Company: SREA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001032208-25-000048
Chunk: 235

Company: SEMPRA
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 8
Chunk 235
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ortization of actuarial loss$1 $— Other (expense) income, netAmortization of prior service cost1 1 Other (expense) income, netSettlement charges4 — Other (expense) income, netTotal, before income tax6 1 (1)— Income tax expenseTotal, net of income tax$5 $1 Total reclassifications for the period, net of income tax$5 $2 (1)    Equity earnings at Oncor Holdings and our foreign equity method investees are recognized after tax.(2)    Amounts are included in the computation of net periodic benefit cost (see “Pension and PBOP” below).In the three months and six months ended June 30, 2025 and 2024, reclassifications out of AOCI to net income were negligible for SDG&E.

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PENSION AND PBOPSpecial Termination Benefits In the second quarter of 2025, certain eligible employees retired under a VREP and received an additional postretirement health benefit in the form of a $100,000 Health Reimbursement Account. Employees eligible to participate in the VREP consisted of SDG&E represented and non-represented employees and SoCalGas non-represented employees aged 62 years or older with five years of service or ages 55 to 61 with 10 years of service as of May 31, 2025, and SoCalGas represented employees aged 65 or older with five years of service or ages 55 to 64 with 15 years of service as of June 30, 2025. We treated the benefit obligation attributable to the Health Reimbursement Account as a special termination benefit. This resulted in increases to the recorded liability for PBOP and net periodic benefit cost of $40 million for Sempra, $17 million for SDG&E and $23 million for SoCalGas in the three months and six months ended June 30, 2025.Net Periodic Benefit CostThe following tables provide the components of net periodic benefit cost. The components of net periodic benefit cost, other than the service cost component, are included in Other Income, Net.

NET PERIODIC BENEFIT COST(Dollars in millions)PensionPBOP Three months ended June 30, 2025202420252024Sempra:Service cost$32 $33 $4 $3 Interest cost45