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Investments
 9 Months Ended
Sep. 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)
 
September 30,
2017
 
December 31,
2016
 
September 30,
2017
 
December 31, 2016
Stocks
—
 
$
290

 
$
319

 
$
1,655

 
$
1,547

Municipal bonds
2054
 
612

 
659

 
738

 
766

U.S. government and agency securities
2067
 
1,220

 
1,131

 
1,298

 
1,191

Corporate bonds
2057
 
545

 
600

 
609

 
659

Short-term investments and receivables/payables1
One-year
 
111

 
75

 
115

 
79

Total
 
 
$
2,778

 
$
2,784

 
$
4,415

 
$
4,242


1
Short-term investments include $114 million of repurchase agreements payable by financial institutions which earn interest, are fully secured by U.S. Treasury securities and mature by January 4, 2017 as of December 31, 2016. No repurchase agreements were held as of September 30, 2017.
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 September 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 September 30,
 
Nine months ended September 30,
(in millions)
 
2017
 
2016
 
2017
 
2016
Balance at beginning of period
 
$
4,381

 
$
4,344

 
$
4,242

 
$
4,331

Gross realized gains
 
22

 
18

 
134

 
61

Gross realized losses
 
(3
)
 
(1
)
 
(19
)
 
(5
)
Unrealized gains, net of losses
 
65

 
32

 
179

 
153

Other-than-temporary impairments
 
(2
)
 
(2
)
 
(6
)
 
(10
)
Interest and dividends
 
28

 
28

 
87

 
88

Income taxes
 
(9
)
 
(5
)
 
(35
)
 
(47
)
Decommissioning disbursements
 
(65
)
 
(38
)
 
(164
)
 
(192
)
Administrative expenses and other
 
(2
)
 
—

 
(3
)
 
(3
)
Balance at end of period
 
$
4,415

 
$
4,376

 
$
4,415

 
$
4,376


Trust assets are used to pay income taxes. Deferred tax liabilities related to net unrealized gains at September 30, 2017 were $402 million. Accordingly, the fair value of trust assets available to pay future decommissioning costs, net of deferred income taxes, totaled $4.0 billion at September 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.