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**UNITED STATES**
**SECURITIES AND EXCHANGE COMMISSION**
**Washington, D. C. 20549**
FORM 10-Q/A

Amendment No. 1

**[X]      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF**
**THE SECURITIES EXCHANGE ACT OF 1934**
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For the quarterly period ended June 30, 2001
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OR
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**[  ]     TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF**
**THE SECURITIES EXCHANGE ACT OF 1934**
For theTransition period from ________ to _________

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                           Exact name of registrant as specified                 I.R.S.
                           in its charter, state of incorporation,             Employer
Commission                 address of principal executive offices,       Identification
File Number                Telephone                                             Number

1-16305                    PUGET ENERGY, INC.                                91-1969407
                           A Washington Corporation
                           411 - 108th Avenue N.E.
                           Bellevue, Washington 98004-5515
                           (425) 454-6363

1-4393                     PUGET SOUND ENERGY, INC.                          91-0374630
                           A Washington Corporation
                           411 - 108th Avenue N.E.
                           Bellevue, Washington 98004-5515
                           (425) 454-6363
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     Indicate   by  check   markwhether the registrant (1) has filed all reports required to be filed by Section13 or 15(d) of the  Securities  Exchange  Act of 1934  during the  preceding  12months (or for such shorter  period that the registrant was required to file forsuch reports), and (2) has been subject to such filing requirements for the past90 days.   Yes X    No ____

     As of June 30, 2001, (i)the number of shares of Puget Energy, Inc. (“Puget Energy”) commonstock outstanding was 86,437,947 ($.01 par value) and (ii) all of theoutstanding shares of Puget Sound Energy, Inc. (“PSE”) common stockwere held by Puget Energy. 

ExplanatoryNote

     Thepurpose of this Form 10-Q/A is to restate the quarterly consolidated financialstatements of Puget Energy and Puget Sound Energy for the quarter and six months ended June 30, 2001.The restatement relates to the accounting treatment of certain purchase gasfinancial contracts. The contracts, entered into as a part of the Company’splan to secure fixed price gas supplies for winter electric generation purposes,were not matched with purchase of physical gas as of June 30, 2001. As a result,under Statement of Financial Accounting Standard No. 133 the financial gaspurchase contracts do not qualify as hedge instruments at June 30, 2001.Therefore, the change in market value of these contracts should have beenrecorded in operating income for the quarter ended June 30, 2001, but were notreflected in that manner in the Company’s initial filing as of June 30,2001. 

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                                                   Table of Contents
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Filing FormatPart I.   Financial InformationItem 1.   Financial Statements

          Puget Energy, Inc.
              Consolidated Statements of Income - 3 months ended June 30, 2001 and 2000Consolidated Statements of Income - 6 months ended June 30, 2001 and 2000 Consolidated Statements of Comprehensive Income - 3 months endedJune 30, 2001 and 2000Consolidated Statements of Comprehensive Income - 6 months endedJune 30, 2001 and 2000 Consolidated Balance Sheets - June 30, 2001 and December 31, 2000 Consolidated Statements of Cash Flows - 6 months endedJune 30, 2001 and 2000

          Puget Sound Energy, Inc.
              Consolidated Statements of Income - 3 months ended June 30, 2001 and 2000Consolidated Statements of Income - 6 months ended June 30, 2001 and 2000Consolidated Statements of Comprehensive Income - 3 months endedJune 30, 2001 and 2000 Consolidated Statements of Comprehensive Income - 6 months endedJune 30, 2001 and 2000Consolidated Balance Sheets - June 30, 2001 and December 31, 2000Consolidated Statements of Cash Flows - 6 months endedJune 30, 2001 and 2000 Notes to Consolidated Financial StatementsItem 2.   Management's Discussion and Analysis of Financial Conditionand Results of OperationsItem 3.   Quantitative and Qualitative Disclosure About Market RiskPart II.  Other InformationItem 6.   Exhibits and Reports on Form 8-KSignature
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