<html>
<head>
<title>FOR IMMEDIATE RELEASE</title>
</head>
<body link="blue" vlink="purple">
<div>
<div align="center">
<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">SECURITIES
AND EXCHANGE COMMISSION</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">Washington,
D.C.&nbsp; 20549</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">FORM
8-K</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">CURRENT
REPORT</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of
1934</font></p>
</td>
</tr>

<tr height="43">
<td colspan="4" height="43" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">Date of
Report: March 12, 2004</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

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

<tr>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman"><br />
 Commission<br />
 File<br />
 Number</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman">Exact Name
of<br />
 Registrant<br />
 as specified in<br />
 its charter</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman"><br />
 State or other<br />
 Jurisdiction of<br />
 Incorporation</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman"><br />
 IRS Employer<br />
 &nbsp; Identification<br />
 Number</font></p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">_____________</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">_____________</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">_____________</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">_____________</font></p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">1-12609</font></p>

<p align="center"><font size="3" face=
"Times New Roman">1-2348</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman">PG&amp;E
Corporation</font></p>

<p align="center"><font size="3" face="Times New Roman">Pacific Gas
and<br />
 Electric Company</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">California</font></p>

<p align="center"><font size="3" face=
"Times New Roman">California</font></p>
</td>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">94-3234914</font></p>

<p align="center"><font size="3" face=
"Times New Roman">94-0742640</font></p>

<p align="center"><font size="3" face="Times New Roman"><br />
 </font></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"><font size="3" face="Times New Roman">Pacific Gas
and Electric Company<br />
 77 Beale Street, P. O. Box 770000<br />
 San Francisco, California&nbsp;&nbsp;94177</font></p>
</td>
<td colspan="2" valign="top">
<p align="center"><font size="3" face="Times New Roman">PG&amp;E
Corporation<br />
 One Market, Spear Tower, Suite 2400<br />
 San Francisco, California&nbsp;&nbsp;94105</font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p><font size="3" face="Times New Roman"></font></p>
</td>
</tr>

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face="Times New Roman">(Address of
principal executive offices) (Zip Code)</font></p>
</td>
</tr>

<tr>
<td valign="top">
<p align="center"><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
<td valign="top"></td>
<td valign="top"></td>
<td valign="top"></td>
</tr>

<tr>
<td colspan="2" valign="top">
<p align="center"><font size="3" face="Times New Roman">Pacific Gas
and Electric Company<br />
 (415) 973-7000</font></p>
</td>
<td colspan="2" valign="top">
<p align="center"><font size="3" face="Times New Roman">PG&amp;E
Corporation<br />
 (415) 267-7000</font></p>
</td>
</tr>

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

<tr>
<td colspan="4" valign="top">
<p align="center"><font size="3" face=
"Times New Roman">(Registrant's telephone number, including area
code)</font></p>
</td>
</tr>

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

<hr>
&nbsp;

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


<p><font size="3" face="Times New Roman">Item 5.&nbsp; Other
Events</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face="Times New Roman">A. Rating Agency
Actions</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
previously disclosed, among other conditions, before Pacific Gas
and Electric Company&rsquo;s (Utility) confirmed plan of
reorganization (Plan) under Chapter 11 of the U.S. Bankruptcy Code
can become effective,</font> <font size="3">Standard &amp;
Poor&rsquo;s Rating Services (S&amp;P) must have issued an issuer
credit rating and a credit rating for the long-term debt provided
for under the Plan of not less than BBB- and Moody&rsquo;s
Investors Service (Moody&rsquo;s) must have issued an issuer rating
and a credit rating for the long-term debt provided for under the
Plan of not less than Baa3.&nbsp;</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
March 11, 2004,</font> <font size="3">S&amp;P announced that it
expects to raise the Utility&rsquo;s corporate credit rating to
BBB- from D upon the Utility&rsquo;s anticipated emergence from its
Chapter 11 proceeding pending in the U.S. Bankruptcy Court for the
Northern District of California (Bankruptcy Court).&nbsp; S&amp;P
also announced that the ratings of the Utility are currently on
CreditWatch with positive implications.&nbsp; S&amp;P stated that
it expected that it would assign a rating of BBB to the
Utility&rsquo;s senior secured debt upon emergence from
bankruptcy.&nbsp; S&amp;P stated that the anticipated ratings
reflect the Utility&rsquo;s current and projected financial
profile, as well as the regulatory, operational and litigation
risks facing the Utility.&nbsp; In particular, S&amp;P noted that
the California Public Utilities Commission&rsquo;s (CPUC) pledge to
restore and preserve investment-grade ratings for the Utility is an
important component of the anticipated credit ratings.&nbsp;
S&amp;P also noted that its conclusion that the Utility exhibits
investment-grade attributes is closely linked to the $2.21 billion
after-tax regulatory asset established by the settlement agreement
entered into among the Utility, PG&amp;E Corporation and the CPUC
in December 2003 (Settlement Agreement).&nbsp; S&amp;P noted that
definitive debt ratings would not be assigned until the Utility
emerges from bankruptcy and other conditions specified in the
Utility&rsquo;s Plan are met.&nbsp;</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font>
<font size="3">On March 12, 2004, Moody&rsquo;s</font> <font size=
"3">announced that it had upgraded the Utility&rsquo;s issuer
rating to Baa3 from Ba2 and assigned a prospective rating for the
Utility&rsquo;s senior secured debt of Baa2 which would become
effective upon closing of the Utility&rsquo;s senior secured debt
financing.&nbsp; Moody&rsquo;s also upgraded the Utility&rsquo;s
preferred stock to Ba2 from B1.&nbsp; Finally, Moody&rsquo;s
assigned a Baa2 rating to the Utility&rsquo;s $850 million secured
bank revolving credit facility that has also been arranged as part
of the Utility&rsquo;s exit financing plan.&nbsp; Moody&rsquo;s
rating outlook for the Utility is stable.&nbsp;</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Moody&rsquo;s
stated that its action reflects the expected stability of cash
flows and operating earnings anticipated from the Utility over the
next several years through the implementation of the Settlement
Agreement.&nbsp; Moody&rsquo;s noted that one of the core elements
of the Settlement Agreement is the existence of the $2.21 billion
after-tax regulatory asset that will be created as an additional
part of the Utility&rsquo;s rate base, and is to be recovered
pursuant to a target return on equity of 11.22 percent over a
nine-year period.&nbsp; Moody&rsquo;s also noted that numerous
challenges and uncertainties remain for companies operating in
California, including the manner in which competition might
continue in the future, resource planning decisions within and
around the state, and the degree to which utilities will own or
build generation in the future.&nbsp; Finally, Moody&rsquo;s noted
the uncertainty around the outcome of the Utility&rsquo;s 2003
general rate case and the implementation of a long-term procurement
plan as contracts with the California Department of Water Resources
and qualifying facilities expire.</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There
is no assurance that S&amp;P&rsquo;s anticipated ratings or
Moody&rsquo;s prospective ratings will actually be assigned.&nbsp;
Further, there is no assurance that Moody&rsquo;s ratings (those
already assigned and the prospective ratings which may become
effective) and the ratings that may be assigned by S&amp;P will
continue for any given period of time or that they will not be
revised downward or withdrawn entirely by the rating agencies or
either of them if, in their judgment, circumstances so
warrant.</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face="Times New Roman">B.&nbsp; Status Conference
Statement</font></p>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
March 12, 2004, the Utility filed its status conference statement
with the Bankruptcy Court for the status conference to be held on
March 22, 2004.&nbsp; In its statement, the Utility notified the
Bankruptcy Court that, subject to the satisfaction of the remaining
conditions to implementation of the Plan, the Utility expects that
the effective date of the Plan will occur during the week of April
12, 2004.&nbsp; The Utility also noted that on March 10, 2004, it
had filed a request with the Bankruptcy Court to approve an
amendment to Section 8.2(a) of the Plan to provide that the
effective date must occur before May 15, 2004, rather than March
31, 2004, as Section 8.2(a) currently provides.&nbsp; The Utility
has requested that the Bankruptcy Court approve this amendment at
its March 22, 2004 status conference if not sooner.</font></p>

<font size="3" face="Times New Roman"><br clear="all" />
</font>

  <hr>

<div align="center">
<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p align="center"><font size="3" face=
"Times New Roman">SIGNATURE</font></p>
</td>
</tr>

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

<tr>
<td valign="top">
<p><font size="3" face="Times New Roman">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.</font></p>
</td>
</tr>

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

<p><font size="3" face="Times New Roman"></font></p>

<table border="0" cellspacing="0" cellpadding="0">
<tr>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td valign="top">
<p><font size="3" face="Times New Roman">PG&amp;E CORPORATION<br />
<br />
 </font></p>
</td>
</tr>

<tr>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CHRISTOPHER
P. JOHNS</font></p>
</td>
</tr>

<tr height="1">
<td height="1" valign="top"></td>
<td height="1" valign="top" bgcolor="black"></td>
</tr>

<tr>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Christopher
P. Johns<br />
 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Senior Vice President
and Controller</font></p>

<p><font size="3" face="Times New Roman"><br />
 </font></p>
</td>
</tr>

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

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

<tr height="30">
<td height="30" valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td height="30" valign="top">
<p><font size="3" face="Times New Roman">PACIFIC GAS AND ELECTRIC
COMPANY<br />
<br />
 </font></p>
</td>
</tr>

<tr>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;DINYAR
B. MISTRY</font></p>
</td>
</tr>

<tr height="1">
<td height="1" valign="top"></td>
<td height="1" valign="top" bgcolor="black"></td>
</tr>

<tr>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></p>
</td>
<td valign="top">
<p><font size="3" face=
"Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dinyar
B. Mistry<br />
 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Vice President and
Controller</font></p>
</td>
</tr>

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

<tr>
<td valign="top">
<p><font size="3" face="Times New Roman">Dated:&nbsp; March 12,
2004</font></p>
</td>
<td valign="top"></td>
</tr>
</table>

<p><font size="3" face="Times New Roman"></font></p>

<p><font size="2" face="Times New Roman"></font></p>

<p><font size="2" face="Times New Roman"></font></p>
</div>
</body>
</html>
[{"type": "8-K", "sequence": "1", "filename": "final31204.htm", "description": "FORM 8-K", "secsgml_size_bytes": 17697}]
{"company-data": {"conformed-name": "PG&E CORP", "cik": "0001004980", "assigned-sic": "4931", "irs-number": "943234914", "state-of-incorporation": "CA", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-12609", "film-number": "04666949"}, "business-address": {"street1": "ONE MARKET SPEAR TOWER", "street2": "SUITE 2400", "city": "SAN FRANCISCO", "state": "CA", "zip": "94105", "phone": "4152677000"}, "mail-address": {"street1": "ONE MARKET SPEAR TOWER", "street2": "SUITE 2400", "city": "SAN FRANCISCO", "state": "CA", "zip": "94105"}, "former-company": {"former-conformed-name": "PG&E PARENT CO INC", "date-changed": "19951214"}}
FOR IMMEDIATE RELEASE
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C.  20549
FORM
8-K
CURRENT
REPORT
Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of
1934
Date of
Report: March 12, 2004
Commission
File
Number
Exact Name
of
Registrant
as specified in
its charter
State or other
Jurisdiction of
Incorporation
IRS Employer
Identification
Number
_____________
_____________
_____________
_____________
1-12609
1-2348
PG&E
Corporation
Pacific Gas
and
Electric Company
California
California
94-3234914
94-0742640
Pacific Gas
and Electric Company
77 Beale Street, P. O. Box 770000
San Francisco, California  94177
PG&E
Corporation
One Market, Spear Tower, Suite 2400
San Francisco, California  94105
(Address of
principal executive offices) (Zip Code)
Pacific Gas
and Electric Company
(415) 973-7000
PG&E
Corporation
(415) 267-7000
(Registrant's telephone number, including area
code)
Item 5.  Other
Events
A. Rating Agency
Actions
As
previously disclosed, among other conditions, before Pacific Gas
and Electric Company's (Utility) confirmed plan of
reorganization (Plan) under Chapter 11 of the U.S. Bankruptcy Code
can become effective,
Standard &
Poor's Rating Services (S&P) must have issued an issuer
credit rating and a credit rating for the long-term debt provided
for under the Plan of not less than BBB- and Moody's
Investors Service (Moody's) must have issued an issuer rating
and a credit rating for the long-term debt provided for under the
Plan of not less than Baa3.
On
March 11, 2004,
S&P announced that it
expects to raise the Utility's corporate credit rating to
BBB- from D upon the Utility's anticipated emergence from its
Chapter 11 proceeding pending in the U.S. Bankruptcy Court for the
Northern District of California (Bankruptcy Court).  S&P
also announced that the ratings of the Utility are currently on
CreditWatch with positive implications.  S&P stated that
it expected that it would assign a rating of BBB to the
Utility's senior secured debt upon emergence from
bankruptcy.  S&P stated that the anticipated ratings
reflect the Utility's current and projected financial
profile, as well as the regulatory, operational and litigation
risks facing the Utility.  In particular, S&P noted that
the California Public Utilities Commission's (CPUC) pledge to
restore and preserve investment-grade ratings for the Utility is an
important component of the anticipated credit ratings. 
S&P also noted that its conclusion that the Utility exhibits
investment-grade attributes is closely linked to the $2.21 billion
after-tax regulatory asset established by the settlement agreement
entered into among the Utility, PG&E Corporation and the CPUC
in December 2003 (Settlement Agreement).  S&P noted that
definitive debt ratings would not be assigned until the Utility
emerges from bankruptcy and other conditions specified in the
Utility's Plan are met.
On March 12, 2004, Moody's
announced that it had upgraded the Utility's issuer
rating to Baa3 from Ba2 and assigned a prospective rating for the
Utility's senior secured debt of Baa2 which would become
effective upon closing of the Utility's senior secured debt
financing.  Moody's also upgraded the Utility's
preferred stock to Ba2 from B1.  Finally, Moody's
assigned a Baa2 rating to the Utility's $850 million secured
bank revolving credit facility that has also been arranged as part
of the Utility's exit financing plan.  Moody's
rating outlook for the Utility is stable.
Moody's
stated that its action reflects the expected stability of cash
flows and operating earnings anticipated from the Utility over the
next several years through the implementation of the Settlement
Agreement.  Moody's noted that one of the core elements
of the Settlement Agreement is the existence of the $2.21 billion
after-tax regulatory asset that will be created as an additional
part of the Utility's rate base, and is to be recovered
pursuant to a target return on equity of 11.22 percent over a
nine-year period.  Moody's also noted that numerous
challenges and uncertainties remain for companies operating in
California, including the manner in which competition might
continue in the future, resource planning decisions within and
around the state, and the degree to which utilities will own or
build generation in the future.  Finally, Moody's noted
the uncertainty around the outcome of the Utility's 2003
general rate case and the implementation of a long-term procurement
plan as contracts with the California Department of Water Resources
and qualifying facilities expire.
There
is no assurance that S&P's anticipated ratings or
Moody's prospective ratings will actually be assigned. 
Further, there is no assurance that Moody's ratings (those
already assigned and the prospective ratings which may become
effective) and the ratings that may be assigned by S&P will
continue for any given period of time or that they will not be
revised downward or withdrawn entirely by the rating agencies or
either of them if, in their judgment, circumstances so
warrant.
B.  Status Conference
Statement
On
March 12, 2004, the Utility filed its status conference statement
with the Bankruptcy Court for the status conference to be held on
March 22, 2004.  In its statement, the Utility notified the
Bankruptcy Court that, subject to the satisfaction of the remaining
conditions to implementation of the Plan, the Utility expects that
the effective date of the Plan will occur during the week of April
12, 2004.  The Utility also noted that on March 10, 2004, it
had filed a request with the Bankruptcy Court to approve an
amendment to Section 8.2(a) of the Plan to provide that the
effective date must occur before May 15, 2004, rather than March
31, 2004, as Section 8.2(a) currently provides.  The Utility
has requested that the Bankruptcy Court approve this amendment at
its March 22, 2004 status conference if not sooner.
SIGNATURE
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.
PG&E CORPORATION
CHRISTOPHER
P. JOHNS
Christopher
P. Johns
Senior Vice President
and Controller
PACIFIC GAS AND ELECTRIC
COMPANY
DINYAR
B. MISTRY
Dinyar
B. Mistry
Vice President and
Controller
Dated:  March 12,
2004