Edison International on Oct. 30 revealed that an internal investigation found its Southern California Edison utility equipment was “associated with” one of the ignition points of the massive Thomas Fire last December and that, as a result, the company expects “to incur material losses” in connection with the fire.
The Rosemead-based company made the revelation in its quarterly earnings filing with the Securities and Exchange Commission and in a simultaneously released statement. Edison International Chief Executive Pedro Pizarro also elaborated on the finding in an earnings conference call with investors, stating for the first time that the company expects to incur material losses from the fire.
In a review this past spring, Fitch Ratings Inc. determined Southern California Edison could face more than $4 billion in possible damages from the Thomas Fire. Edison International reported net income of $689 million last year on revenue of $12.3 billion.
Meanwhile, Edison stated that its equipment was near another suspected ignition point but could not determine whether that equipment was associated with that ignition point.
Pizarro said in the earnings conference call that because of the multiple ignition points and the “potential for separate damages to be attributable to fires ignited at separate ignition points, we are currently unable to reasonably estimate a range of losses that may be incurred. However, we do expect to incur material losses in connection with the Thomas Fire.”
