PACIFIC GAS

Pacific Gas and Electric Company is engaged in the sale and delivery of electricity and natural gas. The Company generates electricity and provides electricity transmission, and distribution services across northern and central California. The Company offers its services to residential, commercial, industrial and agricultural customers. It provides bundled services, which include electricity, transmission and distribution services. Its hydroelectric system consists of approximately 110 generating units at over 70 powerhouses. It provides natural gas transportation services to small commercial and residential customers, as well as to industrial, commercial and natural gas-fired electric generation facilities that are connected to the Company's gas system in its service territory. It provides gas delivery, metering and billing services to customers. Its bundled natural gas service includes both transportation and procurement services. The Company is the subsidiary of PG&E Corporation.