| Schedule of Contingency Accruals and Changes |
The following table presents settlements paid. | | | | | | | | | | | | | | (in millions) | Inception to June 30, 2026 | Three months ended June 30, 2026 | Six months ended June 30, 2026 | | | 2017/2018 Wildfire/Mudslide Events | $ | 9,707 | | $ | 10 | | $ | 19 | | | | Other Wildfire Events | 1,028 | | 62 | | 85 | | | Eaton Fire | 517 | | 237 | | 280 | | | | Total | $ | 11,252 | | $ | 309 | | $ | 384 | | |
The following table presents changes in accrued losses since December 31, 2025. | | | | | | | | | | | | | | | | (in millions) | 2017/2018 Wildfire/Mudslide Events | Other Wildfire Events | Eaton Fire | Total | | Balance at December 31, 2025 | $ | 192 | | $ | 217 | | $ | 897 | | $ | 1,306 | | | Increase in accrued losses | — | | 1 | | 511 | | 512 | | | Amounts paid | (19) | | (85) | | (280) | | (384) | | Balance at June 30, 2026 | $ | 173 | | $ | 133 | | $ | 1,128 | | $ | 1,434 | |
Edison International's and SCE's condensed consolidated balance sheets included fixed payments to be made under settlements and accrued estimated losses presented in the tables below. | | | | | | | | | | | | | | | | | (in millions) | 2017/2018 Wildfire/Mudslide Events | Other Wildfire Events | Eaton Fire | Total | | Current portion of wildfire-related claims liabilities1 | $ | 24 | | $ | 3 | | $ | 781 | | $ | 808 | | | Long-term wildfire-related claims liabilities2 | 149 | | 130 | | 347 | | 626 | | | Total balance at June 30, 2026 | $ | 173 | | $ | 133 | | $ | 1,128 | | $ | 1,434 | | |
| | | | | | | | | | | | | | | | | (in millions) | 2017/2018 Wildfire/Mudslide Events | Other Wildfire Events | | Eaton Fire | Total | Current portion of wildfire-related claims liabilities1 | $ | 31 | | $ | 4 | | | $ | 550 | | $ | 585 | | Long-term wildfire-related claims liabilities2 | 161 | 213 | | 347 | | 721 | | Total balance at December 31, 2025 | $ | 192 | | $ | 217 | | | $ | 897 | | $ | 1,306 | |
1At June 30, 2026, current liabilities related to 2017/2018 Wildfire/Mudslide Events consisted of $24 million of short-term payables under the SED Agreement. At December 31, 2025, current liabilities related to 2017/2018 Wildfire/Mudslide Events consisted of $6 million of settlements executed and $25 million of short-term payables under the SED Agreement. 2At June 30, 2026, long-term wildfire-related claims related to 2017/2018 Wildfire/Mudslide Events consisted of $14 million of long-term payables under the SED Agreement and $135 million of estimate of expected losses for remaining alleged and potential claims. At December 31, 2025, long-term wildfire-related claims related to 2017/2018 Wildfire/Mudslide Events consisted of $17 million of long-term payables under the SED Agreement and $144 million of estimate of expected losses for remaining alleged and potential claims. For the three and six months ended June 30, 2026, SCE recorded wildfire-related claims, net of expected recoveries as follows: | | | | | | | | | | | | | | Three months ended June 30, 2026 | | (in millions) | | | Eaton Fire | Total | | Wildfire-related claims | | | $ | 350 | | $ | 350 | | | | | | | | Expected recoveries from Wildfire Fund | | | (350) | | (350) | | | | | | | | | | | | Total pre-tax (gain)/charge | | | — | | — | | Income tax expense/(benefit) | | | — | | — | | Total after-tax (gain)/charge | | | $ | — | | $ | — | |
| | | | | | | | | | | | | | | Six months ended June 30, 2026 | | (in millions) | | Other Wildfire Events | Eaton Fire | Total | | Wildfire-related claims | | $ | 1 | | $ | 511 | | $ | 512 | | Reversal of expected recoveries from insurance and third parties | | 39 | | — | | 39 | | | Expected recoveries from Wildfire Fund | | — | | (511) | | (511) | | Expected recoveries from CPUC customers | | (47) | | — | | (47) | | Expected recoveries from FERC customers | | (3) | | — | | (3) | | Total pre-tax gain | | (10) | | — | | (10) | | Income tax expense | | 3 | | — | | 3 | | Total after-tax gain | | $ | (7) | | $ | — | | $ | (7) | |
For the three months ended June 30, 2025, there were no wildfire-related claims, net of expected recoveries on SCE's condensed consolidated statements of income. For the six months ended June 30, 2025, SCE recorded wildfire-related claims, net of expected recoveries as follows: | | | | | | | | | | | | | Six months ended June 30, 2025 | | (in millions) | 2017/2018 Wildfire/Mudslide Events | Other Wildfire Events | Total | | Wildfire-related claims | $ | — | | $ | 21 | | $ | 21 | | Expected recoveries from insurance and third parties1 | — | | (82) | | (82) | | | | | | | | | | Expected (recoveries from)/refund to CPUC customers | (1,341) | | 44 | | (1,297) | | Expected refund to FERC customers | — | | 3 | | 3 | | Total pre-tax gain | (1,341) | | (14) | | (1,355) | | Income tax expense | 375 | | 4 | | 379 | | Total after-tax gain | $ | (966) | | $ | (10) | | $ | (976) | |
1For the six months ended June 30, 2025, EIS incurred $50 million insurance expenses, which consisted of $47 million of wildfire claims and $3 million of related legal costs. The following tables summarize expected recoveries from insurance and third parties, the Wildfire Fund, and through electric rates for the Other Wildfire Events and the Eaton Fire as of June 30, 2026 and December 31, 2025. For recoveries related to the 2017/2018 Wildfire/Mudslide Events, see below discussion in "—Recoveries through Electric Rates." | | | | | | | | | | | | | | | June 30, 2026 | | (in millions) | | Other Wildfire Events | Eaton Fire | Total | | Expected recoveries from customer-funded wildfire self-insurance | | $ | — | | $ | 487 | | $ | 487 | | Long-term receivables from insurance and third parties | | 170 | | — | | 170 | | Long-term receivables from Wildfire Fund recoveries1 | | — | | 645 | | 645 | | | FERC-related balancing accounts | | 14 | | 61 | | 75 | | | CPUC-regulatory assets | | 146 | | — | | 146 | | | Total | | $ | 330 | | $ | 1,193 | | $ | 1,523 | |
| | | | | | | | | | | | | | | | December 31, 2025 | | | (in millions) | | Other Wildfire Events | Eaton Fire | Total | | | Expected recoveries from customer-funded wildfire self-insurance | | $ | — | | $ | 709 | | $ | 709 | | | Long-term receivables from insurance and third parties | | 237 | — | | 237 | | | | Long-term receivables from Wildfire Fund recoveries | | — | | 134 | | 134 | | | | FERC-related balancing accounts | | 20 | | 70 | | 90 | | | | CPUC-regulatory assets | | 96 | | — | | 96 | | | | Total | | $ | 353 | | $ | 913 | | $ | 1,266 | | |
1As of June 30, 2026, no amounts have been recovered from the Wildfire Fund.
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