Other Investments

Nuclear Decommissioning Trusts

Future decommissioning costs of removal of SCE's nuclear assets are expected to be funded from independent decommissioning trusts, which currently receive contributions of approximately $23 million per year through SCE customer rates. Contributions to the decommissioning trusts are reviewed every three years by the CPUC. If additional funds are needed for decommissioning, it is probable that the additional funds will be recoverable through customer rates. Funds collected, together with accumulated earnings, will be utilized solely for decommissioning. The CPUC has set certain restrictions related to the investments of these trusts.

The following table sets forth amortized cost and fair value of the trust investments:



	Longest Maturity	Amortized Cost				Fair Value
	Longest Maturity	December 31,
(in millions)	Dates	2012		2011		2012		2011
Stocks	—	$	978	$	865	$	2,271	$	1,899
Municipal bonds	2054	518		625		644		756
U.S. government and agency securities	2043	547		516		603		580
Corporate bonds	2054	324		259		410		317
Short-term investments and receivables/payables	One-year	116		38		120		40
Total		$	2,483	$	2,303	$	4,048	$	3,592

Trust fund earnings (based on specific identification) increase the trust fund balance and the ARO regulatory liability. Proceeds from sales of securities (which are reinvested) were $2.1 billion, $2.8 billion and $1.4 billion for the years ended December 31, 2012, 2011 and 2010, respectively. Unrealized holding gains, net of losses, were $1.6 billion and $1.3 billion at December 31, 2012 and 2011, respectively.

The following table sets forth a summary of changes in the fair value of the trust:



	Years ended December 31,
(in millions)	2012			2011			2010
Balance at beginning of period	$	3,592		$	3,480		$	3,140
Gross realized gains	73			108			125
Gross realized losses	(5		)	(17		)	(4		)
Unrealized gains (losses), net	276			(7		)	148
Other-than-temporary impairments	(36		)	(47		)	(27		)
Interest, dividends, contributions and other	148			75			98
Balance at end of period	$	4,048		$	3,592		$	3,480

Due to regulatory mechanisms, earnings and realized gains and losses (including other-than-temporary impairments) have no impact on operating revenue or earnings.

Leases

In 2012, an Edison International subsidiary sold their lease interest in the Beaver Valley Nuclear plant and lease investment in aircraft leases with American Airlines for an aggregate of $108 million and recorded a pre-tax gain of $65 million ($31 million after-tax). In 2011, Edison International subsidiaries recorded a $26 million pre-tax earnings charge ($16 million after-tax) related to a write down of lease interest in aircraft leases with American Airlines.