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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549
 Form 10-K FOR ANNUAL REPORT &
TRANSITION REPORTS PURSUANT TO SECTIONS 13 OR 15(d) OF THE SECURITIES EXCHANGE OF 1934  þ
    ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934  o
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2004 Commission file number 333-51066 The Detroit Edison Securitization Funding LLC, a Michigan limited liability company, meets the conditions set forth in General Instruction I (1) (a) and (b) of Form 10-K
and is, therefore, filing this form with the reduced disclosure format. THE DETROIT EDISON SECURITIZATION FUNDING LLC  Michigan
    
    38-0478650(State or other jurisdiction of incorporation or
    
    (I.R.S. Employerorganization)
    
    Identification No.)2000 2nd Avenue, Detroit, Michigan
    
    48226-1279(Address of principal executive offices)
    
    (Zip Code)
 313-235-4000
(Registrants telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: None Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90
days. Yes þ       No o Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of
registrants knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.   o Indicate by check mark
whether the registrant is an accelerated filer (as defined in Exchange Act Rule 12b-2) Yes o       No þ The registrant is a single member limited liability company whose equity is owned solely by The Detroit Edison Company DOCUMENTS INCORPORATED BY REFERENCE None




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Table of Contents PageForward-Looking Statements
    
    
    1Part IItems 1. & 2. Business & Properties
    
    
    1Item 3.
    
    Legal Proceedings
    
    
    1Item 4.
    
    Submission of Matters to a Vote of Security Holders
    
    
    1Part IIItem 5.
    
    Market for Registrants Members Equity, Related Owner Matters and Issuer Purchases of Equity Securities
    
    
    2Item 6.
    
    Selected Financial Data
    
    
    2Item 7.
    
    Managements Narrative Analysis of Results of Operations
    
    
    2Item 7A.
    
    Quantitative and Qualitative Disclosures About Market Risk
    
    
    3Item 8.
    
    Financial Statements and Supplementary Data
    
    
    4Item 9.
    
    Change in and Disagreements with Accountants on Accounting and Financial Disclosure
    
    
    14Item 9A.
    
    Controls and Procedures
    
    
    14Item 9B.
    
    Other Information
    
    
    14Part IIIItem 10.
    
    Directors and Executive Officers of the Registrant
    
    
    14Item 11.
    
    Executive Compensation
    
    
    14Item 12.
    
    Security Ownership of Certain Beneficial Owners and Management and Related Owner Matters
    
    
    14Item 13.
    
    Certain Relationships and Related Transactions
    
    
    14Item 14.
    
    Principal Accountant Fees and Services
    
    
    14Part IVItem 15.
    
    Exhibits and Financial Statement Schedules
    
    
    15Signatures
    
    
    18Computation of Ratio of Earnings to Fixed Charges302 Certification of Chief Executive Officer302 Certification of Chief Financial OfficerSection 906 Certification of Chief Executive OfficerSection 906 Certification of Chief Financial OfficerMonthly Servicer Certificate for September 2004Monthly Servicer Certificate for October 2004Monthly Servicer Certificate for November 2004Monthly Servicer Certificate for December 2004Amendment Agreement Dated as of January 20, 2005Amendment No. 4 to Agreement Dated January 20, 2005




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Forward-Looking Statements Certain information presented herein includes forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve certain
risks and uncertainties that may cause actual results to differ materially from those contemplated,
projected, estimated or budgeted in such forward-looking statements. Securitization bondholders
may suffer payment delays or losses if The Detroit Edison Securitization Funding LLCs (Companys)
assets are not sufficient to pay interest or the scheduled principal of the securitization bonds.
Funds for payments are dependent upon the securitization property and the right to collect the
securitization surcharge over a period limited to 15 years pursuant to a Michigan statute. In
addition, collections are dependent on the level of The Detroit Edison Company (Detroit Edison)
electric deliveries to customers. 
 Part I 
 Items 1. & 2. Business & Properties The Company, a single member limited liability company established by Detroit Edison under the
laws of the State of Michigan, was formed on November 20, 2000. The Company is a wholly owned
subsidiary of Detroit Edison, an operating electric public utility that is a wholly owned
subsidiary of DTE Energy Company (DTE Energy). As discussed in Item 7, Managements Narrative
Analysis of Results of Operations, the Company was organized for the sole purpose of purchasing and
owning securitization property, issuing securitization bonds, and performing activities that are
necessary to accomplish these purposes. The Company had no financial operations until February 15,
2001. On March 9, 2001, the Company issued $1.75 billion of securitization bonds (Note 3) and used the
net proceeds to purchase securitization property from Detroit Edison. Securitization property is a property right authorized by Michigan state legislation and by a
financing order of the Michigan Public Service Commission (MPSC). The securitization property is
qualified costs that primarily represent Detroit Edisons unamortized investment in the 1,150
Megawatt Fermi 2 nuclear power plant that was classified as a regulatory asset. The Michigan
statute provided, among other things, the irrevocable right of Detroit Edison, or its successor or
assignee, to impose, collect and receive a non-bypassable surcharge from customers pursuant to an
order, issued on November 2, 2000, and clarified on January 4, 2001, by the MPSC in accordance with
the June 2000 Customer Choice and Electricity Reliability Act (Act). 
 Item 3. Legal Proceedings None. 
 Item 4. Submission of Matters to a Vote of Security Holders Omitted per general instruction I (2) (c) of Form 10-K for wholly owned subsidiaries (reduced
disclosure format). 1




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Part II 
 Item 5. Market for Registrants Members Equity, Related Owner Matters and Issuer Purchases
of Equity Securities The Company was formed as a single member limited liability company, solely owned by Detroit
Edison for its own benefit. As such, no market exists for the members equity. 
 Item 6. Selected Financial Data Omitted per general instruction I (2) (a) of Form 10-K for wholly owned subsidiaries (reduced
disclosure format). 
 Item 7. Managements Narrative Analysis of Results of Operations The Results of Operations discussion for the Company is presented in accordance with General
Instruction I (2) (a) of Form 10-K for wholly owned subsidiaries (reduced disclosure format). As discussed in Note 1, the Company is a special purpose entity established by Detroit Edison to
recover certain qualified costs, called Securitization Property by Michigan statute. The qualified
costs primarily represent Detroit Edisons unamortized investment in the 1,150 Megawatt Fermi 2
nuclear power plant that was classified as a regulatory asset. On March 9, 2001, the Company issued
securitization bonds and used the net proceeds to purchase the Securitization Property from Detroit
Edison. The Company receives surcharge revenues that are intended to recover its costs and service
its debt. Amortization expense associated with the Securitization Property is adjusted as
necessary so that expenses equal revenues and interest income. For the year ended December 31, 2004, the Company earned $184,184,000 in surcharge revenues and
$699,000 in interest income compared to $173,376,000 in surcharge revenues and $773,000 in interest
income for the year ended December 31, 2003. The increase in surcharge revenues is primarily due to
an increase in surcharge rates. Amortization expense consists of amortization of the
Securitization Property, overcollateralization fee, and the over or under recovery of
securitization surcharge. The amortization expense for the years ended December 2004 and 2003 was
$86,381,000 and $70,927,000, respectively. The increase in amortization expense reflects the
adjustment needed to have revenues and interest income equal expenses. The higher amount was
primarily attributable to the increase in surcharge revenues, partially offset by a decrease in
interest expense. During 2004, the Company also incurred interest expense of $95,677,000,
amortization of debt issuance costs of $1,577,000, and servicing and administrative fees of
$1,125,000, compared to interest expense of $100,480,000, amortization of debt issuance costs of
$1,510,000, and servicing and administrative fees of $1,125,000 in 2003. For the year ended December 31, 2003, the Company earned $173,376,000 in surcharge revenues and
$773,000 in interest income compared to $205,230,000 in surcharge revenues and $1,124,000 in
interest income for the year ended December 31, 2002. The decrease in surcharge revenues is due to
lower electricity sales by Detroit Edison and a decrease in the surcharge rate due to over
collection in the prior year. Amortization expense consists of amortization of the Securitization
Property, overcollateralization fee, and the over or under recovery of securitization surcharge.
The amortization expense for the years ended December 2003 and 2002 was $70,927,000 and
$98,887,000, respectively. The decrease in amortization expense reflects the adjustment needed to
have revenues and interest income equal expenses. The lower amount was primarily attributable to
the decrease in surcharge revenues. During 2003, the Company also incurred interest expense of
$100,480,000, amortization of debt issuance costs of $1,510,000, and servicing and administrative fees of $1,125,000 compared to interest expense of 2




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$104,873,000, amortization of debt issuance costs of $1,398,000, and servicing and administrative
fees of $1,125,000 in 2002. 
 Item 7A. Quantitative and Qualitative Disclosures About Market Risk The Company estimates that if interest rates were 10% higher or lower, the fair value of
long-term debt at December 31, 2004 would decrease $35 million and increase $36 million,
respectively. 3




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Item 8. Financial Statements and Supplementary Data PageReport of Independent Registered Public Accounting Firm
    
    
    5Statement of Operations
    
    
    6Statement of Financial Position
    
    
    7Statement of Cash Flows
    
    
    8Statement of Members Equity
    
    
    9Notes to Financial Statements
    
    
    10
 4




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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Managers of
The Detroit Edison Securitization Funding LLC We have audited the statement of financial position of The Detroit Edison Securitization Funding
LLC, (the Company) as of December 31, 2004 and 2003 and the related statements of operations,
cash flows and members equity for each of the three years in the period ended December 31, 2004.
These financial statements are the responsibility of the Companys management. Our responsibility
is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight
Board (United States). Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material misstatement. The
Company is not required to have, nor were we engaged to perform, an audit of its internal control
over financial reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the circumstances but
not for the purpose of expressing an opinion on the effectiveness of the Companys internal control
over financial reporting. Accordingly, we express no such opinion. An audit also includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates made by management,
as well as evaluating the overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion. In our opinion, such financial statements present fairly, in all material respects, the financial
position of the Company at December 31, 2004 and 2003, and the results of its operations and its
cash flows for each of the three years in the period ended December 31, 2004 in conformity with
accounting principles generally accepted in the United States of America. /S/ DELOITTE & TOUCHE LLP Detroit, Michigan
March 15, 2005 5




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The Detroit Edison Securitization Funding llc 
 Statement of Operations
 Year Ended December 31(in Thousands)
    
    2004
    
    2003
    
    2002Operating Revenues
    
    $
    184,184
    
    
    $
    173,376
    
    
    $
    205,230Operating ExpensesAmortization expense
    
    
    86,381
    
    
    
    70,927
    
    
    
    98,887Servicing and administrative fees
    
    
    1,125
    
    
    
    1,125
    
    
    
    1,125Other
    
    
    123
    
    
    
    107
    
    
    
    7187,629
    
    
    
    72,159
    
    
    
    100,083Operating Income
    
    
    96,555
    
    
    
    101,217
    
    
    
    105,147Interest Expense and OtherInterest expense
    
    
    95,677
    
    
    
    100,480
    
    
    
    104,873Interest income
    
    
    (699
    )
    
    
    (773
    )
    
    
    (1,124
    )Amortization of debt issuance costs
    
    
    1,577
    
    
    
    1,510
    
    
    
    1,39896,555
    
    
    
    101,217
    
    
    
    105,147Net Income
    
    $
    
    
    
    $
    
    
    
    $
    
 See Notes to Financial Statements 6




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The Detroit Edison Securitization Funding llc 
 Statement of Financial Position
 December 31(in Thousands)
    
    2004
    
    2003ASSETSCurrent AssetsRestricted cash
    
    $
    73,137
    
    
    $
    79,447Accounts receivable
    
    
    23,144
    
    
    
    22,193Accrued unbilled revenues
    
    
    12,181
    
    
    
    9,225108,462
    
    
    
    110,865Securitized Regulatory AssetsSecuritization property, less accumulated amortization of
$282,012 and $192,473, respectively
    
    
    1,437,703
    
    
    
    1,527,243Other AssetsUnamortized bond issuance cost, less accumulated
amortization of $4,966 and $3,390, respectively
    
    
    25,319
    
    
    
    26,895$
    1,571,484
    
    
    $
    1,665,003LIABILITIES AND MEMBERS EQUITYCurrent LiabilitiesAccrued interest
    
    $
    31,261
    
    
    $
    32,894Accounts payable to member
    
    
    375
    
    
    
    375Current portion of securitization bonds payable
    
    
    96,349
    
    
    
    88,727Securitization reserve
    
    
    32,481
    
    
    
    36,265160,466
    
    
    
    158,261Non-Current Liabilities and Deferred CreditsSecuritization bonds payable
    
    
    1,399,872
    
    
    
    1,496,221Other
    
    
    2,396
    
    
    
    1,7711,402,268
    
    
    
    1,497,992Members Equity
    
    
    8,750
    
    
    
    8,750$
    1,571,484
    
    
    $
    1,665,003
 See Notes to Financial Statements 7




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The Detroit Edison Securitization Funding llc 
 Statement
of Cash Flows
 Year Ended December 31(in Thousands)
    
    2004
    
    2003
    
    2002Operating ActivitiesNet income
    
    $
    
    
    
    $
    
    
    
    $
    Adjustments to reconcile net income to net cash from
operating activities:Amortization
    
    
    87,957
    
    
    
    74,035
    
    
    
    100,285Changes in current assets and liabilities:Accounts receivable and accrued unbilled revenues
    
    
    (3,907
    )
    
    
    455
    
    
    
    (2,420
    )Interest payable
    
    
    (1,629
    )
    
    
    (1,569
    )
    
    
    (1,253
    )Accounts payable
    
    
    (4
    )
    
    
    35
    
    
    
    (24
    )Net cash from operating activities
    
    
    82,417
    
    
    
    72,956
    
    
    
    96,588Investing ActivitiesRestricted cash
    
    
    6,310
    
    
    
    15,310
    
    
    
    (26,917
    )Capitalization of issuance cost
    
    
    
    
    
    
    
    
    
    
    (22
    )Net cash from (used for) investing activities
    
    
    6,310
    
    
    
    15,310
    
    
    
    (26,939
    )Financing ActivitiesRetirement of securitization bonds
    
    
    (88,727
    )
    
    
    (88,266
    )
    
    
    (72,521
    )Net cash used for financing activities
    
    
    (88,727
    )
    
    
    (88,266
    )
    
    
    (72,521
    )Net Increase (Decrease) in Cash and Cash Equivalents
    
    
    
    
    
    
    
    
    
    
    (2,872
    )Cash and Cash Equivalents at Beginning of the Period
    
    
    
    
    
    
    
    
    
    
    2,872Cash and Cash Equivalents at End of the Period
    
    $
    
    
    
    $
    
    
    
    $
    Supplementary Cash Flow InformationInterest paid
    
    $
    97,307
    
    
    $
    102,049
    
    
    $
    106,126
 See Notes to Financial Statements 8




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The Detroit Edison Securitization Funding llc 
 Statement of Members Equity
 Year Ended December 31(in Thousands)
    
    2004
    
    
    2003
    
    
    2002Balance beginning of period
    
    $
    8,750
    
    
    $
    8,750
    
    
    $
    8,750Balance end of period
    
    $
    8,750
    
    
    $
    8,750
    
    
    $
    8,750
 See Notes to Financial Statements 9




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The
Detroit Edison Securitization Funding LLC 
 Notes To Financial Statements
 NOTE 1 - NATURE OF OPERATIONS The Detroit Edison Securitization Funding LLC (Company), a single member limited liability company
established by The Detroit Edison Company (Detroit Edison) under the laws of the state of Michigan,
was formed on November 20, 2000. The Company is a wholly owned subsidiary of Detroit Edison, an
operating electric public utility that is a wholly owned subsidiary of DTE Energy Company (DTE
Energy). The Company was organized for the sole purpose of purchasing and owning securitization
property, issuing securitization bonds, and performing activities that are necessary to accomplish
these purposes. The Company had no financial operations until February 15, 2001. The Company is a special purpose entity established by Detroit Edison to recover certain qualified
costs, called Securitization Property by Michigan statute. The qualified costs primarily represent
Detroit Edisons unamortized investment in the 1,150 Megawatt Fermi 2 nuclear power plant that was
classified as a regulatory asset by Detroit Edison. Securitization Property is a property right
authorized by Michigan state legislation and by a financing order of the Michigan Public Service
Commission (MPSC). The Michigan statute provided, among other things, the irrevocable right of
Detroit Edison, or its successor or assignee, to impose, collect and receive a non-bypassable
securitization surcharge (SC) from customers pursuant to an order (Financing Order), issued on
November 2, 2000, and clarified on January 4, 2001, by the MPSC in accordance with the June 2000
Customer Choice and Electricity Reliability Act (Act). The Financing Order also includes the right
to obtain periodic adjustments of SC. The Financing Order authorizes the SC to be sufficient to
recover up to $1.774 billion aggregate principal amount of securitization bonds (Bonds), plus an
amount sufficient to fund any reserves and to pay interest, servicing fees and other administrative
expenses relating to the Bonds. On March 9, 2001, the Company issued $1.75 billion of Bonds and used the net proceeds to purchase
the Securitization Property from Detroit Edison. The principal amount of the Bonds, interest, fees, and required overcollateralization for the Bonds
will be recovered through the SC payable by electric customers taking delivery of electricity from
Detroit Edison on its MPSC approved rate schedules and special contracts. Detroit Edison, as Servicer, collects the SC from its customers and deposits daily collections into
various subaccounts held by The Bank of New York, as trustee (Trustee). The Trustee is required to
use these funds to make principal and interest payments on the Bonds and to pay fees and expenses
specified in the Indenture for the Bonds. The Company has no employees. Under a Servicing Agreement, Detroit Edison is required to manage
and administer the Securitization Property. Detroit Edison collects the SC on behalf of the
Company. Detroit Edison receives an annual servicing fee of 0.05% of the initial principal amount
of the Bonds. The Servicing Agreement also requires Detroit Edison to file requests with the MPSC
for annual adjustments to the SC. These adjustments are based on actual SC collections and updated
assumptions by Detroit Edison of estimated delivery of electricity, expected delinquencies and
write-offs, and future expenses relating to the Securitization Property and the Bonds. 10




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NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying financial statements are prepared using accounting principles generally accepted
in the United States of America. These accounting principles require management to use estimates
and assumptions that impact reported amounts of assets, liabilities, revenues, expenses, and the
disclosure of contingent assets and liabilities. Actual results may differ from those estimates. Regulation The Companys business meets the criteria of Statement of Financial Accounting Standards (SFAS) No.
71, Accounting for the Effects of Certain Types of Regulation. This accounting standard
recognizes the cost-based ratemaking process, which results in differences in the application of
generally accepted accounting principles between regulated and non-regulated businesses. Continued
applicability of SFAS No. 71 requires that rates be designed to recover specific costs of providing
regulated services and be charged to and collected from customers. The Company believes that
currently available facts support the continued application of SFAS No. 71 to its business. Cash and Cash Equivalents For purposes of the Statement of Cash Flows, the Company considers investments purchased with
maturity of three months or less to be cash equivalents. Restricted Cash Restricted cash at December 31, 2004 and 2003 includes $65.7 million and $58.4 million in the
General Subaccount and $7.4 and $8.8 million in the Capital
Subaccount, respectively. In addition, at December 31, 2003, restricted cash included $10.7 million in the Reserve Subaccount and $1.5
million in the Overcollateralization Subaccount. The Trustee has established the following
subaccounts for the Bonds: General Subaccountis comprised of daily SC collections and interest earned from short-term
investments. These amounts accumulate until the Trustee pays principal, interest, service and
administration fees, and other expenses. Reserve Subaccountconsists of funds remaining after required allocations on the scheduled
semi-annual payment dates. The Trustee may draw funds from this subaccount if the general
subaccount is insufficient to make scheduled payments. Overcollateralization Subaccountaccumulates a mandatory reserve amount. This account is funded
over the life of the Bonds. The Trustee may draw from this subaccount if the general subaccount and
reserve subaccount are insufficient to service required payments. If the Overcollateralization
Subaccount is used, it will be replenished to the required level from SC remittances. Capital Subaccountwas initially funded by a contribution to the Company by Detroit Edison on the
date of issuance of the Bonds in an amount equal to 0.5% of the initial principal amount of the
Bonds. This subaccount will be released at Bond retirement. The Trustee can draw funds from this
subaccount if the general subaccount, reserve subaccount and overcollateralization subaccount are
insufficient to service bond payments. If the Capital Subaccount is used, it will be replenished
from SC remittances. Unamortized Bond Issuance Costs The costs related to the issuance of the Bonds are amortized over the life of the Bonds. 11




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Revenue Detroit Edison, as Servicer, collects a surcharge from its customers for the benefit of the Company
and the Securitization Bondholders. The surcharge is adjusted annually to provide sufficient funds
for timely payments related to the securitization bonds. The surcharge rate will be modified to
$0.00388 per kilowatthour (kWh) on March 1, 2005 compared to $0.00374 per kWh effective at March 1,
2004 and $0.00336 effective at March 1, 2003. The Company also accrues SC revenue for electric services provided by Detroit Edison but unbilled
at the end of each month. Amortization The Securitization Property was recorded at acquired cost and is being amortized over the life of
the Bonds, based on estimated SC revenues, interest accruals and other expenses. The Act limits
the Bond life to no greater than 15 years. Amortization expense consists of amortization of the
Securitization Property, overcollateralization fee, and over-recovery of SC. In accordance with SFAS No. 71, amortization is adjusted for over/under recovery of SC resulting
from differences between estimated and actual electricity delivery and is shown as a securitization
reserve on the statement of financial position. Income Taxes The Company has elected to be treated as a division of Detroit Edison, and is not a separate
taxable entity. As a result, Detroit Edison is responsible for the tax impacts of the Company. NOTE 3 - LONG-TERM DEBT In March 2001, the Company issued $1.75 billion of Bonds at an average annual interest rate of
6.3%. The Company used the proceeds from the Bonds to purchase Securitization Property from
Detroit Edison. The Securitization Property of the Company has been assigned to the Trustee to
collateralize the Bonds. The Company retired $88,727,000 of Bonds during 2004 and $88,266,000 of Bonds during 2003. 12




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Details of the Bonds at December 31, 2004 are: Principal Balance
    
    Expected Final
    
    Final MaturityClass
    
    Bond Rate
    
    (in Thousands)
    
    Payment Date
    
    DateA-2
    
    5.51%
    
    $
    49,799
    
    
    3/1/05
    
    3/1/07A-3
    
    5.88%
    
    
    322,792
    
    
    3/1/08
    
    3/1/10A-4
    
    6.19%
    
    
    406,722
    
    
    3/1/11
    
    3/1/13A-5
    
    6.42%
    
    
    326,237
    
    
    3/1/13
    
    3/1/15A-6
    
    6.62%
    
    
    390,671
    
    
    3/1/15
    
    3/1/16Total
    
    
    1,496,221Less amount due within
one year
    
    
    96,349Long-Term Debt
    
    $
    1,399,872
 In the years 2005  2009, long-term debt maturities are $96,348,877, $104,497,870, $110,793,727,
$120,071,713 and $131,911,609, respectively. NOTE 4  FAIR VALUE OF FINANCIAL INSTRUMENTS The fair value of financial instruments is determined by reference to various market data and other
valuation techniques. The estimated fair value of long-term debt at December 31, 2004 and 2003 was
$1,642,081,000 and $1,758,473,000 compared to the carrying amount of $1,496,221,000 and
$1,584,948,000, respectively. NOTE 5  SIGNIFICANT AGREEMENTS AND RELATED PARTY TRANSACTIONS Under the Servicing Agreement, Detroit Edison as Servicer is required to manage and administer the
Securitization Property of the Company and to collect the SC on behalf of the Company. The Company
pays an annual service fee of $875,000 and an annual administrative fee of $250,000 to Detroit
Edison. At December 31, 2004 and December 31, 2003, the Statement of Financial Position includes a
receivable from Detroit Edison of $23,000,311 and $22,023,445 for SC collections and also includes
a payable to Detroit Edison of $375,000 and $375,000 for servicing and administrative fees,
respectively. NOTE 6  SUPPLEMENTARY QUARTERLY FINANCIAL INFORMATION (Unaudited) First
    

    
    Second
    
    
    Third
    
    
    Fourth(in Thousands)
    
    Quarter
    
    
    Quarter
    
    
    Quarter
    
    
    Quarter
    
    
    Year2004Operating Revenue
    
    $
    44,560
    
    
    $
    44,113
    
    
    $
    49,307
    
    
    $
    46,204
    
    
    $
    184,184Operating Income
    
    
    24,667
    
    
    
    24,263
    
    
    
    24,019
    
    
    
    23,606
    
    
    
    96,555Net Income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2003Operating Revenue
    
    $
    44,680
    
    
    $
    40,401
    
    
    $
    46,965
    
    
    $
    41,330
    
    
    $
    173,376Operating Income
    
    
    25,744
    
    
    
    25,374
    
    
    
    25,205
    
    
    
    24,894
    
    
    
    101,217Net Income
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
 13




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##### Table of Contents



Item 9. Change in and Disagreements with Accountants on Accounting and Financial Disclosure None. 
 Item 9A. Controls and Procedures (a) Evaluation of disclosure controls and procedures Management of the Company carried out an evaluation, under
the supervision and with the participation of the Companys Chief
Executive Officer and Chief Financial Officer, of the effectiveness of
the Companys disclosure controls and procedures (as defined in
Exchange Act Rules 13a15(e) and 15d15(e)) as of December
31, 2004, which is the end of the period covered by this report.
Based on this evaluation, the Companys Chief Executive Officer
and Chief Financial Officer have concluded that such controls and
procedures are effectively designed to ensure that information
required to be disclosed by the Company in reports that it files or
submits under the Exchange Act is recorded, processed, summarized and
reported within the time periods specified in the SECs rules
and forms. Disclosure controls and procedures include, without
limitation, controls and procedures designed to ensure that
information  required to be disclosed by the Company in the reports
that it files or submits under the Exchange Act is accumulated and
communicated to the Companys management, including its Chief
Executive Officer and Chief Financial Officer, as appropriate to
allow timely decisions regarding required disclosure. (b) Changes in
internal control over financial reporting There
has been no change in the Companys internal control over
financial reporting during the fourth quarter of 2004 that has
materially affected, or is reasonably likely to materially affect, the
Companys internal control over financial reporting. 
 Item 9B. Other Information None. 
 Part III 
 Item 10. Directors and Executive Officers of the Registrant 
 Item 11. Executive Compensation 
 Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Owner Matters 
 Item 13. Certain Relationships and Related Transactions All omitted per general instruction I (2) (c) of Form 10-K for wholly owned subsidiaries
(reduced disclosure format). 
 Item 14. Principal Accountant Fees and Services Not required. 14




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##### Table of Contents



Part IV 
 Item 15. Exhibits and Financial Statement Schedules  (a)
    The following documents are filed as part of this Annual Report on Form 10-K.  (1)
    Financial statements. See Item 8 - Financial Statements and Supplementary Data.(2)
    Schedules are omitted as not applicable or not required, or the required information is
shown in the financial statements or notes thereto.(3)
    Exhibits. Exhibit No.
    
    Description(i)
    
    
    
    Exhibits filed herewith.12-4
    
    Computation of Ratio of Earnings to Fixed Charges.31-7
    
    Chief Executive Officer Section 302 Form 10-K Certification of Periodic Report31-8
    
    Chief Financial Officer Section 302 Form 10-K Certification of Periodic Report99-58
    
    Monthly Servicer Certificate dated October 13, 2004.99-59
    
    Monthly Servicer Certificate dated November 12, 2004.99-60
    
    Monthly Servicer Certificate dated December 13, 2004.99-61
    
    Monthly Servicer Certificate dated January 12, 2005.99-62
    
    Amendment, dated as of January 20, 2005, to the Trade Receivables Purchase
and Sale Agreement, dated as of February 28, 1989, as Amended and Restated as
of October 1, 1991, and as further amended by an Amendment dated as of
February 28, 1994, an Amendment dated as of February 1, 1999, an Amendment
dated as of January 27, 2000, an Amendment dated as of January 25, 2001, an
Amendment dated as of May 28, 2003 and an Amendment dated February 25, 2004,
as so amended and restated, among The Detroit Edison Company, Citibank, N.A.
and Citicorp North America, Inc.99-63
    
    Amendment No. 4, dated as of January 20, 2005, to the Trade Receivables
Purchase and Sale Agreement, dated as of February 28, 1989, as Amended and
Restated as of October 1, 1991, as Amended and Restated as of March 9, 2001,
an Amendment dated as of January 17, 2003, an Amendment dated as of May 28,
2003 and an Amendment dated February 25, 2004, as so amended and restated,
among The Detroit Edison Company, CAFCO, LLC (successor to Corporate Asset
Funding Company, Inc.), Citibank, N.A. and Citicorp North America, Inc.(ii)
    
    
    
    Exhibits incorporated herein by reference.4(a)
    
    Limited Liability Company Agreement of The Detroit Edison Securitization
Funding LLC (Exhibit 4.1 to Registration Statement No. 333-51066).4(b)
    
    Restated Articles of Organization of The Detroit Edison Securitization
Funding LLC (Exhibit 4.2.1 to Registration Statement No. 333-51066).4(c)
    
    Indenture dated as of March 9, 2001 between The Detroit Edison Securitization
Funding LLC and The Bank of New York, as trustee, securing securitization
bonds issuable in series (Exhibit 4.3 to Form 10-Q for quarter ended March
31, 2001).4(d)
    
    Supplemental Indenture dated as of March 9, 2001, creating 2001-1 Series
(Exhibit 4.3.1 to Form 10-Q for quarter ended March 31, 2001).10(a)
    
    Securitization Property Sale Agreement dated as of March 9, 2001 between The
Detroit
 15




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##### Table of Contents



Exhibit No.
    
    DescriptionEdison Securitization Funding LLC, as issuer, and The Detroit Edison
Company, as seller (Exhibit 10.1 to Form 10-Q for quarter ended March 31,
2001).10(b)
    
    Securitization Property Servicing Agreement dated as of March 9, 2001 between
The Detroit Edison Securitization Funding LLC, as issuer, and The Detroit
Edison Company, as servicer (Exhibit 10.2 to Form 10-Q for quarter ended
March 31, 2001).10(c)
    
    Financing Opinion and Order of the MPSC issued November 2, 2000 (Exhibit 10.3
to Registration Statement No. 333-51066).10(d)
    
    Opinion and Order of the MPSC issued January 4, 2001 (Exhibit 10.4 to
Registration Statement No. 333-51066).99(a)
    
    Internal Revenue Service Private Letter Ruling pertaining to Bonds (Exhibit
99.1 to Registration Statement No. 333-51066).99(b)
    
    Administration Agreement dated as of March 9, 2001 between The Detroit Edison
Securitization Funding LLC, as issuer, and The Detroit Edison Company, as
administrator (Exhibit 99.2 to Registration Statement No. 333-51066).99(c)
    
    Amended and Restated Trade Receivables Purchase and Sale Agreement,
dated as of March 9, 2001 among The Detroit Edison Company, as seller,
Corporate Asset Funding, Inc., Citibank, N.A., and Citicorp North America,
Inc. (Exhibit 99.3 to Registration Statement No. 333-51066 ).99(d)
    
    Amendment to Trade Receivables Purchase and Sale Agreement dated as of
March 9, 2001 among The Detroit Edison Company, as seller, Citibank, N.A.,
and Citicorp North America, Inc. (Exhibit 99.4 to Registration Statement
No. 333-51066 ).99(e)
    
    Amendment No. 2 dated as of May 28, 2003 to the Trade Receivables Purchase
and Sale Agreement, dated as of February 28, 1989, an Amendment and
Restatement thereof, dated as of October 1, 1991, an Amendment and
Restatement thereof dated as of March 9, 2001 and an Amendment dated as of
January 17, 2003, among The Detroit Edison Company, as seller, Corporate
Asset Funding Company, Inc., Citibank, N.A., and Citicorp North America, Inc.
(Exhibit 99.40 to Form 10-Q for quarter ended June 30, 2003).99(f)
    
    Amendment dated as of May 28, 2003 to the Trade Receivables Purchase and Sale
Agreement, dated as of February 28, 1989, and an Amendment and Restatement
thereof, dated as of October 1, 1991, and as further amended by an Amendment
dated as of February 28, 1994, an Amendment dated as of February 1, 1999, an
Amendment dated as of January 27, 2000 and an Amendment dated as of January
25, 2001 among The Detroit Edison Company, as seller, Citibank, N.A., and
Citicorp North America, Inc. (Exhibit 99.39 to Form 10-Q for quarter ended
June 30, 2003).99(g)
    
    Amendment dated as of February 25, 2004 to the Trade Receivables Purchase and
Sale Agreement, dated as of February 28, 1989, and an Amendment and
Restatement thereof, dated as of October 1, 1991, and as further amended by
an Amendment dated as of February 28, 1994, an Amendment dated as of February
1, 1999, an Amendment dated as of January 27, 2000, and an Amendment dated as
of January 25, 2001 and an Amendment dated as of May 28, 2003, as so amended
and restated, among The Detroit Edison Company, Citibank, N.A. and Citicorp
North America, Inc. (Exhibit 99-15 to The Detroit Edison Company Form 10-Q
for quarter ended March 31, 2004).99(h)
    
    Amendment No. 3 dated as of February 25, 2004 to the Trade Receivables
Purchase and Sale Agreement, dated as of February 28, 1989, an Amendment and
Restatement thereof, dated as of October 1, 1991, an Amendment and
Restatement thereof dated as of March 9, 2001, an Amendment dated as of
January 17, 2003 and an Amendment dated as of May 28, 2003, as so amended and
restated, among The Detroit Edison Company, CAFCO, LLC (successor to
Corporate Asset Funding Company, Inc.), Citibank, N.A. and Citicorp North
America, Inc. (Exhibit 99-16 to Form 10-Q for quarter ended March 31, 2004).99(i)
    
    Intercreditor Agreement dated as of March 9, 2001 among Citicorp North
America, Inc., Citibank, N.A., The Bank of New York, The Detroit Edison
Securitization Funding LLC, as issuer, and The Detroit Edison Company
(Exhibit 99.5 to Form 10-Q for quarter ended March 31, 2001).
 16




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##### Table of Contents



Exhibit No.
    
    Description99
(j)
99(k)
    
    Securitization Bond Charges, filed with the MPSC on August 10, 2001 (Exhibit
99.10 to Form 10-Q for quarter ended June 30, 2001).
MPSC Order dated February 6, 2002 authorizing True-up
Adjustment (Exhibit 99.16 to Form 10-K for year ended December 31, 2001).(iii)
    
    
    
    Exhibits furnished herewith.32-13
    
    Chief Executive Officer Section 906 Certification of Periodic Report.32-14
    
    Chief Financial Officer Section 906 Certification of Periodic Report.
 17




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##### Table of Contents



SIGNATURES Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized. THE DETROIT EDISON SECURITIZATION FUNDING LLC(Registrant)
 Date: March 15, 2005
    By:

/s/ DANIEL G.
BRUDZYNSKIDaniel G. BrudzynskiController
 Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed
below by the following persons on behalf of the registrant and in the capacities and on the date
indicated. By
    
    /s/ DAVID E. MEADOR
    
    By
    
    /s/ N. A. KHOURIDavid E. Meador, Manager
    
    
    
    N. A. Khouri, Managerand principal executive officerBy
    
    /s/ DANIEL G. BRUDZYNSKIDaniel G. BrudzynskiController and principal financial officer
 Date: March 15, 2005 18




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##### Table of Contents



Exhibit Index Exhibit No.
    
    Description(i)
    
    
    
    Exhibits filed herewith.12-4
    
    Computation of Ratio of Earnings to Fixed Charges.31-7
    
    Chief Executive Officer Section 302 Form 10-K Certification of Periodic Report31-8
    
    Chief Financial Officer Section 302 Form 10-K Certification of Periodic Report99-58
    
    Monthly Servicer Certificate dated October 13, 2004.99-59
    
    Monthly Servicer Certificate dated November 12, 2004.99-60
    
    Monthly Servicer Certificate dated December 13, 2004.99-61
    
    Monthly Servicer Certificate dated January 12, 2005.99-62
    
    Amendment, dated as of January 20, 2005, to the Trade Receivables Purchase
and Sale Agreement, dated as of February 28, 1989, as Amended and Restated as
of October 1, 1991, and as further amended by an Amendment dated as of
February 28, 1994, an Amendment dated as of February 1, 1999, an Amendment
dated as of January 27, 2000, an Amendment dated as of January 25, 2001, an
Amendment dated as of May 28, 2003 and an Amendment dated February 25, 2004,
as so amended and restated, among The Detroit Edison Company, Citibank, N.A.
and Citicorp North America, Inc.99-63
    
    Amendment No. 4, dated as of January 20, 2005, to the Trade Receivables
Purchase and Sale Agreement, dated as of February 28, 1989, as Amended and
Restated as of October 1, 1991, as Amended and Restated as of March 9, 2001,
an Amendment dated as of January 17, 2003, an Amendment dated as of May 28,
2003 and an Amendment dated February 25, 2004, as so amended and restated,
among The Detroit Edison Company, CAFCO, LLC (successor to Corporate Asset
Funding Company, Inc.), Citibank, N.A. and Citicorp North America, Inc.(ii)
    
    
    
    Exhibits incorporated herein by reference.4(a)
    
    Limited Liability Company Agreement of The Detroit Edison Securitization
Funding LLC (Exhibit 4.1 to Registration Statement No. 333-51066).4(b)
    
    Restated Articles of Organization of The Detroit Edison Securitization
Funding LLC (Exhibit 4.2.1 to Registration Statement No. 333-51066).4(c)
    
    Indenture dated as of March 9, 2001 between The Detroit Edison Securitization
Funding LLC and The Bank of New York, as trustee, securing securitization
bonds issuable in series (Exhibit 4.3 to Form 10-Q for quarter ended March
31, 2001).4(d)
    
    Supplemental Indenture dated as of March 9, 2001, creating 2001-1 Series
(Exhibit 4.3.1 to Form 10-Q for quarter ended March 31, 2001).10(a)
    
    Securitization Property Sale Agreement dated as of March 9, 2001 between The
Detroit




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##### Table of Contents



Exhibit No.
    
    DescriptionEdison Securitization Funding LLC, as issuer, and The Detroit Edison
Company, as seller (Exhibit 10.1 to Form 10-Q for quarter ended March 31,
2001).10(b)
    
    Securitization Property Servicing Agreement dated as of March 9, 2001 between
The Detroit Edison Securitization Funding LLC, as issuer, and The Detroit
Edison Company, as servicer (Exhibit 10.2 to Form 10-Q for quarter ended
March 31, 2001).10(c)
    
    Financing Opinion and Order of the MPSC issued November 2, 2000 (Exhibit 10.3
to Registration Statement No. 333-51066).10(d)
    
    Opinion and Order of the MPSC issued January 4, 2001 (Exhibit 10.4 to
Registration Statement No. 333-51066).99(a)
    
    Internal Revenue Service Private Letter Ruling pertaining to Bonds (Exhibit
99.1 to Registration Statement No. 333-51066).99(b)
    
    Administration Agreement dated as of March 9, 2001 between The Detroit Edison
Securitization Funding LLC, as issuer, and The Detroit Edison Company, as
administrator (Exhibit 99.2 to Registration Statement No. 333-51066).99(c)
    
    Amended and Restated Trade Receivables Purchase and Sale Agreement,
dated as of March 9, 2001 among The Detroit Edison Company, as seller,
Corporate Asset Funding, Inc., Citibank, N.A., and Citicorp North America,
Inc. (Exhibit 99.3 to Registration Statement No. 333-51066 ).99(d)
    
    Amendment to Trade Receivables Purchase and Sale Agreement dated as of
March 9, 2001 among The Detroit Edison Company, as seller, Citibank, N.A.,
and Citicorp North America, Inc. (Exhibit 99.4 to Registration Statement
No. 333-51066 ).99(e)
    
    Amendment No. 2 dated as of May 28, 2003 to the Trade Receivables Purchase
and Sale Agreement, dated as of February 28, 1989, an Amendment and
Restatement thereof, dated as of October 1, 1991, an Amendment and
Restatement thereof dated as of March 9, 2001 and an Amendment dated as of
January 17, 2003, among The Detroit Edison Company, as seller, Corporate
Asset Funding Company, Inc., Citibank, N.A., and Citicorp North America, Inc.
(Exhibit 99.40 to Form 10-Q for quarter ended June 30, 2003).99(f)
    
    Amendment dated as of May 28, 2003 to the Trade Receivables Purchase and Sale
Agreement, dated as of February 28, 1989, and an Amendment and Restatement
thereof, dated as of October 1, 1991, and as further amended by an Amendment
dated as of February 28, 1994, an Amendment dated as of February 1, 1999, an
Amendment dated as of January 27, 2000 and an Amendment dated as of January
25, 2001 among The Detroit Edison Company, as seller, Citibank, N.A., and
Citicorp North America, Inc. (Exhibit 99.39 to Form 10-Q for quarter ended
June 30, 2003).99(g)
    
    Amendment dated as of February 25, 2004 to the Trade Receivables Purchase and
Sale Agreement, dated as of February 28, 1989, and an Amendment and
Restatement thereof, dated as of October 1, 1991, and as further amended by
an Amendment dated as of February 28, 1994, an Amendment dated as of February
1, 1999, an Amendment dated as of January 27, 2000, and an Amendment dated as
of January 25, 2001 and an Amendment dated as of May 28, 2003, as so amended
and restated, among The Detroit Edison Company, Citibank, N.A. and Citicorp
North America, Inc. (Exhibit 99-15 to The Detroit Edison Company Form 10-Q
for quarter ended March 31, 2004).99(h)
    
    Amendment No. 3 dated as of February 25, 2004 to the Trade Receivables
Purchase and Sale Agreement, dated as of February 28, 1989, an Amendment and
Restatement thereof, dated as of October 1, 1991, an Amendment and
Restatement thereof dated as of March 9, 2001, an Amendment dated as of
January 17, 2003 and an Amendment dated as of May 28, 2003, as so amended and
restated, among The Detroit Edison Company, CAFCO, LLC (successor to
Corporate Asset Funding Company, Inc.), Citibank, N.A. and Citicorp North
America, Inc. (Exhibit 99-16 to Form 10-Q for quarter ended March 31, 2004).99(i)
    
    Intercreditor Agreement dated as of March 9, 2001 among Citicorp North
America, Inc., Citibank, N.A., The Bank of New York, The Detroit Edison
Securitization Funding LLC, as issuer, and The Detroit Edison Company
(Exhibit 99.5 to Form 10-Q for quarter ended March 31, 2001).




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##### Table of Contents



Exhibit No.
    
    Description99 (j)
    
    Securitization Bond Charges, filed with the MPSC on August 10, 2001 (Exhibit 99.10 to Form 10-Q for quarter ended June 30, 2001).99(k)
    
    MPSC Order dated February 6,
2002 authorizing True-up Adjustment (Exhibit 99.16 to Form 10-K for year ended December 31, 2001).(iii)
    
    
    
    Exhibits furnished herewith.32-13
    
    Chief Executive Officer Section 906 Certification of Periodic Report.32-14
    
    Chief Financial Officer Section 906 Certification of Periodic Report.