Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2018

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Carrying Amounts and Fair Values of Long-term Debt, Including Current Portion

The carrying value and fair value of Edison International's and SCE's long-term debt (including current portion of long-term debt) are as follows:

	December 31, 2018				December 31, 2017
(in millions)	Carrying Value1		Fair Value2		Carrying Value1		Fair Value2
Edison International	$	14,711	$	14,844	$	12,123	$	13,760
SCE	12,971		13,180		10,907		12,547

¹   Carrying value is net of debt issuance costs.

²  The fair value of Edison International's and SCE's short-term and long-term debt is classified as Level 2.

SCE

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value by Level

The following table sets forth assets and liabilities of SCE that were accounted for at fair value by level within the fair value hierarchy:

	December 31, 2018
(in millions)	Level 1		Level 2		Level 3		Netting and Collateral1			Total
Assets at fair value
Derivative contracts	$	—	$	32	$	141	$	—		$	173
Other	9		21		—		—			30
Nuclear decommissioning trusts:
Stocks2	1,382		—		—		—			1,382
Fixed Income3	1,001		1,665		—		—			2,666
Short-term investments, primarily cash equivalents	120		95		—		—			215
Subtotal of nuclear decommissioning trusts4	2,503		1,760		—		—			4,263
Total assets	2,512		1,813		141		—			4,466
Liabilities at fair value
Derivative contracts	—		13		—		(7		)	6
Total liabilities	—		13		—		(7		)	6
Net assets	$	2,512	$	1,800	$	141	$	7		$	4,460

	December 31, 2017
(in millions)	Level 1		Level 2		Level 3		Netting and Collateral1			Total
Assets at fair value
Derivative contracts	$	—	$	9	$	102	$	(1	)	$	110
Money market funds and other	495		—		—		—			495
Nuclear decommissioning trusts:
Stocks2	1,596		—		—		—			1,596
Fixed Income3	1,065		1,665		—		—			2,730
Short-term investments, primarily cash equivalents	101		72		—		—			173
Subtotal of nuclear decommissioning trusts4	2,762		1,737		—		—			4,499
Total assets	3,257		1,746		102		(1		)	5,104
Liabilities at fair value
Derivative contracts	—		2		1		(2		)	1
Total liabilities	—		2		1		(2		)	1
Net assets	$	3,257	$	1,744	$	101	$	1		$	5,103

¹  Represents the netting of assets and liabilities under master netting agreements and cash collateral.

²  Approximately 71% and 69% of SCE's equity investments were located in the United States at December 31, 2018 and 2017, respectively.

³  Includes corporate bonds, which were diversified and included collateralized mortgage obligations and other asset backed securities of $67 million and $102 million at December 31, 2018 and 2017, respectively.

⁴  Excludes net payables of $143 million and $59 million at December 31, 2018 and 2017, respectively, which consist of interest and dividend receivables as well as receivables and payables related to SCE's pending securities sales and purchases.

Summary of Changes in Fair Value of Level 3 Net Derivative Assets and Liabilities

The following table sets forth a summary of changes in SCE's fair value of Level 3 net derivative assets and liabilities:

	December 31,
(in millions)	2018		2017
Fair value of net assets (liabilities) at beginning of period	$	101	$	(1,089	)
Total realized/unrealized gains:
Included in regulatory assets and liabilities1	40		133
Contract amendment2	—		143
Normal purchase and normal sale designation3	—		914
Fair value of net assets at end of period	$	141	$	101
Change during the period in unrealized gains and losses related to assets and liabilities held at the end of the period	$	138	$	100

¹  Due to regulatory mechanisms, SCE's realized and unrealized gains and losses are recorded as regulatory assets and liabilities.

² Represents a tolling contract that was amended during the second quarter of 2017, which was no longer accounted for as a derivative as of December 31, 2017.

³  During the third quarter of 2017, SCE designated certain derivative contracts as normal purchase and normal sale contracts, which resulted in a reclassification of $914 million from derivative liabilities to other liabilities. These liabilities are amortized over the remaining contract terms.

Valuation Techniques and Significant Unobservable Inputs Used to Determine Fair Value for Level 3 Assets and Liabilities

The following table sets forth SCE's valuation techniques and significant unobservable inputs used to determine fair value for significant Level 3 assets and liabilities:

	Fair Value (in millions)					Significant
	Assets		Liabilities		Valuation Technique(s)	Unobservable Input	Range
Congestion revenue rights
December 31, 2018	$	141	$	—	Auction prices	CAISO CRR auction clearing prices	$(7.41) - $41.52
December 31, 2017	102		—		Auction prices	CAISO CRR auction clearing prices	$(9.41) - $8.66