Exhibit 10.2        

AMENDMENT AND LIMITED CONSENT AGREEMENT

This AMENDMENT AND LIMITED CONSENT AGREEMENT (this “Agreement”), dated as of
April 27, 2009, is entered into by and among PACIFIC GAS AND ELECTRIC COMPANY, a
California corporation (the “Borrower”), the several banks and other financial
institutions or entities from time to time parties to the below-described Credit
Agreement (the “Lenders”), each of the Issuing Lenders (as defined in the
below-described Credit Agreement), and CITICORP NORTH AMERICA, INC., as
administrative agent (the “Administrative Agent”), with respect to the
following:

A.           The Borrower, the Lenders, the Issuing Lenders and the
Administrative Agent have previously entered into that certain Amended and
Restated Credit Agreement, dated as of February 26, 2007 (the “Credit
Agreement”).  Capitalized terms are used in this Agreement as defined in the
Credit Agreement, unless otherwise defined herein.

B.           On March 2, 2009, the Borrower, through the Administrative Agent,
made a request for borrowing of Revolving Loans to the Lenders in an amount
equal to $309,324,256.18 (the “Specified Borrowing Amount”), the proceeds of
which would be made available to the Borrower on March 3, 2009 (the “Specified
Borrowing Date”).  Lehman Brothers Bank, FSB (“Lehman”) failed to make available
to the Administrative Agent for the account of the Borrower Lehman Bank’s pro
rata share of the Specified Borrowing Amount on the Specified Borrowing Date.

C.           Lehman Bank has requested that the Borrower, the Lenders, the
Issuing Lenders and the Administrative Agent consent and agree to the
termination of Lehman Bank’s Commitment (it being understood that the
termination of Lehman Bank’s Commitment shall not result in an increase in the
amount of any Lender’s Commitment).

D.           The Borrower, the Lenders, the Issuing Lenders and the
Administrative Agent are willing to grant such request and to amend the Credit
Agreement in certain respects on the terms and subject to the conditions set
forth in this Agreement.

For good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby agree as follows:

1.           Effectiveness.  The effectiveness of the provisions of Section 2,
Section 3, Section 5 and Section 6 of this Agreement is subject to the
satisfaction of the condition precedent described in Section 4 of this
Agreement.
 
2.           Consent and Agreement.  On the terms and subject to the conditions
of this Agreement, and notwithstanding anything to the contrary in the Credit
Agreement (including Section 2.14 thereof), the Borrower, each Lender, each
Issuing Lender and the Administrative Agent hereby consent and agree to the
termination of Lehman Bank’s Commitment.
 
3.           Amendments to Credit Agreement.  On the terms and subject to the
conditions of this Agreement, effective as of the Effective Date:
 

 
1

--------------------------------------------------------------------------------

 

(a)   Section 1.1 of the Credit Agreement is hereby amended to restate the
definition of “L/C Commitment” to read in its entirety as follows:
 
“L/C Commitment”:  $921,363,243.60.
 
(b)   Section 2.2 of the Credit Agreement is hereby amended to delete the first
sentence thereof in its entirety and substitute the following therefor:
 
“The Borrower may borrow under the Commitments during the Commitment Period on
any Business Day, provided that the Borrower shall give the Administrative Agent
irrevocable notice (which notice must be received by the Administrative Agent:
(a) prior to 12:00 Noon, New York City time, three Business Days prior to the
requested Borrowing Date, in the case of Eurodollar Loans, or (b) prior to 11:00
A.M., New York City time, on the requested Borrowing Date, in the case of ABR
Loans) specifying (i) the amount and Type of Revolving Loans to be borrowed,
(ii) the requested Borrowing Date and (iii) in the case of Eurodollar Loans, the
respective amounts of each such Type of Loan and the respective lengths of the
initial Interest Period therefor.”
 
4.           Condition Precedent to the Effectiveness of this Agreement.  This
Agreement shall become effective upon the Administrative Agent’s receipt of
counterparts of this Agreement executed by the Borrower, the Lenders, the
Issuing Lenders and the Administrative Agent (the first date on which the
foregoing condition has been satisfied being referred to herein as the
“Effective Date”).  The Administrative Agent shall promptly notify in writing
the Borrower, the Lenders and the Issuing Lenders upon the satisfaction of the
condition precedent to the Effective Date.
 
5.           Effect of this Agreement.  Upon the occurrence of the Effective
Date:

(a)         Lehman Bank’s Commitment shall terminate (thereby terminating Lehman
Bank’s risk participations in all Letters of Credit issued on or prior to the
Effective Date (each, an “Issued Letter of Credit”)), and each Lender’s
Percentage after giving effect to the termination of Lehman Bank’s Commitment
shall be as set forth on Schedule 1 to this Agreement (with respect to each
Lender, such Percentage after giving effect to the termination of Lehman Bank’s
Commitment being referred to herein as such Lender’s “Post-Consent Percentage”);
 
(b)         the amount of each L/C Participant’s risk participation interest in
each Issued Letter of Credit shall be automatically adjusted to equal such L/C
Participant’s Post-Consent Percentage thereof;
 
(c)         the Non-Procurement Facility Limit shall be automatically reduced to
$1,018,348,848.20 and the Procurement L/C Facility Limit shall be automatically
reduced to $921,363,243.60; and
 
(d)         Lehman Bank shall have no further rights or obligations under the
Credit Agreement, other than those rights and obligations which, by their terms,
survive the termination of any of the Commitments and/or the repayment in full
of the Obligations.
 

 
2

--------------------------------------------------------------------------------

 

For the avoidance of doubt, nothing contained in this Agreement shall have the
effect of increasing the amount of any Lender’s Commitment.
 
6.           Payment of Fees to Lehman Bank. This Agreement shall in no way be
deemed to waive, alter or otherwise modify the pro rata sharing provisions of
Section 2.14 of the Credit Agreement with respect to the fees payable to Lehman
Bank under Section 2.6(a), Section 2.6(b) or Section 3.3 of the Credit
Agreement. In that regard, any fees under Section 2.6(a), Section 2.6(b) or
Section 3.3 of the Credit Agreement owing to Lehman Bank with respect to its
Commitment through the Effective Date shall be paid on the next date on which
such fees and other amounts are paid to the other Lenders pursuant to the Credit
Agreement. Thereafter, the Borrower shall not be required to pay for the account
of Lehman Bank, and Lehman Bank shall not be entitled to receive, any fees under
Section 2.6(a), Section 2.6(b) or Section 3.3 of the Credit Agreement.
 
7.           Representations and Warranties.  In order to induce the Issuing
Lenders, the Lenders and the Administrative Agent to enter into this Agreement,
the Borrower represents and warrants to each Lender, each Issuing Lender and the
Administrative Agent that, as of the date hereof, (a) no Event of Default has
occurred and is continuing or, after giving effect to the consent set forth in
Section 2, would result from the effectiveness of this Agreement; and (b) the
representations and warranties of the Borrower contained in Section 4 of the
Credit Agreement are true and correct in all material respects as of the
Effective Date with the same effect as though such representations and
warranties had been made on and as of the Effective Date (except for such
representations and warranties made as of a specified date, which shall be true
and correct in all material respects as of such specified date).
 
8.           Miscellaneous.
 
(a)         Reference to and Effect on the Credit Agreement and the other Loan
Documents.
 
(i)           Except as specifically modified by this Agreement, the Credit
Agreement and the other Loan Documents shall remain in full force and effect and
are hereby ratified and confirmed by the Borrower in all respects.
 
(ii)           The execution and delivery of this Agreement shall not, except as
expressly provided herein, constitute a waiver of any provision of, or operate
as a waiver of any right, power or remedy of the Lenders, the Issuing Lenders or
the Administrative Agent under, the Credit Agreement or any of the other Loan
Documents.
 
(iii)           Upon the occurrence of the Effective Date, this Agreement shall
be construed as one with the Credit Agreement, and the Credit Agreement shall,
where the context requires, be read and construed throughout so as to
incorporate this Agreement.
 
(iv)           If there is any conflict between the terms and provisions of this
Agreement and the terms and provisions of the Credit Agreement or any other Loan
Document, the terms and provisions of this Agreement shall govern.
 
 
3

--------------------------------------------------------------------------------

 
(b)         Headings.  Section and subsection headings in this Agreement are
included for convenience of reference only and shall not constitute a part of
this Agreement for any other purpose or be given any substantive effect.
 
(c)         Counterparts.  This Agreement may be executed by one or more of the
parties to this Agreement in any number of separate counterparts, and all of
said counterparts taken together shall be deemed to constitute one and the same
instrument.  Delivery of an executed signature page of this Agreement by
facsimile transmission shall be effective as delivery of a manually executed
counterpart hereof.  A set of the copies of this Agreement signed by all parties
shall be lodged with the Borrower and the Administrative Agent.
 
(d)         GOVERNING LAW.  THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES UNDER THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED
IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.
 
9.           Loan Documents.  This Agreement is a Loan Document as defined in
the Credit Agreement, and the provisions of the Credit Agreement generally
applicable to Loan Documents are applicable hereto and incorporated herein by
this reference.
 
 
4

--------------------------------------------------------------------------------

 

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
executed as of the date first above written.
 

 
PACIFIC GAS AND ELECTRIC COMPANY
 

     
  
By:
NICHOLAS BIJUR
  
Name:
NICHOLAS BIJUR
  
Title:
Assistant Treasurer

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 

 
CITICORP NORTH AMERICA, INC.,
as Administrative Agent and as a Lender
 

     
  
By:
MAUREEN MARONEY
  
Name:
MAUREEN MARONEY
  
Title:
Authorized Signatory

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 

 
JPMORGAN CHASE BANK, N.A.,
as a Lender
 

  
By:
JUAN JAVELLANA
  
Name:
JUAN JAVELLANA
  
Title:
Vice President

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
DEUTSCHE BANK AG, New York Branch,
as a Lender
 

  
By:
MARCUS TARKINGTON
  
Name:
MARCUS TARKINGTON
  
Title:
Director

  
By:
RAINER MEIER
  
Name:
RAINER MEIER
  
Title:
Director

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
BNP PARIBAS, as a Lender
 

  
By:
FRANCES J. DELANEY
  
Name:
FRANCES J. DELANEY
  
Title:
Managing Director

  
By:
MANOJ KHATRI
  
Name:
MANOJ KHATRI
  
Title:
Director

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 

 
BARCLAYS BANK PLC,
as a Lender
 

  
By:
ALICIA BORYS
  
Name:
ALICIA BORYS
  
Title:
Assistant Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 

 
BANK OF AMERICA, N.A.,
as a Lender
 

  
By:
PATRICK MARTIN
  
Name:
PATRICK MARTIN
  
Title:
Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
UBS LOAN FINANCE LLC,
as a Lender
 

  
By:
MARIE HADDAD
  
Name:
MARIE HADDAD
  
Title:
Associate Director

  
By:
MARY E. EVANS
  
Name:
MARY E. EVANS
  
Title:
Associate Director

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
THE BANK OF NEW YORK MELLON,
as a Lender
 

  
By:
MARK W. ROGERS
  
Name:
MARK W. ROGERS
  
Title:
Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
WILLIAM STREET COMMITMENT CORPORATION (Recourse only to the assets of William
Street Commitment Corporation),
as a Lender
 

  
By:
MARK WALTON
  
Name:
MARK WALTON
  
Title:
Assistant Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
UNION BANK OF CALIFORNIA, N.A.,
as a Lender
 

  
By:
DENNIS G. BLANK
  
Name:
DENNIS G. BLANK
  
Title:
Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 
ABN AMRO BANK N.V.,
as a Lender
 

  
By:
R. SCOTT DONALDSON
  
Name:
R. SCOTT DONALDSON
  
Title:
Director

  
By:
TODD VAUBEL
  
Name:
TODD VAUBEL
  
Title:
Vice President

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
MORGAN STANLEY BANK, N.A.
as a Lender
 

  
By:
MELISSA JAMES
  
Name:
MELISSA JAMES
  
Title:
Authorized Signatory

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
MIZUHO CORPORATE BANK, LTD.,
as a Lender
 

  
By:
RAYMOND VENTURA
  
Name:
RAYMOND VENTURA
  
Title:
Deputy General Manager

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
SUMITOMO MITSUI BANKING CORPORATION,
as a Lender
 

  
By:
MASAKAZU HASEGAWA
  
Name:
MASAKAZU HASEGAWA
  
Title:
General Manager

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
LEHMAN BROTHERS BANK, FSB,
as a Lender
 

  
By:
THEODORE JANULIS
  
Name:
THEODORE JANULIS
  
Title:
Chairman

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
U.S. BANK NATIONAL ASSOCIATION,
as a Lender
 

  
By:
RAYMOND J. PALMER
  
Name:
RAYMOND J. PALMER
  
Title:
Senior Vice President

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

 

 
COMMERZBANK AG, New York Branch and Grand Cayman Branches, as a Lender
 

  
By:
ANDREW CAMPBELL
  
Name:
ANDREW CAMPBELL
  
Title:
Senior Vice President

 
  
By:
ELI DAVIS
  
Name:
ELI DAVIS
  
Title:
Assistant Vice President

 

-Signature Page-
Amendment and Limited Consent Agreement
Pacific Gas and Electric Company
 
 

--------------------------------------------------------------------------------

 

Schedule 1 to Amendment and Limited Consent Agreement
 
Post-Consent Percentages
 

   
JPMorgan Chase Bank, N.A.
10.967880217%
Citicorp North America, Inc.
9.679029150%
Deutsche Bank AG, NY Branch
8.822506526%
BNP Paribas
8.822506526%
Barclays Bank PLC
8.822506526%
Bank of America, N.A.
8.822506526%
UBS Loan Finance LLC
6.580728130%
The Bank of New York, Mellon
6.580728130%
Williams Street Commitment Corporation
4.935546097%
Union Bank of California, N.A.
4.935546097%
ABN AMRO  Bank N.V.
4.935546097%
Morgan Stanley Bank
4.935546097%
Mizuho Corporate Bank, Ltd.
4.569950091%
Sumitomo Mitsui Banking Corporation
3.472642683%
US Bank National Association
1.827980036%
Commerzbank, AG, NY Branch
1.288851068%
   
TOTAL
100.000000000%

 

 

 

 
 

--------------------------------------------------------------------------------