Financial Data and Key Metrics Changes - Edison International reported second quarter core earnings per share (EPS) of $0.97, down from $1.23 a year ago, with the year-over-year comparison being less meaningful due to the lack of a final decision in its 2025 general rate case [5][19] - The company remains confident in achieving its 2025 EPS guidance and delivering a 5% to 7% core EPS compound annual growth rate (CAGR) through 2028 [6][29] Business Line Data and Key Metrics Changes - SCE's core EPS variance was primarily driven by higher operating and maintenance (O&M) expenses and the net impact of regulatory decisions [19] - The proposed decision (PD) in SCE's 2025 general rate case would authorize base revenue of $9.8 billion for 2025, with incremental increases in subsequent years [22] Market Data and Key Metrics Changes - The PD supports significant capital investments in wildfire mitigation, grid modernization, and infrastructure replacement while considering affordability for customers [11][12] - SCE anticipates investing $6.2 billion in its wildfire mitigation plan from 2026 to 2028, which includes various strategies to enhance safety and reliability [14] Company Strategy and Development Direction - The company is focused on enhancing California's wildfire regulatory framework and engaging with legislators to improve affordability measures [8][9] - SCE's long-term strategy includes ensuring the grid is prepared for California's electrified future, with a commitment to operational excellence and cost management [15][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in legislative actions that will enhance California's regulatory framework, particularly regarding wildfire management [18] - The company highlighted the importance of continuous engagement with the community and stakeholders to address wildfire risks and improve operational practices [7][10] Other Important Information - The ongoing investigation into the Eaton fire is being conducted by SCE and the LA County Fire Department, with no new disclosures on ignition or estimated costs at this time [6][17] - SCE has launched a wildfire recovery compensation program to provide direct payments to eligible individuals and businesses affected by the Eaton fire [8] Q&A Session Summary Question: Regarding the proposed $18 billion fix and utility contributions - Management indicated that discussions are ongoing, and the balance of the legislative package will be crucial in determining acceptable structures for utility contributions [36][40] Question: Expectations for disclosures on the Eaton fire - Management stated that they would provide information during quarterly earnings calls but may disclose material information off-cycle if necessary [42][43] Question: Details on the proposed decision versus the range case forecast - Management confirmed that the PD aligns with their range case forecast but noted that there are opportunities for additional capital beyond what has been flagged [46][47] Question: Thoughts on affordability legislation and securitization - Management emphasized the importance of operational excellence and highlighted alternative measures to support affordability without compromising the regulatory framework [55][60] Question: Status of the Eaton investigation - Management clarified that there are two separate investigations ongoing, with the official investigation led by LA County Fire and SCE's own investigation involving various stakeholders [77][80] Question: Potential equity issuance for wildfire fund contributions - Management expressed that upfront contributions would drive up the cost of capital and are not seen as necessary at this time, pending further legislative developments [81][83]