Company: PCG-PB
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0001004980-25-000010
Chunk: 164

Company: PG&E Corp
Filing Date: 2025-02-13
Form: 10-K
Item: Item 8
Chunk 164
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 million paid by July 11, 2023, $250 million paid by July 11, 2024, and the remaining $506 million to be paid at closing on or before June 3, 2025.  The Utility will also receive a credit of approximately $172 million towards the final payment, subject to adjustments, which represents the estimated outstanding principal balance of a loan carried by the Property that will be assigned to, and assumed by, the Utility at closing.  The Utility will continue to lease the Property pursuant to the Lease, as amended, until closing.The execution of the Amendment to Office Lease Agreement on July 11, 2023 triggered a modification of the Lease, which resulted in the Lease being remeasured and reclassified from an operating lease to a financing lease during the year ended 2023.

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As of December 31, 2024, the Utility has recorded $807 million in Financing lease ROU assets, $282 million in accumulated amortization, $136 million in leasehold improvements, net of accumulated amortization, which includes $51 million that was provided to the Utility as lease incentives, and $575 million in current Financing lease liabilities in the Consolidated Financial Statements primarily related to the Lease, as amended.  As of December 31, 2023, the Utility recorded $787 million in Financing lease ROU assets, $108 million in accumulated amortization, $218 million in leasehold improvements, net of accumulated amortization, which includes $134 million that was provided to the Utility as lease incentives, $259 million in current Financing lease liabilities, and $554 million in noncurrent Financing lease liabilities in the Consolidated Financial Statements primarily related to the Lease, as amended.  At December 31, 2024 and 2023, the Utility’s financing lease had a weighted average remaining lease term of 0.5 years and 1.6 years and a weighted average discount rate of 6.2% and 6.5%, respectively. The following table shows the lease cost recognized for the fixed and variable component of the Utility’s lease obligations:Year Ended December 31,(in millions)20242023Financing lease fixed cost:Amortization of ROU assets$274 $115 Interest on lease liabilities42 27 Financing lease variable cost9 3 Total financing lease costs$325 $145 At December 31, 2024, the Utility expects to