EXHIBIT 11
PG&E CORPORATION
COMPUTATION OF EARNINGS (LOSS) PER COMMON SHARE
Three Months Ended | ||||||||
(in millions, except per share amounts) | March 31, | |||||||
2004 | 2003(1) | |||||||
Income (loss) from continuing operations | $ | 3,033 | $ | (83) | ||||
Discontinued operations | - | (265) | ||||||
Net income (loss) before cumulative effect of changes in accounting principles | 3,033 | (348) | ||||||
Cumulative effect of changes in accounting principles | - | (6) | ||||||
Net income (loss) for basic calculations | 3,033 | (354) | ||||||
Earnings (loss) allocated to common shareholders, basic | 2,893 | (354) | ||||||
Earnings (loss) allocated to 9.50% Convertible Subordinated Notes, basic | 140 | - | ||||||
Net income (loss) | 3,033 |
| (354) | |||||
9.50% Convertible Subordinated Notes: | ||||||||
Change in market value of dividend participation rights | 19 | - | ||||||
Interest expense | 4 |
| - | |||||
Net Income (Loss) for diluted calculations | $ | 3,056 | $ | (354) | ||||
Weighted average common shares outstanding, basic(2) | 393 | 382 | ||||||
Add: 9.50 % Convertible Subordinated Notes | 19 | - | ||||||
Employee stock options and PG&E Corporation shares held by grantor trusts | 7 | - | ||||||
PG&E Corporation Warrants | 4 | - | ||||||
Rounding | 1 | - | ||||||
Shares outstanding for diluted calculations | 424 | 382 | ||||||
Earnings (Loss) Per Common Share, Basic | ||||||||
Income (loss) from continuing operations | $ | 7.36 | $ | (0.22) | ||||
Discontinued operations | - | (0.69) | ||||||
Cumulative effect of changes in accounting principles | - | (0.02) | ||||||
Net earnings (loss) | $ | 7.36 | $ | (0.93) | ||||
Earnings Per Common Share, Diluted | ||||||||
Income (loss) from continuing operations | $ | 7.21 | $ | (0.22) | ||||
Discontinued operations | - | (0.69) | ||||||
Cumulative effect of changes in accounting principles | - | (0.02) | ||||||
Net earnings (loss) | $ | 7.21 | $ | (0.93) | ||||
(1) | Prior period amounts of NEGT, Inc. have been reclassified to discontinued operations. | |||||||
(2) | Weighted average common shares outstanding exclude shares held by a subsidiary of PG&E Corporation (23,815,500 shares at March 31, 2004 and 2003) and PG&E Corporation shares held by grantor trusts to secure deferred compensation obligations (281,985 shares at March 31, 2004 and 2003). | |||||||