EX-99.1 2 a04-5965_1ex99d1.htm EX-99.1

Exhibit 99.1

 

 

 

News Release

 

 

 

FOR IMMEDIATE RELEASE

 

 

 

 

 

 

 

Media Contact: (626) 302-1033

 

 

www.edison.com

 

Edison International Reports
 Financial Results for the First Quarter of 2004

 

ROSEMEAD, Calif., May 7, 2004 — Edison International (NYSE: EIX) recorded consolidated earnings per share of 30 cents in the first quarter of 2004, compared to 17 cents in the first quarter of 2003 on a reported basis.  The increased earnings primarily reflect higher operating results at Edison Mission Energy (EME) and a gain on the sale of its interest in Four Star Oil & Gas.

 

“We are off to an encouraging start for the year, led by improved results at Edison Mission Energy and continued strength at Southern California Edison,” said EIX Chairman John Bryson.

 

Reported earnings in the first quarter of 2003 included a three-cents-per-share charge at EME from the implementation of a new accounting principle and one cent per share in earnings from discontinued operations at SCE.  EIX’s earnings from continuing operations, which exclude the two items above, were 30 cents per share in the first quarter of 2004 compared to 19 cents per share in the same period last year.

 

FIRST QUARTER EARNINGS DETAIL

 

Earnings (Loss) from Continuing Operations

 

SCE earnings from continuing operations were essentially unchanged with $100 million in the first quarter of 2004, compared to $99 million in the same period last year.

 

EME’s first quarter 2004 earnings from continuing operations were $31 million compared to a loss of $8 million in the same period last year.  The improved results are primarily due to stronger operating performance at the Illinois Plants, driven by higher merchant generation and wholesale energy prices, and higher ancillary services and mark-to-market impacts on forward contracts at the First Hydro project in the UK.  The Contact Energy projects in New Zealand, the Loy Yang B project in Australia and the Paiton project in Indonesia also contributed to the earnings increase.   First quarter results for 2004 include a $29 million after-tax gain from the sale of EME’s interest in Four Star Oil & Gas.  These favorable items were partially offset by outages in 2004 at the Homer City project and 2003 earnings at Four Star Oil & Gas, which did not occur in 2004 due to the sale.  EME’s earnings are seasonal with higher earnings expected during the summer months.

 

Edison Capital’s earnings for the first quarter of 2004 were $11 million, down $4 million from the same period last year.  This decrease is primarily due to a maturing investment portfolio which produces lower income.

 

The first quarter 2004 losses from Mission Energy Holding Company of $25 million and “EIX parent company and other” of $19 million were essentially unchanged from the same period last year.

 

- more -

 

 

Earnings from Discontinued Operations

 

Discontinued operations of $3 million in the first quarter of 2003 reflect earnings from SCE’s fuel oil pipeline and storage business, which was sold in the third quarter of 2003.

 

Change in Accounting Principle

 

Edison Capital’s 2004 results include a $1 million charge for the cumulative effect of a change in accounting principle reflecting the impact of Edison Capital’s implementation of an accounting standard that requires the consolidation of certain variable interest entities.  EME’s 2003 results include a $9 million charge related to the accounting standard for recording asset retirement obligations.  Because SCE follows accounting principles for rate-regulated enterprises, implementation of the asset retirement accounting standard did not affect its earnings.

 

 

 

Quarter Ended March 31,

 

 

 

Earnings (Loss) Per Share (Unaudited)

 

2004

 

2003

 

Change

 

Southern California Edison

 

$

0.31

 

$

0.30

 

$

0.01

 

Edison Mission Energy

 

0.10

 

(0.02

)

0.12

 

Edison Capital

 

0.03

 

0.04

 

(0.01

)

Mission Energy Holding Co.

 

(0.08

)

(0.07

)

(0.01

)

EIX parent company and other

 

(0.06

)

(0.06

)

—

 

EIX Consol. Earnings from Continuing Operations

 

0.30

 

0.19

 

0.11

 

 

 

 

 

 

 

 

 

Earnings from Discontinued Operations

 

—

 

0.01

 

(0.01

)

 

 

 

 

 

 

 

 

Cumulative Effect of Accounting Change

 

—

 

(0.03

)

0.03

 

 

 

 

 

 

 

 

 

Total EIX Consolidated Earnings

 

$

0.30

 

$

0.17

 

$

0.13

 

 

 

 

Quarter Ended March 31,

 

 

 

Earnings (Loss) (in millions) (Unaudited)

 

2004

 

2003

 

Change

 

Southern California Edison

 

$

100

 

$

99

 

$

1

 

Edison Mission Energy

 

31

 

(8

)

39

 

Edison Capital

 

11

 

15

 

(4

)

Mission Energy Holding Co.

 

(25

)

(24

)

(1

)

EIX parent company and other

 

(19

)

(19

)

—

 

EIX Consol. Earnings from Continuing Operations

 

98

 

63

 

35

 

 

 

 

 

 

 

 

 

Earnings from Discontinued Operations

 

—

 

3

 

(3

)

 

 

 

 

 

 

 

 

Cumulative Effect of Accounting Change

 

(1

)

(9

)

8

 

 

 

 

 

 

 

 

 

Total EIX Consolidated Earnings

 

$

97

 

$

57

 

$

40

 

 

###

 

Based in Rosemead, Calif., Edison International is the parent company of Southern California Edison, Edison Mission Energy and Edison Capital.

 

 

EDISON INTERNATIONAL

SUMMARY OF CONSOLIDATED EARNINGS

(UNAUDITED)

 

 

 

QUARTER ENDED MARCH 31,

 

IN MILLIONS, EXCEPT PER-SHARE AMOUNTS

 

2004

 

2003

 

ELECTRIC UTILITY

 

$

1,696

 

$

1,814

 

NONUTILITY POWER GENERATION

 

783

 

684

 

FINANCIAL SERVICES AND OTHER

 

31

 

25

 

TOTAL OPERATING REVENUE

 

2,510

 

2,523

 

FUEL

 

342

 

334

 

PURCHASED POWER

 

580

 

452

 

PROVISIONS FOR REGULATORY ADJUSTMENT CLAUSES – NET

 

(19

)

304

 

OTHER OPERATION AND MAINTENANCE

 

905

 

783

 

DEPRECIATION, DECOMMISSIONING AND AMORTIZATION

 

295

 

288

 

PROPERTY AND OTHER TAXES

 

51

 

51

 

TOTAL OPERATING EXPENSES

 

2,154

 

2,212

 

OPERATING INCOME

 

356

 

311

 

INTEREST AND DIVIDEND INCOME

 

13

 

46

 

EQUITY IN INCOME FROM PARTNERSHIPS AND UNCONSOLIDATED SUBSIDIARIES – NET

 

64

 

60

 

OTHER NONOPERATING INCOME

 

80

 

16

 

INTEREST EXPENSE – NET OF AMOUNTS CAPITALIZED

 

(316

)

(299

)

OTHER NONOPERATING DEDUCTIONS

 

(31

)

(12

)

DIVIDENDS ON PREFERRED SECURITIES SUBJECT TO MANDATORY REDEMPTION

 

—

 

(28

)

DIVIDENDS ON UTILITY PREFERRED STOCK NOT SUBJECT TO MANDATORY REDEMPTION

 

(1

)

(1

)

INCOME FROM CONTINUING OPERATIONS BEFORE TAX

 

165

 

93

 

INCOME TAX

 

67

 

30

 

INCOME FROM CONTINUING OPERATIONS

 

98

 

63

 

INCOME FROM DISCONTINUED OPERATIONS – NET OF TAX

 

—

 

3

 

INCOME BEFORE ACCOUNTING CHANGE

 

98

 

66

 

CUMULATIVE EFFECT OF ACCOUNTING CHANGE – NET OF TAX

 

(1

)

(9

)

NET INCOME

 

$

97

 

$

57

 

 

 

 

 

 

 

WEIGHTED-AVERAGE SHARES OF COMMON STOCK OUTSTANDING

 

326

 

326

 

 

 

 

 

 

 

BASIC EARNINGS PER SHARE:

 

 

 

 

 

CONTINUING OPERATIONS

 

$

0.30

 

$

0.19

 

DISCONTINUED OPERATIONS

 

—

 

0.01

 

CUMULATIVE EFFECT OF ACCOUNTING CHANGE

 

—

 

(0.03

)

TOTAL

 

$

0.30

 

$

0.17

 

 

 

 

 

 

 

WEIGHTED-AVERAGE SHARES, INCLUDING EFFECT OF DILUTIVE SECURITIES

 

330

 

328

 

 

 

 

 

 

 

DILUTED EARNINGS PER SHARE:

 

 

 

 

 

CONTINUING OPERATIONS

 

$

0.30

 

$

0.19

 

DISCONTINUED OPERATIONS

 

—

 

0.01

 

CUMULATIVE EFFECT OF ACCOUNTING CHANGE

 

—

 

(0.03

)

TOTAL

 

$

0.30

 

$

0.17

 

 

 

 

 

 

 

DIVIDENDS DECLARED PER COMMON SHARE

 

$

0.20

 

$

—

 

 

 

EDISON INTERNATIONAL

Financial Overview

March 31, 2004

 

 

UNAUDITED

Dollars in Millions, Except Per-Share Amounts

 

EDISON INTERNATIONAL (Consolidated Totals)

 

 

 

First Quarter

 

 

 

2004

 

2003

 

Assets

 

$

35,818

 

$

35,184

 

Common Equity

 

$

5,415

 

$

4,512

 

Revenue

 

$

2,510

 

$

2,523

 

Earnings*

 

$

97

 

$

57

 

Earnings Per Share*

 

$

0.30

 

$

0.17

 

Book Value Per Share

 

$

16.62

 

$

13.85

 

 

*includes parent company and discontinued operations

 

SOUTHERN CALIFORNIA EDISON (Electric Utility)

 

 

 

First Quarter

 

 

 

2004

 

2003

 

Assets

 

$

19,617

 

$

20,037

 

Common Equity

 

$

4,158

 

$

4,487

 

Revenue

 

$

1,696

 

$

1,814

 

Earnings

 

$

100

 

$

102

 

Earnings Per Share

 

$

0.31

 

$

0.31

 

 

EDISON MISSION ENERGY (Nonutility Power Generation)

 

 

 

First Quarter

 

 

 

2004

 

2003

 

Assets

 

$

11,788

 

$

11,623

 

Common Equity

 

$

1,931

 

$

1,693

 

Revenue

 

$

783

 

$

683

 

Earnings (Loss)

 

$

31

 

$

(17

)

Earnings (Loss) Per Share

 

$

0.10

 

$

(0.05

)

 

EDISON CAPITAL (Capital and Financial Services Provider)

 

 

 

First Quarter

 

 

 

2004

 

2003

 

Assets

 

$

3,623

 

$

3,509

 

Common Equity

 

$

625

 

$

796

 

Revenue

 

$

29

 

$

22

 

Earnings

 

$

11

 

$

15

 

Earnings Per Share

 

$

0.03

 

$

0.04

 

 

 

SOUTHERN CALIFORNIA EDISON

kWh Sales (In thousands)

March 31, 2004

 

 

 

QUARTER ENDED MARCH 31, 2004

 

 

 

KwH

 

INCREASE/(DECREASE)
FROM
LAST YEAR

 

%

 

 

 

 

 

 

 

 

 

RESIDENTIAL

 

6,590,902

 

570,526

 

9.48

 

AGRICULTURAL

 

174,828

 

7,581

 

4.53

 

COMMERCIAL

 

8,701,865

 

346,828

 

4.15

 

INDUSTRIAL

 

2,581,417

 

(62,814

)

(2.38

)

PUBLIC AUTHORITIES

 

1,381,823

 

18,246

 

1.34

 

RAILROADS & RAILWAYS

 

15,682

 

309

 

2.01

 

INTERDEPARTMENTAL

 

139

 

62

 

80.52

 

SALES TO ULTIMATE CONSUMERS

 

19,446,656

 

880,738

 

4.74

 

 

 

 

 

 

 

 

 

RESALE SALES

 

2,892,841

 

2,100,874

 

 

*

TOTAL KWH SALES

 

22,339,497

 

2,981,612

 

15.40

 

 

*over 200%