Debt and Credit Agreements

9 Months Ended

Sep. 30, 2022

Debt and Credit Agreements

Debt and Credit Agreements

Note 5.Debt and Credit Agreements

Long-Term Debt

In January 2022, SCE issued $500 million of 2.75% first and refunding mortgage bonds due in 2032 and $700 million of 3.45% first and refunding mortgage bonds due in 2052. The proceeds were used to finance or refinance eligible sustainable projects.

In May 2022, SCE issued $300 million of 4.20% first and refunding mortgage bonds due in 2025, $600 million of 4.70% first and refunding mortgage bonds due in 2027 and $350 million of 5.45% first and refunding mortgage bonds due in 2052. The proceeds were used to fund the payment of wildfire claims above the amount of insurance proceeds and to repay commercial paper borrowings.

In August 2022, Edison International Parent issued $400 million of 4.70% senior notes due in 2025. The proceeds were used for general corporate purposes.

Senior Secured Recovery Bonds

In the first quarter of 2022, SCE Recovery Funding LLC issued $533 million of Senior Secured Recovery Bonds, Series 2022-A, in three tranches ("Recovery Bonds") and used the proceeds to acquire Recovery Property. The three tranches of Recovery Bonds consisted of $100 million, 1.98% with final maturity in 2030; $305 million, 2.94% with final maturity in 2044; and $128 million, 3.24% with final maturity in 2048. The Recovery Bonds are payable only from and secured by the Recovery Property. SCE Recovery Funding LLC is consolidated by SCE for financial reporting purposes; however, the Recovery Bonds do not constitute a debt or other legal obligation of, or interest in, SCE or any of its affiliates, except for SCE Recovery Funding LLC. SCE used the proceeds it received from the sale of Recovery Property to reimburse itself for previously incurred AB 1054 Excluded Capital Expenditures, including the retirement of related debt and financing costs. For further details, see Note 3.

Credit Agreements and Short-Term Debt

The following table summarizes the status of the credit facilities at September 30, 2022:

(in millions, except for rates)
Execution	Termination	Secured Overnight Financing Rate ("SOFR")				Outstanding		Outstanding		Amount
date	date	plus (bps)	Use of proceeds	Commitment		borrowings		letters of credit		available
Edison International Parent
May 2022	May 2026	128	Support commercial paper borrowings and general corporate purposes1, 3	$	1,500	$	22	$	—	$	1,478
Total Edison International Parent:				$	1,500	$	22	$	—	$	1,478
SCE
May 2022	May 2026	108	Support commercial paper borrowings and general corporate purposes2, 3	$	3,350	$	1,109	$	430	$	1,811
Total SCE:				$	3,350	$	1,109	$	430	$	1,811
Total Edison International:				$	4,850	$	1,131	$	430	$	3,289

1 At September 30, 2022, Edison International Parent had $22 million outstanding commercial paper, net of discount, at a weighted-average interest rate of 3.83%.

2 At September 30, 2022, SCE had $1.1 billion outstanding commercial paper, net of discount, at a weighted-average interest rate of 3.82%.

3 In May 2022, Edison International Parent and SCE amended their credit facilities to extend the maturity dates to May 2026, with one additional one year extension option. The aggregate maximum principal amount under the SCE and Edison International Parent revolving credit facilities may be increased up to $4.0 billion and $2.0 billion, respectively, provided that additional lender commitments are obtained.

Term loan and other short-term debt

In April 2022, Edison International Parent borrowed $600 million under a term loan agreement due in April 2023 that bears interest at either an adjusted term SOFR plus 0.70% or a base rate with no applicable margin. Edison International used the proceeds for general corporate purposes.

In May 2022, SCE amended its green term loan agreement to extend the maturity date from May 2022 to May 2023 and updated the interest rate from LIBOR plus 0.60% to SOFR plus 0.55%. As of September 30, 2022, the outstanding balance on the term loan is $730 million.