SCE Disconnect Moratorium Results

1. SCE Disconnect Moratorium Results Presentation to LIOB January 26, 2010

2. Topics • SCE Terminations of Residential Service • Outreach Results • Disconnect Moratorium Results • Key Initiatives

3. SCE Terminations of Residential Service in 2009 Footnote: SCE has modified its reestablishment of credit deposit fee to be based on two times the average monthly bill. SCE does not require re-establishment of credit deposits from customers who pay their bill late; however, SCE does require a deposit from customers whose service has been disconnected. SCE modified its reconnection policy at the end of 2008 and will restore service to customers following disconnection without payment of the deposit. SCE bills the required deposit and offers customers extensions and payment arrangements. The average percentage of DCARE customers reconnected and requested to pay a deposit was 64%, while Non-DCARE was 75%.

4. SCE Outreach Results 2009 YE compared to 2008 YE 2009 YE compared to 2008 YE • 10% decrease in Non-CARE customer disconnections (as a percent of population) • 5% decrease in overall (total) residential disconnections • 3% increase in CARE customer disconnections (as a percent of population) • 12% increase in CARE customer population • 4% decrease in Non-CARE customer population • 18% increase in CARE customer bill payment assistance • 10% increase in Non-CARE customers granted bill payment assistance

5. Disconnect Moratorium Results • December 15, 2009 through January 21, 2010 • During the disconnection moratorium SCE tested new measures to help reduce disconnections: • Suspended mailing Final Call notices to at risk customers during disconnect moratorium • Enhanced VRU outbound calls to encourage customers to call for payment assistance • Customer representatives attempted to make direct contact with at risk residential customers • Increased outreach: press releases, notices to CBOs and FBOs, social media, bill messages, and banner ads on sce.com. • December 2009 compared to December 2008: • Results suggests: • Overall, increased outreach resulted in 25,000 more payment arrangements and extensions in the month of December 2009 (199,000) compared to December 2008 (174,000) • Customers respond to final call notices which prompt payment or contact with SCE for payment arrangements Moratorium Standard Practice

6. 2010 Key Initiatives • Near Term: • Increase customer contact and elevate customer awareness through existing communication channels: • Bill messaging • SCE.com website • E-notification enhancement / online billing • SCE.com “My Account” at sign-in screen • Distribute Resource Guide to APAs, community outreach events, and other assistance agencies • Continue education about the use of SCEs APA when in jeopardy of disconnection • Modify deposit requirement from twice the maximum monthly bill to twice the average monthly bill • Increase minimum disconnect threshold to $50 • Enhance VRU scripting to include request for at risk customers to contact SCE for bill payment assistance • Long Term: • Comprehensive review of all customer communications, including collection notices, to identify areas of improvement • Conduct further in depth analysis of customer focus group data to examine possibilities of customer suggested options

7. Appendix

8. SCE Outreach Strategy

9. SCE Works Aggressively to Increase Customers’ Awareness of Economic Assistance Programs • Conduct outreach events at schools and churches • Conduct outreach events • Target Ethnic communities • Community involvement and outreach • CARE Capitation Agencies • Corporate grant recipients targeting underserved populations • Employee Information • Handouts/flyers • Employee website • Retail • City/Government • Energy Leaders Program • SCE.com • Email solicitations • Online advertising • Social Media • Bill messages • Direct Mail • Events • Handouts/flyers • Advertising • Media Relations • Ethnic Media • Retail Advertising

10. SCE’s Message to Customers at All Levels: “Contact us and we will work with you!” METHOD OF COMMUNICATION SOLUTIONS MESSAGE All Customers High Bill Helper/ Energy Mgmt CARE/FERA Payment Arrangements Integrated outreach effort through traditional and non-traditional vehicles Smart energy management will decrease your bill, and if you or someone you know are having trouble paying your bill, we can help. Broad High Bill Helper/ Energy Mgmt CARE/FERA/LIEE Payment Arrangements Energy Assistance Fund 2-1-1 Assistance Prominent message on bill If you are having difficulty paying your bill, contact SCE today to make payment arrangements and for economic assistance. Past-Due Bills Disconnect Process Three attempts to contact customer: -Outbound call -Mailed notification -Courtesy call You can avoid costly fees associated with disconnection; there is still time to make payment arrangements and sign up for economic assistance. Targeted

11. Asian Consumer Market Korean Daily KWRM AM 1370 Chinese Siam Media – Thai Taiwan Daily News – Chinese Taiwan Daily News Online Korea Times Korea Times Online Chinese Daily News Chinese Daily News Online Viet Bao Daily News Viet Bao Daily News Online Viet Herald Daily News Radio Seoul 1650 AM – Korean Daily Sports Seoul – Korean Daily Sports Seoul Online Epoch Times Online – Chinese Asian Journal – Filipino Asian Journal – Online Balita Media – Filipino Balita Media Online California Examiner – Filipino Viet Weekly – Vietnamese Korean Sunday News India Journal India Journal Online India West Javanan International Persian Pakistan Link Pakistan Link Online Saigon Times – Vietnamese India Post Online The Twon News – Korean Angkor Borei News - Cambodian Customer Outreach: Ethnic Media 12.24.09: “Southern California Edison Reaches Out to Help Customers With Their Bills” Hispanic Consumer Market • La Opinion • La opinion Online • KMEX TV Univision 34 “A Su Lado” Telethon • KPMR-TV Univision 38 • El Clasificado • El Clasificado Online African American Consumer Market • Black Voice News • Blackvoicenews.com • Inland Valley News • San Bernardino American • Sbamerican.com

12. Everything Long Beach TD Ameritrade FOX Business News Pasadena Star News, San Gabriel Valley Tribune Los Angeles Times MSN Money San Bernardino Sun KPCC KNX KVEA Santa Barbara Riverside Press-Enterprise Research & Policy Institute of CA United Way of Orange County United Way of Norco-Corona Customer Outreach: General Market Media 12.31.09: “Edison International and Employees Donate More Than $700,000 to Help Customers Pay Electric Bills” • San Gabriel Valley Tribune • Everything Long Beach • Desert Sun 12.24.09: “Southern California Edison Reaches Out to Help Customers With Their Bills

13. Customer Outreach: Twitter Re-Tweets Original Tweet

14. 2010 Initiatives to Increase Customer Contacts Partnerships • Schools • Legislative Offices • Faith Based Organizations • Grass-Roots Organizations • Retail Store Integration (Best Buy/Sears) SCE Solutions • Whole Neighborhood Approach • Targeted E-blasts • SCE on Social Media Networks • Online Enrollment and Payment Arrangements/Extensions • Energy Walks

15. 2010 Initiatives to Improve Customer Communication Strategies Partnerships • Consumer Advisory Panel • APA Expanded Services • SoCalGas CARE Data Sharing • Foreclosure Clinics • Corporate Grant Recipients and other Community Based Organizations SCE Solutions • Establishing a Preferred Method of Contact • In-Bound and Out-Bound Calls

16. 2010 Initiatives to Provide Customers Relevant Information Partnerships • Media Relations & External Stakeholders SCE Expanded Communications • Providing More Information in Welcome Brochure • CARE Line-Item on Bill SCE Solutions • Expanding Online User Experience • IVR Messaging to Targeted Customers • IVR Messaging to CARE Customers

17. 2010 Initiatives to Expand Payment Policies to Assist Customers in Need SCE Expanded Communications • Improved Information in Late Payment Notices • Improved Communication of Payment Plans SCE Solutions • Reduced Deposit Amounts • Flexible Payment Options