EDITORS: Please do not use "Pacific Gas and Electric" or "PG&E" when referring to PG&E Corporation or its National Energy Group. The PG&E National Energy Group is not the same company as Pacific Gas and Electric Company, the utility, and is not regulated by the California Public Utilities Commission. Customers of Pacific Gas and Electric Company do not have to buy products or services from the National Energy Group in order to continue to receive quality regulated services from Pacific Gas and Electric Company.

PACIFIC GAS AND ELECTRIC COMPANY RESPONDS TO STATE SENATECOMMITTEE; IT DID NOT HAVE ANY BUSINESS RELATIONSHIPS WITH PEROT SYSTEMS

SAN FRANCISCO - Pacific Gas and Electric Company today informed the California State Senate Select Committee to Investigate Price Manipulation of the Wholesale Energy Market that it did not have any contracts or other business relationships with Perot Systems.

The Committee asked California's investor-owned electric utilities and other energy providers to indicate any business relationships and contacts with Perot Systems. Last week, PG&E provided responses to the Committee's earlier inquiry relating to trading practices. In that response, the utility told the Committee that it did not engage in any Enron-style trading activities.

A copy of Pacific Gas and Electric Company's letter to Senator Dunn is available on the utility's website at www.pge.com.