SAN FRANCISCO, September 3, 2002 — PG&E Corp. and lenders under the $420 million Tranche B of the corporation’s $1.02 billion term loan agreement Friday reached an agreement that, among other things, extends through October 4, 2002, the waiver of the requirement that PG&E National Energy Group maintain an investment grade credit rating from either Standard and Poor’s or Moody’s Investors Service.
The terms and conditions of the new waiver agreement will be detailed in an 8-K which the corporation intends to file later recently with the U.S. Securities and Exchange Commission.
Also Friday, the corporation fully repaid the principal and interest on Tranche A of the loan to General Electric Capital Corporation, totaling $606 million.
The corporation anticipates its cash balance at the end of the third quarter of 2002 will be approximately $200 million including certain reserves required under the terms of the loan agreement. The corporation’s cash balance remains sufficient to fund its ongoing operations.
For more information, please visit the website: www.pgecorp.com.
Source: PG&E Corporation