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U.S. Department Of Defense Agency Presents PG&E Corporation With 2002 California "Pro Patria" Award

12/19/2002

PG&E Corporation military reservists returning from deployments honored as Corporation receives statewide award for "above and beyond" leave policies

(San Francisco, CA ) - PG&E Corporation was presented with the 2002 Pro Patria Award today by the Department of Defense's Employer Support of the Guard and Reserve (ESGR). The statewide honor was given to PG&E Corporation for providing military reservists with pay and benefits while serving on active duty and for the Corporation's longstanding commitment to employee reservists. Literally translated from the Latin "for the country," the ESGR's Pro Patria Award is given annually on a statewide basis to employers who demonstrate exceptional support of employee military reservists.

"We are extremely proud to receive this honor from ESGR," said PG&E Corporation Chairman, CEO, and President Robert D. Glynn, Jr. "Our employee reservists are playing a major role in protecting our nation. We believe it's our corporate responsibility to support their extraordinary commitment."

Several PG&E Corporation employees are presently on active duty with orders to support "Noble Eagle," "Enduring Freedom," and other important operations around the world. The Corporation's emergency military leave policy provides the difference between military pay and regular salary for up to six months of active duty. Based on current circumstances, the leave policy has been extended. The Corporation also continues providing the full range of employee benefits to the reservists and his or her dependents for up to 18 months of military service. PG&E Corporation has historically reevaluated its leave policy during times of national crisis and will continue to do so as the United States military responds to the events of September 11th and other national security matters.

The Corporation's policy was expanded after the events of September 11 to benefit employees like Don Jorgensen, a Pacific Gas and Electric Company customer service representative currently deployed in support of Operation Noble Eagle. "PG&E Corporation has been incredibly supportive," said Jorgensen, who received orders from the U.S. Air Force just after the September 11 attacks. "Having this support from the Company is enabling me to fulfill my military duties while continuing to support my family. I'm appreciative to the Company for its support of employees who've been called to active military duty." Master Sergeant Jorgensen is now stationed at the Fresno Air National Guard and will remain there with the 144th Fighter Wing Aircraft Generator Squadron through January of 2004. He is married with two children, 12 and 9.

Numerous PG&E Corporation employees stand ready to answer the call to duty and many have already been deployed and returned to their jobs since September 11. Mary Adamson, a PG&E Corporation executive assistant and Commander in the U.S. Navy, returned this month from a 13-month deployment with a Naval Reserve entity that performs shore-based intelligence activities. "Without PG&E Corporation's support it would be a huge financial problem for reservists because military and civilian pay differentials can be large. The Corporation extended benefits to me throughout my entire absence."

Jorgensen, Adamson and 10 other PG&E Corporation reservists from each branch of the military were honored today at the Pro Patria Award presentation (list attached). The award ceremony was held at an employee gathering at Pacific Gas and Electric Company headquarters in San Francisco. Students from the University of San Francisco Reserve Officer Training Corps opened the ceremony with a formal presentation of the colors. PG&E Corporation Chairman, CEO and President Robert D. Glynn, Jr. accepted the Pro Patria Award from the ESGR on behalf of the Corporation's 21,000 employees.

"PG&E Corporation is to be commended for its longstanding support of the men and women who maintain our nation's defenses," said Venna Bishop, chair of the San Jose committee of the ESGR and presenter of the award. "We realize the tremendous impact it has on employers to have their employees deployed, and we applaud PG&E Corporation for going above and beyond to support their reservists through the years."

The ESGR selected PG&E Corporation for the Pro Patria Award in part due the Corporation's long history of supporting its reservists. In World War I, 606 -- more than 10 percent of Pacific Gas and Electric Company's employees - served in the military or in the Red Cross. In World War II, one-sixth of the utility's men and women served in the armed forces, a total of 2,700 in all. The company made and kept the promise to re-hire all of its returning citizen soldiers.

Also in attendance at today's award ceremony was John Busterud, a corporate lawyer at Pacific Gas and Electric Company and Major in the U.S. Army Reserves. "Both my grandfathers served in WWI and my Dad is a WWII veteran. As a third generation member of the military, I value PG&E Corporation's historic and continued support for its citizen soldiers."

The ESGR is an agency within the Office of the Assistant Secretary of Defense for Reserve Affairs. It was established in 1972 to promote cooperation and understanding between reservists and their civilian employers and to assist in the resolution of conflicts arising from an employee's military commitment. The ESGR selects Pro Patria award winners annually in each state, the District of Columbia, Guam, Puerto Rico and the Virgin Islands. Pro Patria winners are considered for the ESGR's highest honor, the National Freedom Award.

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