Edison International announced on February 10 that it will redeem all outstanding shares of two series of preferred stock, with the first redemption scheduled for March 9, 2026 and the second for March 15, 2026.
The company will redeem its Series K preference stock, part of the SCE Trust V 5.45% fixed‑to‑floating rate trust preference securities, at a price of $25 per security plus accrued and unpaid distributions up to, but excluding, the redemption date. In parallel, Edison will redeem all outstanding shares of its 5.375% fixed‑rate reset cumulative perpetual preferred stock, Series A, at $1,000 per share.
By retiring these preferred instruments, Edison removes a layer of higher‑cost financing from its balance sheet, reduces future dividend obligations, and simplifies its capital structure. The move is expected to lower the company’s overall cost of capital and improve its debt‑to‑equity profile, providing greater financial flexibility for upcoming infrastructure projects.
The redemption aligns with Edison’s broader strategy to invest heavily in wildfire mitigation and grid modernization. The California Public Utilities Commission’s 2025 General Rate Case decision approved significant investments in grid hardening and wildfire risk reduction, and the company has forecasted spending of more than $7 billion annually over the next five years to support these initiatives.
CEO Pedro J. Pizarro said the company has made significant progress on the regulatory front this year, further de‑risking its financial outlook and bolstering its ability to deliver for customers and investors. The preferred‑stock redemption is part of that effort to strengthen the company’s financial footing.
Edison’s third‑quarter 2025 results showed a net income of $832 million and core earnings of $901 million, underscoring the company’s solid profitability. The redemption will reduce the cost of capital for the remaining equity and debt, supporting the company’s long‑term investment plan.
Overall, the preferred‑stock redemption is a key step in Edison International’s capital‑structure optimization, positioning the company to fund its extensive infrastructure agenda while maintaining a healthier balance sheet.
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