Document:

EX-4.1

 Exhibit 4.1 

TO BE RECORDED AND WHEN 
 RECORDED RETURN TO: 

Hunton Andrews Kurth LLP 
 550 South Hope Street, Suite 2000 

Los Angeles, CA 90071 
 Attention: Robert M. Johnson, Esq. 

 
  

TWELFTH SUPPLEMENTAL INDENTURE 

Dated as of November 15, 2021 

SUPPLEMENT TO INDENTURE OF MORTGAGE 

Dated as of June 19, 2020 
  

 
 PACIFIC GAS
AND ELECTRIC COMPANY 
 ISSUER (MORTGAGOR) 

AND 
 THE BANK OF NEW
YORK MELLON TRUST COMPANY, N.A. 
 TRUSTEE (MORTGAGEE) 
  

 

 TABLE OF CONTENTS 

 

					
	 ARTICLE I DEFINITIONS
	  	 	1	 
	 ARTICLE II ESTABLISHMENT OF FLOATING RATE FIRST MORTGAGE BONDS DUE 2022
	  	 	6	 
	 ARTICLE III ESTABLISHMENT OF 1.70% FIRST MORTGAGE BONDS DUE 2023
	  	 	10	 
	 ARTICLE IV AMENDMENT, SUPPLEMENT AND WAIVER
	  	 	12	 
	 ARTICLE V COVENANTS
	  	 	12	 
	 ARTICLE VI MISCELLANEOUS
	  	 	13	 

 EXHIBIT A FORM OF FLOATING RATE FIRST MORTGAGE BOND DUE 2022 

EXHIBIT B FORM OF 1.70% FIRST MORTGAGE BOND DUE 2023 
 SCHEDULE
1 MORTGAGE INDENTURE RECORDING INFORMATION 

  
 i 

 TWELFTH SUPPLEMENTAL INDENTURE, dated as of November 15, 2021 (this
“Twelfth Supplemental Indenture”), by and between PACIFIC GAS AND ELECTRIC COMPANY, a California corporation (the “Company”), as Mortgagor, and THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., a
national banking association, as Trustee under the Mortgage Indenture (as hereinafter defined) and Mortgagee (the “Trustee”). 

RECITALS OF THE COMPANY 
 A.
The Company and the Trustee are parties to that certain Indenture of Mortgage, dated as of June 19, 2020 (together with all indentures supplemental thereto, the “Mortgage Indenture”), providing for the issuance by the Company
of Bonds (as defined in the Mortgage Indenture) from time to time. 
 B. Under the Mortgage Indenture, the Company is authorized to issue
unlimited series of Bonds and establish one or more series of Bonds at any time in accordance with the provisions of the Mortgage Indenture, and the terms of such series of Bonds may be described by a supplemental indenture executed by the Company
and the Trustee. 
 C. Pursuant to Section 3.01 of the Mortgage Indenture, the Company and the Trustee deem it advisable to enter into
this Twelfth Supplemental Indenture for the purposes of establishing the terms of two series of Bonds. 
 D. The execution and delivery of
this Twelfth Supplemental Indenture has been authorized by a Board Resolution (as defined in the Mortgage Indenture). 
 E. Concurrent with
the execution hereof, the Company has caused its counsel to deliver to the Trustee an Opinion of Counsel (as defined in the Mortgage Indenture) pursuant to Section 14.03 of the Mortgage Indenture. 

F. The Company has done all things necessary to make this Twelfth Supplemental Indenture a valid agreement of the Company in accordance with
its terms. 
 NOW, THEREFORE, the Company and the Trustee agree, for the benefit of each other and the equal and proportionate benefit of all
Holders of the Bonds of the series established hereby, as follows: 
 ARTICLE I 

DEFINITIONS 

Unless the context otherwise requires, capitalized terms used but not defined herein have the meaning set forth in the Mortgage Indenture.

 The words “herein,” “hereof” and “hereunder” and other words of similar import refer to this Twelfth
Supplemental Indenture as a whole and not to any particular Article, Section or other subdivision. 

 The following additional definitions are hereby established for purposes of this Twelfth
Supplemental Indenture and shall have the meanings set forth in this Twelfth Supplemental Indenture only for purposes of this Twelfth Supplemental Indenture: 

“Benchmark” means, initially, Compounded SOFR, as such term is defined above; provided that if a Benchmark Transition Event
and its related Benchmark Replacement Date have occurred with respect to Compounded SOFR (or the published SOFR Index used in the calculation thereof) or the then-current Benchmark, then “Benchmark” means the applicable Benchmark
Replacement. 
 “Benchmark Replacement” means the first alternative set forth in the order below that can be determined by
the Company (or its Designee) as of the Benchmark Replacement Date: 
  

	 	(1)	 the sum of: (a) the alternate rate of interest that has been selected or recommended by the Relevant
Governmental Body as the replacement for the then-current Benchmark and (b) the Benchmark Replacement Adjustment; 

  

	 	(2)	 the sum of: (a) the ISDA Fallback Rate and (b) the Benchmark Replacement Adjustment; and

  

	 	(3)	 the sum of: (a) the alternate rate of interest that has been selected by the Company (or its Designee) as
the replacement for the then-current Benchmark giving due consideration to any industry-accepted rate of interest as a replacement for the then-current Benchmark for United States dollar denominated floating rate debt securities at such time and
(b) the Benchmark Replacement Adjustment. 

 “Benchmark Replacement Adjustment” means the first
alternative set forth in the order below that can be determined by the Company (or its Designee) as of the Benchmark Replacement Date: 
  

	 	(1)	 the spread adjustment, or method for calculating or determining such spread adjustment (which may be positive
or negative value or zero) that has been selected or recommended by the Relevant Governmental Body for the applicable Unadjusted Benchmark Replacement; 

  

	 	(2)	 if the applicable Unadjusted Benchmark Replacement is equivalent to the ISDA Fallback Rate, then the ISDA
Fallback Adjustment; and 

  

	 	(3)	 the spread adjustment (which may be a positive or negative value or zero) that has been selected by the Company
(or its Designee) giving due consideration to any industry-accepted spread adjustment, or method for calculating or determining such spread adjustment, for the replacement of the then-current Benchmark with the applicable Unadjusted Benchmark
Replacement for United States dollar denominated floating rate debt securities at such time. 

 The Benchmark Replacement
Adjustment shall not include the Margin and the Margin shall be applied to the Benchmark Replacement to determine the interest payable on the Floating Rate Bonds. 

  
 2 

 “Benchmark Replacement Conforming Changes” means, with respect to any
Benchmark Replacement, any technical, administrative or operational changes (including changes to the definition or interpretation of “Interest Period”, timing and frequency of determining rates and making payments of interest, rounding of
amounts or tenor, and other administrative matters), or any other changes to any other terms or provisions of the Floating Rate Bonds, in each case that the Company (or its Designee) decides may be appropriate to reflect the adoption of such
Benchmark Replacement in a manner substantially consistent with market practice (or, if the Company (or its Designee) decides that adoption of any portion of such market practice is not administratively feasible or if the Company (or its Designee)
determines that no market practice for use of the Benchmark Replacement exists, in such other manner as the Company (or its Designee) determines is reasonably necessary or practicable). 

“Benchmark Replacement Date” means the earliest to occur of the following events with respect to the then-current Benchmark
(including the daily published component used in the calculation thereof): 
  

	 	(1)	 in the case of clause (1) or (2) of the definition of “Benchmark Transition Event,” the later of
(a) the date of the public statement or publication of information referenced therein and (b) the date on which the administrator of the Benchmark permanently or indefinitely ceases to provide the Benchmark (or such component); or

  

	 	(2)	 in the case of clause (3) of the definition of “Benchmark Transition Event,” the date of the
public statement or publication of information referenced therein. 

 For the avoidance of doubt, if the event giving rise
to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect of any determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for such determination.

 “Benchmark Transition Event” means the occurrence of one or more of the following events with respect to the
then-current Benchmark (including the daily published component used in the calculation thereof): 
  

	 	(1)	 a public statement or publication of information by or on behalf of the administrator of the Benchmark (or such
component) announcing that such administrator has ceased or will cease to provide the Benchmark (or such component), permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that
will continue to provide the Benchmark (or such component); 

  

	 	(2)	 a public statement or publication of information by the regulatory supervisor for the administrator of the
Benchmark (or such component), the central bank for the currency of the Benchmark (or such component), an insolvency official with jurisdiction over the administrator for the Benchmark (or such component), a resolution authority with jurisdiction
over the administrator for the Benchmark (or such component) or a court or an entity with similar insolvency or resolution authority over the administrator for the Benchmark (or such component), which states that the administrator of the Benchmark
(or such component) has ceased or will cease to provide the Benchmark (or such component) permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide the
Benchmark (or such component); or 

  
 3 

	 	(3)	 a public statement or publication of information by the regulatory supervisor for the administrator of the
Benchmark announcing that the Benchmark is no longer representative. 

 “Calculation Agent” means The
Bank of New York Mellon Trust Company, N.A., or its successor appointed by the Company, acting as calculation agent under that certain Calculation Agency Agreement dated the date hereof, between the Company and the Calculation Agent. 

“Compounded SOFR” will be determined by the Calculation Agent in accordance with the following formula (and the resulting
percentage will be rounded, if necessary, to the nearest one hundred-thousandth of a percentage point): 
  
 

 
 where: 

“SOFR IndexStart” means, for periods other than the initial Interest Period, the SOFR Index value on the preceding
Interest Payment Determination Date, and, for the initial Interest Period, the SOFR Index value two United States Government Securities Business Days before the Original Issue Date; 

“SOFR IndexEnd” means the SOFR Index value on the Interest Payment Determination Date relating to the applicable
Interest Payment Date (or, in the final Interest Period, relating to the maturity date); and 
 “dc” is the number
of calendar days in the relevant Observation Period. 
 “Designee” means an independent financial advisor or any other
designee of the Company. 
 “DTC” means The Depository Trust Company. 

“Electronic Means” means the following communications methods: e-mail, facsimile
transmission, secure electronic transmission containing applicable authorization codes, passwords and/or authentication keys issued by the Trustee, or another method or system specified by the Trustee as available for use in connection with its
services hereunder. 
 “Instructions” has the meaning specified in Section 609 hereof. 

  
 4 

 “Interest Payment Determination Date” means the date that is two United
States Government Securities Business Days before each Interest Payment Date (or, in the final Interest Period, before the maturity date). 

“Interest Period” means the period commencing on any Interest Payment Date (or, with respect to the initial Interest Period
only, commencing on the initial issue date) to, but excluding, the next succeeding Interest Payment Date and, in the case of the last such period, the period from and including the Interest Payment Date immediately preceding the maturity date to,
but excluding, the maturity date. 
 “ISDA Definitions” means the 2006 ISDA Definitions published by the ISDA or any
successor thereto, as amended or supplemented from time to time, or any successor definitional booklet for interest rate derivatives published from time to time. 

“ISDA Fallback Adjustment” means the spread adjustment (which may be a positive or negative value or zero) that would apply
for derivatives transactions referencing the ISDA Definitions to be determined upon the occurrence of an index cessation event with respect to the Benchmark. 

“ISDA Fallback Rate” means the rate that would apply for derivatives transactions referencing the ISDA Definitions to be
effective upon the occurrence of an index cessation date with respect to the Benchmark for the applicable tenor excluding the applicable ISDA Fallback Adjustment. 

“Margin” has the meaning specified in Section 205 hereof. 

“Observation Period” means, in respect of each Interest Period, the period from, and including, the date that is two United
States Government Securities Business Days preceding the first date in such Interest Period to, but excluding, the date that is two United States Government Securities Business Days preceding the Floating Rate Interest Payment Date for such Interest
Period (or in the final Interest Period, preceding the maturity date). 
 “Original Issue Date” means November 15,
2021. 
 “Redemption Price” means with respect to the 2023 Bonds, the price at which the 2023 Bonds may be redeemed
pursuant to Section 308(b) hereto. 
 “Reference Time” with respect to any determination of the Benchmark means
(1) if the Benchmark is Compounded SOFR, the SOFR Index Determination Time, as such time is defined above, and (2) if the Benchmark is not Compounded SOFR, the time determined by the Company (or its Designee) in accordance with the
Benchmark Replacement Conforming Changes. 
 “Relevant Governmental Body” means the Federal Reserve Board and/or the
Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board and/or the Federal Reserve Bank of New York or any successor thereto. 

“SOFR” means the daily secured overnight financing rate as provided by the SOFR Administrator on the SOFR
Administrator’s Website. 

  
 5 

 “SOFR Administrator” means the Federal Reserve Bank of New York (or a
successor administrator of SOFR). 
 “SOFR Administrator’s Website” means the website of the Federal Reserve Bank of
New York, currently at http://www.newyorkfed.org, or any successor source. 
 “SOFR Index” means, with respect to any
United States Government Securities Business Day: 
  

	 	(1)	 the SOFR Index value as published by the SOFR Administrator as such index appears on the SOFR
Administrator’s Website at 3:00 p.m. (New York time) on such United States Government Securities Business Day (the “SOFR Index Determination Time”); provided that: 

 

	 	(2)	 if a SOFR Index value does not so appear as specified in clause (1) above at the SOFR Index Determination
Time, then: (i) if a Benchmark Transition Event and its related Benchmark Replacement Date have not occurred with respect to SOFR, then Compounded SOFR shall be the rate determined pursuant to the “SOFR Index Unavailable Provisions”
described below; or (ii) if a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to SOFR, then Compounded SOFR shall be the rate determined pursuant to the “Effect of Benchmark Transition
Event” provisions described in Section 205(b) hereto. 

 “Unadjusted Benchmark Replacement”
means the Benchmark Replacement excluding the Benchmark Replacement Adjustment. 
 “United States Government Securities Business
Day” means any day except for a Saturday, a Sunday or a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading
in United States government securities. 
 ARTICLE II 

ESTABLISHMENT OF FLOATING RATE FIRST MORTGAGE BONDS DUE 2022 

 

	SECTION	 201 Establishment and Designation of the Floating Rate Bonds. 

Pursuant to the terms hereof and Section 3.01 and Article V of the Mortgage Indenture, the Company hereby establishes a forty-first
series of Bonds designated as the “Floating Rate First Mortgage Bonds due 2022” (“Floating Rate Bonds”). The Floating Rate Bonds may be reopened, from time to time, for issuances of additional Bonds of such series subject
to the terms of Article V of the Mortgage Indenture, and any additional Bonds issued and comprising Floating Rate Bonds shall have identical terms as the Floating Rate Bonds, except that the issue price, issue date and, in some cases, the first
Interest Payment Date may differ. 

  
 6 

	SECTION	 202 Form of Floating Rate Bonds. 

The Floating Rate Bonds shall be issued in the form of one or more Global Bonds in substantially the form set forth in Exhibit A. 

SECTION 203 Principal Amount. 
 The
Floating Rate Bonds shall be issued in an initial aggregate principal amount of $300,000,000. 
 SECTION 204 Stated Maturity; Minimum Denominations.

 The Floating Rate Bonds shall have a Stated Maturity of November 14, 2022. 

The Floating Rate Bonds are issuable in denominations of $2,000 and any integral multiple of $1,000 in excess thereof. 

SECTION 205 Interest. 
 (a) Except as set
forth in this Section 205, the Floating Rate Bonds will bear interest for each Interest Period at an annual rate equal to Compounded SOFR, determined as described below, plus 115 basis points (the “Margin”). Interest on the
Floating Rate Bonds will be payable quarterly in arrears on February 14, May 14, August 14 and November 14 of each year, beginning February 14, 2022. 

Interest on the Floating Rate Bonds will accrue from and including the Original Issue Date to but excluding the first Interest Payment
Date. Starting on the first Interest Payment Date, interest on each Floating Rate Bond will accrue from and including the last Interest Payment Date to which the Company has paid, or duly provided for the payment of, interest on that Floating
Rate Bond to but excluding the next succeeding Interest Payment Date. No interest will accrue on a Floating Rate Bond for the day that the Floating Rate Bond matures. The amount of interest payable for any period will be computed on the
basis of a 360-day year and the actual number of days in the Interest Period. 
 If any Interest
Payment Date falls on a day that is not a Business Day, the Company will be required to make the interest payment on the next succeeding Business Day unless that Business Day is in the next succeeding calendar month, in which case (other than in the
case of the maturity date) the Company will be required to make the interest payment on the immediately preceding Business Day. If an interest payment is made on the next succeeding Business Day, no interest will accrue as a result of the delay in
payment. If the maturity date of the Floating Rate Bonds falls on a day that is not a Business Day, the payment due on such date will be postponed to the next succeeding Business Day, and no further interest will accrue in respect of such
postponement. “Business Day” means a day other than (i) a Saturday or Sunday, (ii) a day on which banks in New York, New York are authorized or obligated by law or executive order to remain closed or (iii) a day on
which the Mortgage Trustee’s corporate trust office is closed for business. 

  
 7 

 On each Interest Payment Determination Date relating to the applicable Interest Payment
Date, the Calculation Agent will calculate the amount of accrued interest payable on the Floating Rate Bonds by multiplying (i) the outstanding principal amount of the Floating Rate Bonds by (ii) the product of (a) the interest rate
for the relevant Interest Period multiplied by (b) the quotient of the actual number of calendar days in such Interest Period divided by 360. In no event will the interest rate on the Floating Rate Bonds be less than zero. 

Notwithstanding anything to the contrary in the documentation relating to the Floating Rate Bonds, if the Company (or its Designee) determines
on or prior to the relevant Reference Time that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to determining Compounded SOFR, then the benchmark replacement provisions set forth in this
Section 205(c) will thereafter apply to all determinations of the rate of interest payable on the Floating Rate Bonds. 
 For the
avoidance of doubt, in accordance with the benchmark replacement provisions, after a Benchmark Transition Event and its related Benchmark Replacement Date have occurred, the interest rate for each Interest Period on the Floating Rate Bonds will be
an annual rate equal to the sum of the Benchmark Replacement and the Margin. 
 (b) SOFR Index Unavailable Provisions. If a SOFR
IndexStart or SOFR IndexEnd is not published on the associated Interest Payment Determination Date and a Benchmark Transition Event and its related Benchmark Replacement Date have not occurred with respect to SOFR, “Compounded SOFR” means,
for the applicable Interest Period for which such index is not available, the rate of return on a daily compounded interest investment calculated in accordance with the formula for SOFR Averages, and definitions required for such formula, published
on the SOFR Administrator’s Website, initially located at https://www.newyorkfed.org/markets/treasury-repo-reference-rates-information. For the purposes of this provision, references in the SOFR Averages compounding formula and related
definitions to “calculation period” shall be replaced with “Observation Period” and the words “that is, 30-, 90-, or 180- calendar days” shall be removed. If SOFR does not so appear for any day, “i” in the Observation Period, SOFRi for such day “i” shall be SOFR published in respect of the first
preceding United States Government Securities Business Day for which SOFR was published on the SOFR Administrator’s Website. 
 (c)
Effect of Benchmark Transition Event 
 (i) Benchmark Replacement. If the Company (or its Designee) determines that a
Benchmark Transition Event and its related Benchmark Replacement Date have occurred prior to the Reference Time in respect of any determination of the Benchmark on any date, the Benchmark Replacement will replace the then-current Benchmark for all
purposes relating to the Floating Rate Bonds in respect of such determination on such date and all determinations on all subsequent dates. 

(ii) Benchmark Replacement Conforming Changes. In connection with the implementation of a Benchmark Replacement, the Company (or its
Designee) will have the right to make Benchmark Replacement Conforming Changes from time to time. 

  
 8 

 (iii) Decisions and Determinations. Any determination, decision or election that may
be made by the Company (or its Designee) pursuant this Section 205(c) including any determination with respect to tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance
or date and any decision to take or refrain from taking any action or any selection: 
  

	 	A.	 will be conclusive and binding absent manifest error; 

 

	 	B.	 will be made in the Company’s (or its Designee’s) sole discretion; 

 

	 	C.	 if made by the Company’s Designee, will be made after consultation with the Company, and such designee
will not make any such determination, decision or election to which the Company objects; and 

  

	 	D.	 notwithstanding anything to the contrary in any documentation relating to the Floating Rate Bonds, shall become
effective without consent from the holders of the Floating Rate Bonds or any other party. 

 None of the Trustee, Paying
Agent, Bond Registrar or Calculation Agent shall be under any obligation (i) to monitor, determine or verify the unavailability or cessation of SOFR, the SOFR Index or any applicable Benchmark, or whether or when there has occurred, or to give
notice to any other transaction party of the occurrence of, any Benchmark Transition Event or related Benchmark Replacement Date, (ii) to select, determine or designate any alternative method, Benchmark Replacement or alternative index, or
other successor or replacement alternative index, or whether any conditions to the designation of such a rate or index have been satisfied, (iii) to select, determine or designate any Benchmark Replacement Adjustment, or other modifier to any
replacement or successor index, or (iv) to determine whether or what Benchmark Replacement Conforming Changes with respect to such alternative method, Benchmark Replacement or alternative index are necessary or advisable, if any, in connection
with any of the foregoing. 
 None of the Trustee, Paying Agent, Bond Registrar or Calculation Agent shall be liable for any inability,
failure or delay on its part to perform any of its duties described in this Twelfth Supplemental Indenture or the Floating Rate Bonds as a result of the unavailability of SOFR, the SOFR Index or other applicable Benchmark Replacement, including as a
result of any failure, inability, delay, error or inaccuracy on the part of any other transaction party in providing any direction, instruction, notice or information contemplated by this Twelfth Supplemental Indenture or the Floating Rate Bonds and
reasonably required for the performance of such duties. 
 SECTION 206 No Sinking Fund. 

No sinking fund is provided for any of the Floating Rate Bonds. 

SECTION 207 Paying Agent and Bond Registrar. 

The Trustee is hereby appointed as initial Paying Agent and initial Bond Registrar for the Floating Rate Bonds. The Place of Payment of the
Floating Rate Bonds shall be the Corporate Trust Office of the Trustee. 

  
 9 

 SECTION 208 Global Securities; Appointment of Depositary for Global Securities. 

The Floating Rate Bonds shall be issued in the form of one or more permanent Global Bonds as provided in Section 3.14 of the Mortgage
Indenture and deposited with, or on behalf of, the Depositary, or with the Trustee, as custodian for the Depositary, duly executed by the Company and authenticated by the Trustee. The Company hereby initially appoints DTC to act as the Depositary
with respect to all Floating Rate Bonds, and the Floating Rate Bonds shall initially be registered in the name of Cede & Co., as the nominee of DTC. 

The Company and DTC have executed a Blanket Letter of Representations, and the Trustee is hereby authorized, in connection with any successor
nominee for DTC or any successor Depositary, to enter into appropriate or comparable arrangements, if necessary, and shall have the same rights with respect to its actions thereunder as it has with respect to its actions under the Mortgage
Indenture. 
 None of the Company, the Trustee, any Paying Agent or any Bond Registrar will have any responsibility or liability for any
aspect of Depositary records relating to, or payments made on account of, beneficial ownership interests in a Global Bond or for maintaining, supervising or reviewing any Depositary records relating to such beneficial ownership interests, or for
transfers of beneficial interests in the Floating Rate Bonds or any transactions between the Depositary and beneficial owners. 
 SECTION 209 Optional
Redemption. 
 The Floating Rate Bonds are not subject to optional redemption. 

SECTION 210 Other Terms of the Floating Rate Bonds. 

The other terms of the Floating Rate Bonds shall be as expressly set forth herein and in Exhibit A. 

ARTICLE III 

ESTABLISHMENT OF 1.70% FIRST MORTGAGE BONDS DUE 2023 

SECTION 301 Establishment and Designation of the 2023 Bonds. 

Pursuant to the terms hereof and Section 3.01 and Article V of the Mortgage Indenture, the Company hereby establishes a forty-second
series of Bonds designated as the “1.70% First Mortgage Bonds due 2023” (“2023 Bonds”). The 2023 Bonds may be reopened, from time to time, for issuances of additional Bonds of such series subject to the terms of Article V
of the Mortgage Indenture, and any additional Bonds issued and comprising 2023 Bonds shall have identical terms as the 2023 Bonds, except that the issue price, issue date and, in some cases, the first Interest Payment Date may differ. 

  
 10 

 SECTION 302 Form of 2023 Bonds. 

The 2023 Bonds shall be issued in the form of one or more Global Bonds in substantially the form set forth in Exhibit B. 

SECTION 303 Principal Amount. 
 The 2023
Bonds shall be issued in an initial aggregate principal amount of $900,000,000. 
 SECTION 304 Interest Rate; Stated Maturity; Minimum Denominations.

 The 2023 Bonds shall bear interest at the rate of 1.70% per annum and shall have a Stated Maturity of November 15, 2023. 

The 2023 Bonds are issuable in denominations of $2,000 and any integral multiple of $1,000 in excess thereof. 

SECTION 305 No Sinking Fund. 
 No sinking
fund is provided for any of the 2023 Bonds. 
 SECTION 306 Paying Agent and Bond Registrar. 

The Trustee is hereby appointed as initial Paying Agent and initial Bond Registrar for the 2023 Bonds. The Place of Payment of the 2023 Bonds
shall be the Corporate Trust Office of the Trustee. 
 SECTION 307 Global Securities; Appointment of Depositary for Global Securities. 

The 2023 Bonds shall be issued in the form of one or more permanent Global Bonds as provided in Section 3.14 of the Mortgage Indenture
and deposited with, or on behalf of, the Depositary, or with the Trustee, as custodian for the Depositary, duly executed by the Company and authenticated by the Trustee. The Company hereby initially appoints DTC to act as the Depositary with respect
to all 2023 Bonds, and the 2023 Bonds shall initially be registered in the name of Cede & Co., as the nominee of DTC. 
 The
Company and DTC have executed a Blanket Letter of Representations, and the Trustee is hereby authorized, in connection with any successor nominee for DTC or any successor Depositary, to enter into appropriate or comparable arrangements, if
necessary, and shall have the same rights with respect to its actions thereunder as it has with respect to its actions under the Mortgage Indenture. 

None of the Company, the Trustee, any Paying Agent or any Bond Registrar will have any responsibility or liability for any aspect of
Depositary records relating to, or payments made on account of, beneficial ownership interests in a Global Bond or for maintaining, supervising or reviewing any Depositary records relating to such beneficial ownership interests, or for transfers of
beneficial interests in the 2023 Bonds or any transactions between the Depositary and beneficial owners. 

  
 11 

 SECTION 308 Optional Redemption. 

(a) Prior to November 15, 2022, the Company may not redeem the 2023 Bonds. 

(b) Subject to the terms and conditions of the Mortgage Indenture, at any time on or after November 15, 2022, the 2023 Bonds are
redeemable at the option of the Company in whole or in part, at a Redemption Price equal to 100% of the principal amount of the 2023 Bonds to be redeemed, plus accrued and unpaid interest thereon to, but not including, the Redemption Date. 

(c) The Redemption Price shall be calculated assuming a 360-day year consisting of twelve 30-day months. 
 (d) The Company shall calculate the Redemption Price for the redemption of any 2023 Bonds
pursuant to Section 308(b), and notify the Trustee and, on or before the applicable Redemption Date, deposit with the Trustee or Paying Agent sufficient funds to pay the applicable Redemption Price for the 2023 Bonds to be redeemed on such
Redemption Date. 
 (e) Notice of any redemption pursuant to Section 308(b) shall be given (i) to Holders of the 2023 Bonds in the
manner set forth in Section 6.04 of the Mortgage Indenture and by e-mail to the Depositary and (ii) to the Trustee in accordance with Section 6.02 of the Mortgage Indenture. 

SECTION 309 Other Terms of the 2023 Bonds. 

The other terms of the 2023 Bonds shall be as expressly set forth herein and in Exhibit B. 

ARTICLE IV 

AMENDMENT, SUPPLEMENT AND WAIVER 

The Trustee and the Company may not modify, amend or supplement this Twelfth Supplemental Indenture except as set forth in Article XIV of the
Mortgage Indenture as if (a) references in Article XIV to “this Indenture” and “hereto” are deemed to include the Twelfth Supplemental Indenture, and (b) references to the Bonds of any series “Outstanding under
this Indenture” (or similar expressions and phrases) are deemed to refer only to the Bonds of each series established hereby and no other Bonds. 

ARTICLE V 
 COVENANTS

 Each of the agreements and covenants of the Company contained in Article VII of the Mortgage Indenture shall apply to the Bonds of
each series established hereby as of the Original Issue Date. 

  
 12 

 ARTICLE VI 

MISCELLANEOUS 
 SECTION 601
Concerning the Trustee. 
 The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity or
sufficiency of this Twelfth Supplemental Indenture or the due execution hereof by the Company, or for or in respect of the recitals and statements contained herein, all of which recitals and statements are made solely by the Company. Except as
herein otherwise provided, no duties, responsibilities or liabilities are assumed, or shall be construed to be assumed, by the Trustee by reason of this Twelfth Supplemental Indenture other than as set forth in the Mortgage Indenture; and this
Twelfth Supplemental Indenture is executed and accepted on behalf of the Trustee, subject to all the terms and conditions set forth in the Mortgage Indenture, as fully to all intents as if the same were herein set forth at length. 

SECTION 602 Application of Twelfth Supplemental Indenture. 

Except as provided herein, each and every term and condition contained in this Twelfth Supplemental Indenture that modifies, amends or
supplements the terms and conditions of the Mortgage Indenture shall apply only to the Bonds of each series established hereby and not to any other series of Bonds established under the Mortgage Indenture. Except as specifically amended and
supplemented by, or to the extent inconsistent with, this Twelfth Supplemental Indenture, the Mortgage Indenture shall remain in full force and effect and is hereby ratified and confirmed. 

SECTION 603 Headings. 
 The headings of
the several Articles of this Twelfth Supplemental Indenture are inserted for convenience of reference, and shall not be deemed to be any part hereof. 

SECTION 604 Effective Date. 
 This
Twelfth Supplemental Indenture shall be effective upon the execution and delivery hereof by each of the parties hereto. 
 SECTION 605 Counterparts.

 This Twelfth Supplemental Indenture may be executed in any number of counterparts, and each of such counterparts shall together
constitute but one and the same instrument. Delivery of an executed Twelfth Supplemental Indenture by one party to the other may be made by facsimile, electronic mail (including any electronic signature complying with the New York Electronic
Signatures and Records Act (N.Y. State Tech. §§ 301-309), as amended from time to time, or other applicable law) or other transmission method, and the parties hereto agree that any counterpart so
delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes. 

  
 13 

 SECTION 606 Governing Law. 

The laws of the State of New York shall govern this Twelfth Supplemental Indenture, the Floating Rate Bonds and the 2023 Bonds, without giving
effect to applicable principles of conflicts of law to the extent that the application of the laws of another jurisdiction would be required thereby. 

SECTION 607 Severability. 
 In case any
provision in this Twelfth Supplemental Indenture, the Floating Rate Bonds or the 2023 Bonds shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or
impaired thereby. 
 SECTION 608 Incorporation by Reference. 

The terms of Schedule 1 attached hereto are incorporated herein and made a part hereof by this reference. 

SECTION 609 Electronic Communication. 

With respect to the Floating Rate Bonds and the 2023 Bonds under this Twelfth Supplemental Indenture, the Trustee and Calculation Agent shall
have the right to accept and act upon instructions (“Instructions”), given pursuant to this Twelfth Supplemental Indenture and delivered using Electronic Means; provided, however, that the Company shall provide to the Trustee an
incumbency certificate listing Authorized Officers and containing specimen signatures of such Authorized Officers, which incumbency certificate shall be amended by the Company whenever a person is to be added or deleted from the listing. If the
Company elects to give the Trustee or Calculation Agent, as applicable, Instructions using Electronic Means and the Trustee or Calculation Agent, as applicable, in its discretion elects to act upon such Instructions, the Trustee’s understanding
of such Instructions shall be deemed controlling. The Company understands and agrees that the Trustee and Calculation Agent cannot determine the identity of the actual sender of such Instructions and that the Trustee and Calculation Agent shall
conclusively presume that directions that purport to have been sent by an Authorized Officer listed on the incumbency certificate provided to the Trustee have been sent by such Authorized Officer. The Company shall be responsible for ensuring that
only Authorized Officers transmit such Instructions to the Trustee or Calculation Agent, as applicable, and that the Company and all Authorized Officers are solely responsible to safeguard the use and confidentiality of applicable user and
authorization codes, passwords and/or authentication keys upon receipt thereof by the Company. The Trustee and Calculation Agent shall not be liable for any losses, costs or expenses arising directly or indirectly from the Trustee’s or
Calculation Agent’s, as applicable, reliance upon and compliance with such Instructions notwithstanding such directions conflict or are inconsistent with a subsequent written instruction. The Company agrees: (i) to assume all risks arising
out of the use of Electronic Means to submit Instructions to the Trustee or Calculation Agent, as applicable, including without limitation the risk of the Trustee or Calculation Agent, as applicable, acting on unauthorized Instructions, and the risk
of interception and misuse by third parties; (ii) that it is fully informed of the protections and risks associated with the various methods of transmitting Instructions to the Trustee or Calculation Agent, as applicable and that there may

  
 14 

 
be more secure methods of transmitting Instructions than the method(s) selected by the Company; (iii) that the security procedures (if any) to be followed in connection with its transmission
of Instructions provide to it a commercially reasonable degree of protection in light of its particular needs and circumstances; and (iv) to notify the Trustee immediately upon learning of any compromise or unauthorized use of the security
procedures. 

  
 15 

 IN WITNESS WHEREOF, the parties hereto have caused this Twelfth Supplemental Indenture to be
duly executed as of the day and year first above written. 
  

			
	PACIFIC GAS AND ELECTRIC COMPANY,
	as Issuer (Mortgagor)
		
	By:	 	 /s/ Margaret K. Becker

	Name:	 	Margaret K. Becker
	Title:	 	Vice President and Treasurer
	
	THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A.,
	as Trustee (Mortgagee)
		
	By:	 	 /s/ Michele R. Shrum

	Name:	 	Michele R. Shrum
	Title:	 	Vice President

 
A notary public or other officer completing this certificate verifies only the identity of the individual who
signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 

  

			
	STATE OF CALIFORNIA	  	}
		  	}
	COUNTY OF SAN FRANCISCO	  	}

 On October 21, 2021, before me, Jolie F. Ocampo, a notary public, personally appeared Margaret K. Becker, who proved to
me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person, or the
entity upon behalf of which the person acted, executed the instrument. 
 I certify under PENALTY OF PERJURY under the laws of the State of California that
the foregoing paragraph is true and correct. 
 WITNESS my hand and official seal. 

 

	
	 /s/ Jolie F. Ocampo

	Signature

 (Seal) 

 
A notary public or other officer completing this certificate verifies only the identity of the individual who
signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 

  

			
	STATE OF FLORIDA	  	}
		  	} 
	COUNTY OF DUVAL                    	  	}

 On November 9, 2021, before me, Stephanie Greene-Matthews, a notary public, personally appeared Michele R. Shrum, a Vice
President of The Bank of New York Mellon Trust Company, N.A., who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her
authorized capacity, and that by her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. 

WITNESS my hand and official seal. 
  

	
	 /s/ Stephanie Greene-Matthews

	Signature

 (Seal) 

 EXHIBIT A 

[FORM OF FLOATING RATE FIRST MORTGAGE BOND DUE 2022] 

[FORM OF FACE OF BOND] 
 THIS
BOND IS A GLOBAL BOND WITHIN THE MEANING OF THE MORTGAGE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY (AS DEFINED IN THE MORTGAGE INDENTURE) OR A NOMINEE THEREOF. THIS GLOBAL BOND IS EXCHANGEABLE FOR BONDS
REGISTERED IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR ITS NOMINEE ONLY IN LIMITED CIRCUMSTANCES DESCRIBED IN THE MORTGAGE INDENTURE AND, UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR BONDS IN CERTIFICATED FORM, THIS GLOBAL
BOND MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY, OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY, OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR
DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. 
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE COMPANY (AS DEFINED BELOW) OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY BOND ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH
OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
 THE
FOLLOWING SUMMARY OF TERMS IS SUBJECT TO THE INFORMATION SET FORTH ON THE REVERSE HEREOF: 
  

					
	 PRINCIPAL AMOUNT:
 $300,000,000
	  	 ORIGINAL ISSUE DATE:
 November 15,
2021
	  	 INTEREST RATE:
 Compounded SOFR plus 115 basis
points per annum

			
	 MATURITY DATE:
 November 14, 2022
	  	 INTEREST PAYMENT DATES:
 February 14,
May 14, August 14 and November 14 of each year, commencing February 14, 2022
	  	 THIS BOND IS A:
 [X] Global Book-Entry Bond

[ ] Certificated Bond

		
	 REGISTERED OWNER: Cede & Co., as nominee of The

Depository Trust Company
	  	

  
 A-1 

 PACIFIC GAS AND ELECTRIC COMPANY 

FLOATING RATE FIRST MORTGAGE BOND DUE 2022 

(Floating Rate) 
  

			
	No. [•]	  	Principal Amount: $[•]
	CUSIP [•]	  	

 PACIFIC GAS AND ELECTRIC COMPANY, a corporation duly organized and existing under the laws of the State of
California (herein called the “Company,” which term includes any successor Person pursuant to the applicable provisions of the Mortgage Indenture hereinafter referred to), for value received, hereby promises to pay to
Cede & Co., as nominee for The Depository Trust Company, or registered assigns, the Principal Amount stated above on the Maturity Date stated above, and to pay interest thereon from and including the Original Issue Date stated above or, in
the case of a Floating Rate First Mortgage Bond Due 2022 issued upon the registration of transfer or exchange, from and including the most recent Interest Payment Date to which interest has been paid or duly provided for, quarterly in arrears on the
Interest Payment Dates set forth above and on the Maturity Date stated above at a per annum interest rate equal to Compounded SOFR, as determined in accordance with the provisions specified below, plus 115 basis points (the
“Margin”), until the principal hereof is paid or made available for payment. The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in such Mortgage Indenture, be paid to
the Person in whose name this Floating Rate First Mortgage Bond Due 2022 (this “Bond”) (or one or more Predecessor Bonds) is registered at the close of business on the Regular Record Date for such interest, which shall be
February 1, May 1, August 1 or November 1, (whether or not a Business Day), as the case may be, next preceding such Interest Payment Date; provided, however, that interest payable at the Maturity Date will be paid to the Person
to whom principal is payable. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Regular Record Date and may either be paid to the Person in whose name this Bond (or one or more
Predecessor Bonds) is registered at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, as set forth in Section 3.07 of the Mortgage Indenture, notice whereof shall be given to
Holders of Bonds of this series not less than 10 days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of the Mortgage Indenture and any securities exchange, if any, on which
the Bonds of this series may be listed, and upon such notice as may be required by any such exchange, all as more fully provided in said Mortgage Indenture. 

Payments of interest on the Bonds of this series will include interest accrued to but excluding the respective Interest Payment Dates. 

Starting on the first Interest Payment Date, interest on the Bonds of this series will accrue from and including the last Interest Payment
Date to which the Company has paid, or duly provided for the payment of, interest on the Bonds of this series to but excluding the next succeeding Interest Payment Date. No interest will accrue on the Bonds of this series for the day that the
Bonds of this series mature. The amount of interest payable for any period will be computed on the basis of a 360-day year and the actual number of days in the Interest Period. 

  
 A-2 

 If any Interest Payment Date falls on a day that is not a Business Day, the Company will be
required to make the interest payment on the next succeeding Business Day unless that Business Day is in the next succeeding calendar month, in which case (other than in the case of the Maturity Date) the Company will be required to make the
interest payment on the immediately preceding Business Day. If an interest payment is made on the next succeeding Business Day, no interest will accrue as a result of the delay in payment. If the Maturity Date of the Bonds of this series falls on a
day that is not a Business Day, the payment due on such date will be postponed to the next succeeding Business Day, and no further interest will accrue in respect of such postponement. 

Payment of principal of, premium, if any, and interest on the Bonds of this series shall be made in such coin or currency of the United States
of America as at the time of payment is legal tender for payment of public and private debts. Payments of principal of, premium, if any, and interest on the Bonds of this series represented by a Global Bond shall be made by wire transfer of
immediately available funds to the Holder of such Global Bond, provided that, in the case of payments of principal and premium, if any, such Global Bond is first surrendered to the Paying Agent. If any of the Bonds of this series are no longer
represented by a Global Bond, (i) payments of principal, premium, if any, and interest due on the Maturity Date of such Bonds shall be made at the office of the Paying Agent upon surrender of such Bonds to the Paying Agent, and
(ii) payments of interest shall be made, at the option of the Company, subject to such surrender where applicable, (A) by check mailed to the address of the Person entitled thereto as such address shall appear in the Bond Register or
(B) by wire transfer to registered Holders of at least $10,000,000 in principal amount of Bonds at such place and to such account at a banking institution in the United States as such Holders may designate in writing to the Trustee at least
sixteen (16) days prior to the date for payment. 
 For purposes of the Bonds of this series, except as expressly provided or unless
the context otherwise requires, the following terms have the following meanings: 
 “Benchmark” means, initially,
Compounded SOFR, as such term is defined above; provided that if a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to Compounded SOFR (or the published SOFR Index used in the calculation thereof) or
the then-current Benchmark, then “Benchmark” means the applicable Benchmark Replacement. 
 “Benchmark
Replacement” means the first alternative set forth in the order below that can be determined by the Company (or its Designee) as of the Benchmark Replacement Date: 
  

	 	(1)	 the sum of: (a) the alternate rate of interest that has been selected or recommended by the Relevant
Governmental Body as the replacement for the then-current Benchmark and (b) the Benchmark Replacement Adjustment; 

  

	 	(2)	 the sum of: (a) the ISDA Fallback Rate and (b) the Benchmark Replacement Adjustment; and

  
 A-3 

	 	(3)	 the sum of: (a) the alternate rate of interest that has been selected by the Company (or its Designee) as
the replacement for the then-current Benchmark giving due consideration to any industry-accepted rate of interest as a replacement for the then-current Benchmark for United States dollar denominated floating rate debt securities at such time and
(b) the Benchmark Replacement Adjustment. 

 “Benchmark Replacement Adjustment” means the first
alternative set forth in the order below that can be determined by the Company (or its Designee) as of the Benchmark Replacement Date: 
  

	 	(1)	 the spread adjustment, or method for calculating or determining such spread adjustment (which may be positive
or negative value or zero) that has been selected or recommended by the Relevant Governmental Body for the applicable Unadjusted Benchmark Replacement; 

  

	 	(2)	 if the applicable Unadjusted Benchmark Replacement is equivalent to the ISDA Fallback Rate, then the ISDA
Fallback Adjustment; and 

  

	 	(3)	 the spread adjustment (which may be a positive or negative value or zero) that has been selected by the Company
(or its Designee) giving due consideration to any industry-accepted spread adjustment, or method for calculating or determining such spread adjustment, for the replacement of the then-current Benchmark with the applicable Unadjusted Benchmark
Replacement for United States dollar denominated floating rate debt securities at such time. 

 The Benchmark Replacement
Adjustment shall not include the Margin and the Margin shall be applied to the Benchmark Replacement to determine the interest payable on the Bonds of this series. 

“Benchmark Replacement Conforming Changes” means, with respect to any Benchmark Replacement, any technical, administrative or
operational changes (including changes to the definition or interpretation of “Interest Period”, timing and frequency of determining rates and making payments of interest, rounding of amounts or tenor, and other administrative matters), or
any other changes to any other terms or provisions of the Bonds of this series, in each case that the Company (or its Designee) decides may be appropriate to reflect the adoption of such Benchmark Replacement in a manner substantially consistent
with market practice (or, if the Company (or its Designee) decides that adoption of any portion of such market practice is not administratively feasible or if the Company (or its Designee) determines that no market practice for use of the Benchmark
Replacement exists, in such other manner as the Company (or its Designee) determines is reasonably necessary or practicable). 

“Benchmark Replacement Date” means the earliest to occur of the following events with respect to the then-current Benchmark
(including the daily published component used in the calculation thereof): 
  

	 	(1)	 in the case of clause (1) or (2) of the definition of “Benchmark Transition Event,” the later of
(a) the date of the public statement or publication of information referenced therein and (b) the date on which the administrator of the Benchmark permanently or indefinitely ceases to provide the Benchmark (or such component); or

  
 A-4 

	 	(2)	 in the case of clause (3) of the definition of “Benchmark Transition Event,” the date of the
public statement or publication of information referenced therein. 

 For the avoidance of doubt, if the event giving rise
to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect of any determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for such determination.

 “Benchmark Transition Event” means the occurrence of one or more of the following events with respect to the
then-current Benchmark (including the daily published component used in the calculation thereof): 
  

	 	(1)	 a public statement or publication of information by or on behalf of the administrator of the Benchmark (or such
component) announcing that such administrator has ceased or will cease to provide the Benchmark (or such component), permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that
will continue to provide the Benchmark (or such component); 

  

	 	(2)	 a public statement or publication of information by the regulatory supervisor for the administrator of the
Benchmark (or such component), the central bank for the currency of the Benchmark (or such component), an insolvency official with jurisdiction over the administrator for the Benchmark (or such component), a resolution authority with jurisdiction
over the administrator for the Benchmark (or such component) or a court or an entity with similar insolvency or resolution authority over the administrator for the Benchmark (or such component), which states that the administrator of the Benchmark
(or such component) has ceased or will cease to provide the Benchmark (or such component) permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide the
Benchmark (or such component); or 

  

	 	(3)	 a public statement or publication of information by the regulatory supervisor for the administrator of the
Benchmark announcing that the Benchmark is no longer representative. 

 “Business Day” means a day other
than (i) a Saturday or Sunday, (ii) a day on which banks in New York, New York are authorized or obligated by law or executive order to remain closed or (iii) a day on which the Trustee’s corporate trust office is closed for
business 
 “Calculation Agent” means The Bank of New York Mellon Trust Company, N.A., or its successor appointed by the
Company, acting as calculation agent under that certain Calculation Agency Agreement dated the date hereof, between the Company and the Calculation Agent. 

“Compounded SOFR” will be determined by the Calculation Agent in accordance with the following formula (and the resulting
percentage will be rounded, if necessary, to the nearest one hundred-thousandth of a percentage point): 

  
 A-5 

 

 
 where: 

“SOFR IndexStart” means, for periods other than the initial Interest Period, the SOFR Index value on the preceding
Interest Payment Determination Date, and, for the initial Interest Period, the SOFR Index value two United States Government Securities Business Days before the Original Issue Date; 

“SOFR IndexEnd” means the SOFR Index value on the Interest Payment Determination Date relating to the applicable
Interest Payment Date (or, in the final Interest Period, relating to the maturity date); and 
 “dc” is the number
of calendar days in the relevant Observation Period. 
 “Designee” means an independent financial advisor or any other
designee of the Company. 
 “Interest Payment Determination Date” means the date that is two United States Government
Securities Business Days before each Interest Payment Date (or, in the final Interest Period, before the maturity date). 

“Interest Period” means the period commencing on any Interest Payment Date (or, with respect to the initial Interest Period
only, commencing on the initial issue date) to, but excluding, the next succeeding Interest Payment Date and, in the case of the last such period, the period from and including the Interest Payment Date immediately preceding the maturity date to,
but excluding, the maturity date 
 “ISDA Definitions” means the 2006 ISDA Definitions published by the ISDA or any
successor thereto, as amended or supplemented from time to time, or any successor definitional booklet for interest rate derivatives published from time to time. 

“ISDA Fallback Adjustment” means the spread adjustment (which may be a positive or negative value or zero) that would apply
for derivatives transactions referencing the ISDA Definitions to be determined upon the occurrence of an index cessation event with respect to the Benchmark. 

“ISDA Fallback Rate” means the rate that would apply for derivatives transactions referencing the ISDA Definitions to be
effective upon the occurrence of an index cessation date with respect to the Benchmark for the applicable tenor excluding the applicable ISDA Fallback Adjustment. 

“Observation Period” means, in respect of each Interest Period, the period from, and including, the date that is two United
States Government Securities Business Days preceding the first date in such Interest Period to, but excluding, the date that is two United States Government Securities Business Days preceding the Floating Rate Interest Payment Date for such Interest
Period (or in the final Interest Period, preceding the maturity date). 

  
 A-6 

 “Reference Time” with respect to any determination of the Benchmark means
(1) if the Benchmark is Compounded SOFR, the SOFR Index Determination Time, as such time is defined above, and (2) if the Benchmark is not Compounded SOFR, the time determined by the Company (or its Designee) in accordance with the
Benchmark Replacement Conforming Changes. 
 “Relevant Governmental Body” means the Federal Reserve Board and/or the
Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board and/or the Federal Reserve Bank of New York or any successor thereto. 

“SOFR” means the daily secured overnight financing rate as provided by the SOFR Administrator on the SOFR
Administrator’s Website. 
 “SOFR Administrator” means the Federal Reserve Bank of New York (or a successor
administrator of SOFR). 
 “SOFR Administrator’s Website” means the website of the Federal Reserve Bank of New York,
currently at http://www.newyorkfed.org, or any successor source. 
 “SOFR Index” means, with respect to any United States
Government Securities Business Day: 
  

	 	(1)	 the SOFR Index value as published by the SOFR Administrator as such index appears on the SOFR
Administrator’s Website at 3:00 p.m. (New York time) on such United States Government Securities Business Day (the “SOFR Index Determination Time”); provided that: 

 

	 	(2)	 if a SOFR Index value does not so appear as specified in clause (1) above at the SOFR Index Determination
Time, then: (i) if a Benchmark Transition Event and its related Benchmark Replacement Date have not occurred with respect to SOFR, then Compounded SOFR shall be the rate determined pursuant to the “SOFR Index Unavailable Provisions”
described below; or (ii) if a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to SOFR, then Compounded SOFR shall be the rate determined pursuant to the “Effect of Benchmark Transition
Event” provisions described in this Bond. 

 “Unadjusted Benchmark Replacement” means the Benchmark
Replacement excluding the Benchmark Replacement Adjustment. 
 “United States Government Securities Business Day” means any
day except for a Saturday, a Sunday or a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in United States
government securities. 

  
 A-7 

 (a) Determination of Interest. On each Interest Payment Determination Date relating
to the applicable Interest Payment Date, the Calculation Agent will calculate the amount of accrued interest payable on the Bonds of this series by multiplying (i) the outstanding principal amount of the Bonds of this series by (ii) the
product of (a) the interest rate for the relevant Interest Period multiplied by (b) the quotient of the actual number of calendar days in such Interest Period divided by 360. In no event will the interest rate on the Bonds of this
series be less than zero. 
 Notwithstanding anything to the contrary in the documentation relating to the Bonds of this series, if the
Company (or its Designee) determines on or prior to the relevant Reference Time that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to determining Compounded SOFR, then the benchmark replacement
provisions set forth below under “Effect of Benchmark Transition Event” will thereafter apply to all determinations of the rate of interest payable on the Bonds of this series. 

For the avoidance of doubt, in accordance with the benchmark replacement provisions, after a Benchmark Transition Event and its related
Benchmark Replacement Date have occurred, the interest rate for each Interest Period on the Bonds of this series will be an annual rate equal to the sum of the Benchmark Replacement and the Margin. 

(b) SOFR Index Unavailable Provisions. If a SOFR IndexStart or SOFR IndexEnd is not published on the associated Interest Payment
Determination Date and a Benchmark Transition Event and its related Benchmark Replacement Date have not occurred with respect to SOFR, “Compounded SOFR” means, for the applicable Interest Period for which such index is not available, the
rate of return on a daily compounded interest investment calculated in accordance with the formula for SOFR Averages, and definitions required for such formula, published on the SOFR Administrator’s Website, initially located at
https://www.newyorkfed.org/markets/treasury-repo-reference-rates-information. For the purposes of this provision, references in the SOFR Averages compounding formula and related definitions to “calculation period” shall be replaced
with “Observation Period” and the words “that is, 30-, 90-, or 180- calendar days” shall be removed. If
SOFR does not so appear for any day, “i” in the Observation Period, SOFRi for such day “i” shall be SOFR published in respect of the first preceding United States Government Securities Business Day for which SOFR was published on
the SOFR Administrator’s Website. 
 (c) Effect of Benchmark Transition Event 

(i) Benchmark Replacement. If the Company (or its Designee) determines that a Benchmark Transition Event and its related Benchmark
Replacement Date have occurred prior to the Reference Time in respect of any determination of the Benchmark on any date, the Benchmark Replacement will replace the then-current Benchmark for all purposes relating to the Bonds of this series in
respect of such determination on such date and all determinations on all subsequent dates. 
 (ii) Benchmark Replacement Conforming
Changes. In connection with the implementation of a Benchmark Replacement, the Company (or its Designee) will have the right to make Benchmark Replacement Conforming Changes from time to time. 

  
 A-8 

 (iii) Decisions and Determinations. Any determination, decision or election that may
be made by the Company (or its Designee) pursuant this Section 205(c) including any determination with respect to tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance
or date and any decision to take or refrain from taking any action or any selection: 
  

	 	A.	 will be conclusive and binding absent manifest error; 

 

	 	B.	 will be made in the Company’s (or its Designee’s) sole discretion; 

 

	 	C.	 if made by the Company’s Designee, will be made after consultation with the Company, and such designee
will not make any such determination, decision or election to which the Company objects; and 

  

	 	D.	 notwithstanding anything to the contrary in any documentation relating to the Bonds of this series, shall
become effective without consent from the Holders of the Bonds of this series or any other party. 

 REFERENCE IS HEREBY
MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH AT THIS PLACE. 

  
 A-9 

 Unless the certificate of authentication hereon has been executed by the Trustee referred to
on the reverse hereof by manual or electronic signature, this Bond shall not be entitled to any benefit under the Mortgage Indenture or be valid or obligatory for any purpose. 

IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 

Dated: November 15, 2021 
  

			
	PACIFIC GAS AND ELECTRIC COMPANY
		
	By	 	  

		 	Name: David Thomason
		 	Title: Vice President, Chief Financial Officer and           Controller
		
	By	 	  

		 	Name: Margaret K. Becker
		 	Title: Vice President and Treasurer

  
 A-10 

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Bonds of the series designated as Bonds of the Floating Rate First Mortgage Bonds due 2022 referred to in the
within-mentioned Mortgage Indenture. 
  

			
	THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., as Trustee
		
	By:	 	  

		 	Authorized Signatory

 Dated: November 15, 2021 

  
 A-11 

 [FORM OF REVERSE OF FLOATING RATE FIRST MORTGAGE BOND DUE 2022] 

This Floating Rate First Mortgage Bond due 2022 is one of a duly authorized issue of Bonds of the Company (the “Bonds”),
issued and issuable in one or more series under and equally secured by an Indenture of Mortgage, dated as of June 19, 2020 (such Mortgage Indenture as originally executed and delivered and as supplemented or amended from time to time
thereafter, together with any constituent instruments establishing the terms of particular Bonds, being herein called the “Mortgage Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A., as Trustee
(herein called the “Trustee”, which term includes any successor trustee under the Mortgage Indenture), and reference is hereby made to the Mortgage Indenture for a description of the property mortgaged, pledged and held in trust,
the nature and extent of the security and the respective rights, limitations of rights, duties and immunities of the Company, the Trustee and the Holders of Bonds thereunder and of the terms and conditions upon which Bonds are, and are to be,
authenticated and delivered. The acceptance of this Bond shall be deemed to constitute the consent and agreement by the Holder hereof to all of the terms and provisions of the Mortgage Indenture. 

The Company shall not be required to make any mandatory redemption or sinking fund payments with respect to the Bonds of this series. 

As provided in the Mortgage Indenture and subject to certain limitations therein set forth, this Bond or any portion of the principal amount
hereof will be deemed to have been paid for all purposes of the Mortgage Indenture and to be no longer Outstanding thereunder, and the Company’s entire indebtedness in respect thereof will be satisfied and discharged, if there has been
irrevocably deposited with the Trustee or any Paying Agent (other than the Company), in trust, money in an amount which will be sufficient and/or Eligible Obligations, the principal of and interest on which when due, without regard to any
reinvestment thereof, will provide moneys which, together with money, if any, deposited with or held by the Trustee or such Paying Agent, will be sufficient to pay when due the principal of and premium, if any, and interest on this Bond when due.

 If an Event of Default shall occur and be continuing as provided in the Mortgage Indenture, the Trustee or the Holders of not less than
25% in aggregate principal amount of Bonds then Outstanding, considered as one class, may declare the principal amount of all Bonds then Outstanding to be due and payable immediately by notice in writing to the Company (and to the Trustee if given
by Holders); provided, however, that with respect to certain Events of Default relating to bankruptcy, insolvency and similar events, the principal amount of all Bonds then Outstanding shall be due and payable immediately without
further action by the Trustee or the Holders. 
 The Mortgage Indenture permits, with certain exceptions as therein provided, the Company
and the Trustee to enter into one or more supplemental indentures for the purpose of adding any provisions to, or changing in any manner or eliminating any of the provisions of, the Mortgage Indenture with the consent of the Holders of not less than
a majority in aggregate principal amount of the Bonds at the time Outstanding, considered as one class; provided, however, that if there shall be Bonds of more than one series Outstanding under the Mortgage Indenture and if a proposed
supplemental indenture shall directly affect the rights of the Holders of Bonds of one or more, but 

  
 A-12 

 
less than all, of such series, then the consent only of the Holders of a majority in aggregate principal amount of the Outstanding Bonds of all series so directly affected, considered as one
class, shall be required; and provided, further, that if the Bonds of any series shall have been issued in more than one Tranche and if a proposed supplemental indenture shall directly affect the rights of the Holders of Bonds of one
or more, but less than all, of such Tranches, then the consent only of the Holders of a majority in aggregate principal amount of the Outstanding Bonds of all Tranches so directly affected, considered as one class, shall be required; and
provided, further, that the Mortgage Indenture permits the Company and the Trustee to enter into one or more supplemental indentures for certain purposes without the consent of any Holders of Bonds. The Mortgage Indenture also contains
provisions permitting the Holders of a majority in aggregate principal amount of Bonds, on behalf of the Holders of all such Bonds, to waive certain past defaults under the Mortgage Indenture and their consequences. Any such consent or waiver by the
Holder of this Bond shall be conclusive and binding upon such Holder and upon all future Holders of this Bond and of any Bond issued upon the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such
consent or waiver is made upon this Bond. 
 As provided in and subject to the provisions of the Mortgage Indenture, the Holder of this Bond
shall not have the right to institute any proceeding with respect to the Mortgage Indenture or for the appointment of a receiver or trustee or for any other remedy thereunder, unless such Holder shall have previously given the Trustee written notice
of a continuing Event of Default, the Holders of at least 25% in aggregate principal amount of the Bonds at the time Outstanding shall have made written request to the Trustee to institute proceedings in respect of such Event of Default as Trustee
and offered the Trustee reasonable indemnity, and the Trustee shall not have received from the Holders of at least a majority in aggregate principal amount of Bonds at the time Outstanding a direction inconsistent with such written request, and
shall have failed to institute any such proceeding for 60 days after receipt of such notice, request and offer of indemnity. The foregoing shall not apply to any suit instituted by the Holder of this Bond for the enforcement of any payment of
principal hereof or any premium or interest hereon on or after the respective due dates expressed herein. 
 No reference herein to the
Mortgage Indenture and no provision of this Bond or of the Mortgage Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and any premium and interest on this Bond at the times,
place and rate, and in the coin or currency, herein prescribed. 
 As provided in the Mortgage Indenture and subject to certain limitations
therein set forth, the transfer of this Bond is registrable in the Bond Register, upon surrender of this Bond for registration of transfer at the office or agency of the Company in any place where the principal of and any premium and interest on
this Bond are payable, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company, the Trustee or the Bond Registrar, as the case may be, duly executed by the Holder hereof or such Holder’s attorney
duly authorized in writing, and thereupon one or more new Bonds of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 

  
 A-13 

 The Bonds of this series are issuable only in registered form without coupons in
denominations of $2,000 and any integral multiple of $1,000 in excess thereof. As provided in the Mortgage Indenture and subject to certain limitations therein set forth, Bonds of this series are exchangeable for a like aggregate principal amount of
Bonds of this series and of like tenor of a different authorized denomination, as requested by the Holders surrendering the same. 
 No
service charge shall be made for any such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 

The Company shall not be required to execute or to provide for the registration of the transfer of or the exchange of (A) any Bond of
this series during a period of 15 days immediately preceding the date notice is to be given identifying the serial numbers (or with respect to Global Bonds, CUSIP numbers) of the Bonds of this series called for redemption, or (B) any Bond of
this series selected for redemption in whole or in part, except the unredeemed portion of any Bond of this series being redeemed in part. 

Prior to due presentment of this Bond for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may
treat the Person in whose name this Bond is registered as the owner hereof for all purposes, whether or not this Bond is overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 

This Bond shall be governed by, and construed and enforced in accordance with, the laws of the State of New York without regard to the
principles of conflicts of laws thereunder, except to the extent that the Trust Indenture Act shall be applicable. 
 As provided in the
Mortgage Indenture, no recourse shall be had for the payment of the principal of, premium, if any, or interest with respect to this Bond, or any part thereof, or for any claim based hereon or otherwise in respect hereof, or of the indebtedness
represented hereby, or upon any obligation, covenant or agreement under the Mortgage Indenture, against any incorporator, shareholder, officer or director, as such, past, present or future, of the Company or of any predecessor or successor
corporation (either directly or through the Company or a predecessor or successor corporation), whether by virtue of any constitutional provision, statute or rule of law or by the enforcement of any assessment or penalty or otherwise; it being
expressly agreed and understood that the Mortgage Indenture and all the Bonds are solely corporate obligations and that any such personal liability is hereby expressly waived and released as a condition of, and as part of the consideration for, the
execution of the Mortgage Indenture and the issuance of this Bond. 
 All terms used in this Bond which are not defined herein shall have
the meanings assigned to them in the Mortgage Indenture. 

  
 A-14 

 ASSIGNMENT FORM 

To assign this Bond, fill in the form below: (I) or (we) assign and transfer this Bond
to                                 

 
  

(Insert assignee’s soc. sec. or tax I.D. no.) 
  

 
  

 
  

 
  

 
  

 
 (Print or type assignee’s name, address and zip
code) 
 and irrevocably appoint
                                         
                                         
                                         
                                         
to transfer this Bond on the books of the Company. The agent may substitute another to act for him. 
 Date: ___________ 

 

			
	Your signature:
                                         
                   
	 (Sign exactly as your name appears on the

face of this Bond)

	
	Tax Identification No.:
	
	SIGNATURE GUARANTEE:
	
	              

	Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Bond Registrar, which requirements include membership or participation in the Security Transfer Agent
Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined by the Bond Registrar in addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
amended.

  

  
 A-15 

 EXHIBIT B 

[FORM OF 1.70% FIRST MORTGAGE BOND DUE 2023] 

[FORM OF FACE OF BOND] 
 THIS
BOND IS A GLOBAL BOND WITHIN THE MEANING OF THE MORTGAGE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY (AS DEFINED IN THE MORTGAGE INDENTURE) OR A NOMINEE THEREOF. THIS GLOBAL BOND IS EXCHANGEABLE FOR BONDS
REGISTERED IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR ITS NOMINEE ONLY IN LIMITED CIRCUMSTANCES DESCRIBED IN THE MORTGAGE INDENTURE AND, UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR BONDS IN CERTIFICATED FORM, THIS GLOBAL
BOND MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY, OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY, OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR
DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. 
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE COMPANY (AS DEFINED BELOW) OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY BOND ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH
OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
 THE
FOLLOWING SUMMARY OF TERMS IS SUBJECT TO THE INFORMATION SET FORTH ON THE REVERSE HEREOF: 
  

					
	 PRINCIPAL AMOUNT:
 $900,000,000
	  	 ORIGINAL ISSUE DATE:
 November 15,
2021
	  	 INTEREST RATE:
 1.70% per annum

			
	 MATURITY DATE:
 November 15, 2023
	  	 INTEREST PAYMENT DATES:
 May 15 and
November 15 of each year, commencing May 15, 2022
	  	 THIS BOND IS A:
 [X] Global Book-Entry Bond

[    ] Certificated Bond

	  
 REGISTERED OWNER: Cede & Co., as nominee of
The
 Depository Trust Company
	  	

  
 B-1 

 PACIFIC GAS AND ELECTRIC COMPANY 

1.70% FIRST MORTGAGE BOND DUE 2023 

(Fixed Rate) 
  

			
	No. [•]	  	Principal Amount: $[•]
	CUSIP [•]	  	

 PACIFIC GAS AND ELECTRIC COMPANY, a corporation duly organized and existing under the laws of the State of
California (herein called the “Company,” which term includes any successor Person pursuant to the applicable provisions of the Mortgage Indenture hereinafter referred to), for value received, hereby promises to pay to
Cede & Co., as nominee for The Depository Trust Company, or registered assigns, the Principal Amount stated above on the Maturity Date stated above, and to pay interest thereon from and including the Original Issue Date stated above or, in
the case of a 1.70% First Mortgage Bond Due 2023 issued upon the registration of transfer or exchange, from and including the most recent Interest Payment Date to which interest has been paid or duly provided for, semi-annually in arrears on the
Interest Payment Dates set forth above and on the Maturity Date stated above at the rate of 1.70% per annum until the principal hereof is paid or made available for payment. The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date will, as provided in such Mortgage Indenture, be paid to the Person in whose name this 1.70% First Mortgage Bond Due 2023 (this “Bond”) (or one or more Predecessor Bonds) is registered at the close of business
on the Regular Record Date for such interest, which shall be May 1 or November 1 (whether or not a Business Day), as the case may be, next preceding such Interest Payment Date; provided, however, that interest payable at the Maturity Date
or on a Redemption Date will be paid to the Person to whom principal is payable. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Regular Record Date and may either be paid to the
Person in whose name this Bond (or one or more Predecessor Bonds) is registered at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, as set forth in Section 3.07 of the
Mortgage Indenture, notice whereof shall be given to Holders of Bonds of this series not less than 10 days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of the Mortgage
Indenture and any securities exchange, if any, on which the Bonds of this series may be listed, and upon such notice as may be required by any such exchange, all as more fully provided in said Mortgage Indenture. 

Payments of interest on this Bond will include interest accrued to but excluding the respective Interest Payment Dates. Interest payments for
this Bond shall be computed and paid on the basis of the 360-day year of twelve 30-day months. In the event that any date on which interest is payable on this Bond
(other than the Maturity Date) is not a Business Day, then payment of the interest payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or payment in respect of any such delay) with the same
force and effect as if made on the date the payment was originally payable. If the Maturity Date falls on a day that is not a Business Day, the payment of principal, premium, if any, and interest may be made on the next succeeding Business Day, and
no interest on such payment shall accrue for the period from and after maturity. 

  
 B-2 

 Payment of principal of, premium, if any, and interest on the Bonds of this series shall be
made in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public and private debts. Payments of principal of, premium, if any, and interest on the Bonds of this series represented by a
Global Bond shall be made by wire transfer of immediately available funds to the Holder of such Global Bond, provided that, in the case of payments of principal and premium, if any, such Global Bond is first surrendered to the Paying Agent. If any
of the Bonds of this series are no longer represented by a Global Bond, (i) payments of principal, premium, if any, and interest due on the Maturity Date or on a Redemption Date of such Bonds shall be made at the office of the Paying Agent upon
surrender of such Bonds to the Paying Agent, and (ii) payments of interest shall be made, at the option of the Company, subject to such surrender where applicable, (A) by check mailed to the address of the Person entitled thereto as such
address shall appear in the Bond Register or (B) by wire transfer to registered Holders of at least $10,000,000 in principal amount of Bonds at such place and to such account at a banking institution in the United States as such Holders may
designate in writing to the Trustee at least sixteen (16) days prior to the date for payment. 
 REFERENCE IS HEREBY MADE TO THE
FURTHER PROVISIONS OF THIS BOND SET FORTH ON THE REVERSE HEREOF, WHICH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH AT THIS PLACE. 

  
 B-3 

 Unless the certificate of authentication hereon has been executed by the Trustee referred to
on the reverse hereof by manual or electronic signature, this Bond shall not be entitled to any benefit under the Mortgage Indenture or be valid or obligatory for any purpose. 

IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 

Dated: November 15, 2021 
  

			
	PACIFIC GAS AND ELECTRIC COMPANY
		
	By	 	              

		 	 Name:  David Thomason

		 	 Title:   Vice President, Chief Financial Officer and Controller

		
	By	 	              

		 	 Name:  Margaret K. Becker

		 	 Title:   Vice President and Treasurer

  
 B-4 

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Bonds of the series designated as Bonds of the 1.70% First Mortgage Bonds due 2023 referred to in the within-mentioned
Mortgage Indenture. 
  

			
	THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., as Trustee
		
	By:	 	
                 

		 	Authorized Signatory

 Dated: November 15, 2021 

  
 B-5 

 [FORM OF REVERSE OF 1.70% FIRST MORTGAGE BOND DUE 2023] 

This 1.70% First Mortgage Bond due 2023 is one of a duly authorized issue of Bonds of the Company (the “Bonds”), issued and
issuable in one or more series under and equally secured by an Indenture of Mortgage, dated as of June 19, 2020 (such Mortgage Indenture as originally executed and delivered and as supplemented or amended from time to time thereafter, together
with any constituent instruments establishing the terms of particular Bonds, being herein called the “Mortgage Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A., as Trustee (herein called the
“Trustee”, which term includes any successor trustee under the Mortgage Indenture), and reference is hereby made to the Mortgage Indenture for a description of the property mortgaged, pledged and held in trust, the nature and extent
of the security and the respective rights, limitations of rights, duties and immunities of the Company, the Trustee and the Holders of Bonds thereunder and of the terms and conditions upon which Bonds are, and are to be, authenticated and delivered.
The acceptance of this Bond shall be deemed to constitute the consent and agreement by the Holder hereof to all of the terms and provisions of the Mortgage Indenture. 

The Company shall not be required to make any mandatory redemption or sinking fund payments with respect to the Bonds of this series. 

Subject to the terms and conditions of the Mortgage Indenture, the Bonds of this series are also redeemable at the option of the Company
(“Optional Redemption”), in whole or in part at any time on or after November 15, 2022, in whole or in part, at a Redemption Price equal to 100% of the principal amount of the Bonds of this series to be redeemed, plus accrued
and unpaid interest thereon to, but not including, the Redemption Date. 
 Interest installments whose Stated Maturity is on or prior to
such Redemption Date will be payable to Holders of such Bonds of this series, or one or more Predecessor Bonds, of record at the close of business on the relevant Record Dates referred to on the face hereof, all as provided in the Mortgage
Indenture. 
 In the case of an Optional Redemption, notice of redemption will be sent not less than 10 days nor more than 60 days prior to
the Redemption Date to each Holder of Bonds of this series to be redeemed. If money sufficient to pay the Redemption Price of all Bonds of this series (or portions thereof) to be redeemed on the Redemption Date is deposited with the Paying Agent or
the Trustee on or prior to the Redemption Date, from and after such Redemption Date such Bonds of this series or portions thereof shall cease to bear interest. The Bonds of this series in denominations larger than $2,000 in principal amount may be
redeemed in part but only in integral multiples of $1,000. 
 In the event of redemption of this Bond in part only, a new Bond or Bonds of
this series and of like tenor for the unredeemed portion hereof will be issued in the name of the Holder hereof upon the surrender hereof. 

  
 B-6 

 As provided in the Mortgage Indenture and subject to certain limitations therein set forth,
this Bond or any portion of the principal amount hereof will be deemed to have been paid for all purposes of the Mortgage Indenture and to be no longer Outstanding thereunder, and the Company’s entire indebtedness in respect thereof will be
satisfied and discharged, if there has been irrevocably deposited with the Trustee or any Paying Agent (other than the Company), in trust, money in an amount which will be sufficient and/or Eligible Obligations, the principal of and interest on
which when due, without regard to any reinvestment thereof, will provide moneys which, together with money, if any, deposited with or held by the Trustee or such Paying Agent, will be sufficient to pay when due the principal of and premium, if any,
and interest on this Bond when due. 
 If an Event of Default shall occur and be continuing as provided in the Mortgage Indenture, the
Trustee or the Holders of not less than 25% in aggregate principal amount of Bonds then Outstanding, considered as one class, may declare the principal amount of all Bonds then Outstanding to be due and payable immediately by notice in writing to
the Company (and to the Trustee if given by Holders); provided, however, that with respect to certain Events of Default relating to bankruptcy, insolvency and similar events, the principal amount of all Bonds then Outstanding shall be
due and payable immediately without further action by the Trustee or the Holders. 
 The Mortgage Indenture permits, with certain exceptions
as therein provided, the Company and the Trustee to enter into one or more supplemental indentures for the purpose of adding any provisions to, or changing in any manner or eliminating any of the provisions of, the Mortgage Indenture with the
consent of the Holders of not less than a majority in aggregate principal amount of the Bonds at the time Outstanding, considered as one class; provided, however, that if there shall be Bonds of more than one series Outstanding under
the Mortgage Indenture and if a proposed supplemental indenture shall directly affect the rights of the Holders of Bonds of one or more, but less than all, of such series, then the consent only of the Holders of a majority in aggregate principal
amount of the Outstanding Bonds of all series so directly affected, considered as one class, shall be required; and provided, further, that if the Bonds of any series shall have been issued in more than one Tranche and if a proposed
supplemental indenture shall directly affect the rights of the Holders of Bonds of one or more, but less than all, of such Tranches, then the consent only of the Holders of a majority in aggregate principal amount of the Outstanding Bonds of all
Tranches so directly affected, considered as one class, shall be required; and provided, further, that the Mortgage Indenture permits the Company and the Trustee to enter into one or more supplemental indentures for certain purposes
without the consent of any Holders of Bonds. The Mortgage Indenture also contains provisions permitting the Holders of a majority in aggregate principal amount of Bonds, on behalf of the Holders of all such Bonds, to waive certain past defaults
under the Mortgage Indenture and their consequences. Any such consent or waiver by the Holder of this Bond shall be conclusive and binding upon such Holder and upon all future Holders of this Bond and of any Bond issued upon the registration of
transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Bond. 
 As
provided in and subject to the provisions of the Mortgage Indenture, the Holder of this Bond shall not have the right to institute any proceeding with respect to the Mortgage Indenture or for the appointment of a receiver or trustee or for any other
remedy thereunder, unless such Holder shall have previously given the Trustee written notice of a continuing Event of Default, the Holders of at least 25% in aggregate principal amount of the Bonds at the time Outstanding shall have made written
request to the Trustee to institute proceedings in respect of such Event of Default as Trustee and offered the Trustee reasonable indemnity, and the Trustee shall not have 

  
 B-7 

 
received from the Holders of at least a majority in aggregate principal amount of Bonds at the time Outstanding a direction inconsistent with such written request, and shall have failed to
institute any such proceeding for 60 days after receipt of such notice, request and offer of indemnity. The foregoing shall not apply to any suit instituted by the Holder of this Bond for the enforcement of any payment of principal hereof or any
premium or interest hereon on or after the respective due dates expressed herein. 
 No reference herein to the Mortgage Indenture and no
provision of this Bond or of the Mortgage Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of and any premium and interest on this Bond at the times, place and rate, and in the
coin or currency, herein prescribed. 
 As provided in the Mortgage Indenture and subject to certain limitations therein set forth, the
transfer of this Bond is registrable in the Bond Register, upon surrender of this Bond for registration of transfer at the office or agency of the Company in any place where the principal of and any premium and interest on this Bond are payable,
duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company, the Trustee or the Bond Registrar, as the case may be, duly executed by the Holder hereof or such Holder’s attorney duly authorized in
writing, and thereupon one or more new Bonds of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or transferees. 

The Bonds of this series are issuable only in registered form without coupons in denominations of $2,000 and any integral multiple of $1,000
in excess thereof. As provided in the Mortgage Indenture and subject to certain limitations therein set forth, Bonds of this series are exchangeable for a like aggregate principal amount of Bonds of this series and of like tenor of a different
authorized denomination, as requested by the Holders surrendering the same. 
 No service charge shall be made for any such registration of
transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 

The Company shall not be required to execute or to provide for the registration of the transfer of or the exchange of (A) any Bond of
this series during a period of 15 days immediately preceding the date notice is to be given identifying the serial numbers (or with respect to Global Bonds, CUSIP numbers) of the Bonds of this series called for redemption, or (B) any Bond of
this series selected for redemption in whole or in part, except the unredeemed portion of any Bond of this series being redeemed in part. 

Prior to due presentment of this Bond for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may
treat the Person in whose name this Bond is registered as the owner hereof for all purposes, whether or not this Bond is overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 

This Bond shall be governed by, and construed and enforced in accordance with, the laws of the State of New York without regard to the
principles of conflicts of laws thereunder, except to the extent that the Trust Indenture Act shall be applicable. 

  
 B-8 

 As provided in the Mortgage Indenture, no recourse shall be had for the payment of the
principal of, premium, if any, or interest with respect to this Bond, or any part thereof, or for any claim based hereon or otherwise in respect hereof, or of the indebtedness represented hereby, or upon any obligation, covenant or agreement under
the Mortgage Indenture, against any incorporator, shareholder, officer or director, as such, past, present or future, of the Company or of any predecessor or successor corporation (either directly or through the Company or a predecessor or successor
corporation), whether by virtue of any constitutional provision, statute or rule of law or by the enforcement of any assessment or penalty or otherwise; it being expressly agreed and understood that the Mortgage Indenture and all the Bonds are
solely corporate obligations and that any such personal liability is hereby expressly waived and released as a condition of, and as part of the consideration for, the execution of the Mortgage Indenture and the issuance of this Bond. 

All terms used in this Bond which are not defined herein shall have the meanings assigned to them in the Mortgage Indenture. 

  
 B-9 

 ASSIGNMENT FORM 

To assign this Bond, fill in the form below: (I) or (we) assign and transfer this Bond
to                                        
                                         
            
  
  

(Insert assignee’s soc. sec. or tax I.D. no.) 
  

 
  

 
  

 
  

 
  

 
 (Print or type assignee’s name, address and zip
code) 

and irrevocably appoint                    
                                         
                                         
                                         
                                         
                             

to transfer this Bond on the books of the Company. The agent may substitute another to act for him. 

Date: ___________ 

	
	Your signature:                                   
                                      
	(Sign exactly as your name appears on the face of this Bond)
	
	Tax Identification No.:
	
	SIGNATURE GUARANTEE:
	
	              

	Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Bond Registrar, which requirements include membership or participation in the Security Transfer Agent Medallion Program
(“STAMP”) or such other “signature guarantee program” as may be determined by the Bond Registrar in addition to, or in substitution for, STAMP, all in accordance with the Securities Exchange Act of 1934, as
amended.

  

  
 B-10 

 SCHEDULE 1 

RECORDING INFORMATION 
 This
Schedule 1 is hereby incorporated into and made a part of the Twelfth Supplemental Indenture. The Twelfth Supplemental Indenture (or a memorandum describing such Twelfth Supplemental Indenture) shall be recorded in the Official Records of the
County (as defined above) in order to put third parties on record notice with respect thereto. 
 The Mortgage Indenture was initially
recorded in the Official Records of the County on the applicable recording dates and at the applicable instrument numbers set forth in column A below. 

The Memorandum of Supplemental First Mortgage Indentures, dated as of August 12, 2020 (the “2020 Memorandum”)
was recorded in the Official Records of the County on the applicable recording dates and at the applicable instrument numbers set forth in column B below. 

Certain parcels of real property located in certain counties have been released from the lien of the Mortgage Indenture, as set forth in the
2020 Partial Release (as defined below). To the extent applicable, the Certificate of Partial Release of Lien, dated as of December 15, 2020 (the “2020 Partial Release”) was recorded in the Official Records of
the County on the applicable recording dates and at the applicable instrument numbers set forth in column C below. 
 The Seventh
Supplemental Indenture, dated as of November 16, 2020 (the “Seventh Supplemental Indenture”) was recorded in the Official Records of the County on the applicable recording dates and at the applicable instrument
numbers set forth in column D below. 
 The Eighth Supplemental Indenture, dated as of March 8, 2021 (the “Eighth
Supplemental Indenture”) was recorded in the Official Records of the County on the applicable recording dates and at the applicable instrument numbers set forth in column E below. 

Certain parcels of real property located in certain counties have been released from the lien of the Mortgage Indenture, as set forth in the
2021 Partial Release (as defined below). To the extent applicable, the Certificate of Partial Release of Lien, dated as of September 9, 2021 (the “2021 Partial Release”) was recorded in the Official Records of
the County on the applicable recording dates and at the applicable instrument numbers set forth in column F below. 
 The Memorandum of
Supplemental First Mortgage Indentures, dated as of August 31, 2021 (the “2021 Memorandum”) was recorded in the Official Records of the County on the applicable recording dates and at the applicable instrument numbers set
forth in column G below. 

  
 Sch. 1-1 

									
	 	  	 A
	  	 B
	  	 C
	  	 D

	 County
	  	 Recording Date &
Instrument Number

(Indenture of Mortgage, dated as
of June 19,
2020)
	  	 Recording Date &
Instrument Number

(Memorandum of Supplemental
First
Mortgage Indentures,
dated as of August 12, 2020)
	  	 Recording Date &
Instrument Number

(Certificate of Partial Release of
Lien, dated as
of
December 15, 2020)
	  	 Recording Date & Instrument
Number

(Seventh Supplemental

Indenture, dated as of
November 16, 2020) 

					
	Alameda	  	 Date: 7/8/2020

Instrument: 2020159002
	  	 Date: 8/19/2020

Instrument: 2020203390
	  	—	  	 Date: 3/8/2021

Instrument: 2021094794

					
	Alpine	  	 Date: 7/8/2020

Instrument: Ins.000313
	  	 Date: 8/21/2020

Instrument: 2020000409
	  	—	  	 Date: 2/26/2021

Instrument: 2021-000224

					
	Amador	  	 Date: 7/7/2020

Instrument: 2020-0005302
	  	 Date: 8/19/2020

Instrument: 2020-0006984-00
	  	—	  	 Date: 3/8/2021

Instrument: 20210002728

					
	Butte	  	 Date: 7/7/2020

Instrument: 2020-0026656
	  	 Date: 8/19/2020

Instrument: 2020-0033263
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0008993

					
	Calaveras	  	 Date: 7/7/2020

Instrument: 2020-008603
	  	 Date: 8/19/2020

Instrument: 2020-011334
	  	—	  	 Date: 2/24/2021

Instrument: 2021-003707

					
	Colusa	  	 Date: 7/13/2020

Instrument: 2020-0002012
	  	 Date: 8/19/2020

Instrument: 2020-0002404
	  	—	  	 Date: 2/25/2021

Instrument: 2021-0000922

					
	Contra Costa	  	 Date: 7/10/2020

Instrument: 2020-0137967-00
	  	 Date: 8/24/2020

Instrument: 2020-0179597
	  	—	  	 Date: 3/8/2021

Instrument: 2021-0068856

					
	El Dorado	  	 Date: 7/7/2020

Instrument: 2020-0033173-00
	  	 Date: 8/19/2020

Instrument: 2020-0042892-00
	  	—	  	 Date: 3/4/2021

Instrument: 2021-0014976

					
	Fresno	  	 Date: 7/7/2020

Instrument: 2020-0084490
	  	 Date: 8/20/2020

Instrument: 2020-0108156
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0031297

					
	Glenn	  	 Date: 7/8/2020

Instrument: 2020-2622
	  	 Date: 8/25/2020

Instrument: 2020-3320
	  	—	  	 Date: 2/25/2021

Instrument: 2021-0901

					
	Humboldt	  	 Date: 7/14/2020

Instrument: 2020-011590
	  	 Date: 8/24/2020

Instrument: 2020-014544
	  	—	  	 Date: 3/5/2021

Instrument: 2021005120

					
	Kern	  	 Date: 7/7/2020

Instrument: 220088046
	  	 Date: 8/19/2020

Instrument: 220113312
	  	 Date: 12/29/2020

Instrument: 220202055
	  	 Date: 2/24/2021

Instrument: 221034332

  
 Sch. 1-2 

									
	 	  	 A
	  	 B
	  	 C
	  	 D

	 County
	  	 Recording Date &
Instrument Number

(Indenture of Mortgage,

dated as of June 19, 2020)
	  	 Recording Date &
Instrument Number

(Memorandum of Supplemental
First Mortgage
Indentures,
dated as of August 12, 2020)
	  	 Recording Date &
Instrument Number

(Certificate of Partial Release of
Lien, dated as
of
December 15, 2020)
	  	 Recording Date & Instrument
Number

(Seventh Supplemental

Indenture, dated as of
November 16, 2020) 

					
	Kings	  	 Date: 7/7/2020

Instrument: 2011843
	  	 Date: 8/21/2020

Instrument: 2015093
	  	—	  	 Date: 2/24/2021

Instrument: 2104019

					
	Lake	  	 Date: 7/7/2020

Instrument: 2020008082
	  	 Date: 8/19/2020

Instrument: 2020010193
	  	—	  	 Date: 2/24/2021

Instrument: 2021003293

					
	Lassen	  	 Date: 7/8/2020

Instrument: 2020-02654
	  	 Date: 8/20/2020

Instrument: 2020-03389
	  	—	  	 Date: 2/25/2021

Instrument: 2021-00982

					
	Madera	  	 Date: 7/7/2020

Instrument: 2020015446
	  	 Date: 8/19/2020

Instrument: 2020019584
	  	—	  	 Date: 3/9/2021

Instrument: 2021007361

					
	Marin	  	 Date: 7/7/2020

Instrument: 2020-0028741
	  	 Date: 8/19/2020

Instrument: 2020-0037600
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0013112

					
	Mariposa	  	 Date: 7/7/2020

Instrument: 20202190
	  	 Date: 8/20/2020

Instrument: 20202821
	  	—	  	 Date: 3/4/2021

Instrument: 20211080

					
	Mendocino	  	 Date: 7/7/2020

Instrument: 202007917
	  	 Date: 8/19/2020

Instrument: 2020-10112
	  	—	  	 Date: 2/24/2021

Instrument: 2021-02892

					
	Merced	  	 Date: 7/7/2020

Instrument: 2020022266
	  	 Date: 8/19/2020

Instrument: 2020028493
	  	—	  	 Date: 2/24/2021

Instrument: 2021008602

					
	Modoc	  	 Date: 7/7/2020

Instrument: 20200001804
	  	 Date: 8/19/2020

Instrument: 20200002135
	  	—	  	 Date: 2/24/2021

Instrument: 20210000422

					
	Monterey	  	 Date: 7/7/2020

Instrument: 2020032685
	  	 Date: 8/19/2020

Instrument: 2020042185
	  	—	  	 Date: 2/24/2021

Instrument: 2021014097

					
	Napa	  	 Date: 7/7/2020

Instrument: 2020-0016006
	  	 Date: 8/20/2020

Instrument: 2020-0020526
	  	—	  	 Date: 3/4/2021

Instrument: 2021-0008728

					
	Nevada	  	 Date: 7/7/2020

Instrument: 20200015164
	  	 Date: 8/25/2020

Instrument: 20200020840
	  	—	  	 Date: 3/4/2021

Instrument: 20210007838

					
	Placer	  	 Date: 7/7/2020

Instrument: 2020-0067740
	  	 Date: 8/19/2020

Instrument: 2020-0087937-00
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0026083-00

					
	Plumas	  	 Date: 7/9/2020

Instrument: 2020-0003422
	  	 Date: 8/20/2020

Instrument: 2020-0004742
	  	—	  	 Date: 3/11/2021

Instrument: 2021-0001758

					
	Sacramento	  	 Date: 7/7/2020

Instrument: Ins-202007071055
	  	 Date: 8/19/2020

Instrument: 202008190892
	  	—	  	 Date: 2/24/2021

Instrument: 202102241076

					
	San Benito	  	 Date: 7/7/2020

Instrument: 2020-0007874
	  	 Date: 8/19/2020

Instrument: 2020-0010072
	  	—	  	 Date: 3/4/2021

Instrument: 2021-0003400

					
	San Bernardino	  	 Date: 7/7/2020

Instrument: 2020-0226134
	  	 Date: 8/19/2020

Instrument: 2020-0294961
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0087782

					
	San Francisco	  	 Date: 7/7/2020

Instrument: 2020-K949017-00
	  	 Date: 8/19/2020

Instrument: 2020006126
	  	—	  	 Date: 2/24/2021

Instrument: 2021036477

					
	San Joaquin	  	 Date: 7/7/2020

Instrument: 2020-080390
	  	 Date: 8/19/2020

Instrument: 2020-103840
	  	—	  	 Date: 2/24/2021

Instrument: 2021-033997

  
 Sch. 1-3 

									
	 	  	 A
	  	 B
	  	 C
	  	 D

	 County
	  	 Recording Date &
Instrument Number

(Indenture of Mortgage,

dated as of June 19, 2020)
	  	 Recording Date &
Instrument Number

(Memorandum of Supplemental
First Mortgage
Indentures,
dated as of August 12, 2020)
	  	 Recording Date &
Instrument Number

(Certificate of Partial Release of
Lien, dated as
of
December 15, 2020)
	  	 Recording Date & Instrument
Number

(Seventh Supplemental

Indenture, dated as of
November 16, 2020) 

					
	San Luis Obispo	  	 Date: 7/7/2020

Instrument: 2020033897
	  	 Date: 8/19/2020

Instrument: 2020043805
	  	 Date: 3/5/2021

Instrument: 2021017044
	  	 Date: 3/8/2021

Instrument: 2021017458

					
	San Mateo	  	 Date: 7/7/2020

Instrument: 2020064008
	  	 Date: 8/21/2020

Instrument: 2020-084135
	  	—	  	 Date: 2/24/2021

Instrument: 2021-030961

					
	Santa Barbara	  	 Date: 7/13/2020

Instrument: 2020-0034969
	  	 Date: 8/19/2020

Instrument: 2020-0043690
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0014736

					
	Santa Clara	  	 Date: 7/7/2020

Instrument: 24528422
	  	 Date: 8/19/2020

Instrument: 24580344
	  	—	  	 Date: 2/24/2021

Instrument: 24845255

					
	Santa Cruz	  	 Date: 7/7/2020

Instrument: 2020-0024403
	  	 Date: 8/19/2020

Instrument: 2020-0031634
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0011369

					
	Shasta	  	 Date: 7/7/2020

Instrument: 2020-0021039
	  	 Date: 8/19/2020

Instrument: 2020-0027008
	  	 Date: 12/29/2020

Instrument: 2020-0047326
	  	 Date: 2/24/2021

Instrument: 2021-0007584

					
	Sierra	  	 Date: 7/9/2020

Instrument: 2020171226
	  	 Date: 8/20/2020

Instrument: 2020171540
	  	—	  	 Date: 2/25/2021

Instrument: 2020172589

					
	Solano	  	 Date: 7/7/2020

Instrument: Ins-202000054277
	  	 Date: 8/19/2020

Instrument: 202000069597
	  	—	  	 Date: 2/24/2021

Instrument: 202100021149

					
	Sonoma	  	 Date: 7/9/2020

Instrument: 2020055917
	  	 Date: 8/19/2020

Instrument: 2020070874
	  	—	  	 Date: 2/24/2021

Instrument: 2021021837

					
	Stanislaus	  	 Date: 7/8/2020

Instrument: 2020-0047771
	  	 Date: 8/19/2020

Instrument: 2020-0061515-00
	  	—	  	 Date: 2/24/2021

Instrument: 2021-0017942-00

					
	Sutter	  	 Date: 7/8/2020

Instrument: 2020-0009800
	  	 Date: 8/19/2020

Instrument: 2020-0012784
	  	—	  	 Date: 2/24/2021

Instrument: 20210003735

					
	Tehama	  	 Date: 7/7/2020

Instrument: 2020007674
	  	 Date: 8/19/2020

Instrument: 2020009820
	  	—	  	 Date: 2/24/2021

Instrument: 2021002378

					
	Trinity	  	 Date: 7/8/2020

Instrument: 202002224
	  	 Date: 8/20/2020

Instrument: 202002748
	  	—	  	 Date: 2/25/2021

Instrument: 202100581

					
	Tulare	  	 Date: 7/7/2020

Instrument: 2020-0039416
	  	 Date: 8/26/2020

Instrument: 2020-0049011
	  	—	  	 Date: 3/2/2021

Instrument: 2021-0015218

					
	Tuolumne	  	 Date: 7/7/2020

Instrument: 2020007628
	  	 Date: 8/19/2020

Instrument: 2020009759
	  	—	  	 Date: 3/2/2021

Instrument: 2021003503

					
	Yolo	  	 Date: 7/8/2020

Instrument: 2020-0020467
	  	 Date: 8/19/2020

Instrument: 2020-0026550
	  		  	 Date: 3/8/2021

Instrument: 2021-0009289

					
	Yuba	  	 Date: 7/8/2020

Instrument: 2020-010218
	  	 Date: 8/19/2020

Instrument: 2020-012939
	  	—	  	 Date: 2/24/2021

Instrument: 2021-003119

  
 Sch. 1-4 

							
	 	  	 E
	  	 F
	  	 G

	 County
	  	 Recording Date & Instrument Number

(Eighth Supplemental

Indenture, dated as of March

8, 2021)
	  	 Recording Date & Instrument Number

(Certificate of Partial Release

of Lien, dated as of
September 9, 2021)
	  	 Recording Date & Instrument Number

(Memorandum of Supplemental First Mortgage
Indentures, dated as 
of August 31, 2021) 

				
	Alameda	  	 Date: 06/15/2021

Instrument: 2021215933
	  	—	  	 Date: 09/14/2021

Instrument: 2021309420

				
	Alpine	  	 Date: 06/16/2021

Instrument: 2021000559
	  	—	  	 Date: 09/14/2021

Instrument: 2021-000769

				
	Amador	  	 Date: 06/15/2021

Instrument: 2021-0007084
	  	—	  	 Date: 09/15/2021

Instrument: 2021-0010656

				
	Butte	  	 Date: 06/17/2021

Instrument: 2021-0027732
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0040855

				
	Calaveras	  	 Date: 06/15/2021

Instrument: 2021-011005
	  	—	  	 Date: 09/16/2021

Instrument: 2021-016140

				
	Colusa	  	 Date: 06/17/2021

Instrument: 2021-0002508
	  	—	  	 Date: 09/14/2021

Instrument: 2021-0003762

				
	Contra Costa	  	 Date: 06/15/2021

Instrument: 2021-0172986
	  	 Date: 09/13/2021

Instrument: 2021-0254505
	  	 Date: 09/22/2021

Instrument: 2021-0263934

				
	El Dorado	  	 Date: 06/15/2021

Instrument: 2021-0039831
	  	—	  	 Date: 09/13/2021

Instrument: 2021-0058502

				
	Fresno	  	 Date: 06/15/2021

Instrument: 2021-0097447
	  	—	  	 Date: 09/13/2021

Instrument: 2021-0148962

				
	Glenn	  	 Date: 06/23/2021

Instrument: 2021-2872
	  	—	  	 Date: 09/10/2021

Instrument: 2021-4123

				
	Humboldt	  	 Date: 06/24/2021

Instrument: 2021-014188
	  	—	  	 Date: 09/15/2021

Instrument: 2021-020689

				
	Kern	  	 Date: 06/15/2021

Instrument: 221112026
	  	—	  	 Date: 09/14/2021

Instrument: 221174492

				
	Kings	  	 Date: 06/15/2021

Instrument: 2113322
	  	—	  	 Date: 09/17/2021

Instrument: 2120473

				
	Lake	  	 Date: 06/16/2021

Instrument: 2021010225
	  	—	  	 Date: 09/13/2021

Instrument: 2021-015134

				
	Lassen	  	 Date: 06/18/2021

Instrument: 2021-03286
	  	—	  	 Date: 09/13/2021

Instrument: 2021-04857

				
	Madera	  	 Date: 06/15/2021

Instrument: 2021019093
	  	—	  	 Date: 09/10/2021

Instrument: 2021028583

				
	Marin	  	 Date: 06/15/2021

Instrument: 2021-0039212
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0056705

				
	Mariposa	  	 Date: 06/15/2021

Instrument: 20212780
	  	—	  	 Date: 09/23/2021

Instrument: 20214302

  
 Sch. 1-5 

							
	 	  	 E
	  	 F
	  	 G

	 County
	  	 Recording Date & Instrument Number

(Eighth Supplemental

Indenture, dated as of March

8, 2021)
	  	 Recording Date & Instrument Number

(Certificate of Partial Release of Lien,
dated as of
September 9, 2021)
	  	 Recording Date & Instrument Number

(Memorandum of Supplemental First Mortgage
Indentures, dated as 
of August 31, 2021) 

	Mendocino	  	 Date: 06/16/2021

Instrument: 2021-09192
	  	—	  	 Date: 09/17/2021

Instrument: 2021-14137

	Merced	  	 Date: 06/15/2021

Instrument: 2021026546
	  	—	  	 Date: 09/13/2021

Instrument: 2021040766

	Modoc	  	 Date: 06/15/2021

Instrument: 20210001695
	  	—	  	 Date: 09/10/2021

Instrument: 20210002777

	Monterey	  	 Date: 06/17/2021

Instrument: 2021042424
	  	—	  	 Date: 09/13/2021

Instrument: 2021061137

	Napa	  	 Date: 06/15/2021

Instrument: 2021-0020222
	  	—	  	 Date: 09/13/2021

Instrument: 2021-0029107

	Nevada	  	 Date: 06/15/2021

Instrument: 20210020480
	  	—	  	 Date: 09/13/2021

Instrument: 20210030075

	Placer	  	 Date: 06/15/2021

Instrument: 2021-0077769-00
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0114356-00

	Plumas	  	 Date: 06/18/2021

Instrument: 2021-4121
	  	 Date: 09/21/2021

Instrument: 2021-0006513
	  	 Date: 09/24/2021

Instrument: 2021-0006605

	Sacramento	  	 Date: 06/18/2021

Instrument: 202106180534
	  	—	  	 Date: 09/13/2021

Instrument: 202109130797

	San Benito	  	 Date: 06/23/2021

Instrument: 2021-0009669
	  	—	  	 Date: 09/20/2021

Instrument: 2021-0014111

	San Bernardino	  	 Date: 06/15/2021

Instrument: 2021-0270300
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0414379

	San Francisco	  	 Date: 06/16/2021

Instrument: 2021096597
	  	—	  	 Date: 09/20/2021

Instrument: 2021147122

	San Joaquin	  	 Date: 06/15/2021

Instrument: 2021-102076
	  	—	  	 Date: 09/10/2021

Instrument: 2021-152907

	San Luis Obispo	  	 Date: 06/15/2021

Instrument: 2021042772
	  	—	  	 Date: 09/10/2021

Instrument: 2021062407

	San Mateo	  	 Date: 06/15/2021

Instrument: 2021-090929
	  	—	  	 Date: 09/14/2021

Instrument: 2021-132011

	Santa Barbara	  	 Date: 06/16/2021

Instrument: 2021-0045121
	  	—	  	 Date: 09/15/2021

Instrument: 2021-0065545

	Santa Clara	  	 Date: 06/15/2021

Instrument: 24996810
	  	 Date: 09/21/2021

Instrument: 25107264
	  	 Date: 09/22/2021

Instrument: 25109534

	Santa Cruz	  	 Date: 06/15/2021

Instrument: 2021-0032793
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0046780

	Shasta	  	 Date: 06/15/2021

Instrument: 2021-0024897
	  	 Date: 09/20/2021

Instrument: 2021-0039149
	  	 Date: 09/22/2021

Instrument: 2021-0039480

	Sierra	  	 Date: 06/17/2021

Instrument: 2021173017
	  	—	  	 Date: 09/14/2021

Instrument: 2021173609

  
 Sch. 1-6 

							
	 	  	 E
	  	 F
	  	 G

	 County
	  	 Recording Date & Instrument Number

(Eighth Supplemental

Indenture, dated as of March

8, 2021)
	  	 Recording Date & Instrument Number

(Certificate of Partial Release

of Lien, dated as of
September 9, 2021)
	  	 Recording Date & Instrument Number

(Memorandum of Supplemental First Mortgage
Indentures, dated as 
of August 31, 2021) 

				
	Solano	  	 Date: 06/15/2021

Instrument: 202100064487
	  	—	  	 Date: 09/10/2021

Instrument: 202100095898

				
	Sonoma	  	 Date: 06/15/2021

Instrument: 2021070076
	  	—	  	 Date: 09/13/2021

Instrument: 2021102595

				
	Stanislaus	  	 Date: 06/16/2021

Instrument: 2021-0057206
	  	—	  	 Date: 10/05/2021

Instrument: 2021-0093766

				
	Sutter	  	 Date: 06/17/2021

Instrument: 2021-0011236
	  	—	  	 Date: 09/29/2021

Instrument: 2021-0017681

				
	Tehama	  	 Date: 06/15/2021

Instrument: 2021008603
	  	—	  	 Date: 09/10/2021

Instrument: 2021012840

				
	Trinity	  	 Date: 06/17/2021

Instrument: 202101938
	  	—	  	 Date: 09/13/2021

Instrument: 202105327

				
	Tulare	  	 Date: 06/15/2021

Instrument: 2021-0043754
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0066763

				
	Tuolumne	  	 Date: 06/17/2021

Instrument: 2021009478
	  	—	  	 Date: 09/10/2021

Instrument: 2021014302

				
	Yolo	  	 Date: 06/16/2021

Instrument: 2021-0023598
	  	—	  	 Date: 09/10/2021

Instrument: 2021-0034493

				
	Yuba	  	 Date: 06/15/2021

Instrument: 2021-010827
	  	—	  	 Date: 09/10/2021

Instrument: 2021-016949

  
 Sch. 1-7Document

Exhibit 4.1

THIS WARRANT AND THE SECURITIES ISSUABLE UPON THE EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY U.S. STATE SECURITIES LAWS. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF REGULATION S, PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN EACH CASE ONLY IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. 
						
	WARRANT NO. CS2021-2	NUMBER OF SHARES: 209,000
	DATE OF ISSUANCE : August 13, 2021	(subject to adjustment hereunder)
	EXPIRATION DATE: August 13, 2024	

WARRANT TO PURCHASE SHARES 
OF COMMON STOCK OF 

TRANSPHORM, INC.

This Warrant is issued to SAS Capital Co., Ltd., or its registered assigns (including any successors or assigns, the “Warrantholder”), in connection with that certain Stock Purchase Agreement, dated as of August 13, 2021, by and among Transphorm, Inc., a Delaware corporation (the “Company”), and the Warrantholder (the “Purchase Agreement”).  

1.EXERCISE OF WARRANT. 

(a)    Number and Exercise Price of Warrant Shares; Expiration Date. Subject to the terms and conditions set forth herein, the Warrantholder is entitled to purchase from the Company up to 209,000 shares of the Company’s common stock, $0.0001 par value per share (the “Common Stock”) (as adjusted from time to time pursuant to the provisions of this Warrant) (the “Warrant Shares”), at a purchase price of $6.00 per share (the “Exercise Price”), on or before 5:00 p.m. New York City time on August 13, 2024 (the “Expiration Date”) (subject to earlier termination of this Warrant as set forth herein). 

(b)    Method of Exercise. While this Warrant remains outstanding and exercisable in accordance with Section 1(a) above, the Warrantholder may exercise this Warrant in accordance with Section 6 herein, by either:  

(i)    wire transfer to the Company or cashier’s check drawn on a United States bank made payable to the order of the Company, or 

(ii)    exercising of the right to credit the Exercise Price against the Fair Market Value (as defined below) of the Warrant Shares on the date of exercise (the “Net Exercise”) pursuant to Section 1(c). 

Notwithstanding anything herein to the contrary, the Warrantholder shall not be required to physically surrender this Warrant to the Company until the Warrantholder has purchased all of the Warrant Shares available hereunder and the Warrant has been exercised in full, in which case, the Warrantholder shall surrender this Warrant to the Company for cancellation within three trading days of the date the final Notice of Exercise is delivered to the Company. Partial exercises of this Warrant resulting in purchases of a portion of the total number of Warrant Shares available hereunder shall 
1

have the effect of lowering the outstanding number of Warrant Shares purchasable hereunder in an amount equal to the applicable number of Warrant Shares purchased. The Warrantholder and the Company shall maintain records showing the number of Warrant Shares purchased and the date of such purchases. 
 
(c)    Net Exercise. If the Company shall receive written notice from the Warrantholder at the time of exercise of this Warrant that the holder elects to Net Exercise the Warrant, the Company shall deliver to such Warrantholder (without payment by the Warrantholder of any exercise price in cash) that number of Warrant Shares computed using the following formula: 
						
	X=	Y (A-B)
	A

Where        						
	X =	The number of Warrant Shares to be issued to the Warrantholder.
	Y =	The number of Warrant Shares purchasable under this Warrant or, if only a portion of the Warrant is being exercised, the portion of the Warrant being cancelled (at the date of such calculation).
	A =	The Fair Market Value of one share of Common Stock (at the date of such calculation).
	B =	The Exercise Price (as adjusted hereunder to the date of such calculations).

The “Fair Market Value” of one share of Common Stock as of a particular date shall be determined as follows: (i) if traded on a securities exchange, the value shall be deemed to be the average of the closing prices of the Common Stock on such exchange over the thirty (30) day period ending two business days prior to the date of Net Exercise; (ii) if traded over-the-counter, the value shall be deemed to be the average of the closing bid or sale prices (whichever is applicable) of the Common Stock over the thirty (30) day period ending two business days prior to the Net Exercise; or (iii) if fair market value cannot be calculated as of such date on either of the foregoing bases, the price determined in good faith by the Company’s Board of Directors. 

(d) Deemed Exercise. In the event that immediately prior to the close of business on the Expiration Date, the Fair Market Value of one share of Common Stock (as determined in accordance with Section 1(c) above) is greater than the then applicable Exercise Price, this Warrant shall be deemed to be automatically exercised on a net exercise issue basis pursuant to Section 1(c) above, and the Company shall deliver the applicable number of Warrant Shares to the Warrantholder pursuant to the provisions of Section 1(c) above and this Section 1(d). 

2.    CERTAIN ADJUSTMENTS. 

(a)    Adjustment of Number of Warrant Shares and Exercise Price. The number and kind of Warrant Shares purchasable upon exercise of this Warrant and the Exercise Price shall be subject to adjustment from time to time as follows:  

(i)    Subdivisions, Combinations and Other Issuances. If the Company shall at any time after the Date of Issuance but prior to the Expiration Date subdivide its shares of capital stock of the same class as the Warrant Shares, by split-up or otherwise, or combine such shares of capital stock, or issue additional shares of capital stock as a dividend with respect to any shares of such capital stock, the number of Warrant Shares issuable on the exercise of this Warrant shall forthwith be proportionately increased in the case of a subdivision or stock dividend, or proportionately decreased in the case of a combination. Appropriate adjustments shall also be made to the Exercise Price payable per share, but the aggregate Exercise Price payable for the total number of Warrant Shares purchasable under this Warrant (as adjusted) shall remain the same. Any adjustment under this Section 2(a)(i) shall become effective at the close of business on the date the subdivision or combination 
2

becomes effective, or as of the record date of such dividend, or in the event that no record date is fixed, upon the making of such dividend. 

(ii)    Reclassification, Reorganizations and Consolidation. In case of any reclassification, capital reorganization or change in the capital stock of the Company (other than as a result of a subdivision, combination or stock dividend provided for in Section 2(a)(i) above) that occurs after the Date of Issuance, then, as a condition of such reclassification, reorganization or change, lawful provision shall be made, and duly executed documents evidencing the same from the Company or its successor shall be delivered to the Warrantholder, so that the Warrantholder shall thereafter have the right at any time prior to the expiration of this Warrant to purchase, at a total price equal to that payable upon the exercise of this Warrant, the kind and amount of shares of stock and/or other securities or property (including, if applicable, cash) receivable in connection with such reclassification, reorganization or change by a holder of the same number and type of securities as were purchasable as Warrant Shares by the Warrantholder immediately prior to such reclassification, reorganization or change. In any such case appropriate provisions shall be made with respect to the rights and interest of the Warrantholder so that the provisions hereof shall thereafter be applicable with respect to any shares of stock or other securities or property deliverable upon exercise hereof, and appropriate adjustments shall be made to the Exercise Price payable hereunder, provided the aggregate Exercise Price shall remain the same (and, for the avoidance of doubt, this Warrant shall be exclusively exercisable for such shares of stock and/or other securities or property from and after the consummation of such reclassification or other change in the capital stock of the Company). 

(b)    Statement of Adjustment. Whenever the Exercise Price or number or type of securities issuable upon exercise of this Warrant is adjusted, as herein provided, the Company shall, at its expense, promptly deliver to the Warrantholder a certificate of an officer of the Company setting forth the nature of such adjustment and showing in reasonable detail the facts upon which such adjustment is based. 

3.    NO FRACTIONAL SHARES. No fractional Warrant Shares or scrip representing fractional shares will be issued upon exercise of this Warrant. In lieu of any fractional shares which would otherwise be issuable, the Company shall pay cash equal to the product of such fraction multiplied by the Fair Market Value of one Warrant Share. 

4.    NO STOCKHOLDER RIGHTS. Until the exercise of this Warrant or any portion of this Warrant, the Warrantholder shall not have, nor exercise, any rights as a stockholder of the Company (including without limitation the right to notification of stockholder meetings or the right to receive any notice or other communication concerning the business and affairs of the Company). 

5.    RESERVATION OF STOCK. The Company covenants that during the period this Warrant is exercisable, the Company will reserve from its authorized and unissued Common Stock a sufficient number of shares of Common Stock (or other securities, if applicable) to provide for the issuance of Warrant Shares (or other securities) upon the exercise of this Warrant. 

6.    MECHANICS OF EXERCISE. This Warrant may be exercised by the holder hereof, in whole or in part, by delivering to the Company (or such other office or agency of the Company as it may designate by notice in writing to the registered Warrantholder at the address of the Warrantholder appearing on the books of the Company) a completed and duly executed copy of the Notice of Exercise in the form attached hereto as Exhibit A by mail or email attachment together with payment in full of the Exercise Price (unless the Warrantholder has elected to Net Exercise) then in effect with respect to the number of Warrant Shares as to which the Warrant is being exercised. This Warrant 
3

shall be deemed to have been exercised immediately prior to the close of business on the date of the delivery to the Company of the Notice of Exercise as provided above, and the person entitled to receive the Warrant Shares issuable upon such exercise shall be treated for all purposes as the holder of such shares of record as of the close of business on such date. Warrant Shares purchased hereunder shall be transmitted by the Company’s transfer agent to the holder by crediting the account of the holder’s prime broker with The Depository Trust Company through its Deposit or Withdrawal at Custodian system (“DWAC”) if the Company is then a participant in such system and either (A) there is an effective registration statement permitting the issuance of the Warrant Shares to or resale of the Warrant Shares by the holder or (B) the shares are eligible for resale by the holder without volume or manner-of-sale limitations pursuant to Rule 144, and otherwise by physical delivery to the address specified by the holder in the Notice of Exercise by the end of the day on the date that is three trading days from the delivery to the Company of the Notice of Exercise and payment of the aggregate Exercise Price (unless exercised by means of a cashless exercise pursuant to Section 1(c)). The Warrant Shares shall be deemed to have been issued, and the holder or any other person so designated to be named therein shall be deemed to have become a holder of record of such shares for all purposes, as of the date the Warrant has been exercised, with payment to the Company of the Exercise Price (or by Net Exercise) and all taxes required to be paid by the holder, if any, prior to the issuance of such shares, having been paid. 

7.    COMPLIANCE WITH SECURITIES LAWS; RESTRICTIVE LEGEND.

(a)    the Warrantholder on exercise of the Warrant will be acquired for investment for the Warrantholder’s own account and not with a view to the resale or distribution of any part thereof, and (b) that the Warrantholder is an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act of 1933, as amended (the “Securities Act”). In addition, as a condition of its delivery of certificates for the Common Stock, the Company will require the Warrantholder to deliver to the Company representations regarding the Warrantholder’s sophistication, investor status, investment intent, acquisition for its own account and such other matters as are reasonable and customary for purchasers of securities in an unregistered private offering as set forth in the form of Notice of Exercise attached hereto as Exhibit A.

(b)    The Warrantholder understands that this Warrant and the Warrant Shares are characterized as “restricted securities” under the federal securities laws inasmuch as they are being acquired from the Company in a transaction not involving a public offering and that under such laws and applicable regulations this Warrant and the Warrant Shares may be resold without registration under the Securities Act only in certain limited circumstances. In this connection, the Warrantholder represents that it is familiar with Rule 144 under the Securities Act, as presently in effect, and understands the resale limitations imposed thereby and by the Securities Act. 

(c)    Prior and as a condition to the sale or transfer of the Warrant Shares issuable upon exercise of this Warrant, the Warrantholder shall furnish to the Company such certificates, representations, agreements and other information, including an opinion of counsel, as the Company or the Company’s transfer agent reasonably may require to confirm that such sale or transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act, unless such Warrant Shares are being sold or transferred pursuant to an effective registration statement. 

(d)    The Warrantholder acknowledges that the Company may place a restrictive legend, in substantially the form set forth in the Purchase Agreement, on the Warrant Shares issuable upon exercise of this Warrant in order to comply with applicable securities laws. 

8.    REPLACEMENT OF WARRANT. On receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction or mutilation of this Warrant and, in the case of any such loss, theft or 
4

destruction of this Warrant, on delivery of an indemnity agreement reasonably satisfactory in form and amount to the Company or, in the case of any such mutilation, on surrender and cancellation of such Warrant, the Company at its expense will execute and deliver, in lieu thereof, a new Warrant of like tenor. 

9.    TRANSFERS; EXCHANGES. 

(a)    Subject to compliance with applicable federal and state securities laws and Section 7 hereof, this Warrant may be transferred by the Warrantholder with respect to any or all of the Warrant Shares purchasable hereunder. For a transfer of this Warrant as an entirety by the Warrantholder, upon surrender of this Warrant to the Company, together with the Notice of Assignment in the form attached hereto as Exhibit B duly completed and executed on behalf of the Warrantholder, the Company shall issue a new Warrant of the same denomination to the assignee. For a transfer of this Warrant with respect to a portion of the Warrant Shares purchasable hereunder, upon surrender of this Warrant to the Company, together with the Notice of Assignment in the form attached hereto as Exhibit B duly completed and executed on behalf of the Warrantholder, the Company shall issue a new Warrant to the assignee, in such denomination as shall be requested by the Warrantholder, and shall issue to the Warrantholder a new Warrant covering the number of shares in respect of which this Warrant shall not have been transferred. 

(b)    This Warrant is exchangeable, without expense, at the option of the Warrantholder, upon presentation and surrender hereof to the Company for other warrants of different denominations entitling the holder thereof to purchase in the aggregate the same number of shares of Common Stock purchasable hereunder. This Warrant may be divided or combined with other warrants that carry the same rights upon presentation hereof at the principal office of the Company together with a written notice specifying the denominations in which new warrants are to be issued to the Warrantholder and signed by the Warrantholder hereof. The term “Warrants” as used herein includes any warrants into which this Warrant may be divided or exchanged. 

10.    APPLICABLE LAW. This Warrant shall be governed by and construed in accordance with the internal laws of the State of New York, without the application of principles of conflicts of laws that would result in any law other than the laws of the State of New York. 

11.    NOTICE. Any notices required or permitted to be given hereunder will be in writing and may be served personally or by mail, including by email; and if served will be addressed as follows: 

5

						
	If to the Company:	Transphorm, Inc.

		75 Castilian Drive
		Goleta, CA 93117
		Attn: Primit Parikh and Cameron McAulay
		Email: pparikh@transphormusa.com and cmcaulay@transphormusa.com
		
		with a copy (which shall not constitute notice) to:
		
		Wilson Sonsini Goodrich & Rosati P.C.
		650 Page Mill Road
		Palo Alto, CA 94304
		Attn: Erika Muhl
		Email: emuhl@wsgr.com

						
	If to the Warrantholder:	SAS Capital Co, Ltd.

		2F., No1, Sec. 2, Ligong 1st Rd.
		Wujie Township, Yilan Country 268015
		Taiwan (R.O.C.)
		Attn: Doris Hsu
		Email: Doris@saswafer.com

Any notice so given by mail will be deemed effectively given 48 hours after mailing when deposited in the United States mail, registered or certified mail, return receipt requested, postage prepaid and addressed as specified above. Any notice given by email must be accompanied by confirmation of receipt, and will be deemed effectively given upon confirmation of such receipt. Any party may by written notice to the other specify a different address for notice purposes.

IN WITNESS WHEREOF, this Warrant is issued effective as of the date first set forth above. 

															
				TRANSPHORM, INC.
					
				By:	/s/ Cameron McAulay
				Name:	Cameron McAulay
				Title:	Chief Financial Officer

6

EXHIBIT A 

NOTICE OF EXERCISE 
(To be signed only upon exercise of Warrant) 

To: Transphorm, Inc. 

1.The undersigned, the Warrantholder of the attached Warrant No. CS2021-2, hereby irrevocably elects to exercise the purchase right represented by such Warrant for, and to purchase thereunder, shares of Common Stock of Transphorm, Inc. as follows (choose one): 

 ̈    Exercise for Cash. Pursuant to Section 1(b)(i) of the Warrant, the Warrantholder hereby elects to exercise the Warrant for cash and tenders payment herewith (or has made a wire transfer) to the order of Transphorm, Inc. in the amount of $_______________.

 ̈    Net Exercise. Pursuant to Section 1(b)(ii) of the Warrant, the Warrantholder hereby elects to Net Exercise the Warrant.

2.    The undersigned requests that the certificates or book entry position evidencing the shares to be acquired pursuant to such exercise be issued in the name of, and delivered to, the following:
						
	Name:	
	Address:	
		
	Email:	
	SSN:	

3.    The undersigned understands, agrees and recognizes that: No federal or state agency has made any finding or determination as to the fairness of the investment or any recommendation or endorsement of the securities. All certificates or book entry positions evidencing the shares of Common Stock may bear a legend substantially similar to the legend set forth in Section 7 of the Warrant regarding resale restrictions. By its signature below the undersigned hereby represents and warrants that it is an “accredited investor” as defined in Rule 501(a) of Regulation D promulgated under the Securities Act of 1933, as amended, and agrees to be bound by the terms and conditions of the attached Warrant as of the date hereof.

															
	Dated:				
					
				(Signature must conform in all respects to name of the Warrantholder as specified on the face of the Warrant)
				Signature:	
				By:	
				Its:	

7

EXHIBIT B 

NOTICE OF ASSIGNMENT FORM 

FOR VALUE RECEIVED, [_____________] (the “Assignor”) hereby sells, assigns and transfers all of the rights of the undersigned Assignor under the attached Warrant with respect to the number of shares of Common Stock of Transphorm, Inc. (the “Company”) covered thereby set forth below, to the following “Assignee” and, in connection with such transfer, represents and warrants to the Company that the transfer is in compliance with Section 7 of the Warrant and applicable federal and state securities laws:

															
	NAME OF ASSIGNEE		ADDRESS/FAX NUMBER
	Number of shares:				
	Dated:			Signatures:	
				Witness:	

ASSIGNEE ACKNOWLEDGMENT
ASSIGNEE ACKNOWLEDGMENT 
The undersigned Assignee acknowledges that it has reviewed the attached Warrant and by its signature below it hereby represents and warrants that it is an “accredited investor” as defined in Rule 501(a) of Regulation D promulgated under the Securities Act of 1933, as amended, and agrees to be bound by the terms and conditions of the Warrant as of the date hereof, including Section 7 thereof. 

												
			Signatures:	
				
			By:	
			Its:	
	Address:			
				
				
				

8

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