<SUBMISSION>
<ACCESSION-NUMBER>0001004980-02-000068
<TYPE>8-K
<PUBLIC-DOCUMENT-COUNT>2
<PERIOD>20020819
<ITEMS>5
<ITEMS>7
<FILING-DATE>20020819
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>PG&E CORP
<CIK>0001004980
<ASSIGNED-SIC>4931
<IRS-NUMBER>943234914
<STATE-OF-INCORPORATION>CA
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>8-K
<ACT>34
<FILE-NUMBER>001-12609
<FILM-NUMBER>02742145
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>ONE MARKET SPEAR TOWER
<STREET2>SUITE 2400
<CITY>SAN FRANCISCO
<STATE>CA
<ZIP>94105
<PHONE>4152677000
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>ONE MARKET SPEAR TOWER
<STREET2>SUITE 2400
<CITY>SAN FRANCISCO
<STATE>CA
<ZIP>94105
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>PG&E PARENT CO INC
<DATE-CHANGED>19951214
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>final819.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<html>
<head>
<title></title>
</head>
<body>
<div>
<p></p>

<p align="center"><a name="_DV_M0"></a>SECURITIES AND EXCHANGE
COMMISSION</p>

<p align="center"></p>

<p align="center"><a name="_DV_M1"></a>Washington, D.C.&nbsp;
20549</p>

<p align="center"></p>

<p align="center"></p>

<p align="center"></p>

<p align="center"></p>

<p align="center"><a name="_DV_M2"></a>FORM 8&#8209;K</p>

<p align="center"></p>

<p align="center"><a name="_DV_M3"></a>CURRENT REPORT</p>

<p align="center"><a name="_DV_M4"></a>PURSUANT TO SECTION 13 OR
15(d) OF THE</p>

<p align="center"><a name="_DV_M5"></a>SECURITIES EXCHANGE ACT OF
1934</p>

<p align="center"></p>

<p align="center"><a name="_DV_M6"></a>Date of Report: August 19,
2002</p>

<p align="center"></p>

<table border="0" cellspacing="0" cellpadding="0" width="644">
<tr>
<td colspan="4" valign="top"></td>
</tr>

<tr>
<td colspan="4" valign="top"></td>
</tr>

<tr>
<td valign="top">
<p align="center"><br />
 Commission<br />
 File<br />
 Number</p>
</td>
<td valign="top">
<p align="center">Exact Name of<br />
 Registrant<br />
 as specified in<br />
 its charter</p>
</td>
<td valign="top">
<p align="center"><br />
 State or other<br />
 Jurisdiction of<br />
 Incorporation</p>
</td>
<td valign="top">
<p align="center"><br />
 IRS Employer<br />
 &nbsp; Identification<br />
 Number</p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center">_____________</p>
</td>
<td valign="top">
<p align="center">_____________</p>
</td>
<td valign="top">
<p align="center">_____________</p>
</td>
<td valign="top">
<p align="center">_____________</p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center">1-12609</p>

<p align="center">1-2348</p>
</td>
<td valign="top">
<p align="center">PG&amp;E Corporation</p>

<p align="center">Pacific Gas and<br />
 Electric Company</p>
</td>
<td valign="top">
<p align="center">California</p>

<p align="center">California</p>
</td>
<td valign="top">
<p align="center">94-3234914</p>

<p align="center">94-0742640</p>

<p align="center"><br />
 </p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td colspan="2" valign="top">
<p align="center">Pacific Gas and Electric Company<br />
 77 Beale Street, P. O. Box 770000<br />
 San Francisco, California&nbsp;&nbsp;94177</p>
</td>
<td colspan="2" valign="top">
<p align="center">PG&amp;E Corporation<br />
 One Market, Spear Tower, Suite 2400<br />
 San Francisco, California&nbsp;&nbsp;94105</p>
</td>
</tr>

<tr>
<td colspan="4" valign="top"></td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center">(Address of principal executive offices) (Zip
Code)</p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center"><br />
 </p>
</td>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td colspan="2" valign="top">
<p align="center">Pacific Gas and Electric Company<br />
 (415) 973-7000</p>
</td>
<td colspan="2" valign="top">
<p align="center">PG&amp;E Corporation<br />
 (415) 267-7000</p>
</td>
</tr>

<tr>
<td colspan="4" valign="top"></td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center">(Registrant's telephone number, including area
code)</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
</tr>
</table>

<p align="center"><br />
<a name="_DV_M7"></a><a name="_DV_M8"></a><a name="_DV_M9"></a><a
name="_DV_M10"></a><a name="_DV_M11"></a><a name="_DV_M12"></a><a
name="_DV_M13"></a></p>

<br clear="all" />


<div align="center"><a name="_DV_M14"></a><a name="_DV_M15"></a><a
name="_DV_M16"></a><a name="_DV_M17"></a><a name="_DV_M18"></a><a
name="_DV_M19"></a><a name="_DV_M20"></a><a name="_DV_M21"></a><a
name="_DV_M22"></a>

<hr size="2" width="100%" align="center" />
</div>

<p><a name="_DV_M23"></a></p>

<h5>Item 5. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other Events</h5>

<h5><a name="_DV_M24"></a></h5>

<h5>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;PG&amp;E Corporation Credit
Agreement Waiver Extension</h5>

<h5><a name=
"_DV_M67"></a>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
previously disclosed, General Electric Capital Corporation and
certain other lenders (collectively, the GE Lenders) under PG&amp;E
Corporation's $1.02 billion Amended and Restated Credit Agreement
dated as of June 25, 2002 (Credit Agreement) waived, until August
16, 2002, the requirement that PG&amp;E Corporation's subsidiary,
PG&amp;E National Energy Group, Inc. (PG&amp;E NEG), continue to
maintain investment grade ratings with either Standard &amp; Poor's
(S&amp;P) or Moody's Investor Services, Inc. (Moody's).&nbsp; On
August 16, 2002, the GE Lenders extended the waiver through October
21, 2002, subject to earlier termination if, among other events,
PG&amp;E NEG fails to maintain certain levels of availability under
its $1.25 billion credit agreement dated August 22, 2001 (PG&amp;E
NEG Credit Agreement).&nbsp; The PG&amp;E NEG Credit Agreement
currently consists of a Tranche A facility for $500 million which
expires on August 22, 2003 and a Tranche B facility for $750
million which expires on August 22, 2002.&nbsp; The Tranche A
facility currently supports approximately $270 million of letters
of credit and $432 million is currently outstanding under the
Tranche B facility.&nbsp; The waiver agreement requires that,
during the term of the waiver agreement, at least $400 million
remain available to PG&amp;E NEG under the Tranche A facility and
that at least $432 million remain available to PG&amp;E NEG under
the Tranche B facility.&nbsp; In addition to requiring the
maintenance of certain levels of availability under the PG&amp;E
NEG Credit Agreement, the GE Lenders may also terminate the waiver
if (1) the holders of indebtedness of PG&amp;E NEG under the
PG&amp;E NEG Credit Agreement become entitled to accelerate the
repayment of such indebtedness before its stated maturity date, or
(2) PG&amp;E Corporation fails to perform any term or covenant of
the waiver agreement.&nbsp; A copy of the waiver agreement is filed
as Exhibit 99.1 hereto.</h5>

<h5></h5>

<p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
addition, during the term of the waiver, PG&amp;E Corporation may
not make any investment, capital expenditure, or other payment to
any of its subsidiaries, in an amount that in the aggregate exceeds
$15 million, except as may be required under applicable law or by
conditions established by the California Public Utilities
Commission (CPUC) in decisions approving the formation of PG&amp;E
Corporation to hold the stock of Pacific Gas and Electric Company
(Utility).&nbsp; The terms of the waiver also require PG&amp;E
Corporation to maintain cash held in two interest reserve accounts
under the Credit Agreement sufficient to cover interest payable on
the $1.02 billion in term loans outstanding under the Credit
Agreement for a two-year period, increased from a one-year period;
provided, however, that the aggregate amount required to be held in
the interest reserve accounts shall not exceed 15 percent of the
then outstanding principal amount of the loans.&nbsp; The waiver
agreement also provides that, during the term of the waiver,
proceeds that PG&amp;E NEG receives from certain PG&amp;E NEG
transactions may only be reinvested in specified projects.</p>

<p></p>

<p>&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
previously disclosed, subject to their respective rights as set
forth in the Intercreditor and Subordination Agreement, dated as of
June 25, 2002, by and between the GE Lenders and certain other
parties thereto, the GE Lenders would, upon expiration of the
waiver, have the right to declare all amounts outstanding under the
Credit Agreement to be immediately due and payable.&nbsp; The
failure of PG&amp;E Corporation to repay this accelerated
indebtedness would entitle the GE Lenders, subject to the
Intercreditor Agreement, to exercise certain remedies, including
their rights as secured parties with respect to their collateral,
i.e., the pledged interests of PG&amp;E Corporation in PG&amp;E
National Energy Group, LLC (NEG, LLC), NEG LLC's pledged interests
in PG&amp;E NEG, and a pledged interest in an interest reserve
account, which will increase from approximately $65 million to $153
million as a result of the waiver agreement.&nbsp;</p>

<h5></h5>

<h5>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
previously disclosed, with respect to the $280 million aggregate
principal amount of 7.5% Convertible Subordinated Notes issued by
PG&amp;E Corporation pursuant to an Indenture dated as of June 25,
2002 by and between PG&amp;E Corporation and U.S. Bank, N.A., as
trustee (Notes), if the obligations under the Credit Agreement were
accelerated and PG&amp;E Corporation failed to pay such accelerated
obligations as described above and such failure continues for 30
days after receipt of written notice from the trustee or holders of
at least 25 percent of the aggregate principal amount of
outstanding Notes, the Notes would also be in default.&nbsp;
Thereupon, and subject to the subordination provisions of the
Indenture, the trustee or the Note holders would have the right to
accelerate the Notes.&nbsp; A similar cross-default situation could
develop if creditors of PG&amp;E Corporation's significant
subsidiaries, including PG&amp;E NEG, accelerated $150 million or
more in aggregate principal amount of indebtedness.&nbsp;</h5>

<h5>PG&amp;E NEG is currently negotiating with its lenders for an
extension of the PG&amp;E NEG Credit Agreement as required by the
waiver.&nbsp; Neither PG&amp;E Corporation nor PG&amp;E NEG can
predict whether such an extension will be granted.</h5>

<h5></h5>

<h5>During the term of the waiver by the GE Lenders, PG&amp;E
Corporation intends to negotiate with the GE Lenders for the
elimination of the credit rating maintenance covenant from the
Credit Agreement or for such other amendments as may be needed to
avoid a default of these obligations; however, PG&amp;E Corporation
cannot predict whether, or to what extent, it would be successful
in such efforts.&nbsp; Current PG&amp;E Corporation cash balances
are insufficient to repay the full amount of its outstanding
debt.</h5>

<h5></h5>

<h5>B.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pacific Gas and Electric
Company&nbsp;</h5>

<p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
previously disclosed, in March 2001, the CPUC adopted a decision
which retroactively restated the way in which the Utility&rsquo;s
generation&ndash;related transition costs are deemed
recovered.&nbsp; This retroactive change had the effect of
extending the statutory electric retail rate freeze and reducing
the amount of past wholesale power costs that could be eligible for
recovery from customers.&nbsp; The CPUC denied the Utility's
application for rehearing of this retroactive accounting
change.&nbsp; The Utility&rsquo;s petition for a writ of review
filed with the California Court of Appeal also was denied.&nbsp; On
August 14, 2002, the California Supreme Court denied the
Utility&rsquo;s petition to review the appellate court
action.&nbsp;</p>

<p>Although the California Supreme Court&rsquo;s action had the
effect of denying the Utility&rsquo;s state law arguments
challenging the CPUC&rsquo;s accounting order, the action by the
California Supreme Court has no effect on the Utility&rsquo;s
federal claims raised in the Utility&rsquo;s &ldquo;filed rate
case&rdquo; pending in the U.S. District Court for the Northern
District of California.&nbsp; In the filed rate case, filed in
November 2000 and refiled in August 2001, the Utility is asking the
court to declare that, under federal preemption principles, the
federally tariffed wholesale power and transmission costs that the
Utility has incurred to serve its customers are recoverable in
retail rates.&nbsp;&nbsp; The case also asserts several
constitutional claims.&nbsp; The filed rate case has been deemed a
related case to the Utility's pending appeal of the Bankruptcy
Court's denial of the Utility's request for injunctive and
declaratory relief against the CPUC&rsquo;s retroactive accounting
order.&nbsp; Both matters are pending before the same District
Court judge, who has ruled that the filed rate case will proceed
before the bankruptcy appeal will be heard.</p>

<p>A case management conference was held on August 16, 2002, at
which <b></b>the court set a new trial date in this matter of June
9, 2003.&nbsp; Neither PG&amp;E Corporation nor the Utility can
predict what the outcome of the filed rate case will be.</p>

<h5>Item 7. Financial Statements, Pro Forma Financial Information,
and Exhibits</h5>

<p>Exhibit No.
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Description of Exhibit</p>

<p>99.1&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Waiver and Amendment Agreement, dated August 16, 2002, by and among
PG&amp;E Corporation, PG&amp;E National Energy Group, LLC, Lehman
Commercial Paper Inc., as administrative agent, and the lenders
party to the Amended and Restated Credit Agreement dated as of June
25, 2002</p>

<h5></h5>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top"><br clear="all" />


<p align="center">SIGNATURE</p>
</td>
</tr>
</table>

<p><a name="_DV_M141"></a>Pursuant to the requirements of the
Securities Exchange Act of 1934, the registrants have duly caused
this report to be signed on their behalf by the undersigned
thereunto duly authorized.</p>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>PG&amp;E CORPORATION<br />
 </p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>By&nbsp;&nbsp; /s/ CHRISTOPHER P. JOHNS</p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u></p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CHRISTOPHER
P.JOHNS</p>

<p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Senior Vice President and
Controller<br />
<br />
 </p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>PACIFIC GAS AND ELECTRIC COMPANY<br />
 </p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>By:&nbsp;/s/ LINDA Y.H. CHENG</p>
</td>
</tr>

<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>&nbsp;&nbsp; &nbsp; <u>&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u></p>
</td>
</tr>

<tr>
<td valign="top">
<p>&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;LINDA Y.H. CHENG<br />
 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Corporate Secretary</p>
</td>
</tr>
</table>

<table border="0" cellspacing="0" cellpadding="0" width="649">
<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>
</table>

<p><a name="_DV_M142"></a>Dated:&nbsp; August 19, 2002</p>

<br clear="all" />


<p align="center">EXHIBIT INDEX</p>

<p>Exhibit
No.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Description of Exhibit</p>

<p>
99.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Waiver and
Amendment Agreement, dated August 16, 2002, by and among PG&amp;E
Corporation, PG&amp;E National Energy Group, LLC, Lehman Commercial
Paper Inc., as administrative agent, and the lenders party to the
Amended and Restated Credit Agreement dated as of June 25, 2002</p>

<p></p>
</div>
</body>
</html>


</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>3
<FILENAME>exhibit991.htm
<DESCRIPTION>WAIVER AND AMENDMENT AGREEMENT
<TEXT>
<html>
<head>
<title></title>
</head>
<body>
<div>
<p align="right"><a name="_DV_C8">Exhibit 99.1</a></p>

<p align="center">PG&amp;E Corporation</p>

<p align="center"><a name="_DV_C9">One Market Street, Spear Tower,
Suite 2400<br />
San Francisco, CA&nbsp; 94105</a></p>

<p align="right">EXECUTION COPY</p>

<p align="center"><u>WAIVER AND AMENDMENT AGREEMENT<br />
</u></p>

<p align="center">August 16, 2002</p>

<p>Lehman Commercial Paper Inc.,<br />
as Administrative Agent<br />
745 Seventh Avenue, 25<sup>th</sup> Floor,<br />
New York, NY&nbsp; 10019</p>

<p>The Lenders listed on Annex A hereto</p>

<p>Re:&nbsp; &nbsp;&nbsp; Amended and Restated Credit Agreement
dated as of June 25, 2002, by and among PG&amp;E Corporation, as
borrower, the lenders party thereto, Lehman Commercial Paper Inc.,
as administrative agent, and Lehman Brothers Inc., as lead arranger
and book manager (the &ldquo;Credit Agreement&rdquo;) and the
Tranche A Interest Reserve Account&nbsp; Control Agreement and
<u></u>the Tranche B <u>Interest Reserve Account Control
Agreement</u></p>

<p>Ladies and Gentlemen:</p>

<p>Reference is made to the Credit Agreement.&nbsp; Capitalized
terms used herein but not otherwise defined herein shall have the
meanings assigned to such terms in the Credit Agreement.&nbsp;
Pursuant to Section 6.14 of the Credit Agreement, NEG, Inc. is
required to maintain a rating of at least BBB- by Standard &amp;
Poor&rsquo;s (&ldquo;<u>S&amp;P</u>&rdquo;) or Baa3 by
Moody&rsquo;s on its long-term unsecured debt obligations (the
&ldquo;<u>Debt Obligations</u>&rdquo;).&nbsp; On July 31, 2002,
S&amp;P announced that the Debt Obligations had been downgraded
below the level required by Section 6.14 and on August 5, 2002,
Moody&rsquo;s announced that the Debt Obligations had been
downgraded below the level required by Section 6.14 (the
&ldquo;<u>Downgrades</u>&rdquo;).</p>

<p>Pursuant to the terms of that certain waiver letter agreement,
dated August&nbsp;1, 2002, among the Borrower and the Lenders
signatories thereto, the Lenders agreed to waive any Default or
Event of Default under Section 6.14 arising from the Downgrades
which waiver shall apply until, and only until, August 16, 2002, at
5:00 P.M. (Pacific time).&nbsp; The Borrower hereby requests that
the Lenders agree to extend the waiver of any such Default or Event
of Default under Section 6.14 from August 16, 2002 until and only
until the earliest of the following dates (the &ldquo;<u>Waiver
Expiration Date</u>&rdquo;): (a) October 21, 2002; (b) the date of
a reduction or termination of, or a reduction or termination in the
availability of, the aggregate of all lenders&rsquo; Tranche A
Aggregate Exposure (as defined in the NEG Credit Agreement as in
effect on the date hereof) to an amount less than $400,000,000 or a
reduction or termination of, or a reduction or termination in the
availability of, the aggregate of all lenders&rsquo; Tranche B
Aggregate Exposure (as defined in the NEG Credit Agreement as in
effect on the date hereof) to an amount less than $432,000,000,
under the $1,250,000,000 Amended and Restated Credit Agreement,
dated as of August 22, 2001, among PG&amp;E National Energy Group,
Inc. and the issuing bank, lenders and agents parties thereto (the
&ldquo;<u>NEG Credit Agreement</u>&rdquo;); (c) the date a default
or an event of default shall have occurred with respect to the
Indebtedness of NEG, Inc. under the NEG Credit Agreement or any
other event or condition shall have occurred, the effect of which
event or condition is to cause, or permit the holder or holders of
such Indebtedness to cause, such Indebtedness to become due prior
to its stated maturity; or (d) the failure by the Borrower to
perform or observe any term, covenant or agreement set forth in
this Waiver and Amendment Agreement.</p>

<p>In consideration of the foregoing, (I) the Borrower agrees and
covenants as follows:</p>

<p>
(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
notwithstanding anything provided to the contrary in the Credit
Agreement, the reinvestment of any proceeds of any event described
in Sections 3.2(b), 3.2(c), 3.2(e), and 3.2(f) may only be made to
the extent specified in Part II of the Business Plan for
expenditures in the Scheduled Projects;</p>

<p>
(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
notwithstanding anything provided to the contrary in the Credit
Agreement, from the date hereof and until the Waiver Expiration
Date, the Borrower shall not make any Investment or Capital
Expenditure or make any other payment to any of its subsidiaries,
except that so long as no Default or Event of Default shall have
occurred and be continuing, the Borrower may make such Investment
or Capital Expenditure, or payment to its subsidiaries, in an
amount not to exceed $15,000,000 in the aggregate (taking into
account any amount as may be used by the Borrower in any such
transaction to the extent permitted by clause (A) of the proviso of
Section 3.2(b) of the Credit Agreement), <u>provided</u> that the
amount of any cash Dividend actually received by the Borrower after
the date hereof may be added to such amount for purposes of
determining whether the Borrower is in compliance with this clause
(b); <u>provided</u> <u>further</u> that nothing herein shall
restrict the ability of the Borrower to make such Investment or
Capital Expenditure in PGE Utility or payment to PGE Utility, in
each case, as reasonably determined by the Borrower that such
transaction is required by applicable Law or the Holding Company
Conditions, and the Borrower hereby advises the Lenders that it
believes such $15,000,000 should be sufficient to discharge any of
its obligations to its subsidiaries during the period between the
date hereof and the Waiver Expiration Date;</p>

<p>(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the Borrower
shall deliver an Officer&rsquo;s Certificate from the Chief
Executive Officer, Chief Financial Officer, or Treasurer of the
Borrower, dated the date hereof, certifying and stating, after due
inquiry, the amount of cash and Cash Equivalents, then held by the
Borrower on the date hereof (the &ldquo;<u>Available Cash
Amount</u>&rdquo;);</p>

<p>(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the Borrower
shall cause NEG, Inc. to deliver an Officer&rsquo;s Certificate
from the Senior Vice President or Controller of NEG, Inc.
certifying that attached thereto is a true and complete copy of the
NEG Credit Agreement, together with all amendments thereto, as in
effect on the date hereof;</p>

<p>(e) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the Borrower
shall pay or reimburse the Administrative Agent and each Lender for
all of its reasonable out-of-pocket costs and expenses in
connection with the preparation, negotiation and execution of this
Waiver and Amendment Agreement, including, without limitation, the
reasonable fees and disbursements of counsel to the Administrative
Agent and counsel to General Electric Capital Corporation, as a
Lender, and counsel to the Tranche B Lenders;</p>

<p>(f)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the
Borrower shall, as promptly as practicable after the date hereof,
file a form 8-K disclosing the material terms and conditions of
this Waiver and Amendment Agreement and attaching thereto a copy of
this Waiver and Amendment Agreement; and</p>

<p>(g)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the Borrower
shall, on or prior to August 20, 2002, 3:00 p.m. (EST), have
deposited such amount as may be necessary into the Tranche A
Interest Reserve Account and the Tranche B Interest Reserve
Account, respectively, such that the aggregate amount of cash and
Cash Equivalents held in each of the Tranche A Interest Reserve
Account and the Tranche B Interest Reserve Account shall be in an
amount not less than the amount of interest payable on the Tranche
A Loan and the Tranche B Loan, as the case may be, for a two-year
period following the date hereof, which amount shall not be
required to exceed $90,000,000 in the&nbsp; case of the Tranche A
Interest Reserve Account and $ 63,000,000 in the case of the
Tranche B Interest Reserve Account.&nbsp; Within five (5) Business
Days of the date hereof, the Collateral Agent shall deliver written
evidence of the receipt of the foregoing amounts to the Tranche A
Lender and the Tranche B Lenders;</p>

<p>and</p>

<p>(II)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the parties
hereto agree to amend the Credit Agreement as follows:</p>

<p>(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.14
(b) of the Credit Agreement is hereby amended by (i) replacing the
words &ldquo;one-year period&rdquo; with the words &ldquo;two-year
period&rdquo; each time such words appear in such Section 7.14(b)
and (ii) inserting the words &ldquo;; provided that such amount
shall not be required to exceed an amount equal to 15% of the
aggregate principal amount of the Tranche A Loan then outstanding,
in the case of the Tranche A Interest Reserve Account, or an amount
equal to 15% of the aggregate principal amount of the Tranche B
Loan then outstanding, in the case of the Tranche B Interest
Reserve Account&rdquo; at the end of such Section 7.14(b);</p>

<p>(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section
7A.14 of the Credit Agreement is hereby amended by (i) replacing
the words &ldquo;one-year period&rdquo; with the words
&ldquo;two-year period&rdquo; each time such words appear in such
Section 7A.14 and (ii) inserting the words &ldquo;; provided that
such amount shall not be required to exceed an amount equal to 15%
of the aggregate principal amount of the Tranche B Loan then
outstanding&rdquo; at the end of such Section 7A.14;</p>

<p>(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section
8A.1(c)(iv) of the Credit Agreement is hereby amended by replacing
the words &ldquo;nine-month period&rdquo; with the words
&ldquo;eighteen-month period&rdquo;;</p>

<p>(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section
9.11(b)(v) of the Credit Agreement is hereby amended by inserting
the words &ldquo;in an amount less than $50,000,000&rdquo; after
the words &ldquo;any such participation&rdquo; in such Section
9.11(b)(v); and</p>

<p>(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.3
is amended by adding the words &ldquo;or any Lender&rdquo; after
the words &ldquo;Administrative Agent&rdquo; each time such words
appear in such Section 10.3.</p>

<p>For purposes of this Waiver and Amendment Agreement,
&ldquo;<u>subsidiary</u>&rdquo; shall mean any corporation,
partnership or other entity of which any of the securities or other
ownership interests are directly or indirectly owned or controlled
by the Borrower or one or more subsidiaries of the Borrower or by
the Borrower and one or more subsidiaries of the Borrower.</p>

<p>Each of the parties hereto by its execution and delivery of this
Waiver and Amendment Agreement consent to the amendments as set
forth herein in accordance with Section 9.10 of the Credit
Agreement.&nbsp;</p>

<p>The Borrower and LLC acknowledge and agree that none of the
signatories to this Waiver and Amendment Agreement is waiving any
other Default or Event of Default or any other provision in the
Credit Agreement and except as expressly provided herein, nothing
in this Waiver and Amendment Agreement shall constitute a course of
dealing between the parties, or constitute a modification or
amendment of any other provision of the Credit Agreement and the
provisions of the Credit Agreement and the other Financing
Documents are and shall remain in full force and effect.</p>

<p>The Borrower and LLC hereby unconditionally and irrevocably
acquit and fully forever release and discharge the undersigned
Lenders, their participants, and the Lenders&rsquo; and their
participants&rsquo; respective subsidiaries, affiliates, members,
partners, officers, employees, representatives, agents, managers,
counsel, directors, successors and assigns, both present and
former, from any and all actions, cause of action, claims, demands,
remedies, suits, damages and liabilities of whatever kind or
nature, in law or in equity, now known or unknown, suspected or
unsuspected to the extent that any of the foregoing arises from any
action or failure to act on or prior to the date hereof and relates
to or arises out of this Waiver and Amendment Agreement, the Credit
Agreement or any other Financing Documents or the transactions
contemplated hereby or thereby (&ldquo;<u>Released
Claims</u>&rdquo;). The Borrower covenants and agrees that neither
it nor any of the Covered Parties shall commence, and in any way,
prosecute or cause to be commenced or prosecuted against any of the
Persons mentioned above any action or other proceeding based upon
any of the Released Claims.</p>

<p>The Borrower also acknowledges, ratifies and affirms the
validity and enforceability of the Credit Agreement and all liens
and security interests granted thereunder or under any of the
Security Documents to the Lenders as collateral security for its
obligations and indebtedness owing under the Loan Documents (the
&ldquo;<u>Obligations</u>&rdquo;) and acknowledges that all such
liens and security interests and all collateral pledged as security
for the Obligations continue to be and remain collateral for the
Obligations from and after the date hereof.</p>

<p>In furtherance to the rights of the Lenders under Section 6.2 of
the Credit Agreement, the Borrower shall, and shall cause NEG, Inc.
and other members of the NEG Group to be available, at the request
of any of the Lenders, to discuss with the Lenders, at any time and
from time to time, the affairs, finances and accounts of the
Borrower, NEG, Inc. and other members of the NEG Group (including,
without limitation, any guarantee or financial support with respect
to the operation or business of NEG, Inc. or any other member of
the NEG Group and any action or proposed action of the Borrower,
NEG, Inc. or any member of the NEG Group with respect thereto in
connection with the Downgrades).</p>

<p>This Waiver and Amendment Agreement hereby amends Section 7 of
the Tranche A Interest Reserve Account Control Agreement and the
Tranche B Interest Reserve Account Control Agreement by adding the
following sentence at the end thereof:&nbsp; &ldquo;The Collateral
Agent agrees that it shall not amend or consent to any amendment to
any terms or provisions of (a) the Tranche A Interest Reserve
Account Control Agreement without the consent of the required
Tranche A Lenders or (b) the Tranche B Interest Reserve Account
Control Agreement without the consent of the required Tranche B
Lenders.&rdquo;</p>

<p>This Waiver and Amendment Agreement shall be governed by, and
construed in accordance with, the law of the State of New York
without regard to the conflict of law rules thereof (other than
Section 5-1401 of the New York General Obligations Law).&nbsp; This
Waiver and Amendment Agreement may be executed in any number of
counterparts and by the different parties hereto on separate
counterparts, each of which when so executed and delivered by
facsimile or otherwise shall be an original, but all of which shall
together constitute one and the same instrument.</p>

<br clear="all" />


<p>This Waiver and Amendment Agreement shall become effective as of
the date hereof when the Borrower, LLC, the Collateral Agent, the
Tranche A Lender and the required Tranche B Lenders shall have
executed and delivered this Waiver and Amendment Agreement, and
received a fully executed counterpart copy, by facsimile or
otherwise, of this Waiver and Amendment Agreement, and
Officer&rsquo;s Certificate of the Borrower described above.</p>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
<td valign="top">
<p>Very truly yours,<br />
 </p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>PG&amp;E CORPORATION<br />
 </p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>___________________________</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>Name:&nbsp; Leroy Barnes</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>Title:&nbsp;&nbsp;&nbsp;&nbsp; Vice President &amp;
Treasurer</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>PG&amp;E NATIONAL ENERGY GROUP, LLC</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>___________________________</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>Name:&nbsp;</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top">
<p>Title:&nbsp;&nbsp;&nbsp;&nbsp;</p>
</td>
</tr>

<tr>
<td valign="top"></td>
<td valign="top"></td>
</tr>
</table>

<b><br clear="all" />
</b>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p><b>Agreed and Accepted:</b></p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p><b><i>Administrative Agent</i>:</b></p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>LEHMAN COMMERCIAL PAPER INC.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>
</table>

<b><i><br clear="all" />
</i></b>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p><b><i>Lenders</i>:</b></p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>LEHMAN COMMERCIAL PAPER INC.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>GENERAL ELECTRIC CAPITAL CORPORATION</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>DK ACQUISITION PARTNERS, L.P.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>WILMINGTON TRUST COMPANY</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>HBK MASTER FUND L.P.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<br clear="all" />


<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p>OAK HILL SECURITIES FUND, L.P.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>OAK HILL SECURITIES FUND II, L.P.</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<b><i><br clear="all" />
</i></b>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p><b><i>Collateral Agent</i>:</b></p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>DEUTSCHE BANK TRUST COMPANY AMERICAS, in its capacity as
Collateral Agent under the Tranche A Interest Reserve Account
Control Agreement and the Tranche B Interest Reserve Account
Control Agreement</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top">
<p>_____________________________________</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Name:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Title:</p>
</td>
</tr>

<tr>
<td valign="top">
<p>Date:</p>
</td>
</tr>

<tr>
<td valign="top"></td>
</tr>

<tr>
<td valign="top"></td>
</tr>
</table>

<b><u><br clear="all" />
</u></b>

<p align="center"><b><u>ANNEX A<br />
</u></b></p>

<p align="center"><b><u>Lenders</u></b></p>

<ul type="disc">
<li>DK Acquisition Partners, L.P.</li>

<li>General Electric Capital Corporation</li>

<li>HBK Master Fund L.P.</li>

<li>Lehman Commercial Paper Inc.</li>

<li>Oak Hill Securities Fund, L.P.</li>

<li>Oak Hill Securities Fund II, L.P.</li>
</ul>

<ul type="disc">
<li>Wilmington Trust Company</li>
</ul>

<p>&nbsp;</p>
</div>
</body>
</html>


</TEXT>
</DOCUMENT>
</SUBMISSION>
