1
Exhibit 99
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
--------
INFORMATION REQUIRED BY
FORM 11-K
ANNUAL REPORT
PURSUANT TO SECTION 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
for the fiscal year ended December 31, 1994
A. Full titled of the plan and the address of the
plan, if different from that of the issuer named below:
SAVINGS FUND PLAN FOR EMPLOYEES OF
PACIFIC GAS AND ELECTRIC COMPANY
B. Name of issuer of the securities held pursuant to
the plan and the address of its principal executive office:
PACIFIC GAS AND ELECTRIC COMPANY
77 Beale Street
P.O. Box 770000
San Francisco, CA 94177
2
The financial statements of the Savings Fund Plan Master Trust
and the Savings Fund Plan Parts I, II and III (Plans) as of December 31, 1994
and 1993, the related statements of net assets as of December 31, 1994 and 1993,
and changes in net assets of the Plans for the year ended December 31, 1994, and
the Savings Fund Plan Master Trust schedules of assets held for investment
purposes of as of December 31, 1994, and of reportable transactions for year
ended December 31, 1994 together with the report of Arthur Andersen LLP,
independent accountants, are presented herewith.
3
[ARTHUR ANDERSEN LLP LOGO]
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Employee Benefit Finance Committee
of Pacific Gas and Electric Company and
Participants in the Savings Fund Plans:
We have audited the accompanying statements of net assets of Pacific Gas and
Electric Company Savings Fund Plan Master Trust (the Trust) as of December 31,
1994 and 1993, and the related statement of changes in net assets for the year
ended December 31, 1994. These financial statements and the schedules referred
to below are the responsibility of the Trust's management. Our responsibility is
to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets of the Trust as of December 31, 1994 and
1993, and the changes in net assets for the year ended December 31, 1994, in
conformity with generally accepted accounting principles.
The accompanying statements are those of the Trust established under the Pacific
Gas and Electric Company Savings Fund Plan Master Trust. These statements do not
purport to present the financial statements of the individual employee benefit
plans and do not contain disclosures necessary for a fair presentation of the
financial statements of the individual employee benefit plans in conformity with
generally accepted accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of assets held
for investment purposes as of December 31, 1994, and reportable transactions for
the year ended December 31, 1994, are presented for purposes of additional
analysis and are not a required part of the basic financial statements but are
supplementary information required by the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974. The fund information in the statements of net assets and
changes in net assets is presented for purposes of additional analysis rather
than to present the net assets and changes in net assets of each fund. The
supplemental schedules and fund information have been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, are fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
ARTHUR ANDERSEN LLP
Arthur Andersen LLP
San Francisco, California,
March 10, 1995
4
[ARTHUR ANDERSEN LLP LOGO]
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Employee Benefit Finance Committee
of Pacific Gas and Electric Company and
Participants in the Savings Fund Plan:
We have audited the accompanying statements of net assets available for benefits
of Pacific Gas and Electric Company Savings Fund Plan - Part I (the Plan) as of
December 31, 1994 and 1993, and the related statement of changes in net assets
available for benefits for the year ended December 31, 1994. These financial
statements are the responsibility of the Plan's management. Our responsibility
is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of the Plan as of
December 31, 1994 and 1993, and the changes in its net assets available for
benefits for the year ended December 31, 1994, in conformity with generally
accepted accounting principles.
ARTHUR ANDERSEN LLP
Arthur Andersen LLP
San Francisco, California,
March 10, 1995
5
[ARTHUR ANDERSEN LLP LOGO]
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Employee Benefit Finance Committee
of Pacific Gas and Electric Company
and Participants in the Savings Fund Plan:
We have audited the accompanying statements of net assets available for benefits
of Pacific Gas and Electric Company Savings Fund Plan - Part II (the Plan) as of
December 31, 1994 and 1993, and the related statement of changes in net assets
available for benefits for the year ended December 31, 1994. These financial
statements are the responsibility of the Plan's management. Our responsibility
is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of the Plan as of
December 31, 1994 and 1993, and the changes in its net assets available for
benefits for the year ended December 31, 1994, in conformity with generally
accepted accounting principles.
ARTHUR ANDERSEN LLP
Arthur Andersen LLP
San Francisco, California,
March 10, 1995
6
[ARTHUR ANDERSEN LLP LOGO]
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Employee Benefit Finance Committee
of Pacific Gas and Electric Company
and Participants in the Savings Fund Plan:
We have audited the accompanying statements of net assets available for benefits
of Pacific Gas and Electric Company Savings Fund Plan - Part III (the Plan) as
of December 31, 1994 and 1993, and the related statement of changes in net
assets available for benefits for the year ended December 31, 1994. These
financial statements are the responsibility of the Plan's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
As further discussed in Note 1 to the financial statements, the Plan was
terminated in conjunction with the transfer of its remaining net assets to
related plans.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of the Plan as of
December 31, 1994 and 1993, and the changes in its net assets available for
benefits for the year ended December 31, 1994, in conformity with generally
accepted accounting principles.
ARTHUR ANDERSEN LLP
Arthur Andersen LLP
San Francisco, California,
March 10, 1995
7
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
FINANCIAL STATEMENTS
TABLE OF CONTENTS
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
FINANCIAL STATEMENTS
Statements of Net Assets - December 31, 1994 and 1993
Statement of Changes in Net Assets for the Year Ended December 31, 1994
Notes to Financial Statements - December 31, 1994
SCHEDULES
Schedule I: Item 27(a) - Schedule of Assets Held for Investment
Purposes - December 31, 1994
Schedule II: Item 27(d) - Schedule of Reportable Transactions for the
Year Ended December 31, 1994
8
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
STATEMENT OF NET ASSETS
December 31, 1994
Fund Information
-------------------------------------------------
United
Company States Diversified Guaranteed
Stock Bond Equity Income
Fund Fund Fund Fund
------- ------ ------------ ----------
---------------------In Thousands-----------------
ASSETS
Investments, at fair value
Pacific Gas and Electric Company
common stock $1,131,413 $ - $ - $ -
United States Government securities - 4,616 553 -
Corporate stocks - preferred - - 1,048 -
Corporate stocks - common - - 340,032 -
Corporate debt instruments - - - 53,210
Insurance company general accounts - - - 151,704
Registered investment companies
Vanguard Bond Market Fund - - - -
Columbia Balanced Fund - - - -
Dreyfus Utility Stock Fund - - - -
Interest bearing accounts 163 12,254 60,228
---------- ------ -------- --------
Total Investments 1,131,576 4,616 353,887 265,142
---------- ------ -------- --------
Receivables
Dividends and interest 22,830 - 993 2,560
Other receivables - - 6,293 -
---------- ------ -------- --------
Total Receivables 22,830 - 7,286 2,560
---------- -------- --------
Total Assets 1,154,406 4,616 361,173 267,702
---------- ------ -------- --------
LIABILITIES 36 - 11,371 -
---------- ------ -------- --------
Total Liabilities 36 - 11,371 -
---------- -------- --------
NET ASSETS $1,154,370 $4,616 $349,802 $267,702
========== ====== ======== ========
Fund Information
----------------------------------------------------------------
Bond Stock and Utility
Index Bond Stock PAYSOP
Fund Fund Fund Fund Total
----- --------- ------- ------ -----
---------------------------In Thousands--------------------------
ASSETS
Investments, at fair value
Pacific Gas and Electric Company
common stock $ - $ - $ - $ - $1,131,413
United States Government securities - - - - 5,169
Corporate stocks - preferred - - - - 1,048
Corporate stocks - common - - - - 340,032
Corporate debt instruments - - - - 53,210
Insurance company general accounts - - - - 151,704
Registered investment companies
Vanguard Bond Market Fund 23,632 - - - 23,632
Columbia Balanced Fund - 102,861 - - 102,861
Dreyfus Utility Stock Fund - - 45,458 - 45,458
Interest bearing accounts - - - - 72,645
------- -------- ------- ------- ----------
Total Investments 23,632 102,861 45,458 - 1,927,172
------- -------- ------- ------- ----------
Receivables
Dividends and interest 138 - 844 - 27,365
Other receivables - - - - 6,293
------- -------- ------- ------- ----------
Total Receivables 138 - 844 - 33,658
------- -------- ------- ------- ----------
Total Assets 23,770 102,861 46,302 - 1,960,830
------- -------- ------- ------- ----------
LIABILITIES - - - - 11,407
------- -------- ------- ------- ----------
Total Liabilities - - - - 11,407
------- -------- ------- ------- ----------
NET ASSETS $23,770 $102,861 $46,302 $ - $1,949,423
======= ======== ======= ======= ==========
The accompanying Notes to Financial Statements are an integral part
of these statements.
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9
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
STATEMENT OF NET ASSETS
December 31, 1993
Fund Information
--------------------------------------------------
United
Company States Diversified Guaranteed
Stock Bond Equity Income
Fund Fund Fund Fund
-------- ------- ------------ ----------
------------------In Thousands--------------------
ASSETS
Investments, at fair value
Pacific Gas and Electric Company
common stock $1,569,458 $ - $ - $ -
United States Government securities - 4,562 178 -
Corporate stocks - preferred - - 1,299 -
Corporate stocks - common - - 300,039 -
Corporate debt instruments - - - 41,099
Insurance company general accounts - - - 188,421
Registered investment companies
Vanguard Bond Market Fund - - - -
Columbia Balanced Fund - - - -
Dreyfus Utility Stock Fund - - - -
Interest bearing accounts 110 24 5,135 1,328
---------- ------ -------- --------
Total Investments 1,569,568 4,586 306,651 230,848
---------- ------ -------- --------
Receivables
Dividends and interest 21,132 - 767 2,821
Other receivables - - 1,168 -
---------- ------ -------- --------
Total Receivables 21,132 - 1,935 2,821
---------- ------ -------- --------
Total Assets 1,590,700 4,586 308,586 233,669
---------- ------ -------- --------
LIABILITIES - - 1,197 -
---------- ------ -------- --------
Total Liabilities - - 1,197 -
---------- ------ -------- --------
NET ASSETS $1,590,700 $4,586 $307,389 $233,669
========== ====== ======== ========
Fund Information
------------------------------------------------------------------
Bond Stock and Utility
Index Bond Stock PAYSOP
Fund Fund Fund Fund Total
------ ---------- ------- ------ -----
--------------------------In Thousands---------------------------
ASSETS
Investments, at fair value
Pacific Gas and Electric Company
common stock $ - $ - $ - $10,116 $1,579,574
United States Government securities - - - - 4,740
Corporate stocks - preferred - - - - 1,299
Corporate stocks - common - - - - 300,039
Corporate debt instruments - - - - 41,099
Insurance company general accounts - - - - 188,421
Registered investment companies
Vanguard Bond Market Fund 28,740 - - - 28,740
Columbia Balanced Fund - 104,083 - - 104,083
Dreyfus Utility Stock Fund - - 75,336 - 75,336
Interest bearing accounts - - - - 6,597
------- -------- ------- ------- ----------
Total Investments 28,740 104,083 75,336 10,116 2,329,928
------- -------- ------- ------- ----------
Receivables
Dividends and interest - - - 136 24,856
Other receivables - - - - 1,168
------- -------- ------- ------- ----------
Total Receivables - - - 136 26,024
------- -------- ------- ------- ----------
Total Assets 28,740 104,083 75,336 10,252 2,355,952
------- -------- ------- ------- ----------
LIABILITIES - - - - 1,197
------- -------- ------- ------- ----------
Total Liabilities - - - - 1,197
------- -------- ------- ------- ----------
NET ASSETS $28,740 $104,083 $75,336 $10,252 $2,354,755
======= ======== ======= ======= ==========
The accompanying Notes to Financial Statements are an integral part of
these statements.
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10
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
STATEMENT OF CHANGES IN NET ASSETS
For the Year Ended December 31, 1994
Fund Information
----------------------------------------------------------------------
United
Company States Diversified Guaranteed Bond Stock and
Stock Bond Equity Income Index Bond
Fund Fund Fund Fund Fund Fund
---------- ------ ----------- ---------- -------- --------
------------------------------ In Thousands--------------------------
BALANCE, JANUARY 1, 1994 $1,590,700 $4,586 $307,389 $233,669 $28,740 $104,083
---------- ------ ------- ------- -------- --------
ADDITIONS
Participating plans contributions
Participant 52,679 - 23,489 5,749 1,282 6,458
Employer 24,393 - 4,421 1,102 350 1,689
---------- ------ ------- ------- -------- --------
Total participating plans contributions 77,072 - 27,910 6,851 1,632 8,147
---------- ------ ------- ------- -------- --------
Earnings from investments
Interest
Interest bearing accounts 56 - 397 478 - -
United States Government securities - 289 - - - -
Fixed income investments - - - 11,373 - -
---------- ------ ------- ------- -------- --------
Total interest 56 289 397 11,851 - -
Dividends - common stock 89,489 - 8,975 - - -
Registered investment company
dividends - - - - 1,725 -
Other income 5 - 25 50 - -
---------- ------ ------- ------- ------- -------
Total earnings
from investments 89,550 289 9,397 11,901 1,725 -
---------- ------ ------ ------- ------- -------
Gain (loss) on securities
Realized on sale or distribution 47,181 - 10,965 - (378) 1,337
Unrealized appreciation (depreciation)
in fair value of securities held (527,262) - (9,011) - (2,131) (1,277)
Gains (losses) on futures contracts (545)
Net appreciation (depreciation) in fair
value of assets held (480,081) - 1,409 - (2,509) 60
---------- ------ ------- ------- ------- -------
Total additions (reductions) (313,459) 289 38,716 18,752 848 8,207
---------- ------ ------- ------- ------- -------
Fund Information
-------------------------------
Utility
Stock PAYSOP
Fund Fund Total
------- ------- ---------
----------In Thousands---------
BALANCE, JANUARY 1, 1994 $75,336 $10,252 $2,354,755
------- ------- ----------
ADDITIONS
Participating plans contributions
Participant 4,685 - 94,342
Employer 1,258 - 33,213
------- ------- ----------
Total participating plans contributions 5,943 - 127,555
------- ------- ----------
Earnings from investments
Interest
Interest bearing accounts - - 931
United States Government securities - - 289
Fixed income investments - - 11,373
------- ------- ----------
Total interest - - 12,593
Dividends - common stock - 426 98,890
Registered investment company
dividends 3,312 - 5,037
Other income - 2 82
------- ------- ----------
Total earnings
from investments 3,312 428 116,602
------- ------- ----------
Gain (loss) on securities
Realized on sale or distribution (4,656) 73 54,522
Unrealized appreciation (depreciation)
in fair value of securities held (8,424) (4,008) (552,113)
Gains (losses) on futures contracts (545)
Net appreciation (depreciation) in fair
value of assets held (13,080) (3,935) (498,136)
------- ------- ----------
Total additions (reductions) (3,825) (3,507) (253,979)
------- ------- ----------
The accompanying Notes to Financial Statements are an integral part of these
statements.
3
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
STATEMENT OF CHANGES IN NET ASSETS (Continued)
For the Year Ended December 31, 1994
Fund Information
---------------------------------------------------------------------
United
Company States Diversified Guaranteed Bond Stock and
Stock Bond Equity Income Index Bond
Fund Fund Fund Fund Fund Fund
--------- ------ ----------- ---------- ------- --------
------------------------In Thousands---------------------------------
DEDUCTIONS
Withdrawals paid to participating plans
for benefit payments $74,557 $235 $17,733 $ 43,562 $1,512 $8,558
Expenses 266 - 2 - - 519
---------- ------ -------- -------- ------- --------
Total deductions 74,823 235 17,735 43,562 1,512 9,077
---------- ------ -------- -------- ------- --------
TRANSFERS between investment funds (48,048) (24) 21,432 58,843 (4,306) (352)
---------- ------ -------- -------- ------- --------
CHANGE IN NET ASSETS (436,330) 30 42,413 34,033 (4,970) (1,222)
---------- ------ -------- -------- ------- --------
BALANCE, DECEMBER 31, 1994 $1,154,370 $4,616 $349,802 $267,702 $23,770 $102,861
========== ====== ======== ======== ======= ========
Fund Information
-------------------------------------
Utility
Stock PAYSOP
Fund Fund Total
------- ------ --------
--------------In Thousands-----------
DEDUCTIONS $4,088 $314 $ 150,559
Withdrawals paid to participating plans 7 - 794
for benefit payments ------- ------- ----------
Expenses 4,095 314 151,353
------- ------- ----------
Total deductions (21,114) (6,431) -
------- ------- ----------
TRANSFERS between investment funds (29,034) (10,252) (405,332)
------- ------- ----------
CHANGE IN NET ASSETS $46,302 $ $1,949,423
======= ======= ==========
BALANCE, DECEMBER 31, 1994
The accompanying Notes to Financial Statements are an integral part of these
statements.
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11
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
NOTES TO FINANCIAL STATEMENTS
December 31,1994
NOTE 1: MASTER TRUST DESCRIPTION
The Pacific Gas and Electric Company established the Savings Fund Plan
Master Trust (the Master Trust) on January 1, 1988 to hold the assets of
certain defined contribution retirement plans sponsored by Pacific Gas and
Electric Company (the Company). Pacific Service Employees Association also
participates in the Master Trust. The Master Trust is administered by Pacific
Gas and Electric Company's Employee Benefit Administrative Committee, and State
Street Bank and Trust Company is the trustee (the Trustee).
Interest income, dividends, investment fees, and the net appreciation
(depreciation) in the fair value of investments held by the Master Trust are
allocated to the individual participating plans each week based upon their
proportional share of the individual fund balances.
Although the Company has not expressed any intent to do so, its Board of
Directors reserves the right to amend or terminate the Master Trust at any time
by giving written notice to the Trustee. If the Master Trust is terminated,
the Master Trust assets shall be paid out to each separate participating plan
in proportion to its interest in the Master Trust.
NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The financial statements of the Master Trust are prepared in conformity with
generally accepted accounting principles. These financial statements do not
purport to present the net assets available for benefits or the change in net
assets available for benefits of any of the individual participating retirement
plans and do not include all disclosures necessary for a fair presentation of
the financial statements of the individual participating plans in conformity
with generally accepted accounting principles.
Investments in the Guaranteed Income Fund are valued at cost which
approximates fair value. Generally, all other investments held by the Master
Trust are stated at fair value based on published market quotations.
NOTE 3: FEDERAL INCOME TAXES
The Internal Revenue Service has ruled that the Master Trust is exempt under
Section 501(a). Accordingly, no provision for federal income taxes has been
made in the financial statements.
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12
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: INVESTMENTS
The Trustee invests a significant portion of the contributions from the
participating plans in the common stock of the Company. Purchases of this
stock are made directly from the Company. The Company pays all costs of
administering the Master Trust, including fees and expenses of the Trustee.
However, customary brokerage fees and commissions due to transfers, withdrawals
and distributions are paid by the plans. Investment management fees are netted
against the performance of the Stock and Bond Fund and Bond Index Fund, and are
paid by the Company in connection with the Diversified Equity Fund and the
Guaranteed Income Fund.
Individual plan participants designate the way in which their contributions
are invested and may change their investment designation once each calendar
quarter. Participants may elect to have their contributions invested in one or
more of the following funds:
- Company Stock Fund, invested in Pacific Gas and Electric Company
common stock;
- Diversified Equity Fund (DEF), invested in a diversified portfolio
of common stock of other companies;
- Guaranteed Income Fund (GIF), invested in contracts which offer a
fixed rate of interest for a specified period of time;
- Bond Index Fund (BIF), invested in Vanguard Bond Market Fund, a
diversified portfolio consisting of marketable fixed-income
securities;
- Stock and Bond Fund (SBF), invested in Columbia Balanced Fund, a
diversified portfolio of marketable equity securities and
marketable fixed-income securities.
- Utility Stock Fund (USF), invested in Dreyfus Utility Stock Fund,
a portfolio of marketable equity securities of electric utility
companies that are members of the Edison Electric Institute,
including Pacific Gas and Electric Company.
A participant's interest in the investment funds is measured in
"units". For investments in the common stock of the Company and in
United States Savings Bonds, a unit is a share of common stock and a
United States Savings Bond, respectively.
6
13
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN MASTER TRUST
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: INVESTMENTS (CONTINUED)
VALUATION OF INVESTMENTS
All investments (other than GIF) held by the Master Trust are stated at fair
value based on published market quotations. Investments in the GIF are valued
at cost which approximates fair value.
The net depreciation in fair value of investments in the accompanying
statement of changes in net assets reflects the net difference between fair
value and cost of investments bought during the year and the net difference
between fair value and the beginning of the year fair value of assets held,
sold or distributed.
The net depreciation in the fair value of investments by major investment
category for the year ended December 31, 1994 is as follows:
---In Thousands---
Pacific Gas and Electric Company
Common Stock Fund $(480,081)
PAYSOP Fund (3,935)
DEF 1,409
BIF (2,509)
SBF 60
USF (13,080)
----------
Total depreciation $(498,136)
==========
FINANCIAL INVESTMENTS WITH OFF-BALANCE SHEET RISK
The DEF fund investment manager routinely enters into Standard and Poor's
(S&P 500) futures contracts as a hedge against future price increases in S&P
stocks. At each balance sheet date, these contracts are marked to fair value,
and the resulting appreciation (depreciation) in the contracts' value is
recorded. As of December 31, 1994, there were 31 Future Buy S&P March 1995
contracts valued at approximately $7 million, and a decline of approximately
$545,000 in the value of the contracts was recorded. The collateral (included
in interest bearing accounts) with respect to these contracts consisted of a
$440,000 U.S. treasury bill which will mature on April 6, 1995 and a $120,000
U.S. treasury bill which matured on February 23, 1995.
7
14
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- -------------- ---------------
------In Thousands------
Pacific Gas and Electric Company
common stock funds
* Pacific Gas and Electric Company Stock Fund 46,416,948 $1,029,874 $1,131,413
Interest bearing accounts N/A 163 163
---------- ---------- ----------
Total Pacific Gas and Electric
Company common stock 46,416,948 $1,030,037 $1,131,576
========== ========== ==========
United States Bond Fund
United States Savings Bonds, Series E
(units of $18.75 cost and $25.00 maturity) 6,721 $126 $467
United States Savings Bonds, Series EE
(units of $25.00 cost and $50.00 maturity) 90,124 2,253 3,536
United States Savings Bonds, Series EE
(units of $50.00 cost and $100.00 maturity) 10,088 504 613
---------- ---------- ----------
Total United States Bond Fund 106,933 $2,883 $4,616
========== ========== ==========
DEF
Corporate stocks - common
AMR Corp. Del. 7,600 $ 448 $ 405
AT&T Corp. 184,300 8,728 9,261
Abbott Labs 137,900 3,790 4,499
Adobe Sys Inc. 3,100 60 92
Advanced Micro Devices Inc. 10,100 245 251
Aetna Life & Cas. Co. 11,900 532 561
Ahmanson H F & Co. 13,100 203 211
Air Prods & Chems. Inc. 7,300 309 326
Albermarle Corp. 10,100 135 140
Allegheny Ludlum Corp. 13,100 230 246
Allegheny Power Systems Inc. 14,000 338 305
Allied Signal Inc. 67,800 1,985 2,305
Allstate Corp. 46,600 1,126 1,101
Aluminum Co. America 25,500 1,636 2,209
Alza Corp. 11,800 395 212
Ambac Inc. 4,200 175 156
American Elec. Pwr. Inc. 20,000 645 657
American Gen. Corp. 15,700 435 444
American Home Products Corp. 44,700 2,807 2,805
American Intl. Group Inc. 39,900 3,045 3,910
Ameritech Corp. 64,900 1,732 2,620
Amoco Corp. 18,400 952 1,088
Amsouth Bancorporation 4,500 143 116
Anadarko Pete Corp. 9,000 348 347
Aon Corp. 7,500 247 240
Armstrong World Inds. Inc. 4,400 173 169
Ashland Oil Inc. 9,300 317 321
Atlantic Richfield Co. 19,000 1,953 1,933
Autodesk Incorporated 5,200 189 206
8
15
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- --------------
------In Thousands------
Avnet Inc. 2,100 $ 91 $ 78
Avon Prods. Inc. 13,100 763 783
Baker Hughes Inc. 19,000 438 347
Baltimore Gas & Electric Co. 17,100 381 378
Banc One Corp. 46,600 1,456 1,182
Bank of Boston Corp. 9,800 228 254
BankAmerica Corp. 42,300 1,908 1,671
Bankers Tr. N.Y. Corp. 12,200 789 676
Barnett Bks. Inc. 11,600 488 445
Bausch & Lomb Inc. 11,400 480 386
Baxter Intl. Inc. 49,200 1,269 1,390
Bay Networks Inc. 12,200 450 360
Bear Stearns Cos. Inc. 13,400 280 206
Bell Atlantic Corp. 52,100 2,573 2,592
Bellsouth Corp. 59,300 3,146 3,210
Beneficial Corp. 3,200 116 125
Bethleham Stl. Corp. 23,100 422 416
Black & Decker Corporation 45,400 765 1,078
Bowater Inc. 100 2 3
Boyd Gaming Corp. 7,200 118 77
Brinker Intl. Inc. 15,100 329 274
Bristol Myers Squibb Co. 19,800 1,204 1,146
Browning Ferris Inds. Inc. 39,100 954 1,109
Burlington Northn. Inc. 9,800 532 472
CBS Inc. 14,600 689 809
CMS Energy Corp. 9,900 220 226
CPC Intl. Inc. 32,900 1,550 1,752
CSX Corp. 14,200 985 989
Campbell Soup Co. 32,000 1,310 1,412
Carnival Corp. 27,400 525 582
Carolina Pwr. & Lt. Co. 1,800 46 48
Caterpillar Inc. 50,200 1,318 2,767
Central & South West Corp. 21,700 472 491
Champion Intl. Corp. 13,800 370 504
Charming Shoppes Inc. 19,200 294 127
Chase Manhattan Corp. 21,500 577 739
Chemical Bkg. Corp. 27,600 1,103 990
Chemical Waste Mgmt. Inc. 1,700 33 16
Chevron Corp. 99,900 4,130 4,458
Chiron Corp. 4,900 323 394
Chrysler Corp. 16,300 693 799
Chubb Corp. 4,900 348 379
Cincinnati Milacron Inc. 1,100 25 26
Cinergy Corp. 10,100 250 236
Circus Circus Enterprises Inc. 20,400 709 474
Citicorp 84,900 1,885 3,513
Coca Cola Co. 168,000 6,755 8,652
Colgate Palmolive Co. 19,800 1,050 1,255
Coltec Inds. Inc. 10,400 210 178
Columbia/HCA Healthcare Corp. 68,800 2,842 2,511
Comcast Corp. 16,100 266 253
Comerica Inc. 13,200 397 322
9
16
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- -------------
-----------In Thousands--------
Compaq Computer Corp. 31,300 $ 962 $1,236
Connor Peripherals Inc. 1,600 30 15
Conrail Inc. 3,900 183 197
Consolidated Edison Co. NY Inc. 1,900 47 49
Cooper Inds. Inc. 24,100 1,057 822
Cooper Tire & Rubber 8,800 214 208
Corestates Finl. Corp. 13,000 336 338
Cracker Barrel Old Ctry. Store 13,800 380 255
Crestar Finl. Corp. 2,200 101 83
Crown Cork & Seal Inc. 19,400 734 732
Cummins Engine Inc. 3,400 140 154
Dayton Hudson Corp. 23,400 1,370 1,656
Dean Witter Discover & Co. 18,700 620 633
Deere & Co. 12,200 531 808
Dell Computer Corp. 4,400 186 180
Delta Air Lines Inc. DE 5,300 306 268
Detroit Edison Co. 12,000 424 314
Dillard Dept Stores Inc. 15,300 591 409
Disney, Walt Co. 98,100 3,713 4,525
Dominion Res. Inc. VA 20,300 742 726
Donnelley R R & Sons Inc. 32,300 900 953
Dover Corp. 7,000 397 361
Dow Chemical Company 35,600 2,120 2,394
Du Pont E I De Nemours and Co. 95,800 4,629 5,389
Duke Power Co. 400 15 15
E Sys. Inc. 3,500 136 146
Eastman Kodak Co. 51,200 2,068 2,445
Eaton Corp. 9,200 357 455
El Paso Nat. Gas Co. 4,400 169 134
Electronic Arts 5,900 193 114
Emerson Elec. Co. 3,600 206 225
Enron Corp. 38,900 1,142 1,186
Entergy Corp. 27,700 877 606
Equifax Inc. 14,600 424 385
Ethyl Corp. 20,200 248 194
Exxon Corp. 109,300 6,139 6,640
FPL Group Inc. 20,500 621 720
Federal Home Ln. Mtg. Corp. 20,500 1,017 1,035
Federal Natl. Mtg. Assn. 39,800 2,853 2,900
Fifth Third Bancorp. 4,000 193 192
First Chicago Corp. 8,400 286 401
First Data Corp. 25,500 1,010 1,208
First Empire St. Corp. 200 30 27
First Fidelity Bancorp. New 4,900 211 220
First Tenn. Natl. Corp. 3,700 172 151
First Union Corp. 19,100 875 790
First USA Inc. 6,100 201 201
First VA Bks. Inc. 3,900 156 125
Firstar Corp. New 7,100 219 191
Fleet Finl. Group Inc. 13,900 416 452
Ford Motor Co. Del. 97,400 2,055 2,727
Forest Labs Inc. 5,500 255 256
10
17
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- ------------
---------In Thousands---------
Freeport McMoran Copper & Gold 7,200 $ 176 $ 153
Fruit of the Loom Inc. 18,500 556 500
GTE Corp. 113,100 3,959 3,435
Gap Inc. 25,000 804 762
Gateway 2000 Inc. 7,400 166 160
General Dynamics Corp. 9,800 323 426
General Electric Co. 209,200 8,199 10,669
General Mills Inc. 29,200 1,877 1,664
General Mtrs. Corp. 98,500 3,787 4,162
General Mtrs. Corp. 30,800 1,005 1,186
General Pub. Utils. Corp. 13,100 352 344
General Signal Corp. 6,600 200 210
Gensia Inc. 5,700 152 24
George Gulf Corp. 600 16 23
Georgia Pacific Corp. 13,100 714 937
Gillette Co. 36,100 2,137 2,698
Golden West Finl. Corp. Del. 7,300 289 257
Goodyear Tire and Rubber 12,700 414 427
Grainger W W Inc. 8,800 483 508
Great Western Finl. Corp. 19,200 295 307
Harley Davidson Inc. 20,000 520 560
Harris Corp. Del. 1,800 76 77
Healthcare Compare Corp. 3,000 89 102
Health Mgmt. Assoc. 7,600 180 190
Hewlett Packard Co. 34,700 1,868 3,466
Home Depot Inc. 76,900 3,237 3,537
Honeywell Inc. 31,100 771 980
Household Intl. Corp. 8,800 242 327
Houston Inds. Inc. 15,100 514 538
Hubbell Inc. 1,100 60 59
Humana Inc. 30,900 601 699
Huntington Bancshares Inc. 14,200 301 245
ITT Corp. 31,700 1,930 2,809
Illinois Cent. Corp. 5,600 175 172
Illinova Corp. 4,400 90 96
Inco Ltd. 20,900 492 598
Ingersoll Rand Co. 3,700 119 117
Intel Corp. 44,400 2,412 2,836
International Business Machs. 78,700 4,030 5,784
International Game Technology 29,000 610 450
International Paper Company 30,100 1,373 2,269
Johnson & Johnson 33,500 1,433 1,834
Johnson Ctls. Inc. 8,100 386 397
KU Energy Corp. 300 8 8
Kellogg Co. 32,500 2,003 1,889
Keycorp New 26,300 840 657
Kimberly Clark Corp. 19,900 1,005 1,005
Knight Ridder Inc. 9,700 513 490
Lilly Eli & Co. 42,000 2,755 2,756
Limited Inc. 71,500 1,613 1,296
Lincoln Natl. Corp. IN 1,100 44 39
Linear Technology Corp. 3,300 107 163
11
18
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- --------------
------In Thousands------
Liz Claiborne 20,500 $471 $349
Lockheed Corp. 9,800 511 712
Loral Corp. 13,000 334 492
Louisiana Pacific Corp. 14,700 478 401
MBIA Inc. 3,600 220 202
MCI Communications Corp. 74,600 1,443 1,371
Manor Care Inc. 9,000 221 246
Marshall & Ilsley Corp. 11,400 232 217
Martin Marietta Corp. New 15,000 473 666
Masco Corp. 61,400 1,610 1,389
May Dept. Stores Co. 30,000 1,178 1,012
McDonalds Corp. 132,100 3,974 3,864
McDonnell Douglas Corp. 2,900 184 412
Medtronic Inc. 16,400 534 912
Mellon Bk. Corp. 17,000 573 521
Melville Corporation 19,700 944 608
Mercantile Bancorporation Inc. 4,900 180 153
Mercantile Bankshares Corp. 100 2 2
Merck & Co. Inc. 179,800 6,217 6,855
Mercury Finl. Co. 13,500 210 176
Meridian Bancorp. Inc. 6,600 192 176
Merrill Lynch & Co. Inc. 11,700 427 418
Microsoft Corp. 65,300 2,901 3,991
Mirage Resorts Inc. 21,600 492 443
Mobil Corp. 60,800 4,741 5,122
Monsanto Co. 16,000 1,112 1,128
Motorola Inc. 62,600 3,032 3,623
NBD Bancorp. Inc. 9,200 265 252
NIPSCO Inds. Inc. 7,400 203 220
National Svc. Inds. Inc. 23,800 611 610
Nationsbank Corp. 30,900 1,450 1,394
New England Elec. Sys. 7,100 233 228
Niagara Mohawk Pwr. Corp. 12,100 181 172
Nine West Group Inc. 2,400 66 68
Noram Energy Corp. 15,500 150 83
Norfolk Southern Corp. 14,700 857 891
Northern Telecom Ltd. 30,100 1,095 1,005
Northern Trust Corp. 5,100 211 179
Northrop Grumman Corp. 300 9 13
Norwest Corp. 38,400 953 898
Novell Inc. 63,100 1,584 1,081
Nucor Corp. 18,400 1,169 1,021
Occidental Pete Corp. 48,100 904 926
Ogden Corp. 3,000 56 56
Oracle Sys. Corp. 36,200 582 1,597
Oryx Energy Co. 7,100 149 84
Owens Corning Fiberglass Corp. 17,600 582 563
PNC Bk. Corp. 49,300 972 1,041
PPG Inds. Inc. 28,200 870 1,047
Paccar Inc. 5,300 279 235
Pacific Telesis Group 48,100 1,432 1,371
Paine Webber Group Inc. 500 7 8
12
19
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- --------------
----------In Thousands--------
Panhandle Eastern Corp. 22,900 $ 479 $ 452
Parker Hannifin Corp. 7,100 297 323
Penney, J.C. Inc. 3,200 136 143
Pepsico Inc. 133,400 5,075 4,836
Pfizer Inc. 47,400 2,224 3,662
Phelps Dodge Corp. 16,300 762 1,009
Philip Morris Cos. Inc. 117,900 8,554 6,779
Pinnacle West Cap Corp. 9,800 202 194
Portland Gen. Corp. 400 7 8
Potomac Elec. Pwr. Co. 12,600 279 232
Praxair Inc. 22,100 354 453
Premier Indl. Corp. 9,100 233 215
Proctor & Gamble Company 98,100 3,187 6,082
Providian Corp. 10,700 350 330
Public Svc. Enterprise Group 26,600 670 705
Ralston Pruina Co. 13,800 611 616
Raytheon Co. 10,800 679 690
Republic N.Y. Corp. 5,800 261 262
Reynolds Metals Co. 15,800 771 774
Rockwell Intl. Corp. 17,600 670 629
Royal Dutch Pete Co. 70,700 4,669 7,600
SCECorp 48,300 997 706
SPS Transaction Svcs. Inc. 6,200 204 163
Safeco Corp. 6,900 329 359
St. Paul Cos. Inc. 35,800 867 1,602
Schlumberger Ltd. 37,400 2,148 1,884
Schwab, Charles Corp. 6,400 177 223
Scott Paper Co. 9,700 601 671
Service Corp. Intl. 20,500 417 569
Shamut National Corp. 13,900 241 228
Silicon Graphics Inc. 12,600 177 389
Sonat Inc. 55,900 1,144 1,565
Southern Co. 68,800 1,464 1,376
Southtrust Corp. 8,200 152 148
Southwest Airlines Co. 16,700 559 280
Southwestern Bell Corp. 71,700 2,801 2,895
Sprint Corp. 38,700 1,079 1,069
Standard Fed. Bk. Troy, Mich. 200 5 5
State Street Boston Corp. 4,700 151 135
Sun Microsystems Inc. 15,100 444 536
Sundstrand Corp. 1,900 75 86
Superior Inds. Intl. Inc. 1,600 51 42
Sybase Inc. 6,100 173 317
Synovus Finl. Corp. 4,200 79 76
TJX Cos. Inc. New 13,700 318 214
TRW Inc. 19,500 1,280 1,287
Tele Communications Inc. New 85,400 1,750 1,857
Tenneco Inc. 52,600 2,028 2,235
Texaco Inc. 38,900 2,531 2,329
Texas Instrs. Inc. 9,700 670 726
Texas Utils. Co. 46,400 1,556 1,485
Time Warner Inc. 16,900 584 594
13
20
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- -------------- -------------
----------In Thousands--------
Torchmark Inc. 6,600 $ 380 $ 230
Toys R Us Inc. 47,600 1,835 1,452
Transamerica Corp. 5,000 268 249
Tribune Co. New 11,600 632 635
Tyco Int. Ltd. 18,100 799 860
UAL Corp. 1,200 99 105
UJB Finl. Corp. 3,300 90 80
UNUM Corp. 7,400 357 279
UNICOM Corp. 25,300 569 607
Union Carbide Corp. 25,800 432 758
Union Elec. Co. 300 11 11
Union Pac. Corp. 39,800 1,387 1,816
Union Texas Pete Hldgs. Inc. 11,000 215 228
U.S. West Inc. 49,200 1,911 1,753
United Technologies Corp. 25,300 1,421 1,591
V. F. Corp. 17,000 844 827
Viacom Inc. 29,300 826 1,190
WMX Technolgies Inc. 93,800 3,180 2,462
Wabash Natl. Corp. 1,200 50 47
Wal Mart Stores Inc. 315,900 8,767 6,713
Warner Lambert Co. 6,300 414 485
Washington Mut. Inc. 9,400 212 159
West One Bancorp. 200 5 5
Western Res. Inc. 6,400 219 183
Weyerhauser Co. 19,400 760 727
Wheelabrator Technologies Inc. 31,000 561 457
Whirlpool Corp. 1,800 106 91
Wisconsin Energy Corp. 6,400 165 166
Woolworth Corp. 18,400 355 276
Worthington Inds. In. 10,100 201 202
---------- ---------- ----------
Total common stocks 8,386,100 $311,785 $340,032
---------- ---------- ----------
Corporate stocks - preferred
Chrysler Corp. 7,700 $1,167 $1,048
---------- ---------- ----------
Interest bearing accounts
* State Street Bank & Trust Co. 12,253,620 $12,254 $12,254
U.S. Treasury Bills 560,000 553 553
---------- ---------- ----------
Total interest bearing accounts 12,813,620 $12,807 $12,807
Total DEF 21,207,420 $325,759 $353,887
========== ========== ==========
GIF (1)
Fixed Income
Allstate Life Insurance Co. - 10/98, 6.80% N/A $3,075 $3,075
Allstate Life Insurance Co. - 11/99, 8.28% N/A 5,011 5,011
Bankers Trust Basic - 07/96, 6.36% N/A 1,246 1,246
Bankers Trust Basic - 07/97, 5.02% N/A 9,655 9,655
14
21
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- -------------- --------------- -------------
---------In Thousands----------
CDC Investment Mgmt. Corp. - 06/98, 7.11% N/A $4,023 $4,023
CDC Investment Mgmt. Corp. - 10/99, 7.59% N/A 3,020 3,020
Canada Life Assurance - 11/95, 4.30% N/A 5,009 5,009
Canada Life Assurance - 12/95, 4.34% N/A 4,011 4,011
Confederated Life Assurance - 03/96, 8.58% N/A 1,000 1,000
Continental Assurance Co. - 06/96, 5.80% N/A 3,560 3,560
Continental Assurance Co. - 08/94, 6.52% N/A 0 0
Crown Life - 03/98, 1.00% N/A 1,163 1,163
Hancock John Mutual Life - 09/96, 5.34% N/A 4,470 4,470
Hancock John Mutual Life - 10/97, 4.82% N/A 7,367 7,367
Hartford - 12/95, 6.52% N/A 2,990 2,990
IBM CR Corp - 02/95, 6.56% N/A 1,016 1,016
Mass Mutual Life Ins - 11/03, 5.95% N/A 18,010 18,010
Met Life Ins. - 08/99, 7.42% N/A 4,944 4,944
New York Life Ins. Co. - 05/96, 8.40% N/A 1,567 1,567
New York Life Ins. Co. - 12/98, 1.00% N/A 9,482 9,482
New York Life Ins. Co. - 12/99, 1.00% N/A 9,845 9,845
Peoples Security Life - 01/98, 5.42% N/A 2,825 2,825
Peoples Security Life - 03/99, 5.30% N/A 4,993 4,993
Peoples Security Life - 06/96, 4.69% N/A 2,500 2,500
Peoples Security Life - 06/97, 1.00% N/A 9,989 9,989
Peoples Security Life - 07/94, 8.47% N/A 1,127 1,127
Peoples Security Life - 07/96, 4.15% N/A 3,699 3,699
Peoples Security Life - 07/98, 5.50% N/A 5,967 5,967
Peoples Security Life - 09/96, 4.10% N/A 3,616 3,616
Peoples Security Life - 09/97, 5.11% N/A 4,969 4,969
Peoples Security Life - 09/98, 5.63% N/A 3,219 3,219
Provident Mutual Life Ins. Co. - 05/95, 6.34% N/A 4,659 4,659
Prudential Ins. Co. - 03/95, 4.22% N/A 3,000 3,000
Prudential Ins. Co. - 04/96, 8.04% N/A 1,748 1,748
Prudential Ins. Co. - 09/98, 1.00% N/A 4,455 4,455
Prudential Ins. Co. - 11/95, 6.11% N/A 4,623 4,623
Union Bank of Switzerland - 08/97, 1.00% N/A 7,097 7,097
Union Bank of Switzerland - 03/00, 4.62% N/A 10,310 10,310
Union Bank of Switzerland - 03/00, 5.15% N/A 6,575 6,575
Union Bank of Switzerland - 10/98, 5.63% N/A 10,268 10,268
United of Omaha Life - 07/95, 8.35% N/A 2,067 2,067
United of Omaha Life - 08/95, 5.30% N/A 3,567 3,567
United of Omaha Life - 09/95, 5.00% N/A 2,017 2,017
United of Omaha Life - 09/96, 4.40% N/A 1,160 1,160
---------- ---------- ----------
Total fixed income N/A $204,914 $204,914
---------- ---------- ----------
15
22
SAVINGS FUND PLAN
FOR EMPLOYEES OF PACIFIC GAS AND ELECTRIC COMPANY
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1994
Number of
Shares or
U.S. Savings
Bonds Held at (e) Current
(a) (b) Name of Issuer and (c) Description Close of Period (d) Cost Value
------------------------------------------------- --------------- --------------- --------------
-----------In Thousands--------
Interest bearing accounts
Chevron Oil Finance Co. N/A $ 12,899 $ 12,899
Exxon Funding B.V. N/A 9,955 9,955
Federal Natl. Mtg. Assn. Disc. Nts. N/A 9,967 9,967
General Elec. Cap. Corp. N/A 12,848 12,848
Rabobank USA Financial Corp. N/A 12,366 12,366
* State Street Bank & Trust Co. N/A 2,193 2,193
---------- ---------- ----------
N/A $ 60,228 $ 60,228
---------- ---------- ----------
Total GIF N/A $ 265,142 $ 265,142
========== ========== ==========
BIF
Vanguard Bond Market Fund 2,577,091 $ 25,649 $ 23,632
========== ========== ==========
SBF
Columbia Balanced Fund 15,950,137 $ 92,198 $ 102,861
========== ========== ==========
USF
Dreyfus Utility Stock Fund 4,029,936 $ 54,941 $ 45,458
========== ========== ==========
Total Investments $1,796,609 $1,927,172
========== ==========
(1) The GIF is not measured in number of shares and is not applicable (N/A).
* Party-in-interest.
16
23
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3751 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 1,590,603,374.79
5% OF ASSET VALUE: 79,530,168.74
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
202 186,794,661.04 257 144,611,684.23 -45,878,079.66 459 331,406,309.27
FIXED INCOME
0 0.00 0 0.00 0.00 0 0.00
SHORT TERM
0 0.00 0 0.00 0.00 0 0.00
REPORTABLE TRANSACTION TOTALS
202 186,794,661.04 257 144,611,648.23 -45,878,079.66 459 331,406,309.27
NON REPORTABLE TRANSACTION TOTALS
133 95,034,004.11 77 95,029,926.22 0.00 210 190,063,930.33
[State Street LOGO]
24
ITEM 27 (D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3757 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 28,739,630.44
5% OF ASSET VALUE: 1,436,981.52
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
96 3,691,830.66 44 6,290,311.85 -402,572.17 140 9,982,142.51
FIXED INCOME
0 0.00 0 0.00 0.00 0 0.00
SHORT TERM
0 0.00 0 0.00 0.00 0 0.00
REPORTABLE TRANSACTION TOTALS
96 3,691,830.66 44 6,290,311.85 -402,572.17 140 9,982,142.51
NON REPORTABLE TRANSACTION TOTALS
0 0.00 0 0.00 0.00 0 0.00
[State Street LOGO]
25
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3758 PACIFIC GAS & ELECTRIC SAVINGS
COLUMBUS BALANCED FUND
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 104,083,308.36
5% OF ASSET VALUE: 5,204,165.42
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
99 11,800,644.25 44 13,083,212.89 -54,318.06 143 24,883,857.14
FIXED INCOME
0 0.00 0 0.00 0.00 0 0.00
SHORT TERM
0 0.00 0 0.00 0.00 0 0.00
REPORTABLE TRANSACTION TOTALS
99 11,800,644.25 44 13,083,212.89 -54,318.06 143 24,883,857.14
NON REPORTABLE TRANSACTION TOTALS
0 0.00 0 0.00 0.00 0 0.00
[State Street LOGO]
26
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3759 PACIFIC GAS & ELECTRIC SAVINGS
DREFUS UTILITY STOCK FUND
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 75,336,398.43
5% OF ASSET VALUE: 3,766,819.92
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
83 8,796,613.55 52 25,594,505.39 -4,268,225.41 135 34,391,118.94
FIXED INCOME
0 0.00 0 0.00 0.00 0 0.00
.
SHORT TERM
0 0.00 0 0.00 0.00 0 0.00
REPORTABLE TRANSACTION TOTALS
83 8,796,613.55 52 25,594,505.39 -4,268,225.41 135 34,391,118.94
NON REPORTABLE TRANSACTION TOTALS
0 0.00 0 0.00 0.00 0 0.00
[State Street LOGO]
27
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3760 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 10,252,015.50
5% OF ASSET VALUE: 512,600.78
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
28 568,437.35 88 6,749,679.50 -3,934,582.23 116 7,318,116.85
FIXED INCOME
0 0.00 0 0.00 0.00 0 0.00
SHORT TERM
0 0.00 0 0.00 0.00 0 0.00
REPORTABLE TRANSACTION TOTALS
28 568,437.35 88 6,749,679.50 -3,934,582.23 116 7,318,116.85
NON REPORTABLE TRANSACTION TOTALS
34 230,700.24 34 230,938.30 0.00 68 461,638.54
[State Street LOGO]
28
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3757 PACIFIC GAS & ELECTRIC SAVINGS
VANGUARD BOND MARKET FUND
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 28,739,630.44
5% OF ASSET VALUE: 1,436,981.52
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
921937108 VANGUARD BD INDEX FD INC
96 3,691,830.66 44 6,290,311.85 -402,572.17 140 9,982,142.51
COMMON AND PREFERRED TOTALS
96 3,691,830.66 44 6,290,311.85 -402,572.17 140 9,982,142.51
[State Street LOGO]
29
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3751 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 1,590,603,374.79
5% OF ASSET VALUE: 79,530,168.74
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
694308107 PACIFIC GAS & ELEC CO
202 186,794,661.04 257 144,611,648.23 -45,878,079.66 459 331,406,309.27
COMMON AND PREFERRED TOTALS
-45,878,079.66
202 186,794,661.04 257 144,611,648.23 459 331,406,309.27
[State Street LOGO]
30
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3758 PACIFIC GAS & ELECTRIC SAVINGS
COLUMBIA BALANCED FUND
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 104,083,308.36
5% OF ASSET VALUE: 5,204,165.42
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
197216104 COLUMBIA BALANCED FUND INC
99 11,800,644.25 44 13,083,212.89 -54,318.06 143 24,883,857.14
COMMON AND PREFERRED TOTALS
99 11,800,644.25 44 13,083,212.89 -54,318.06 143 24,883,857.14
[State Street LOGO]
31
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3759 PACIFIC GAS & ELECTRIC SAVINGS
DREYFUS UTILITY STOCK FUND
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 75,336,398.43
5% OF ASSET VALUE: 3,766,819.92
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
261893101 DREYFUS EDISON ELEC INDEX FD
83 8,796,613.55 52 25,594,505.39 -4,268,225.41 135 34,391,118.94
COMMON AND PREFERRED TOTALS
83 8,796,613.55 52 25,594,505.39 -4,268,225.41 135 34,391,118.94
[State Street LOGO]
32
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3760 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 10,252,015.50
5% OF ASSET VALUE: 512,600.78
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
BROKER PURCHASE PRICE SALES PRICE EXPENSES 5500 GAIN/LOSS COST/PROCEEDS 550 GAIN/LOSS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
0.00 6,430,879.39
10,287.419.09 -3,856,539.70
FIXED INCOME
0.00 0.00
0.00 0.00
SHORT TERM
0.00 0.00
0.00 0.00
REPORTABLE TRANSACTION TOTALS
0.00 6,430,879.39
10,287.419.09 -3,856,539.70
[State Street LOGO]
33
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3760 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 10,252,015.50
5% OF ASSET VALUE: 512,600.78
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
# PURCHASES PURCHASE COST # SALES SALES PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
694308107 PACIFIC GAS & ELEC CO
28 568,437.35 88 6,749,679.50 -3,934,582.23 116 7,318,116.85
COMMON AND PREFERRED TOTALS
28 568,437.35 88 6,749,679.50 -3,934,582.23 116 7,318,116.85
[State Street LOGO]
34
ITEM 27(D) - SCHEDULE OF
REPORTABLE TRANSACTIONS FOR
THE YEAR ENDED DECEMBER 31, 1994
3760 PACIFIC GAS & ELECTRIC SAVINGS
BENEFIT PLAN SERVICES
ERISA 5500 SCHEDULE OF 5% REPORTABLE SERIES OF TRANSACTIONS
FROM DATE: 01/01/94 TO DATE: 12/31/94
BEGINNING NET ASSET VALUE: 10,252,015.50
5% OF ASSET VALUE: 512,600.78
- ------------------------------------------------------------------------------------------------------------------------------------
ASSET ID SECURITY DESCRIPTION RATE MAT DATE
BROKER PURCHASE PRICE SALES PRICE EXPENSES 5500 COST COST/PROCEEDS 550 GAIN/LOSS
- ------------------------------------------------------------------------------------------------------------------------------------
COMMON AND PREFERRED
694308107 PACIFIC GAS & ELEC CO
DIRECT ISS 21.56 0.00 10,287.419.09 6,430,879.39 -3,856,539.70
COMMON AND PREFERRED TOTALS
0.00 6,430,879.39
10,287.419.09 -3,856,539.70
[State Street LOGO]
35
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
FINANCIAL STATEMENTS
TABLE OF CONTENTS
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
FINANCIAL STATEMENTS
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS -- DECEMBER 31, 1994
AND 1993
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 1994
NOTES TO FINANCIAL STATEMENTS -- DECEMBER 31, 1994
36
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 1994 AND 1993
1994 1993
------ ------
----------------In Thousands-----------
ASSETS:
Investment in Pacific Gas and Electric
Company Master Trust, at fair value $839,081 $960,671
Participant contributions receivable 1 220
Employer contributions receivable _ 88
------- -------
Total assets 839,082 960,979
LIABILITIES 43 38
------- -------
NET ASSETS AVAILABLE FOR BENEFITS $839,039 $960,941
======= =======
The accompanying Notes to Financial Statements are an integral part of these
statements.
1
37
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
For the Year Ended December 31, 1994
-----In Thousands----
ADDITIONS:
Participant contributions $ 36,071
Employer contributions 16,679
Interplan transfers 2,163
-------
Total Additions 54,913
-------
DEDUCTIONS:
Net investment loss from Pacific Gas
and Electric Company Master Trust 118,414
Benefits paid directly to participants
or beneficiaries 57,941
Expenses 460
-------
Total Deductions 176,815
-------
Decrease in Net Assets Available for Benefits (121,902)
NET ASSETS AVAILABLE FOR BENEFITS
Beginning of the year 960,941
-------
End of the year $839,039
=======
The accompanying Notes to Financial Statements are an integral part of these
statements.
2
38
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 1: Plan Description
The Pacific Gas and Electric Company Savings Fund Plan - Part I (the Plan)
is a defined contribution plan and is subject to the provisions of the Employee
Retirement Income Security Act of 1974. The Plan covers all eligible
management employees of Pacific Gas and Electric Company (the Company), Pacific
Gas Transmission Company, and any other entity designated by the Company's
Board of Directors. Although the Company has not expressed any intent to do
so, its Board of Directors reserves the right to amend or terminate the Plan at
any time. The Plan is administered by the Employee Benefit Administrative
Committee and the Employee Benefit Finance Committee. Participants should
refer to the Plan document for a complete description of the Plan's provisions.
All participants' contributions and their share of all employer
contributions, and the earnings and losses resulting from such contributions
are immediately vested and nonforfeitable.
Employees are eligible to participate in the Plan upon completion of one
year of service. Employee contributions, up to a maximum of 6% of covered
compensation, depending on length of service, are matched by employer
contributions at a 75% rate.
Eligible employees may elect to contribute to the Plan up to 15% of their
covered compensation on a pre-tax or after-tax basis. This amount may be
deferred compensation, 401(k), or after-tax contributions, non-401(k). 401(k)
contributions are not subject to federal or state income tax until withdrawn or
distributed from the Plan.
All contributions made to the Plan prior to October 1, 1984, are considered
to be non-401(k) contributions. As provided under the Tax Reform Act of 1986,
employee 401(k) contributions may not exceed $9,240 for 1994, and total
contributions to a participant's account may not exceed the lesser of 25% of
compensation or $30,000 a year. The annual 401(k) limitation is adjusted each
year to reflect changes in the cost of living.
Eligible employees may elect to contribute to the Plan any excess funds from
the FLEX Benefits Program, which is a cafeteria plan qualified under Section
125 of the Internal Revenue Code (IRC). These funds, which are invested in the
participant's account once a year in December, are considered 401(k)
contributions, but are not eligible for matching employer contributions.
NOTE 2: Summary of Significant Accounting Policies
The financial statements of the Plan are prepared in conformity with
generally accepted accounting principles.
The Plan's interest in the Pacific Gas and Electric Company Savings Fund
Plan Master Trust (the Master Trust) is stated at fair value based on the
Plan's prorated interest in the Master Trust. The Master Trust values
investments in the Guaranteed Income Fund at cost which approximates fair
value. Generally, all other investments are stated at fair value based upon
published market quotations.
3
39
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 2: Summary of Significant Accounting Policies (Continued)
Interest income, dividends, investment fees, and the net appreciation
(depreciation) in the fair value of the investments held by the Master Trust
are allocated to the individual participating plans each week based upon their
proportional share of the fund balances.
Benefits are recorded when paid.
NOTE 3: Federal Income Taxes
The Internal Revenue Service (IRS) has ruled that the Plan is a qualified
tax-exempt plan under Section 401(a) and Section 409(a) of the IRC and the
trust forming a part thereof is exempt under Section 501(a). Accordingly, no
provision for federal income taxes has been made in the financial statements.
Furthermore, participating employees are not liable for federal income tax on
amounts allocated to their accounts attributable to: (1) employee 401(k)
contributions, (2) dividends, earnings, and interest income on both 401(k)
contributions and non-401(k) contributions, or (3) employer contributions,
until the time that they withdraw such amounts from the Plan.
The Plan has obtained a favorable tax determination letter from the IRS and
the Plan sponsor believes that the Plan continues to be designed and operated
in accordance with IRS requirements.
NOTE 4: Investments
The Plan has a prorated interest in the net assets of the Master Trust. The
Master Trust Agreement allows certain of the Company's savings fund plans and
the Pacific Service Employees Association, to participate in the Master Trust.
The Plan and Master Trust Trustee, State Street Bank and Trust Company,
invests a significant portion of the contributions to the Plan in common stock
of the Company. Purchases of this stock are made directly from the Company.
The Company pays all costs of administering the Plan, including fees and
expenses of the Trustee. However, customary brokerage fees and commissions due
to transfers, withdrawals and distributions are paid by the Plan. Investment
management fees are netted against the performance of the Stock and Bond Fund,
Utility Stock Fund, and Bond Index Fund and are paid by the Company in
connection with the Diversified Equity Fund and the Guaranteed Income Fund.
4
40
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
Participants designate the way in which their contributions are invested and
may change their investment designation once each calendar quarter.
Participants may elect to have their contributions invested in one or more of
the following funds:
- Company Stock Fund, invested in Pacific Gas and Electric Company
common stock;
- Diversified Equity Fund (DEF), invested in a diversified portfolio
of common stock of other companies;
- Guaranteed Income Fund (GIF), invested in contracts which offer a
fixed rate of interest for a specified period of time;
- Bond Index Fund (BIF), invested in Vanguard Bond Market Fund, a
diversified portfolio consisting of marketable fixed-income
securities;
- Stock and Bond Fund (SBF), invested in Columbia Balanced Fund, a
diversified portfolio of marketable equity securities and
marketable fixed-income securities;
- Utility Stock Fund (USF), invested in Dreyfus Utility Stock Fund,
a portfolio of marketable equity securities of electric utility
companies that are members of the Edison Electric Institute,
including the Company.
A participant's interest in the investment funds is measured in "units".
For investments in the common stock of the Company and in United States Savings
Bonds, a unit is a share of common stock and a United States Savings Bond,
respectively.
5
41
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The following summarizes the net assets and related investment loss of the
Master Trust and the Plan's allocated share of such amounts:
----In Thousands----
1994 1993
----------------- -----------------
Investments, primarily at fair value:
Company Stock Fund
Pacific Gas and Electric Company
common stock $1,131,413 $1,569,458
United States Bond Fund
United States Government securities 5,169 4,740
DEF
Corporate stocks - preferred 1,048 1,299
Corporate stocks - common 340,032 300,039
GIF
Corporate debt instruments 53,210 41,099
Insurance company general accounts 151,704 188,421
Registered investment companies
Vanguard Bond Market Fund 23,632 28,740
Columbia Balanced Fund 102,861 104,083
Dreyfus Utility Stock Fund 45,458 75,336
PAYSOP Fund
Pacific Gas and Electric Company
common stock 0 10,116
Interest bearing accounts 72,645 6,597
--------- ---------
Total investments 1,927,172 2,329,928
--------- ---------
Receivables:
Dividends and interest 27,365 24,856
Other receivables 6,293 1,168
--------- ---------
Total receivables 33,658 26,024
--------- ---------
Total assets 1,960,830 2,355,952
--------- ---------
LIABILITIES 11,407 1,197
--------- ---------
NET ASSETS $1,949,423 $2,354,755
========= =========
Allocated to the Plan $ 839,081 $ 960,671
Allocated to other plans 1,110,342 1,394,084
--------- ---------
$1,949,423 $2,354,755
========= =========
6
42
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The composition of the Master Trust investment loss for the year ended
December 31, 1994 is as follows:
-In Thousands-
Interest income
Interest bearing accounts $ 931
United States Government securities 289
Fixed income investments 11,373
---------
Total interest income 12,593
---------
Dividend income
Common stock 98,890
Registered investment companies 5,037
---------
Total dividend income 103,927
---------
Net depreciation in fair value of investments (498,136)
Expenses, net of other income (712)
---------
Total investment loss ($382,328)
=========
Allocated to the Plan ($118,414)
Allocated to other plans (263,914)
---------
($382,328)
=========
7
43
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The net depreciation in fair value of investments of the Master Trust by
major investment category for the year ended December 31, 1994 is as follows:
-In Thousands-
Pacific Gas and Electric Company
Common Stock Fund ($480,081)
PAYSOP Fund (3,935)
Diversified Equity Fund 1,409
Bond Index Fund (2,509)
Stock and Bond Fund 60
Utility Stock Fund (13,080)
---------
Total depreciation ($498,136)
=========
Allocated to the Plan ($162,982)
Allocated to other plans (335,154)
---------
($498,136)
=========
8
44
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The net asset value per unit of the DEF, BIF, SBF, and USF is determined
by dividing the fair value of Fund assets by the number of Fund units
outstanding. The net asset value per unit of the GIF is $1.00, whereby each
$1.00 of contributions or interest earned represents one unit. The total
number of units held by the Plan and the value per unit of the DEF, GIF, BIF,
SBF and USF for the four quarters ended December 31, 1994 and 1993 are as
follows:
1994
----------
March 31 June 30 September 30 December 31
-------- ------- ------------ -----------
DEF
Number of units 2,850,195 2,937,324 2,994,629 3,019,934
Value per unit $67.27 $67.91 $71.50 $71.72
GIF
Number of units 105,879,138 102,091,554 104,479,607 127,731,989
Value per unit $1.00 $1.00 $1.00 $1.00
BIF
Number of units 1,630,823 1,548,151 1,474,848 1,396,372
Value per unit $11.61 $11.63 $11.68 $11.75
SBF
Number of units 12,120,202 12,177,328 12,060,386 11,622,737
Value per unit $6.11 $6.06 $6.21 $6.21
USF
Number of units 2,590,033 2,313,483 2,189,934 1,927,519
Value per unit $12.98 $11.89 $12.24 $12.73
9
45
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
1993
----------
March 31 June 30 September 30 December 31
-------- ------- ------------ -----------
DEF
Number of units 2,593,090 2,799,854 2,664,331 2,725,851
Value per unit $65.07 $65.44 $67.25 $69.44
GIF
Number of units 108,940,209 150,749,436 110,606,418 109,282,898
Value per unit $1.00 $1.00 $1.00 $1.00
BIF
Number of units 1,668,168 1,802,675 1,690,981 1,679,963
Value per unit $11.44 $11.70 $12.08 $12.06
SBF
Number of units 9,435,637 11,400,946 11,199,558 11,917,450
Value per unit $5.83 $5.96 $6.17 $6.23
USF
Number of units 1,815,171 2,264,729 2,504,277 2,683,123
Value per unit $14.41 $14.72 $15.39 $14.60
10
46
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART I
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 5: Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per
the financial statements to the Form 5500:
--In Thousands--
December 31
-----------
1994 1993
---- ----
Net assets available for benefits per the financial statements $839,039 $960,941
Amounts allocated to withdrawing participants (1,330) (5,275)
------- -------
Net assets available for benefits per the Form 5500 $837,709 $955,666
======= =======
The following is a reconciliation of benefits paid to participants per
the financial statements to the Form 5500:
--In Thousands--
Year ended
December 31, 1994
-----------------
Benefits paid to participants per the financial statements $57,941
Add: Amounts allocated to withdrawing participants at
December 31, 1994 1,330
Less: Amounts allocated to withdrawing participants at
December 31, 1993 (5,275)
------
Benefits paid to participants per the Form 5500 $53,996
======
11
47
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
FINANCIAL STATEMENTS
TABLE OF CONTENTS
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
FINANCIAL STATEMENTS
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 1994 AND 1993
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 1994
NOTES TO FINANCIAL STATEMENTS -- DECEMBER 31, 1994
48
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 1994 AND 1993
1994 1993
-------- --------
----------------In Thousands---------------
ASSETS:
Investment in Pacific Gas and Electric
Company Master Trust, at fair value $1,105,628 $1,378,240
Participant contributions receivable -- 287
Employer contributions receivable -- 60
--------- ---------
Total assets 1,105,628 1,378,587
LIABILITIES 42 76
--------- ---------
NET ASSETS AVAILABLE FOR BENEFITS $1,105,586 $1,378,511
========= =========
The accompanying Notes to Financial Statements are an integral part of these
statements.
1
49
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
For the Year Ended December 31, 1994
-----In Thousands----
ADDITIONS:
Participant contributions $ 57,543
Employer contributions 16,306
Interplan transfers 4,212
---------
Total Additions 78,061
---------
DEDUCTIONS:
Net investment loss from Pacific Gas
and Electric Company Master Trust 258,784
Benefits paid directly to participants
or beneficiaries 91,900
Expenses 302
---------
Total Deductions 350,986
---------
Decrease in Net Assets Available for Benefits (272,925)
NET ASSETS AVAILABLE FOR BENEFITS
Beginning of the year 1,378,511
---------
End of the year $1,105,586
=========
The accompanying Notes to Financial Statements are an integral part of these
statements.
2
50
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN PART - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 1: Plan Description
The Pacific Gas and Electric Company Savings Fund Plan - Part II (the Plan)
is a defined contribution plan and is subject to the provisions of the Employee
Retirement Income Security Act of 1974. The Plan covers all eligible
non-management employees of Pacific Gas and Electric Company (the Company),
Pacific Gas Transmission Company, and any other entity designated by the
Company's Board of Directors. Although the Company has not expressed any
intent to do so, its Board of Directors reserves the right to amend or
terminate the Plan at any time. The Plan is administered by the Employee
Benefit Administrative Committee and the Employee Benefit Finance Committee.
Participants should refer to the Plan document for a complete description of
the Plan's provisions.
All participants' contributions and their share of all employer
contributions, and the earnings and losses resulting from such contributions
are immediately vested and nonforfeitable.
Employees are eligible to participate in the Plan upon completion of one
year of service. Employee contributions, up to a maximum of 6% of covered
compensation, depending on length of service, are matched by employer
contributions at a 50% rate.
Eligible employees may elect to contribute to the Plan up to 15% of their
covered compensation on a pre-tax or after-tax basis. This amount may be
deferred compensation, 401(k), or after-tax contributions, non-401(k). 401(k)
contributions are not subject to federal or state income tax until withdrawn or
distributed from the Plan. All contributions made to the Plan prior to October
1, 1984, are considered to be non-401(k) contributions. As provided under the
Tax Reform Act of 1986, employee 401(k) contributions may not exceed $9,240 for
1994 and total contributions to a participant's account may not exceed the
lesser of 25% of compensation or $30,000 a year. The annual 401(k) limitation
is adjusted each year to reflect changes in the cost of living.
Non-management non-bargaining unit employees may elect to contribute to the
Plan any excess funds from the FLEX Benefits Program, which is a cafeteria plan
qualified under Section 125 of the Internal Revenue Code (IRC). These funds,
which are invested in the participant's account once a year in December, are
considered 401(k) contributions, but are not eligible for matching employer
contributions.
NOTE 2: Summary of Significant Accounting Policies
The financial statements of the Plan are prepared in conformity with
generally accepted accounting principles.
The Plan's interest in the Pacific Gas and Electric Company Savings Fund
Plan Master Trust (the Master Trust) is stated at fair value based on the
Plan's prorated interest in the Master Trust. The Master Trust values
investments in the Guaranteed Income Fund at cost which approximates fair
value. All other investments are stated at fair value based upon published
market quotations.
3
51
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN PART - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 2: Summary of Significant Accounting Policies (Continued)
Interest income, dividends, investment fees, and the net appreciation
(depreciation) in the fair value of the investments held by the Master Trust
are allocated to the individual participating plans each week based upon their
proportional share of the fund balances.
Benefits are recorded when paid.
NOTE 3: Federal Income Taxes
The Internal Revenue Service (IRS) has ruled that the Plan is a qualified
tax-exempt plan under Section 401(a) and Section 409(a) of the IRC and the
trust forming a part thereof is exempt under Section 501(a). Accordingly, no
provision for federal income taxes has been made in the financial statements.
Furthermore, participating employees are not liable for federal income tax on
amounts allocated to their accounts attributable to: (1) employee 401(k)
contributions, (2) dividends, earnings, and interest income on both 401(k)
contributions and non-401(k) contributions, or (3) employer contributions,
until the time that they withdraw such amounts from the Plan.
The Plan has obtained a favorable tax determination letter from the IRS and
the Plan sponsor believes that the Plan continues to be designed and operated
in accordance with IRS requirements.
NOTE 4: Investments
The Plan has a prorated interest in the net assets of the Master Trust. The
Master Trust Agreement allows certain of the Company's savings fund plans and
the Pacific Service Employees Association, to participate in the Master Trust.
The Plan and Master Trust Trustee, State Street Bank and Trust Company,
invests a significant portion of the contributions to the Plan in common stock
of the Company. Purchases of this stock are made directly from the Company.
The Company pays all costs of administering the Plan, including fees and
expenses of the Trustee. However, customary brokerage fees and commissions due
to transfers, withdrawals and distributions are paid by Plan participants.
Investment management fees are netted against the performance of the Stock and
Bond Fund, Utility Stock Fund and Bond Index Fund and are paid by the Company
in connection with the Diversified Equity Fund and the Guaranteed Income Fund.
4
52
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN PART - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
Participants designate the way in which their contributions are invested and
may change their investment designation once each calendar quarter.
Participants may elect to have their contributions invested in one or more of
the following funds:
- Company Stock Fund, invested in Pacific Gas and Electric Company
common stock;
- Diversified Equity Fund (DEF), invested in a diversified portfolio
of common stock of other companies;
- Guaranteed Income Fund (GIF), invested in contracts which offer a
fixed rate of interest for a specified period of time;
- Bond Index Fund (BIF), invested in Vanguard Bond Market Fund, a
diversified portfolio consisting of marketable fixed-income
securities;
- Stock and Bond Fund (SBF), invested in Columbia Balanced Fund, a
diversified portfolio of marketable equity securities and
marketable fixed-income securities;
- Utility Stock Fund (USF), invested in Dreyfus Utility Stock Fund,
a portfolio of marketable equity securities of electric utility
companies that are members of the Edison Electric Institute,
including the Company.
A participant's interest in the investment funds is measured in "units".
For investments in the common stock of the Company and in United States Savings
Bonds, a unit is a share of common stock and a United States Savings Bond,
respectively.
5
53
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The following summarizes the net assets and related investment loss of the
Master Trust and the Plan's allocated share of such amounts:
----In Thousands----
1994 1993
-------------------------------
Investments, primarily at fair value:
Company Stock Fund
Pacific Gas and Electric Company
common stock $1,131,413 $1,569,458
United States Bond Fund
United States Government securities 5,169 4,740
DEF
Corporate stocks - preferred 1,048 1,299
Corporate stocks - common 340,032 300,039
GIF
Corporate debt instruments 53,210 41,099
Insurance company general accounts 151,704 188,421
Registered investment companies
Vanguard Bond Market Fund 23,632 28,740
Columbia Balanced Fund 102,861 104,083
Dreyfus Utility Stock Fund 45,458 75,336
PAYSOP Fund
Pacific Gas and Electric Company
common stock 0 10,116
Interest bearing accounts 72,645 6,597
--------- ---------
Total investments 1,927,172 2,329,928
--------- ---------
Receivables:
Dividends and interest 27,365 24,856
Other receivables 6,293 1,168
--------- ---------
Total receivables 33,658 26,024
--------- ---------
Total assets 1,960,830 2,355,952
--------- ---------
LIABILITIES 11,407 1,197
--------- ---------
NET ASSETS $1,949,423 $2,354,755
========= =========
Allocated to the Plan $1,105,628 $1,378,240
Allocated to other plans 843,795 976,515
--------- ---------
$1,949,423 $2,354,755
========= =========
6
54
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The composition of the Master Trust investment loss for the year ended
December 31, 1994 is as follows:
-In Thousands-
Interest income
Interest bearing accounts $ 931
United States Government securities 289
Fixed income investments 11,373
---------
Total interest income 12,593
---------
Dividend income
Common stock 98,890
Registered investment companies 5,037
---------
Total dividend income 103,927
---------
Net depreciation in fair value of investments (498,136)
Expenses, net of other income (712)
---------
Total investment loss ($382,328)
=========
Allocated to the Plan ($258,784)
Allocated to other plans (123,544)
---------
($382,328)
=========
7
55
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The net depreciation in fair value of investments of the Master Trust by
major investment category for the year ended December 31, 1994 is as follows:
-In Thousands-
Pacific Gas and Electric Company
Common Stock Fund ($480,081)
PAYSOP Fund (3,935)
Diversified Equity Fund 1,409
Bond Index Fund (2,509)
Stock and Bond Fund 60
Utility Stock Fund (13,080)
---------
Total depreciation ($498,136)
=========
Allocated to the Plan ($330,117)
Allocated to other plans (168,019)
---------
($498,136)
=========
8
56
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The net asset value per unit of the DEF, BIF, SBF, and USF is determined
by dividing the fair value of Fund assets by the number of Fund units
outstanding. The net asset value per unit of the GIF is $1.00, whereby each
$1.00 of contributions or interest earned represents one unit. The total
number of units held by the Plan and the value per unit of the DEF, GIF, BIF,
and USF for the four quarters ended December 31, 1994 and 1993 are as follows:
1994
---------
March 31 June 30 September 30 December 31
-------- ------- ------------ -----------
DEF
Number of units 1,753,173 1,806,766 1,842,015 1,857,851
Value per units $67.27 $67.91 $71.50 $71.72
GIF
Number of units 115,940,854 111,793,335 114,408,326 139,870,385
Value per units $1.00 $1.00 $1.00 $1.00
BIF
Number of units 731,690 694,599 661,711 626,501
Value per units $11.61 $11.63 $11.68 $11.75
SBF
Number of units 5,151,085 5,175,363 5,125,664 4,939,662
Value per units $6.11 $6.06 $6.21 $6.21
USF
Number of units 2,296,953 2,051,696 1,942,128 1,709,406
Value per units $12.98 $11.89 $12.24 $12.73
9
57
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
1993
--------
March 31 June 30 September 30 December 31
-------- ------- ------------ -----------
DEF
Number of units 1,511,663 1,696,161 1,747,731 1,700,987
Value per units $65.07 $65.44 $67.25 $69.44
GIF
Number of units 75,908,115 91,144,285 169,591,270 124,388,496
Value per units $1.00 $1.00 $1.00 $1.00
BIF
Number of units 674,034 712,355 860,340 703,276
Value per units $11.44 $11.70 $12.08 $12.06
SBF
Number of units 3,000,210 3,972,889 4,599,099 4,785,165
Value per units $5.83 $5.96 $6.17 $6.23
USF
Number of units 1,213,254 1,806,882 2,308,411 2,475,717
Value per units $14.41 $14.72 $15.39 $14.60
10
58
PACIFC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART II
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 5: Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per
the financial statements to the Form 5500:
--In Thousands--
December 31
-----------
1994 1993
---- ----
Net assets available for benefits per the financial statements $1,105,586 $1,378,511
Amounts allocated to withdrawing participants (1,634) (7,321)
--------- ---------
Net assets available for benefits per the Form 5500 $1,103,952 $1,371,190
========= =========
The following is a reconciliation of benefits paid to participants per
the financial statements to the Form 5500:
--In Thousands--
Year ended
December 31, 1994
-----------------
Benefits paid to participants per the financial statements $91,900
Add: Amounts allocated to withdrawing participants at
December 31, 1994 1,634
Less: Amounts allocated to withdrawing participants at
December 31, 1993 (7,321)
------
Benefits paid to participants per the Form 5500 $86,213
======
11
59
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
FINANCIAL STATEMENTS
TABLE OF CONTENTS
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
FINANCIAL STATEMENTS
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 1994 AND 1993
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 1994
NOTES TO FINANCIAL STATEMENTS -- DECEMBER 31, 1994
60
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 1994 AND 1993
1994 1993
-------- --------
--------In Thousands--------
ASSETS:
Investment in Pacific Gas and Electric
Company Master Trust, at fair value - $10,252
------- ------
NET ASSETS AVAILABLE FOR BENEFITS $ - $10,252
======= ======
The accompanying Notes to Financial Statements are an integral part of these
statements.
1
61
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
For the Year Ended December 31, 1994
-----In Thousands-----
DEDUCTIONS:
Net investment loss from Pacific Gas and
Electric Company Master Trust $ 3,507
Benefits paid directly to participants
or beneficiaries 314
-------
Total Deductions 3,821
-------
Interplan transfers (6,431)
-------
Decrease in Net Assets Available for Benefits (10,252)
NET ASSETS AVAILABLE FOR BENEFITS
Beginning of the year $ 10,252
-------
End of the year $ -
=======
The accompanying Notes to Financial Statements are an integral part of these
statemen
2
62
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 1: Plan Description
The Pacific Gas and Electric Company Savings Fund Plan - Part III (the Plan)
is a Payroll Based Employee Stock Ownership Plan (PAYSOP). The Plan is subject
to the provisions of the Employee Retirement Income Security Act of 1974. The
Plan covers all eligible employees of Pacific Gas and Electric Company (the
Company), Pacific Gas Transmission Company, and any other entity designated by
the Company's Board of Directors. The Plan is administered by the Employee
Benefit Administrative Committee and the Employee Benefit Finance Committee.
Participants should refer to the Plan document for a complete description of
the Plan's provisions.
Effective January 1, 1983, the Economic Recovery Tax Act of 1981 permitted
the Company to claim a tax credit if it contributed Company common stock or
money to purchase Company common stock to the PAYSOP Fund equal to .5 percent
of eligible employee covered compensation. Company stock held by the PAYSOP
Fund became fully vested and nonforfeitable. The PAYSOP tax credit was
eliminated by the Tax Reform Act of 1986 for the tax years beginning January 1,
1987. For the PAYSOP Fund, the tax year concides with the calendar year.
Contributions to the PAYSOP Fund cannot be withdrawn until 84 months after
the month in which the stock was purchased. After the 84th month, the stock
and the earnings attributable to that stock are transferred to the Company
Stock Fund in the Master Trust. The last Company contribution to the PAYSOP
Fund was made in 1987 based upon compensation earned by participants in tax
year 1986. After the 84 month time requirement was met in 1994, the Plan was
terminated effective December 31, 1994. The remaining net assets were
transfered to the other related retirement plans maintained by the Company.
NOTE 2: Summary of Significant Accounting Policies
The financial statements of the Plan are prepared in conformity with
generally accepted accounting principles.
The Plan's interest in the Pacific Gas and Electric Company Savings Fund
Plan Master Trust (the Master Trust) is stated at fair value based on the
Plan's prorated interest in the Master Trust. Generally, the Master Trust
values investments at fair value based upon published market quotations.
The net assets of the Master Trust are allocated initially to the individual
participating plans based upon the relative values of assets contributed to the
Master Trust. In addition, interest income, dividends, investment fees, and
the net appreciation (depreciation) in the fair value of the investments held
by the Master Trust are allocated to the individual participating plans each
week based upon their relative market values.
Benefits are recorded when paid.
3
63
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 3: Federal Income Taxes
The Internal Revenue Service (IRS) has ruled that the Plan is a qualified
tax-exempt plan under Section 401(a) and Section 409(a) of the IRC and the
trust forming a part thereof is exempt under Section 501(a). Accordingly, no
provision for federal income taxes has been made in the financial statements.
The Plan has obtained a favorable tax determination letter from the IRS and
while the Plan was in existence the Plan sponsor believes that the Plan
continued to be designed and operated in accordance with IRS requirements.
NOTE 4: Investments
The Plan has a prorated interest in the net assets of the Master Trust. The
Master Trust Agreement allows certain of the Company savings fund plans and the
Pacific Service Employees Association, to participate in the Master Trust.
The Plan and Master Trust Trustee, State Street Bank and Trust Company,
invested all of the contributions to the Plan in common stock of the Company.
Purchases of this stock are made directly from the Company. The Company pays
all costs of administering the Plan, including fees and expenses of the
Trustee. However, customary brokerage fees and commissions due to transfers,
withdrawals and distributions are paid by the Plan.
4
64
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The following summarizes the net assets and related investment loss of the
Master Trust and the Plan's allocated share of such amounts:
----In Thousands----
1994 1993
---------- ----------
Investments, primarily at fair value:
Company Stock Fund
Pacific Gas and Electric Company
common stock $1,131,413 $1,569,458
United States Bond Fund
United States Government securities 5,169 4,740
DEF
Corporate stocks - preferred 1,048 1,299
Corporate stocks - common 340,032 300,039
GIF
Corporate debt instruments 53,210 41,099
Insurance company general accounts 151,704 188,421
Registered investment companies
Vanguard Bond Market Fund 23,632 28,740
Columbia Balanced Fund 102,861 104,083
Dreyfus Utility Stock Fund 45,458 75,336
PAYSOP Fund
Pacific Gas and Electric Company
common stock 0 10,116
Interest bearing accounts 72,645 6,597
--------- ---------
Total investments 1,927,172 2,329,928
--------- ---------
Receivables:
Dividends and interest 27,365 24,856
Other receivables 6,293 1,168
--------- ----------
Total receivables 33,658 26,024
--------- ---------
Total assets 1,960,830 2,355,952
--------- ---------
LIABILITIES 11,407 1,197
--------- ---------
NET ASSETS $1,949,423 $2,354,755
========= =========
Allocated to the Plan $ 0 $ 10,252
Allocated to other plans 1,949,423 2,344,503
--------- ---------
$1,949,423 $2,354,755
========= =========
5
65
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The composition of the Master Trust investment loss for the year ended
December 31, 1994 is as follows:
-In Thousands-
Interest income
Interest bearing accounts $ 931
United States Government securities 289
Fixed income investments 11,373
---------
Total interest income 12,593
---------
Dividend income
Common stock 98,890
Registered investment companies 5,037
---------
Total dividend income 103,927
---------
Net depreciation in fair value of investments (498,136)
---------
Expenses, net of other income (712)
---------
Total investment loss ($382,328)
=========
Allocated to the Plan ($3,507)
Allocated to other plans (378,821)
---------
($382,328)
=========
6
66
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 4: Investments (Continued)
The net depreciation in fair value of investments of the Master Trust by
major investment category for the year ended December 31, 1994 is as follows:
-In Thousands-
Pacific Gas and Electric Company
Common Stock Fund ($480,081)
PAYSOP Fund (3,935)
Diversified Equity Fund 1,409
Bond Index Fund (2,509)
Stock and Bond Fund 60
Utility Stock Fund (13,080)
---------
Total depreciation ($498,136)
=========
Allocated to the Plan ($3,935)
Allocated to other plans (494,201)
---------
($498,136)
=========
7
67
PACIFIC GAS AND ELECTRIC COMPANY
SAVINGS FUND PLAN - PART III
NOTES TO FINANCIAL STATEMENTS
December 31, 1994
NOTE 5: Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per
the financial statements to the Form 5500:
--In Thousands--
December 31
-----------
1994 1993
---- ----
Net assets available for benefits per the financial statements $ 0 $10,252
Amounts allocated to withdrawing participants 0 (32)
------- ------
Net assets available for benefits per the Form 5500 $ 0 $10,220
======= ======
The following is a reconciliation of benefits paid to participants per
the financial statements to the Form 5500:
--In Thousands--
Year ended
December 31, 1994
-----------------
Benefits paid to participants per the financial statements $ 314
Add: Amounts allocated to withdrawing participants at
December 31, 1994 0
Less: Amounts allocated to withdrawing participants at
December 31, 1993 (32)
-----
Benefits paid to participants per the Form 5500 $ 282
=====
8