1) Financial Performance Overview
- Edison International reported a core EPS of $1.04 for Q2 2026, up from $0.97 YoY, bringing year-to-date core EPS to $2.97.
- The company reaffirmed its 2026 core EPS guidance range of $5.90 to $6.20, supported by a strong capital investment plan and regulatory framework.
- The favorable results were attributed to regulatory decisions from the previous year and reduced interest expenses related to the Woolsey cost recovery.

2) Legislative and Regulatory Engagement
- Ongoing discussions with California legislators focus on wildfire reform and affordability, with the aim of establishing a sustainable financial framework for utilities.
- The current GRC authorization supports SCE's utility plan through 2028, but future investments will depend on the clarity of legislative outcomes.
- The company emphasized the importance of a durable solution to maintain access to lower-cost capital, which is crucial for customer affordability and infrastructure investment.

3) Wildfire Mitigation and Safety Initiatives
- SCE is enhancing its wildfire mitigation strategy, with plans to harden approximately 450 miles of covered conductor and 190 miles of undergrounding in the upcoming GRC cycle.
- Since January 2025, SCE has deployed about 800 miles of covered conductor and 90 miles of undergrounding, significantly improving grid safety.
- The utility is leveraging advanced data analytics and AI to optimize risk management and operational efficiency in wildfire mitigation efforts.

4) Operational Excellence and Capital Investment
- SCE's capital plan focuses on infrastructure replacement, wildfire mitigation, and electrification, supporting long-term rate base growth of about 7%.
- The company is optimizing O&M spending to balance operational needs and cost control, which is expected to enhance both near-term performance and long-term value creation.
- Recent securitization efforts related to the Woolsey Fire generated approximately $2 billion in proceeds, strengthening the balance sheet and supporting future investments.

5) Outlook and Investor Considerations
- The company remains cautious about the legislative environment, with uncertainty surrounding wildfire-related reforms that could impact future capital investments and financing costs.
- There is a potential risk of credit rating downgrades if legislative actions do not support affordability and utility financing, which could affect customer costs.
- The transcript lacks specific details on the timeline for legislative outcomes and their direct impact on the company's capital plans moving forward.

Bottom line: Edison International is positioned for stable growth with a strong financial performance and a proactive approach to wildfire mitigation. However, the uncertain legislative landscape poses risks that could affect future investments and customer affordability, making it crucial for investors to monitor developments closely.