FAIR VALUE MEASUREMENTS (Tables)

3 Months Ended

Mar. 31, 2025


RECURRING FAIR VALUE MEASURES
(Dollars in millions)
	Level 1		Level 2		Level 3		Netting(1)		Total
	Fair value at March 31, 2025
Sempra:
Assets:
Nuclear decommissioning trusts:
Short-term investments, primarily cash equivalents	$	16	$	2	$	—			$	18
Equity securities	277		3		—				280
Debt securities:
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies	35		26		—				61
Municipal bonds	—		288		—				288
Other securities	—		236		—				236
Total debt securities	35		550		—				585
Total nuclear decommissioning trusts(2)	328		555		—				883
Short-term investments held in Rabbi Trust	46		—		—				46
Support Agreement, net of related guarantee fees	—		—		38				38
Interest rate instruments	—		220		—		$	—	220
Foreign exchange instruments	—		1		—		—		1
Commodity contracts not subject to rate recovery	—		33		—		59		92
Commodity contracts subject to rate recovery	9		5		4		11		29
Total	$	383	$	814	$	42	$	70	$	1,309
Liabilities:

Foreign exchange instruments	$	—	$	1	$	—	$	—	$	1
Commodity contracts not subject to rate recovery	—		65		—		(28)		37
Commodity contracts subject to rate recovery	18		40		—		(23)		35
Total	$	18	$	106	$	—	$	(51)	$	73

	Fair value at December 31, 2024
Sempra:
Assets:
Nuclear decommissioning trusts:
Short-term investments, primarily cash equivalents	$	8	$	2	$	—			$	10
Equity securities	295		3		—				298
Debt securities:
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies	41		26		—				67
Municipal bonds	—		287		—				287
Other securities	—		228		—				228
Total debt securities	41		541		—				582
Total nuclear decommissioning trusts(2)	344		546		—				890
Short-term investments held in Rabbi Trust	64		—		—				64
Support Agreement, net of related guarantee fees	—		—		25				25
Interest rate instruments	—		293		—		$	—	293
Foreign exchange instruments	—		5		—		—		5
Commodity contracts not subject to rate recovery	—		39		—		2		41
Commodity contracts subject to rate recovery	6		1		4		18		29
Total	$	414	$	884	$	29	$	20	$	1,347
Liabilities:

Commodity contracts not subject to rate recovery	$	1	$	63	$	—	$	(38)	$	26
Commodity contracts subject to rate recovery	20		45		—		(21)		44
Total	$	21	$	108	$	—	$	(59)	$	70

(1) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset.

(2) Excludes receivables (payables), net.


RECURRING FAIR VALUE MEASURES
(Dollars in millions)
	Level 1		Level 2		Level 3		Netting(1)		Total
	Fair value at March 31, 2025
SDG&E:
Assets:
Nuclear decommissioning trusts:
Short-term investments, primarily cash equivalents	$	16	$	2	$	—			$	18
Equity securities	277		3		—				280
Debt securities:
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies	35		26		—				61
Municipal bonds	—		288		—				288
Other securities	—		236		—				236
Total debt securities	35		550		—				585
Total nuclear decommissioning trusts(2)	328		555		—				883
Commodity contracts subject to rate recovery	9		—		4		$	14	27
Total	$	337	$	555	$	4	$	14	$	910
Liabilities:
Commodity contracts subject to rate recovery	$	18	$	1	$	—	$	(18)	$	1


	Fair value at December 31, 2024
SDG&E:
Assets:
Nuclear decommissioning trusts:
Short-term investments, primarily cash equivalents	$	8	$	2	$	—			$	10
Equity securities	295		3		—				298
Debt securities:
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies	41		26		—				67
Municipal bonds	—		287		—				287
Other securities	—		228		—				228
Total debt securities	41		541		—				582
Total nuclear decommissioning trusts(2)	344		546		—				890
Commodity contracts subject to rate recovery	4		—		4		$	17	25
Total	$	348	$	546	$	4	$	17	$	915
Liabilities:
Commodity contracts subject to rate recovery	$	18	$	1	$	—	$	(18)	$	1

(1) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset.

(2) Excludes receivables (payables), net.


RECURRING FAIR VALUE MEASURES
(Dollars in millions)
	Level 1		Level 2		Level 3		Netting(1)		Total
	Fair value at March 31, 2025
SoCalGas:
Assets:
Commodity contracts subject to rate recovery	$	—	$	5	$	—	$	(3)	$	2
Liabilities:
Commodity contracts subject to rate recovery	$	—	$	39	$	—	$	(5)	$	34

	Fair value at December 31, 2024
SoCalGas:
Assets:
Commodity contracts subject to rate recovery	$	2	$	1	$	—	$	1	$	4
Liabilities:
Commodity contracts subject to rate recovery	$	2	$	44	$	—	$	(3)	$	43

(1) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset.

Recurring Fair Value Measures Level 3 Rollforward

The table below sets forth reconciliations of changes in the fair value of CRRs classified as Level 3 in the fair value hierarchy for Sempra and SDG&E.


LEVEL 3 RECONCILIATIONS(1)
(Dollars in millions)
	Three months ended March 31,
	2025		2024
Balance at January 1	$	4	$	10
Realized and unrealized gains (losses), net	(1)		(1)
Allocated transmission instruments	2		—
Settlements	(1)		—
Balance at March 31	$	4	$	9
Change in unrealized losses relating to instruments still held at March 31	$	(2)	$	—

(1) Excludes the effect of the contractual ability to settle contracts under master netting agreements and cash collateral.

The table below sets forth reconciliations of changes in the fair value of Sempra’s Support Agreement for the benefit of CFIN classified as Level 3 in the fair value hierarchy.


LEVEL 3 RECONCILIATIONS
(Dollars in millions)
	Three months ended March 31,
	2025		2024
Balance at January 1	$	25	$	23
Realized and unrealized gains (losses), net(1)	15		2
Settlements	(2)		(2)
Balance at March 31(2)	$	38	$	23
Change in unrealized gains relating to instruments still held at March 31	$	15	$	1

(1) Net gains are included in Interest Income and net losses are included in Interest Expense on Sempra’s Condensed Consolidated Statements of Operations.

(2) Includes $8 in Other Current Assets and $30 in Other Long-term Assets at March 31, 2025 on Sempra’s Condensed Consolidated Balance Sheet.

Schedule of Fair Value Inputs

For the CRRs settling from January 1 to December 31, the auction price inputs, at a given location, were in the following ranges for the years indicated below:


CONGESTION REVENUE RIGHTS AUCTION PRICE INPUTS

Settlement year	Price per MWh					Median price per MWh
2025	$	(7.38)	to	$	15.54	$	0.01
2024	(3.69)		to	9.55		(0.44)

Fair Value of Financial Instruments

The following table provides the carrying amounts and fair values of certain other financial instruments that are not recorded at fair value on the Condensed Consolidated Balance Sheets.


FAIR VALUE OF FINANCIAL INSTRUMENTS
(Dollars in millions)
	Carrying amount		Fair value
			Level 1		Level 2		Level 3		Total
	March 31, 2025
Sempra:

Long-term note receivable(1)	$	356	$	—	$	—	$	344	$	344
Long-term amounts due to unconsolidated affiliates	355		—		329		—		329
Total long-term debt(2)	34,697		—		31,804		—		31,804
SDG&E:
Total long-term debt(3)	$	9,800	$	—	$	8,621	$	—	$	8,621
SoCalGas:
Total long-term debt(4)	$	7,359	$	—	$	6,878	$	—	$	6,878

	December 31, 2024
Sempra:
Long-term note receivable(1)	$	351	$	—	$	—	$	334	$	334
Long-term amounts due to unconsolidated affiliates	352		—		324		—		324
Total long-term debt(2)	32,899		—		30,193		—		30,193
SDG&E:
Total long-term debt(3)	$	8,950	$	—	$	7,760	$	—	$	7,760
SoCalGas:
Total long-term debt(4)	$	7,359	$	—	$	6,880	$	—	$	6,880

(1) Before allowances for credit losses of $5 at both March 31, 2025 and December 31, 2024. Excludes unamortized transaction costs of $3 at both March 31, 2025 and December 31, 2024.

(2) After the effects of interest rate swaps. Before reductions of unamortized discount and debt issuance costs of $395 and $382 at March 31, 2025 and December 31, 2024, respectively, and excluding finance lease obligations of $1,315 at both March 31, 2025 and December 31, 2024.

(3) Before reductions of unamortized discount and debt issuance costs of $103 and $95 at March 31, 2025 and December 31, 2024, respectively, and excluding finance lease obligations of $1,197 and $1,205 at March 31, 2025 and December 31, 2024, respectively.

(4) Before reductions of unamortized discount and debt issuance costs of $64 and $65 at March 31, 2025 and December 31, 2024, respectively, and excluding finance lease obligations of $118 and $110 at March 31, 2025 and December 31, 2024, respectively.

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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