Research Update: Edison International And Subsidiary Ratings Affirmed, Off Watch; Outlook Stable

On July 25, 2019, Southern California Edison Co. (SCE), a subsidiary of Edison International, notified the California Public Utilities Commission (CPUC) of its commitment to contribute to an insurance fund and announced that it will finance the initial contribution in a balanced manner. At the same time, SCE received its valid safety certification from the CPUC. We affirmed our ratings on Edison and SCE, including the 'BBB' issuer credit ratings. We removed the ratings from CreditWatch, where we placed them with negative implications on Jan. 21, 2019. The outlooks are stable. The stable outlook reflects our expectations that Edison and SCE will benefit from the credit-supportive measures within California's state Assembly Bill (AB) 1054, which over the medium term offset

...- On July 25, 2019, Southern California Edison Co. (SCE), a subsidiary of Edison International, notified the California Public Utilities Commission (CPUC) of its commitment to contribute to an insurance fund and announced that it will finance the initial contribution in a balanced manner. At the same time, SCE received its valid safety certification from the CPUC. - We affirmed our ratings on Edison and SCE, including the '###' issuer credit ratings. We removed the ratings from CreditWatch, where we placed them with negative implications on Jan. 21, 2019. The outlooks are stable. - The stable outlook reflects our expectations that Edison and SCE will benefit from the credit-supportive measures within California's state Assembly Bill (AB) 1054, which over the medium term offset the risks of its increased susceptibility to catastrophic wildfires due to climate change and California courts' interpretation of inverse condemnation. Under our base case, we expect financial measures, including...

Research Update