SAN FRANCISCO - Lenders
under PG&E Corporation's (NYSE:PCG) aggregate $1.02 billion term-loan
agreement have agreed to continue to waive through October 21, 2002,
subject to earlier termination under certain circumstances, the
agreement's requirement that PG&E National Energy Group (PG&E NEG)
maintain an investment grade credit rating by either Standard &
Poor's or Moody's Investors Service.
Discussions with PG&E NEG's
lenders are currently underway. PG&E Corporation said that it is
continuing its discussions with its lenders, General Electric Capital
Corporation, Lehman Brothers, and certain other lenders, to develop
long-term modifications to its credit agreement.