)
 
(16
)
 
(4
)
Unrealized gains, net of losses
 
87

 
72

 
114

 
113

Other-than-temporary impairments
 
(3
)
 
(8
)
 
(4
)
 
(33
)
Interest and dividends
 
31

 
32

 
59

 
60

Income taxes
 
(26
)
 
(24
)
 
(26
)
 
(42
)
Decommissioning disbursements
 
(73
)
 
(38
)
 
(99
)
 
(154
)
Administrative expenses and other
 
—

 
(1
)
 
(1
)
 
(2
)
Balance at end of period
 
$
4,381

 
$
4,344

 
$
4,381

 
$
4,344


Trust assets are used to pay income taxes. Deferred tax liabilities related to net unrealized gains at June 30, 2017 were $388 million. Accordingly, the fair value of trust assets available to pay future decommissioning costs, net of deferred income taxes, totaled $4.0 billion at June 30, 2017. Due to regulatory mechanisms, changes in assets of the trusts from income or loss items have no impact on operating revenue or earnings.
Decommissioning disbursements are funded from sales of investments of the nuclear decommissioning trusts.