Edison International · NYSE:EIX
Edison International — Q2 2010 Earnings Presentation
51 slides from Edison International's earnings presentation, Aug 5, 2010
Slide 1: Second Quarter 2010 Financial Teleconference
Exhibit 99.2 Leading5, Second Financial August Quarter the Teleconference 2010 WayEDISON 2010 in Electricity INTERNATIONAL® SM
Slide 2: Forward-Looking Statements
Leading Forward-Looking Statements not differ them Analysis” www.edisoninvestor.com. August purely to materially 5, reflect the 2010 in historical, contained Way Edison new 1from in EDISON Statements information, Electricity International’s are in current this forward-looking These INTERNATIONAL® pr
Slide 3: Second Quarter Earnings Summary
Leading Second Earnings ($ $253 Core1 $344 $(16) Q2 (0.29) (0.10) 0.19 $0.14 $0.75 $0.61 (0.01) (0.03) (0.02) Core Non-Core $(0.16) $0.62 $0.78 EIX 2.08 0.18 (1.90) EMG $(0.75) $0.17 $0.92 SCE and (0.07) 0.08 0.15 Total Basic $1.26 $0.43 $(0.83) Diluted 1 $1.10 $1.05 $(0.05) $(0.01) August See milli
Slide 4: SCE Second Quarter EPS
Leading SCE EPS Q2 Non-Core $0.14 $0.75 $0.61 Core1 Variance Tax Basic (0.75) 0.17 0.92 attributable Key $(0.61) $0.92 $1.53 Higher Total •Recent 1 August Rate Operating $40 2012 SmartConnect™ See 09 10 settlement Core Second $0.14 million Use EPS base GRC AFUDC Developments operating 5,the Earnings
Slide 5: EMG Second Quarter EPS
Leading EMG EPS Q2 Non-Core $(0.10) $0.19 Core1 Variance Tax Discontinued 2.06 0.18 (1.88) -0 (0.02) Basic attributable Key $1.79 $0.08 $(1.71) Merchant Renewable Natural 0.03 EMMT—trading 0.02 Edison (0.01) Corporate (0.05) Recent $(0.29) Total •0.01 1 2 3 .02 Additional The Received Closed See 09
Slide 6: Global Cash Flow and Liquidity
Leading Global ($ December SCE SEC June Edison & EIX Income Overall Net Cash3 $(116) $97 $(572) $359 $(254) $54 $(614) $306 of $1,385 $- Taxes Estimated (596) (1,322) (343) (149) (1,069) 875 Cash 201 (342) (247) (642) 189 (602) (229) (payments)/receipts 1 $401 $52 $(279) $628 $400 $40 $(286) $646 ot
Slide 7: Year-to-Date Earnings Summary
Leading Year-to-Date ($ Earnings $512 Core1 EPS $580 Q2 Core Variance (0.25) 0.12 0.37 $0.13 $1.38 $1.25 (0.02) (0.06) (0.04) Non-Core $(0.14) $1.44 $1.58 EIX 2.13 0.20 (1.93) EMG $(0.87) $0.05 $0.92 SCE and (0.07) 0.08 0.15 Total Basic $1.19 $0.33 $(0.86) Diluted 1 $1.05 $1.77 $0.72 $(0.01) August
Slide 8: EMG Midwest Generation Statistics
Leading EMG Midwest •Homer All-in $16.99 $18.37 $17.55 $18.19 $30.99 $33.86 $34.57 $30.81 $47.98 $49.00 $52.23 $52.12 $24.23 $22.36 $25.08 $20.91 $34.26 $31.22 $36.34 $36.30 $52.13 $56.62 $60.57 $61.38 Q2 YTD 1 2 3 Total 5,471 Rail 1,884 Utilizes Coal Operational Forced Capacity Equivalent Load 0910
Slide 9: EMG June 30 Midwest Generation Hedge Status
Leading EMG June Remainder 2013 2012 2011 2010 2,040 14,152 9,835 $41.37 $37.93 $42.87 Homer 9.8 11.7 10.2 Total Average — 1,182 2,428 2,540 Coal $— $51.78 $52.15 $71.19 1 0.5 1.7 4.2 2.5 6 2 Midwest August As MMBtu In July of 30, under estimated Hedge City 5, June the price 2010 2010, Generation1 G
Slide 10: EMG RPM Capacity Auction Results
Leading EMG RPM Unsold Installed Other Base Sold Capacity1 Capacity Net Price Aggregate Average MW-day1 MW per July 4,929 (548) $184.24 $55.36 (140) $174.29 1,813 1,673 (211) $107.99 $85.00 400 4,582 4,982 (495) $110.00 1,771 (113) $16.46 4,704 (773) June $133.37 1,736 (148) Midwest Homer $27.73 4,6
Slide 11: EMG Wind Portfolio
Leading EMG Portfolio 24 August Recent •Wind April 27 July 102 Wind Estimated Projects Sources3 Complete Spend MW to Prior Amounts Data 4commitments/inventory2 Investment Turbine $495 $868 $1,363 600 1 $787 $580 $889 $1,469 702 Total — 85 21 106 102 2 turbines 3 estimated Includesthe &projects proje
Slide 12: EMG Capital Expenditures
Leading EMG June Midwest 2012 2011 2010 2009 $10 $79 $78 $54 Homer 78 145 107 Plant Environmental 24 52 19 7 Renewable Capital Turbine 727 171 8 265 Other — T 9 17 21 1 $143 $381 $958 $548 scrubbing $1.2 2 against 3 August 52otal Amounts Turbine Environmental billion 30, capital Capital capital City
Slide 13: Prior and Updated 2010 Earnings Guidance
Leading 2010 Prior Updated Earnings as High Mid Low Non-core $3.45 $3.15 Tax -0.43 0.02 0.33 (0.10) Midpoint $3.78 $3.63 $3.48 $3.35 $3.20 $3.05 EIX 0.62 EMG $2.80 SCE Southern Assumptions $3.30 Total (0.12) 48% Edison •Other 1 August Average Approved Potential Forward EMMT Normal No Excludes See of
Slide 14: Appendix
Leading5,the August Appendix 2010 Way13inEDISON Electricity INTERNATIONAL® SM
Slide 15: Updates Since Last Presentation
Leading •Updates August Q2 10Regulatory Global EMG 2010 SCE 2012 Earnings estimated 5, results the Since Tax 2010 General Way Settlement Our and 14 Guidance in capital Key EDISON Last standard Electricity Rate Events Presentation (p. costs Case (p. 5)information INTERNATIONAL® 12) (p. for SM (submit
Slide 16: Delivering Southern California Edison Mission Group Value
Leading Delivering Southern •Edison Our August A Achieve Leverage Positioned Balance Focus Establish Decoupled Effectively Develop Emphasize diversified keyMission International 5, on operating the California electric durable 2010 wind grid foundation Superior regulated Way for regulatory liquidity
Slide 17: Financing Strategies
Leading Financing Southern 48% 43% 9% Edison •Dividend August Authorized Target Periodic Retain Current Balance No Depending preferred distributions equity long-term Mission 5, payout cash the California wind Policy of 2010 debt Strategies at Way capital upon capital from stock 11.5% and constructio
Slide 18: The Next Ten Years
Leading The Reducing Drivers Renewable Electric Smart Service Measuring Customer Enhanced August Next electric Grid 5, & Vehicles the Ten Emissions Satisfaction 2010 Shareholder Reliability Success Energy & Way power Years Infrastructure 17inEDISON business Electricity Valuehas INTERNATIONAL® SM the
Slide 19: Liquidity Profile
Leading Liquidity June C EIX Edison EME EMG parent Subs SCE Sources & Credit $1,426 $1,100 $2,894 Cash $1,211 $- $961 $2,668 Available 36 41 707 91 1 $1,247 $41 $1,668 $2,759 apital other1 other August 2 30, &co. Facility Edison short-term subsidiary Excludesthe 2010 5, Profile Liquidity Way 2010 of
Slide 20: Credit Facilities and Debt Maturity Profiles
Leading June Debt Short- 2013 2012 2011 2010 Expiration 215 EIX 555 49 109 23 EMG1 $215 SCE 1 1,426 EIX2 500 MWG 600 — EME $2,894 $— SCE2 2 August Cedro $9830, Maturity Profile million and 5,Hill the 2010 2010 Long-Term ofWay construction Credit of ($ Profiles 19 SCE millions) inEDISON Electricity F
Slide 21: EMG Credit Facility Covenant Status
Leading EMG EME 6/30/10 3/31/10 12/31/09 Statusat Funds 1.99 1.72 Corporate-Debt-to-Capital 1.20 0.53 0.54 Midwest 0.75 Debt 0.16 0.18 Homer 0.60 Senior Covenant 2.53 3.10 2.96 August 1.70 to Credit Debt Flow Rent City 5, Capitalization the Generation Threshold threshold 2010 Covenant Available Way
Slide 22: SCE Appendix
Leading SCE August Appendix 5,the 2010 Way21inEDISON Electricity INTERNATIONAL® SM
Slide 23: SCE Highlights
Leading SCE 4.9 50,000 •Over System Smart California August One 8-11% million Highlights 13 110,000 of grid square-mile 5, reliability five-year million the 2010 Renewable technology customer Way nation’s miles 22 residents ininvestments average EDISON service Electricity oflargest accounts Portfoli
Slide 24: SCE Constructive Regulatory Environment
Leading SCE •Element Benefits Three-year Through during State Upfront Pre-established Return Regulatory August Advance Forward-looking Multi-year Decoupling Reliable Procurement FERC Constructive regulatory economic on 5, transmission prudency the to 2012, 2010 electric common approval Customers pro
Slide 25: SCE Capital Investment Forecast
Leading SCE ($ $18.0 $3.5 $3.6 $3.9 $3.7 $3.3 Range1 $21.5 Forecast 2014 2013 2011 2010 $2.9 $4.2 $4.0 $4.3 $4.4 $4.6 % $ 4 3 5 2009 21.5 51 10.9 5.5 14 CPUC 2012 22 Other 41 By 100 Total 26 11 1 regulatory August .1Forecast .0 billions) Proceeding Capital CPUC Rate 5,the By2010 approvals. includes
Slide 26: SCE Rate Base Forecast
Leading SCE ($ 2009 $14.8 $16.2 $18.1 $20.8 $23.0 $25.2 billions) Rate 2010the Base 2011 WayForecast 2012 in Electricity 2013 2014 SM 5-Yr Forecast CAGR2 Range1 $14.8 $16.2 $18.1 $20.8 $23.0 $25.2 11% 1 Earnings regulatory program. 2 August Forecast 5,Rate 2010 approvals; includes: per Base share 25
Slide 27: SCE Transmission Projects
Leading SCE Project 2010-2014 In-Service Phase Tehachapi Devers-Colorado $1,742 2009-2015 Complete/Construction 469 Eldorado-Ivanpah 658 2013 Other 171 2014 Alberhill 128 2012 Licensing Grand 2,375 Various $5,543 Rector Antelope Santa Pardee Vincent Los Ana San DCR Transmission 1 Angeles Joaquin Die
Slide 28: SCE Distribution Investment
Leading •SCE 2010 Investment Load Other2 New Infrastructure 1 2 August Distribution Demonstrated Slower Smart Includes Distribution Service -Growth 2014 5, Grid the economy, 2010 information underground inWay technology Connections General investments Replacement Distribution 27 operational in Inves
Slide 29: SCE SONGS Steam Generator Replacement
Leading SCE •$270 Q3 Q2 Q1 Q4 2011 2010 2009 3 Unit August outage Replacement Total Unit Steam 2SONGS million 32Steam approved 5, generators installation Generator the 2010 Way remaining and Generator Steam 28investment in refueling EDISON installed Electricity planned Generator investment in of for
Slide 30: SCE Solar Programs
Leading SCE •1-2 RFO Executed Online CPUC 2014 2013 2012 2011 2010 2009 60 Various June July 1 August Annual SCE Master Projected CPUC MW MW 2010 2009 Solar issued authorized approval dates 5, sites awarded the decision Supply average Requests 36 2010 Photovoltaic 42 in Way solar for inMW March cons
Slide 31: SCE SmartConnect Program
Leading •SCE Promote Avoid Provide 2012 2011 2010 2009 2008 September Over Enhanced 100% approved deployment installed automated website switching advanced information system, Thermostat and Home August devices Total Five Implementation services device SmartConnectTM 1.0 meter million Area GHG appro
Slide 32: California Renewable Policy
Leading California Final •Likely Use Compliance Cost Applicability SCE August Governor California Policy of is impacts regulation targets: out-of-state taking 5,debates the 2010 Renewable Schwarzenegger’s Air Way flexibility for to a20% 31 Resources proactive Municipal postponed in customers inEDISO
Slide 33: SCE Renewable Energy Contracts
Leading Contracts to Renewable (billion Small Geothermal 89% 20% 2020 2010 2009 10% 14.9 13.6 28.2 33% Potential SCE (forecast) August meet Increa RPS 2010 Renewable Hydro 5, kWh) the the are 2010 20% Resources 2010 se 57% Way 4% in 32 Renewable place Portfolio Resource goal Solar Wind inEDISON Elec
Slide 34: SCE Cost of Capital Mechanism
Leading SCE Moody’s Spot 10 A 9 (of 8 R 7 S 4 5 6 Sep-08 Jun-08 Mar-08 Dec-07 Jun-09 Mar-09 Jun-10 Mar-10 2012 •Triggers At If 1 August period. %) As ep-07 In Cost verage ate Spot index not measurement September 2008, of rate1 Cost triggered, of rate Sep-09 July Dec-08 5, exceeds the from based Capi
Slide 35: SCE Residential Rates and Bills
Leading SCE 30% 11.6 15.0 2008 9% 90 100 U.S. Key •Costs Residential 1 SCE’s However, Lower Factors Average Higher Rates AugustAverage for5, EIA’s residential the renewables and average usage Way SCE 2008 2010Residential Bills 34in isEDISON rates Electric Electricity monthly 30% Comparison are are h
Slide 36: SCE 2012 General Rate Case
Leading SCE Primarily Includes Excludes $903 •Post System O&M 1 Notice GRC 2012 test 2012 Augustmillion expense –revenue sets reliability expansion Attrition of the 2014 year1 Solar 5, fuel cost covers CPUC Intent base Way increase 2010and of revenue Photovoltaic request primarily requirement revenu
Slide 37: SCE 2012 GRC Schedule
Leading •SCE Q4 Q3 Q2 Q1 2011 2010 July GRC Notice Final Opening Application Reply Filed Intent June ALJ August Hearings Decision Evidentiary 2012 Final 19 16-August Proposed 1-16 2012 Briefs GRC Decision of 5,the and 2010 CPUC Way application 36 2expected in GRC EDISON Electricity Projected forecas
Slide 38: SCE Regulatory Proceedings
Leading SCE Date Case September Milestone Status Filing Number Next Hearings 2010 07/31/09 ER09-1534 Rate effective ALJ December Tehachapi 2011. Record A.07- 06/28/07 Forest CAISO 2010. 044). November DCR A.05- subject 04/11/05 expected Management April regard Eldorado-Ivanpah conditioned 05/28/09 t
Slide 39: EMG Appendix
Leading EMG August Appendix 5,the 2010 Way38inEDISON Electricity INTERNATIONAL® SM
Slide 40: EMG Operating Platform and Development Pipeline
Leading EMG June Operating C % 74 7,395 T 153 Other 12 1,185 13 1,269 Wind 100 10,002 Under ~3,400 Pipeline2 MW Thermal 600 Natural 1 311 114 190 964 40 305 19 5,471 67 53 1,884 141 145 479 2 otal oal Natural August 3 another30, Development Business Construction Owned Gas Gas3 the 2010 Pipeline Deli
Slide 41: EMG Midwest Generation Environmental Compliance Timelines
Leading EMG 2018 2017 2016 2015 2014 2013 2012 2011 2010 0.008 Waukegan 0.44 Crawford 0.195 0.28 Powerton, Fisk 0.41 Construction 0.11 0.13 County 0.15 Will Compliance Mercury SO2 NOx Fleet-wide Capital 1 Unit-specific Joliet, August Simplified County 2019 –or Units spending 5, Illinois the 90% 7, 8
Slide 42: Edison Mission Marketing and Trading
Leading Edison Typically Target Primarily •Largely VaR; EMMT 2009 2008 2007 2006 2005 $49 $78 $130 $143 $164 $195 YTD August Markets Manages Proprietary Controls CFaR; 2010 approximately Mission 5, Trading in the atransmission-related energy 2010 on eastern gross rolling Way stress trading types 41
Slide 43: EMG Comparative Operating Information
Leading EMG Fav./(Unfav.) Q2 Y YTD M % Variance 12,117 6,361 192 13,642 13,450 20% (1,378) 5,430 6,808 Total 1,333 — 447 -7.9% 72.7% 80.6% -18.7% 59.8% 78.5% -1.8% 8.2% 6.4% -4.7% 10.4% 5.7% Energy Load -9% $(4.10) $40.31 $44.41 $0.12 $41.50 $41.38 $(62.52) $62.52 0% $(62.47) $— $62.47 $(1.38) $16.9
Slide 44: Our Commitment to Shareholder Value
Leading Our Among Supportive Leadership See Working •Current August Dual Southern Commitment Incentive Edison real Shareholder platform 5, the wind equity the Mission people coal 2010 California compensation regulatory in best Way construction fleet renewable to value 43 operating committed domestic
Slide 45: EMG Adjusted EBITDA Reconciliation
Leading EMG June Reconciliation Q2 YTD Addback $104 $(510) $27 $(558) Earnings (Discontinued 4 96 (506) 26 (551) Interest 133 152 66 75 Income (7) (12) (4) (6) Depreciation (86) (270) (111) (275) Production 256 (522) 37 (699) EBITDA2 120 114 60 58 Lease Addback: 33 30 19 14 8 867 A 7 1 $296 $393 $58
Slide 46: Reconciliation of Core to Basic Earnings
Leading ($ Reconciliation Attributable Earnings Q2 YTD Core 38 118 (32) 61 $451 $407 $248 $199 (16) (13) (11) Non-core 473 512 205 253 SCE 14 53 300 (624) 58 (612) EMG 27 (50 (7) T 8 EIX 107 (278) 139 (269) 1 $580 $234 $344 $(16) 24) otal millions) 09 10 Augustparent –core Basic –Earnings1 non-core
Slide 47: SCE Results of Operations (Second Quarter)
Leading SCE ($ millions) Results the Way of Operations in Electricity (Second SM Quarter) Three Months Ended June200930, Three Months Ended June2010 30, Utility Utility Utility Cost- Utility Cost- Earning Recovery Total Earning Recovery Total Operating Revenue Activities Consolidated Activities Acti
Slide 48: SCE Results of Operations (Six Months)
Leading SCE ($ Six Recovery Earning Cost- Utility Activities Fuel $4,406 $1,833 $2,573 $4,462 $2,005 $2,457 Operation 1,395 1,480 Depreciation, 1,468 411 1,057 1,420 462 958 Property 629 24 605 574 548 129 126 (1) 127 Operating 3,622 1,831 1,791 3,600 1,967 1,633 7 2 782 862 38 824 (159) (2) (157) (
Slide 49: EMG Adjusted Operating Income Reconciliation
Leading EMG ($ Three Six Midwest 2010 2009 Homer $48 $188 $(39) $74 Renewable 83 47 Energy 29 37 Big 78 27 31 D 7 6 Sunrise 16 12 11 March Westside 3 L (889) — ((867) 5 253 (515) 36 (692) 10 Corporate (74) (84) (36) (47) Adjusted (8) (7) (4) Reconciliation Equity Less: $171 $(606) $(4) $(743) AOI Di
Slide 50: EMG Midwest Generation and Homer City Reconciliation
Leading EMG ($ Reconciliation to Midwest Homer Q2 YTD Generation Operating 5,243 5,683 2,289 3,025 13,642 13,450 5,430 6,808 $304 $326 $129 $161 $660 $724 $281 ($340 3 Other 12 (5) (4) 1 2 (1) All-in $318 $322 $141 $158 $655 $703 $283 $334 Fuel $60.57 $56.62 $61.38 $52.13 $47.98 $52.23 $52.12 $49.00
Slide 51: Use of Non-GAAP Financial Measures
Leading Use Edison EPS earnings to Core companies. shareholders attributable International’s options not from of The measure investors the August period. debt information holding statistical of by EMG’s and Non-GAAP International’s and 5, that earnings the gains and as core 2010 leases, income earni