Core Viewpoint - The proposal to cap credit card rates at 10% may not address the root causes of the affordability crisis, as rising prices of homes and other goods are more significant factors than interest rates [1][3]. Group 1: Credit Card Rates - A cap on credit card rates could reduce access to credit for individuals with lower credit scores, potentially harming those the proposal aims to help [2]. - The discussion around credit card rates is overshadowed by more pressing affordability issues related to rising prices [3]. Group 2: Housing Affordability - The median home price increased from $274,900 in Q4 2019 to $414,900 in Q4 2025, significantly impacting affordability more than the rise in mortgage rates, which increased from 3.90% to 6.16% [4][5]. - Monthly mortgage payments for a home priced at $414,900 would be $2,024 at the current rate of 6.16%, compared to $1,566 at 3.90%, illustrating the greater impact of higher home prices on affordability [5]. - To return monthly mortgage payments to 2019 levels, household incomes would need to rise by 56% or mortgage rates would need to drop to 2.65%, indicating that significant changes are unlikely in the near future [6].

Operational Performance - The company achieved best-ever safety metrics in 2025, with a 43% reduction in serious injuries and fatalities compared to 2024 and a 30% improvement in serious preventable motor vehicle incidents [1] - System-wide performance measured by SAIDI improved by 19% year-over-year [1] - The company reported full-year 2025 core earnings of $1.50 per share, marking a 10% growth from 2024 and the fourth consecutive year of double-digit core EPS growth [2] Financial Guidance - The company is raising and tightening its 2026 core EPS guidance range, increasing the low end by $0.02 to a new range of $1.64 to $1.66, implying 10% EPS growth at the midpoint [1] - The long-term growth outlook is reaffirmed at 9%+ annually from 2027 through 2030 [1] Affordability and Rate Reductions - Bundled residential electric rates are approximately 11% lower compared to January 2024, translating to about $20 savings per month for a typical customer [3][9] - The company targets a future bill trajectory of 0% to 3%, supported by 2-4% O&M savings and accelerating data-center load [3][10] Wildfire Mitigation and Safety Initiatives - Ignitions were down 43% in 2025, contributing to a third consecutive year without a major fire caused by PG&E equipment [5] - The company launched Emberpoint in collaboration with Lockheed Martin to enhance wildfire detection and mitigation capabilities [6] - PG&E is a main sponsor of XPRIZE Wildfire, focusing on systems designed to detect and suppress high-risk fires [6] Infrastructure and Load Growth - The California Public Utilities Commission approved revised guidelines for utility undergrounding plans, allowing PG&E to file for approximately 5,000 additional miles of undergrounding over 10 years starting in 2028 [7] - Projects in the final engineering stage now total nearly 3.6 gigawatts, with expectations for load growth including 1.8 gigawatts online by 2030 [12][13] Capital Plan and Financing - The company maintains a $73 billion five-year capital plan with no new common equity required through 2030 [14][15] - The annual share dividend is doubled to $0.20 for 2026, with expectations for consistent increases in the next two years [15] - Fitch upgraded PG&E to investment grade, with Moody's and S&P indicating financial metrics are meeting investment-grade criteria [16] Regulatory and Legislative Developments - The company is engaged in wildfire liability reform discussions, with a report and recommendations expected by April 1 [17] - PG&E is seeking review of costs related to wildfire incidents, with claims exceeding $1 billion [19]

Financial Data and Key Metrics Changes - For 2025, the company reported adjusted operating earnings per share of $2.77, exceeding expectations and continuing a track record of exceeding guidance [6][18] - The company achieved a 7.4% annual earnings growth rate and 8% rate base growth since 2021, demonstrating its ability to navigate changes effectively [6][13] - The full-year GAAP earnings were $2.73 per share, with quarterly earnings of $0.58 on a GAAP basis and $0.59 on a non-GAAP basis [18] Business Line Data and Key Metrics Changes - The company maintained top quartile reliability metrics across its utilities, ranking first, second, fourth, and seventh among peers based on 2024 benchmarking data [6][10] - The company plans to invest $41.3 billion in capital over the next four years, with over 70% of the increase driven by transmission investments [10][24] Market Data and Key Metrics Changes - Anticipated load growth in the company's jurisdictions is expected to exceed 3% through 2029, indicating robust demand [11] - The company has a large load pipeline supported by an increasing number of signed transmission security agreements [12] Company Strategy and Development Direction - The company aims to lead the energy transformation by focusing on affordability and delivering investments that benefit customers [5][10] - The strategic focus includes maintaining a strong balance sheet while funding investments in a disciplined manner [13][40] - The company is actively engaging with federal, RTO, and state leaders to address high supply prices and emerging reliability risks [15][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to meet unprecedented demand and navigate industry changes [5][6] - The company anticipates annualized earnings growth of 5%-7% through 2029, with a focus on maintaining operational excellence and affordability [13][34] - Management highlighted the importance of collaboration with stakeholders to address affordability and reliability challenges [16][68] Other Important Information - The company executed a $60 million customer relief fund to support low and moderate-income customers facing higher supply costs [14] - The company has committed to keeping O&M costs relatively flat from 2024 to 2026, demonstrating a focus on cost management [30][31] Q&A Session Questions and Answers Question: Could you comment on the rate-based growth and financing lag? - Management noted that actual rate base growth has been about 8% and earnings growth at 7.4%, indicating a continuation of this track record [45][46] Question: What is the regulatory strategy for 2026 in Pennsylvania? - Management stated that they are in constant conversations with stakeholders and are considering the best approach for regulatory filings in Pennsylvania and Maryland [48][49] Question: How is the company addressing supply challenges? - Management emphasized the need for utility-generated power to lower customer costs and improve reliability, supporting the development of a reliability backstop option [52][54] Question: What is the outlook for rate base growth and EPS growth? - Management indicated that while rate base growth is consistent, they aim to provide defensible numbers that account for financing costs while striving to exceed expectations [83][85]

A group of moderate Democrats on Capitol Hill have unveiled a new affordability agenda. Joining us now, Congressman Brad Schneider, Democrat of Illinois. He chairs the new Democratic coalition.Uh, Congressman, I'm reading this uh proposal here and it sounds like reducing regulation, lightening the federal permitting process. Are you sure this is a new Democratic coalition. >> It is a Democratic coalition.The the new Dems are 150 moderate Democrats. We actually our members are a majority of the caucus and we ...

Core Viewpoint - There is a significant disconnect between the stock market performance and consumer sentiment, primarily driven by issues of affordability [2][5][10]. Group 1: Stock Market vs. Consumer Sentiment - Over the past four to five years, stock valuations have increased significantly while consumer optimism has declined to near-record lows, breaking a historical correlation between the two [2][3]. - The University of Michigan's consumer sentiment index was expected to be 93 at the end of 2025 based on economic indicators but was instead 40 points lower, indicating a severe drop in consumer confidence [4]. Group 2: Factors Affecting Consumer Sentiment - The term "vibecession" describes the negative mood among consumers, largely attributed to their perceptions of affordability [5][6]. - Key factors contributing to the decline in economic well-being include rising prices, housing affordability issues, and a stagnant job market [9]. Group 3: Price Levels and Housing Costs - Average consumer prices have risen by approximately 26% from December 2019 to December 2025, leading to discomfort among consumers despite a slowdown in inflation [10]. - Homeownership costs have surged, with average mortgage rates exceeding 6%, significantly impacting affordability for families [11][12]. Group 4: Labor Market Conditions - The labor market is characterized by low hiring and low layoffs, creating a challenging environment for job seekers and new entrants [14]. - Many employees are experiencing reduced flexibility in work arrangements, contributing to a negative perception of work-life balance [15]. Group 5: Stock Market Drivers - The stock market's growth is largely supported by a few major technology companies, known as the "Magnificent Seven," which do not heavily rely on consumer spending [16][17]. - Investment in artificial intelligence and technology has driven economic growth, but this sector does not create as many jobs compared to more labor-intensive industries [18]. Group 6: Economic Disparities - High-income households are disproportionately supporting the stock market, with the top 10% of income earners accounting for over 49% of consumer spending in Q2 2025 [19][20]. - The "K-shaped" economic recovery indicates that while spending is increasing for wealthier households, it is declining for lower-income groups, posing potential economic risks [20][21].

Move over, Florida and Texas. The hunt for affordability is uncovering new winners in the American housing market, @conorsen says (via @opinion) https://t.co/9LSCS3SsOE ...

Here Are The 25 Most-Reliable Vehicles For The Money, Data ShowsThe key approach to value-minded long-term vehicle ownership, is to choose model that’s affordable in the first place and can go the distance without being plagued by an excess of crippling big-ticket repairs.https://t.co/a9aXDmPhdQ(Photo: Honda) ...

Quickly want to delve into what's happening here in the markets with Nora. Melinda This downturn that we're seeing in homebuilders is pretty severe and it's coming straight from the White House as potential antitrust action is invoked by the administration. Norah, this is not playing well with most of the homebuilders today.What are you seeing in New York. Yeah, Joe, not really playing well with the homebuilders. I'm looking at an index as one five home that tracks a lot of the biggest U.S. publicly traded ...

The search for affordability. >> Come with me to Trader Joe's lowbudget edition. >> The love of a good snack.>> Some really bougie snacks at Trader Joe's. >> And viral totes propelling a new grocery chain to the top spot. >> Trader Joe's. Trader Joe's.The best. >> And many shoppers aren't surprised that Trader Joe's has been named the number one grocery store in the country according to a new national customer satisfaction survey, beating out competitors like Publix, Costco, and Whole Foods. I love everythi ...

Core Viewpoint - The discussion centers around the economic performance and affordability issues during Donald Trump's presidency, with a focus on inflation and rising costs for American families [2][4][6]. Economic Performance - Affordability is identified as the primary concern for Americans, with Trump labeling the affordability crisis as a "hoax" and attributing the blame to previous administrations [2][3]. - The cumulative inflation rate during Trump's presidency is reported at 21.5%, indicating significant price increases [4]. Grocery Prices - Despite claims from Trump about grocery prices decreasing, data from the Bureau of Labor Statistics shows that grocery prices were actually 2.4% higher at the end of 2025 compared to the end of 2024, with projections for further increases in 2026 [6]. Broader Cost Increases - The economic data from Trump's administration indicates that Americans are facing higher costs not only for groceries but also for utility bills, healthcare, and housing construction [8]. Federal Reserve Nominee - Trump's recent nomination of Kevin Walsh as Fed chair raises concerns about potential political pressure on monetary policy, with Trump joking about suing Walsh if interest rates do not decrease as desired [9][10].