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PG&E Corporation Statement On Discussions With Governor

02/23/2001

(San Francisco, CA) - In response to inquiries today, PG&E Corporation Chairman, CEO and President Robert D. Glynn, Jr. issued the following statement regarding his meeting yesterday with California Governor Gray Davis:

"Yesterday's discussions were an important milestone in the resolution of California's energy crisis. A fair and balanced plan that returns the utilities to financial health is essential to the California economy."

"We look forward to continued discussions with the Governor to resolve outstanding issues relating to PG&E. Our meeting yesterday provided an important opportunity to clarify our comprehensive proposal."

"Each utility's issues and opportunities in this crisis are different, and we believe that PG&E has proposed a detailed solution that balances ratepayer and shareholder interests. We are confident that continued discussions could achieve a resolution for our company. Our team will continue to work with the Governor's staff to clarify our proposals, and I look forward to meeting with the Governor at any time to bring this matter to conclusion so that we can all work toward solving the longer-term energy challenges facing the state."

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