EX-99.1 2 dex991.htm PRESS RELEASE Press Release

 

Exhibit 99.1

 

LOGO

 

FOR IMMEDIATE RELEASE

    Media relations contact:
   Charles Coleman, (626) 302-7982
   Investor relations contact:
   Scott Cunningham, (626) 302-2540

Edison International Reports Third Quarter 2010 Results;

Increases 2010 Earnings Guidance

ROSEMEAD, Calif., Oct. 29, 2010 – Edison International (NYSE: EIX) today reported third quarter 2010 basic earnings of $1.56 per share compared to $1.23 per share in the same quarter last year. Excluding non-core items and discontinued operations, third quarter 2010 core earnings were $1.46 per share compared to $1.09 per share in the third quarter of 2009. The core earnings increase is attributable to higher results at both Southern California Edison (SCE) and Edison Mission Group (EMG).

“Both of our companies delivered solid earnings growth this quarter,” said Theodore F. Craver, Jr., chairman and chief executive officer of Edison International. “Given our strong year-to-date performance, we’ve increased our full-year earnings guidance accordingly,” Craver added. The company raised its 2010 core earnings guidance range from $3.15 to $3.45 per share to $3.45 to $3.60 per share.

Third Quarter Earnings Detail

SCE’s third quarter 2010 basic earnings were $1.21 per share compared to $1.06 per share in the third quarter of 2009. Core earnings were $1.08 per share compared to $0.92 per share in the same quarter last year. The increase in core earnings was primarily due to higher authorized revenue to support rate base growth and higher capitalized financing costs. Non-core items included a $0.13 per share benefit in the third quarter of 2010 from final resolution of interest charges related to a California Franchise Tax Board settlement and a $0.14 per share benefit in the third quarter of 2009 related to transferring a power plant to rate base.

EMG’s third quarter 2010 basic earnings were $0.34 per share compared to $0.19 per share in the third quarter of 2009. Core earnings were $0.37 per share compared to $0.19 per share in the same quarter last year. Core earnings increased due to higher operating revenues from Midwest Generation and Homer City primarily from higher average realized energy prices, higher capacity revenues, and a gain from the sale of bankruptcy claims. Non-core items in the third quarter of 2010 included a $0.03 per share charge related to the California tax settlement and discontinued operations.

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Note: GAAP earnings and losses refer to net income or losses attributable to Edison International throughout this release. Core earnings is a non-GAAP financial measure. See Reconciliation of Core Earnings to GAAP Earnings and Reconciliation of Core Earnings Per Share Guidance to Basic Earnings Per Share Guidance.

Edison International Reports Third Quarter 2010 Financial Results

Page 2 of 13

 

 

Edison International parent company and other reported third quarter 2010 earnings of $0.01 per share compared to a $0.02 per share loss in the third quarter of 2009. Earnings in the third quarter of 2010 were mainly due to consolidated income tax benefits.

Year-to-Date Earnings Summary

Edison International reported basic earnings of $3.33 per share for the nine-month period ending September 30, 2010, compared to $1.94 per share for the same period last year. Core earnings for the first nine months of 2010 were $2.90 per share compared to $2.66 per share for the same period in 2009. Non-core items were a $0.43 per share benefit in the 2010 period compared to a $0.72 per share loss in the 2009 period, both primarily related to tax settlements.

Year-to-Date Earnings Detail

SCE’s year-to-date basic earnings through September 30, 2010 were $2.63 per share compared to $3.23 per share in the same period last year. Core earnings for the first nine months of 2010 were $2.45 per share compared to $2.17 per share for the same period in 2009. The increase reflects higher authorized revenue to support rate base growth, lower income tax expense, and higher capitalized financing costs. The year-to-date increase was partially offset by higher operating expenses that continue to reflect the impact of curtailed spending in the prior year period due to the timing of the 2009 general rate case decision. The year-to-date lower tax expense includes a change in method of tax accounting for asset removal costs primarily related to SCE’s infrastructure replacement program. Non-core items in the 2010 period included a $0.30 per share benefit from tax settlements and a $0.12 per share charge related to the tax impact of health care legislation. Non-core items in 2009 included a $0.92 per share benefit from the tax settlement and a $0.14 per share benefit related to transferring a power plant to rate base.

EMG’s year-to-date basic earnings were $0.66 per share compared to a loss of $1.38 per share in the same period last year. Year-to-date core earnings were $0.49 per share compared to $0.55 per share in the 2009 period. EMG’s core earnings were lower primarily from higher plant maintenance costs in 2010 due to scheduled outages at EMG’s merchant power plants, partially offset by higher energy trading revenues. Non-core items included a $0.16 per share benefit from tax settlements and a $0.01 per share benefit from discontinued operations in the 2010 period and a $1.93 per share charge primarily related to lease terminations and the tax settlement in the 2009 period.

Edison International parent company and other reported basic earnings through September 30, 2010 of $0.04 per share compared to basic earnings of $0.09 per share in the same period last year. Core losses were $0.04 per share in the 2010 period and $0.06 per share in the 2009 period, with the improvement due primarily to consolidated income tax benefits.

-more-

 

Edison International Reports Third Quarter 2010 Financial Results

Page 3 of 13

 

 

2010 Earnings Guidance

Edison International increased its 2010 core earnings guidance range from $3.15 to $3.45 per share to $3.45 to $3.60 per share. The company also updated its basic earnings per share guidance to reflect the increase in core guidance and year-to-date non-core items. See the risk disclosure statement on page 4 and the presentation accompanying the company’s conference call for further information.

Reconciliation of 2010 Core Earnings Per Share Guidance to

2010 Basic Earnings Per Share Guidance1

 

Per Share

    August 5, 2010
Earnings  Guidance		     October 29, 2010  Updated
Earnings Guidance		  

EIX core earnings1

    $ 3.15 – $3.45      $ 3.45 – $3.60   

Non-Core Items:

     

SCE – Tax impact of health care legislation

    $ (0.12 )    $ (0.12 ) 

Tax settlements

      0.43        0.54   

EMG – Earnings from discontinued operations

      0.02        0.01   
                

EIX basic earnings

    $ 3.48 – $3.78      $ 3.88 – $4.03   
                

Midpoint of 2010 core guidance by business element:

     

SCE

    $ 2.80      $ 3.00   

EMG

      0.62        0.62   

EIX parent company and other

      (0.12 )      (0.09 ) 
                

Total

    $ 3.30      $ 3.53   
                

 

1 See Use of Non-GAAP Financial Measures on page 4. Basic earnings per share refer to basic earnings per common share attributable to Edison International common shareholders. The expected impact of participating securities is $(0.01) per share and is included in EIX parent company and other.

About Edison International

Edison International, through its subsidiaries, is a generator and distributor of electric power and an investor in infrastructure and energy assets, including renewable energy. Headquartered in Rosemead, California, Edison International is the parent company of Southern California Edison, one of the nation’s largest electric utilities, and Edison Mission Group, a competitive power generation business and parent company to Edison Mission Energy and Edison Capital.

# # #

 

Edison International Reports Third Quarter 2010 Financial Results

Page 4 of 13

 

 

Appendix

Use of Non-GAAP Financial Measures, Conference Call Information,

Risk Disclosure Statement and Financial Schedules

Use of Non-GAAP Financial Measures

Edison International’s earnings are prepared in accordance with generally accepted accounting principles used in the United States and represent the company’s earnings as reported to the Securities and Exchange Commission. Our management uses core earnings and earnings per share (EPS) by principal operating subsidiary internally for financial planning and for analysis of performance. We also use core earnings and EPS by principal operating subsidiary when communicating with analysts and investors regarding our earnings results and outlook to facilitate comparisons of the Company’s performance from period to period.

Core earnings is a non-GAAP financial measure and may not be comparable to those of other companies. Core earnings and core earnings per share are defined as GAAP earnings and basic earnings per share excluding income or loss from discontinued operations and income or loss from significant discrete items that management does not consider representative of ongoing earnings. GAAP earnings refer to net income attributable to Edison International common shareholders or attributable to the common shareholders of each subsidiary. Core earnings are reconciled to GAAP earnings in the attached tables. EPS by principal operating subsidiary is based on the principal operating subsidiaries’ net income attributable to the common shareholders of each operating subsidiary, respectively, and Edison International’s weighted average outstanding common shares. The impact of participating securities (vested stock options that earn dividend equivalents that may participate in undistributed earnings with common stock) for each principal operating subsidiary is not material to each principal operating subsidiary’s EPS and is therefore reflected in the results of the Edison International holding company, which we refer to as EIX parent company and other. EIX core EPS and core EPS by principal operating subsidiary are reconciled to basic EPS.

Reminder: Edison International Will Hold a Conference Call Today

Today, Edison International will hold a conference call to discuss its third quarter 2010 financial results at 8 a.m. (Pacific Daylight Time). Two-way participation in the telephone call is limited to financial analysts and investors, while all other interested parties are invited to participate in a simultaneous webcast at www.edisoninvestor.com. A presentation accompanying management’s comments on the conference call will be available on the website as well at www.edisoninvestor.com. The domestic call-in number is (800) 369-2198 and the number for international callers is (773) 756-4618. The pass code is “Edison”. In addition to the live simulcast, the webcast will remain posted at www.edisoninvestor.com and telephone replays will be available through November 5, 2010 at the following numbers: (866) 463-4177 for callers in the United States and (203) 369-1385 for international callers. The replay passcode is 80709.

Risk Disclosure Statement

Statements contained in this news release about future performance, including, without limitation, earnings, asset and rate base growth, load growth, capital investments and other statements that are not purely historical, are forward-looking statements. These forward-looking statements reflect our current expectations; however, such statements involve risks and uncertainties. Actual results could differ materially from current expectations. Important factors that could cause different results are discussed under the headings “Risk Factors” and “Management’s Discussion and Analysis” in Edison International’s 2009 Form 10-K and other reports filed with the Securities and Exchange Commission and are available on our Web site at www.edisoninvestor.com. These forward-looking statements represent our expectations only as of the date of this news release, and Edison International assumes no duty to update them to reflect new information, events or circumstances.

 

Edison International Reports Third Quarter 2010 Financial Results

Page 5 of 13

 

 

Summary Financial Schedules

Third Quarter Basic Earnings Per Share

 

Per Share (Unaudited)

    Quarter Ended
September 30,		        
   2010     2009     Change  

SCE

    $ 1.21      $ 1.06      $ 0.15   

EMG

      0.35        0.19        0.16   

EIX parent company and other

      0.01        (0.02 )      0.03   
                        

EIX earnings from continuing operations

      1.57        1.23        0.34   
                        

EIX loss from discontinued operations

      (0.01 )      —          (0.01 ) 
                        

EIX basic earnings1

    $ 1.56      $ 1.23      $ 0.33   
                        

EIX diluted earnings

    $ 1.56      $ 1.22      $ 0.34   
                        

 

1 The impact of participating securities on the per share amounts is included in EIX parent company and other and was zero per share for the quarter ended September 30, 2010 and $(0.01) per share for the quarter ended September 30, 2009.

Third Quarter Reconciliation of Core Earnings Per Share to Basic Earnings Per Share

 

Per Share (Unaudited)

                 Quarter Ended
September 30,		        
                2010     2009     Change  

Core Earnings1

            

SCE

         $ 1.08      $ 0.92      $ 0.16   

EMG

           0.37        0.19        0.18   

EIX parent company and other

           0.01        (0.02 )      0.03   
                             

EIX core earnings

  

      1.46        1.09        0.37   
                             

Non-core items

            

SCE – regulatory items

  

      —          0.14        (0.14 ) 

Overall tax settlement

  

      0.11        —          0.11   
     2010        2009          
                       

SCE

    $ 0.13      $ —            

EMG

      (0.02 )      —            

EIX parent company and other

      —          —            

EMG – discontinued operations

  

      (0.01 )      —          (0.01 ) 
                             

Total non-core items

  

      0.10        0.14        (0.04 ) 
                             

EIX basic earnings1

  

    $ 1.56      $ 1.23      $ 0.33   
                             

 

1 See Use of Non-GAAP Financial Measures on page 4. The impact of participating securities on the per share amounts is included in EIX parent company and other and was zero per share for the quarter ended September 30, 2010 and $(0.01) per share for the quarter ended September 30, 2009.

 

Edison International Reports Third Quarter 2010 Financial Results

Page 6 of 13

 

 

Third Quarter GAAP Earnings

 

      Quarter Ended
September 30,		        

(In Millions) (Unaudited)

    2010     2009     Change  

SCE

    $ 394      $ 346      $ 48   

EMG

      114        61        53   

EIX parent company and other

      6        (3 )      9   
                        

EIX earnings from continuing operations

      514        404        110   

EIX loss from discontinued operations

      (4 )      (1 )      (3 ) 
                        

EIX basic earnings

    $ 510      $ 403      $ 107   
                        

Third Quarter Reconciliation of Core Earnings to GAAP Earnings

 

          Quarter Ended
September 30,		        

(In Millions) (Unaudited)

        2010     2009     Change  

Core Earnings1

              

SCE

  

      $ 352      $ 300      $ 52   

EMG

  

        120        61        59   

EIX parent company and other

  

        5        (3 )      8   
                               

EIX core earnings

  

        477        358        119   
                               

Non-core items

              

SCE – regulatory items

  

        —          46        (46 ) 

Overall tax settlement

  

        37        —          37   
     2010        2009            
                         

SCE

    $ 42      $ —              

EMG

      (6 )      —              

EIX parent company and other

      1        —              

EMG – discontinued operations

  

        (4 )      (1 )      (3 ) 
                               

Total non-core items

  

        33        45        (12 ) 
                               

EIX basic earnings

  

      $ 510      $ 403      $ 107   
                               

 

1 See Use of Non-GAAP Financial Measures on page 4.

 

Edison International Reports Third Quarter 2010 Financial Results

Page 7 of 13

 

 

Year-to-Date Basic Earnings Per Share

 

      Year-to-Date
September 30,		        

Per Share (Unaudited)

    2010      2009     Change  

SCE

    $ 2.63       $ 3.23      $ (0.60 ) 

EMG

      0.65         (1.37 )      2.02   

EIX parent company and other

      0.04         0.09        (0.05 ) 
                         

EIX earnings from continuing operations

      3.32         1.95        1.37   
                         

EIX earnings (loss) from discontinued operations

      0.01         (0.01 )      0.02   
                         

EIX basic earnings1

    $ 3.33       $ 1.94      $ 1.39   
                         

EIX diluted earnings

    $ 3.31       $ 1.94      $ 1.37   
                         

 

1 The impact of participating securities is included in EIX parent company and other and was $(0.01) per share for the year-to-date period ended September 30, 2010 and $(0.01) per share for the year-to-date period ended September 30, 2009.

Year-to-Date Reconciliation of Core Earnings Per Share to Basic Earnings Per Share

 

       Year-to-date
September 30,		        

Per Share (Unaudited)

     2010     2009     Change  

Core Earnings1

            

SCE

  

   $ 2.45      $ 2.17      $ 0.28   

EMG

  

     0.49        0.55        (0.06 ) 

EIX parent company and other

  

     (0.04 )      (0.06 )      0.02   
                             

EIX core earnings

  

     2.90        2.66        0.24   
                             

Non-core items

            

SCE – tax impacts of health care legislation

  

     (0.12 )      —          (0.12 ) 

SCE – regulatory items

  

     —          0.14        (0.14 ) 

Overall tax settlement

  

     0.54        (0.85 )      1.39   
     2010         2009         
                       

SCE

    $ 0.30       $ 0.92         

EMG

      0.16         (1.92 )       

EIX parent company and other

      0.08         0.15         

EMG – discontinued operations

  

     0.01        (0.01 )      0.02   
                             

Total non-core items

  

     0.43        (0.72 )      1.15   
                             

EIX basic earnings1

  

   $ 3.33      $ 1.94      $ 1.39   
                             

 

1 See Use of Non-GAAP Financial Measures on page 4. The impact of participating securities is included in EIX parent company and other and was $(0.01) per share for the year-to-date period ended September 30, 2010 and $(0.01) per share for year-to-date period ended September 30, 2009.

 

Edison International Reports Third Quarter 2010 Financial Results

Page 8 of 13

 

 

Year-to-Date GAAP Earnings

 

      Year-to-Date
September 30,		        

(In Millions) (Unaudited)

    2010      2009     Change  

SCE

    $ 858       $ 1,053      $ (195 ) 

EMG

      210         (445 )      655   

EIX parent company and other

      18         34        (16 ) 
                         

EIX earnings from continuing operations

      1,086         642        444   

EIX earnings (loss) from discontinued operations

      4         (5 )      9   
                         

EIX basic earnings

    $ 1,090       $ 637      $ 453   
                         

Year-to-Date Reconciliation of Core Earnings to GAAP Earnings

 

          Year-to-Date
September 30,		        

(In Millions) (Unaudited)

        2010     2009     Change  

Core Earnings1

               

SCE

  

      $ 802      $ 707      $ 95   

EMG

  

        158        179        (21 ) 

EIX parent company and other

  

        (10 )      (16 )      6   
                                

EIX core earnings

  

        950        870        80   
                                

Non-core items

               

SCE – tax impacts of health care legislation

  

        (39 )      —          (39 ) 

SCE – regulatory items

  

        —          46        (46 ) 

Overall tax settlement

  

        175        (274 )      449   
     2010         2009            
                          

SCE

    $ 95       $ 300            

EMG

      52         (624 )          

EIX parent company and other

      28         50            

EMG – discontinued operations

  

        4        (5 )      9   
                                

Total non-core items

  

        140        (233 )      373   
                                

EIX basic earnings

  

      $ 1,090      $ 637      $ 453   
                                

 

1 See Use of Non-GAAP Financial Measures on page 4.

# # #

 

Edison International Reports Third Quarter 2010 Financial Results

Page 9 of 13

 

 

 

Consolidated Statements of Income    Edison International  
     Three Months Ended
September 30,		     Nine Months Ended
September 30,		  

(in millions, except per-share amounts)

    2010     2009     2010     2009  
     (Unaudited)  

Electric utility

    $ 3,097      $ 3,068      $ 7,502      $ 7,529   

Competitive power generation

      691        596        1,838        1,781   
                                

Total operating revenue

      3,788        3,664        9,340        9,310   
                                

Fuel

      328        406        877        1,120   

Purchased power

      1,118        1,032        2,337        2,155   

Operation and maintenance

      1,102        1,093        3,285        3,136   

Depreciation, decommissioning and amortization

      378        365        1,127        1,053   

Lease terminations and other

      —          —          2        888   
                                

Total operating expenses

      2,926        2,896        7,628        8,352   
                                

Operating income

      862        768        1,712        958   

Interest and dividend income

      4        2        27        29   

Equity in income from partnerships and unconsolidated subsidiaries – net

      62        35        101        34   

Other income

      33        74        103        131   

Interest expense – net of amounts capitalized

      (175 )      (187 )      (518 )      (556 ) 

Other expenses

      (12 )      (16 )      (39 )      (41 ) 
                                

Income from continuing operations before income taxes

      774        676        1,386        555   

Income tax expense (benefit)

      247        232        261        (169 ) 
                                

Income from continuing operations

      527        444        1,125        724   

Income (loss) from discontinued operations – net of tax

      (4 )      (1 )      4        (5 ) 
                                

Net income

      523        443        1,129        719   

Less: Net income attributable to noncontrolling interests

      13        40        39        82   
                                

Net income attributable to Edison International common shareholders

    $ 510      $ 403      $ 1,090      $ 637   
                                

Amounts attributable to Edison International common shareholders:

         

Income from continuing operations, net of tax

    $ 514      $ 404      $ 1,086      $ 642   

Income (loss) from discontinued operations, net of tax

      (4 )      (1 )      4        (5 ) 
                                

Net income attributable to Edison International common shareholders

    $ 510      $ 403      $ 1,090      $ 637   
                                

Basic earnings per common share attributable to Edison International common shareholders:

         

Weighted-average shares of common stock outstanding

      326        326        326        326   

Continuing operations

    $ 1.57      $ 1.23      $ 3.32      $ 1.95   

Discontinued operations

      (0.01 )      —          0.01        (0.01 ) 
                                

Total

    $ 1.56      $ 1.23      $ 3.33      $ 1.94   
                                

Diluted earnings per common share attributable to Edison International common shareholders:

         

Weighted-average shares of common stock outstanding, including effect of dilutive securities

      328        329        328        328   

Continuing operations

    $ 1.57      $ 1.22      $ 3.30      $ 1.95   

Discontinued operations

      (0.01 )      —          0.01        (0.01 ) 
                                

Total

    $ 1.56      $ 1.22      $ 3.31      $ 1.94   
                                

Dividends declared per common share

    $ 0.315      $ 0.310      $ 0.945      $ 0.930   

 

Edison International Reports Third Quarter 2010 Financial Results

Page 10 of 13

 

 

Consolidated Balance Sheets    Edison International  

(in millions)

    September 30,
2010		     December 31,
2009		  
     (Unaudited)  

ASSETS

     

Cash and equivalents

    $ 2,009      $ 1,673   

Short-term investments

      4        10   

Receivables, less allowances of $59 and $53 for uncollectible accounts at respective dates

      1,075        1,017   

Accrued unbilled revenue

      612        347   

Inventory

      547        533   

Derivative assets

      174        357   

Restricted cash

      15        69   

Margin and collateral deposits

      91        125   

Regulatory assets

      404        120   

Other current assets

      110        179   
                

Total current assets

      5,041        4,430   
                

Competitive power generation and other property – less accumulated depreciation of $1,794 and $2,231 at respective dates

      5,265        5,147   

Nuclear decommissioning trusts

      3,347        3,140   

Investments in partnerships and unconsolidated subsidiaries

      581        216   

Other investments

      251        251   
                

Total investments and other assets

      9,444        8,754   
                

Utility plant, at original cost:

     

Transmission and distribution

      23,747        22,214   

Generation

      2,731        2,667   

Accumulated depreciation

      (6,097 )      (5,921 ) 

Construction work in progress

      3,020        2,701   

Nuclear fuel, at amortized cost

      340        305   
                

Total utility plant

      23,741        21,966   
                

Derivative assets

      266        268   

Restricted deposits

      44        43   

Rent payments in excess of levelized rent expense under plant operating leases

      1,186        1,038   

Regulatory assets

      5,227        4,139   

Other long-term assets

      617        806   
                

Total long-term assets

      7,340        6,294   
                

Total assets

    $ 45,566      $ 41,444   
                

 

Edison International Reports Third Quarter 2010 Financial Results

Page 11 of 13

 

 

Consolidated Balance Sheets    Edison International  

(in millions, except share amounts)

    September 30,
2010		      December 31,
2009		  
     (Unaudited)  

LIABILITIES AND EQUITY

      

Short-term debt

    $ 98       $ 85   

Current portion of long-term debt

      43         377   

Accounts payable

      1,228         1,347   

Accrued taxes

      163         186   

Accrued interest

      200         196   

Customer deposits

      224         238   

Derivative liabilities

      231         107   

Regulatory liabilities

      804         367   

Other current liabilities

      896         884   
                 

Total current liabilities

      3,887         3,787   
                 

Long-term debt

      12,117         10,437   
                 

Deferred income taxes

      4,896         4,334   

Deferred investment tax credits

      103         102   

Customer advances

      114         119   

Derivative liabilities

      1,330         529   

Pensions and benefits

      2,143         2,061   

Asset retirement obligations

      3,372         3,241   

Regulatory liabilities

      3,663         3,328   

Other deferred credits and other long-term liabilities

      2,395         2,500   
                 

Total deferred credits and other liabilities

      18,016         16,214   
                 

Total liabilities

      34,020         30,438   
                 

Common stock, no par value (800,000,000 shares authorized; 325,811,206 shares issued and outstanding at each date)

      2,325         2,304   

Accumulated other comprehensive income

      26         37   

Retained earnings

      8,283         7,500   
                 

Total Edison International’s common shareholders’ equity

      10,634         9,841   

Noncontrolling interests

      5         258   

Preferred and preference stock of utility not subject to mandatory redemption

      907         907   
                 

Total equity

      11,546         11,006   
                 

Total liabilities and equity

    $ 45,566       $ 41,444   
                 

 

Edison International Reports Third Quarter 2010 Financial Results

Page 12 of 13

 

 

 

 

Consolidated Statements of Cash Flows    Edison International  
      Nine Months Ended
September 30,		  
      2010     2009  
     (Unaudited)  

Cash flows from operating activities:

     

Net income

    $ 1,129      $ 719   

Less: Income (loss) from discontinued operations

      4        (5 ) 
                

Income from continuing operations

      1,125        724   

Adjustments to reconcile to net cash provided by operating activities:

     

Depreciation, decommissioning and amortization

      1,127        1,053   

Regulatory impacts of net nuclear decommissioning trust earnings (reflected in accumulated depreciation)

      106        133   

Other amortization

      90        95   

Lease terminations and other

      2        888   

Stock-based compensation

      20        17   

Equity in income from partnerships and unconsolidated subsidiaries – net

      (101 )      (34 ) 

Distributions and dividends from unconsolidated entities

      76        5   

Deferred income taxes and investment tax credits

      414        (1,322 ) 

Income from leveraged leases

      (3 )      (13 ) 

Changes in operating assets and liabilities:

     

Receivables

      (184 )      (154 ) 

Inventory

      (27 )      4   

Restricted cash

      53        (148 ) 

Margin and collateral deposits – net of collateral received

      32        (99 ) 

Other current assets

      (244 )      (65 ) 

Rent payments in excess of levelized rent expense

      (148 )      (161 ) 

Accounts payable

      28        267   

Accrued taxes

      (23 )      (318 ) 

Other current liabilities

      (129 )      9   

Derivative assets and liabilities – net

      1,079        (414 ) 

Regulatory assets and liabilities – net

      (530 )      951   

Proceeds from U.S. Treasury grants

      92        —     

Other assets

      (42 )      (136 ) 

Other liabilities

      (67 )      835   

Operating cash flows from discontinued operations

      4        (5 ) 
                

Net cash provided by operating activities

      2,750        2,112   
                

Cash flows from financing activities:

     

Long-term debt issued

      1,652        939   

Long-term debt issuance costs

      (35 )      (25 ) 

Long-term debt repaid

      (371 )      (566 ) 

Bonds repurchased

      —          (219 ) 

Short-term debt financing – net

      13        (2,058 ) 

Settlements of stock-based compensation – net

      (7 )      4   

Cash contributions from noncontrolling interests

      —          2   

Dividends and distributions to noncontrolling interests

      (39 )      (88 ) 

Dividends paid

      (308 )      (303 ) 
                

Net cash provided (used) by financing activities

    $ 905      $ (2,314 ) 
                

 

Edison International Reports Third Quarter 2010 Financial Results

Page 13 of 13

 

 

 

 

Consolidated Statements of Cash Flows    Edison International  
      Nine Months Ended
September 30,		  

(in millions)

    2010     2009  
     (Unaudited)  

Cash flows from investing activities:

     

Capital expenditures

    $ (3,129 )    $ (2,287 ) 

Purchase of interest in acquired companies

      (4 )      (7 ) 

Proceeds from termination of leases

      —          1,420   

Proceeds from sale of nuclear decommissioning trust investments

      903        1,814   

Purchases of nuclear decommissioning trust investments and other

      (1,036 )      (1,977 ) 

Proceeds from partnerships and unconsolidated subsidiaries, net of investment

      35        10   

Maturities and sale of short-term investments

      7        3   

Purchases of short-term investments

      (1 )      (1 ) 

Investments in other assets

      (3 )      (278 ) 

Effect of consolidation and deconsolidation of variable interest entities

      (91 )      —     
                

Net cash used by investing activities

      (3,319 )      (1,303 ) 
                

Net increase (decrease) in cash and equivalents

      336        (1,505 ) 

Cash and equivalents, beginning of period

      1,673        3,916   
                

Cash and equivalents, end of period

    $ 2,009      $ 2,411