SAN FRANCISCO - Pacific Gas and Electric Company
today announced that it intends to file early next
week a registration statement with the Securities
and Exchange Commission (SEC) for the offer and sale
of up to $9.4 billion of debt securities.
The company stated that the filing was being made
to begin the process of registering debt securities
that it intends to issue to the public in connection
with the proposed plan of reorganization submitted
by the company and the Official Committee of Unsecured
Creditors in the company's Chapter 11 case. The proceeds
of the sales would be used, together with cash on
hand and possible other debt financings, to pay creditor
claims.
The proposed plan of reorganization reflects the terms
of the proposed settlement agreement announced in June
between the company and the staff of the California
Public Utilities Commission (CPUC). As reported last
week to the U.S. Bankruptcy Court, the final results
of the creditor vote show overwhelming support for this
proposed plan.
In addition to registration of the debt securities
with the SEC, the CPUC must approve the proposed settlement
agreement, the U.S. Bankruptcy Court must confirm the
proposed plan of reorganization and certain other conditions
must be met before the securities could be issued and
the plan becomes effective. CPUC hearings to consider
the proposed settlement were completed as planned in
September, and the CPUC is scheduled to issue its final
decision in December 2003. Bankruptcy court hearings
on the confirmation of the proposed plan of reorganization
are scheduled to begin November 10.
This press release does not constitute an offer of
any securities for sale.