EDITORS: Please do not use
"Pacific Gas and Electric" or "PG&E" when
referring to PG&E Corporation or its National Energy Group.
The PG&E National Energy Group is not the same company as Pacific
Gas and Electric Company, the utility, and is not regulated by the
California Public Utilities Commission. Customers of Pacific Gas
and Electric Company do not have to buy products or services from
the National Energy Group in order to continue to receive quality
regulated services from Pacific Gas and Electric Company.
UPDATE: BANKRUPTCY COURT ALLOWS PG&E TO PAY $333 MILLION MORTGAGE
SAN FRANCISCO - Pacific
Gas and Electric Company has received approval from the U.S. Bankruptcy
Court to pay $333 million of 7-7/8 percent Series 92A First and
Refunding Mortgage Bonds maturing March 1, 2002.
Bondholders who hold the
bonds in a brokerage account will have principal and interest paid
to their account. Certificate holders will need to deliver their
certificates to the trustee, The Bank of New York, to receive payment
for the principal. Interest checks to certificate holders will be
The $333 million mortgage
bond series was recently included by the California Public Utilities
Commission in the debt it proposed to reinstate as part of its term
sheet. However, as PG&E noted in its response to the CPUC term sheet,
this debt cannot be reinstated because the debt matures on March
1, 2002, long before the proposed effective date of the CPUC's term
With this Court approval,
PG&E will pay the bondholders from its current available cash.