February 23, 2001
Southern California Edison today released the following statement in response to Gov. Gray Davis' announcement that a framework for a plan to restore California's electric utilities to financial solvency has been agreed upon.
ROSEMEAD, Calif., Feb. 23, 2001- Southern California Edison (SCE) confirmed that it has agreed today to a preliminary agreement with the governor to help resolve the California energy crisis. The sale of the company's transmission grid is included, and SCE will be protected from further procurement liability; but an agreement is not yet final. The approval of important details in support of the principles and approval by the company's board of directors is required.
"SCE followed this course of action because it is in the interest of our ratepayers, our creditors, our shareholders and our employees," said Stephen E. Frank, SCE chairman, president, and CEO.
"It is important that together we get on with the work of restoring normalcy to California's electricity situation," said John E. Bryson, chairman, president and CEO of Edison International, parent company of SCE. "There are still many challenges ahead over the next several years in providing our customers with reliable, stable electricity. While we continue to believe that as a matter of law and equity we are entitled to be fully reimbursed for the cost of purchasing power on behalf of our customers, this agreement is far preferable to perhaps years of protracted litigation for our ratepayers, shareholders, creditors and employees. We will continue to work with the governor, the legislature and other policymakers to bring final resolution to the crisis."
# # #
An Edison International company, Southern California Edison is one of the nation's largest electric utilities, serving a population of more than 11 million via 4.3 million customer accounts in a 50,000-square-mile service area within central, coastal and Southern California.