During the six months ended June 30, 2011, Edison International made contributions of $61 million and during the remainder of 2011, expects to make $69 million of additional contributions. Annual contributions made to most of SCE's pension plans are recovered through CPUC-approved regulatory mechanisms and are expected to be, at a minimum, equal to the annual expense.

	Three months ended June 30,						Six months ended June 30,

(in millions)	2011			2010			2011			2010

Service cost	$	43		$	34		$	86		$	68
Interest cost		52			54			104			108
Expected return on plan assets		(60	)		(52	)		(120	)		(104	)
Amortization of prior service cost		2			2			4			4
Amortization of net loss		6			7			12			14

Expense under accounting standards		43			45			86			90
Regulatory adjustment – deferred		(6	)		(14	)		(12	)		(28	)

Total expense recognized	$	37		$	31		$	74		$	62

During the six months ended June 30, 2011, Edison International made contributions of $12 million and during the remainder of 2011, expects to make $44 million of additional contributions. Annual contributions made to SCE's plans are recovered through CPUC-approved regulatory mechanisms and are expected to be, at a minimum, equal to the annual expense.

	Three months ended June 30,						Six months ended June 30,

(in millions)	2011			2010			2011			2010

Service cost	$	11		$	8		$	22		$	16
Interest cost		33			31			66			62
Expected return on plan assets		(28	)		(25	)		(56	)		(50	)
Amortization of prior service cost (credit)		(9	)		(9	)		(18	)		(18	)
Amortization of net loss		9			8			18			16

Total expense	$	16		$	13		$	32		$	26

During the six months ended June 30, 2011, Edison International granted its 2011 stock-based compensation awards, which included stock options, performance shares and restricted stock units.

				Weighted-Average

	Stock options			Exercise Price		Remaining Contractual Term (Years)		Aggregate Intrinsic Value (in millions)

Outstanding at December 31, 2010		19,142,209		$	33.28
Granted		3,314,149			37.95
Expired		(87,641	)		47.93
Forfeited		(244,066	)		32.52
Exercised		(1,002,771	)		24.74

Outstanding at June 30, 2011		21,121,880			34.37		6.26

Vested and expected to vest at June 30, 2011		20,639,870			34.38		6.21	$	136

Exercisable at June 30, 2011		12,613,025			34.70		4.74		93

At June 30, 2011, there was $28 million of total unrecognized compensation cost related to stock options, net of expected forfeitures. That cost is expected to be recognized over a weighted-average period of approximately three years.

The following is a summary of the status of Edison International nonvested performance shares:

	Equity Awards					Liability Awards

	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Fair Value

Nonvested at December 31, 2010		415,028		$	30.99		415,028		$	34.74
Granted		148,697			27.96		148,697
Forfeited		(113,762	)		43.42		(113,762	)

Nonvested at June 30, 2011		449,963			28.04		449,963			29.43

The current portion of nonvested performance shares classified as liability awards is reflected in "Other current liabilities" and the long-term portion is reflected in "Pensions and benefits" on the consolidated balance sheets.

At June 30, 2011, there was $6 million of total unrecognized compensation cost related to performance shares. That cost is expected to be recognized over a weighted-average period of approximately two years.

The following is a summary of the status of Edison International nonvested restricted stock units:

			Weighted-Average Grant Date Fair Value


Nonvested at December 31, 2010	644,796		$	32.18
Granted	247,408			37.95
Forfeited	(16,467	)		32.13
Paid Out	(104,420	)		52.35

Nonvested at June 30, 2011	771,317		$	31.98

At June 30, 2011, there was $12 million of total unrecognized compensation cost related to restricted stock units, net of expected forfeitures, which is expected to be recognized as follows: $4 million in 2011, $5 million in 2012 and $3 million in 2013.

		Three months ended June 30,				Six months ended June 30,

(in millions)		2011		2010		2011		2010

Stock based compensation expense¹		$	11	$	9	$	17	$	17
Income tax benefits related to stock compensation expense			5		4		7		7
Excess tax benefits²			2		1		4		2
Stock options
	Cash used to purchase shares to settle options		20		6		39		13
	Cash from participants to exercise stock options		12		4		25		9
	Value of options exercised		8		2		14		4
Restricted stock units
	Value of shares settled		—		—		5		—
	Tax benefits realized from settlement of awards		—		—		2		—

No performance shares were settled for both the six month periods ended June 30, 2011 and 2010.