SEC Contract Filing

Filing Date: 2019-10-01

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>ex10-1.htm
<DESCRIPTION>FORM OF CHAPTER 11 PLAN BACKSTOP COMMITMENT LETTER
<TEXT>
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 <div style="text-align: right;"><font style="font-weight: bold;">Exhibit 10.1</font><br>
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 <div style="text-align: justify; font-family: 'Times New Roman'; font-size: 10pt;">[&#9679;], 2019</div>
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 <div style="text-align: justify; font-family: 'Times New Roman'; font-size: 10pt;">PG&amp;E Corporation</div>
 <div style="text-align: justify; font-family: 'Times New Roman'; font-size: 10pt;">77 Beale Street</div>
 <div style="text-align: justify; font-family: 'Times New Roman'; font-size: 10pt;">P.O. Box 770000</div>
 <div style="text-align: justify; font-family: 'Times New Roman'; font-size: 10pt;">San Francisco, California 94177</div>
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 <div style="text-align: justify; margin-left: 36pt; font-family: 'Times New Roman'; font-size: 10pt;">Re: <font style="font-size: 10pt; font-family: 'Times New Roman';"><u>Chapter 11 Plan Backstop Commitment Letter</u></font></div>
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 <div style="text-align: left; font-family: 'Times New Roman'; font-size: 10pt;">Ladies and Gentlemen:</div>
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 <div style="text-align: justify; text-indent: 36pt; font-family: 'Times New Roman'; font-size: 10pt;">Reference is hereby made to the chapter&#160;11 bankruptcy cases, lead case no.&#160;19-30088 (the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Chapter&#160;11 Cases</font>&#8221;), currently pending before the United States Bankruptcy Court for the Northern District of California (the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Bankruptcy Court</font>&#8221;), in which PG&amp;E Corporation (&#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">PG&amp;E</font>&#8221; or the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Company</font>&#8221;) and Pacific Gas and Electric Company (the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Utility</font>&#8221; and together with PG&amp;E, the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Debtors</font>&#8221;) are debtors in possession.&#160; Reference is further made to
 the Chapter&#160;11 plan of reorganization filed by the Debtors with the Bankruptcy Court on September 9, 2019 at ECF No. 3841 (as may be amended, modified or otherwise changed in accordance with this Backstop Commitment Letter, the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Plan</font>&#8221;) to implement the terms and conditions of the reorganization of the Debtors as provided therein.&#160; Capitalized terms used in this backstop
 commitment letter (this &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Backstop Commitment Letter</font>&#8221;) or in the exhibits hereto but not otherwise defined shall have the meanings ascribed
 to them in the Plan.&#160; The word &#8220;including&#8221; means &#8220;including, without limitation&#8221;.</div>
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 <div style="text-align: justify; text-indent: 36pt; font-family: 'Times New Roman'; font-size: 10pt;">In order to facilitate the Debtors&#8217; emergence from Chapter 11, pursuant to this Backstop Commitment Letter, and subject to the terms, conditions and
 limitations set forth herein and in consideration for the Backstop Commitment Premium, the undersigned Backstop Party (the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Backstop Party</font>&#8221;)

 is willing to purchase, on the Effective Date, an amount of New HoldCo Common Stock up to its Backstop Commitment Amount (as defined herein) at the Backstop Price (as defined herein).</div>
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 <div style="text-align: justify; text-indent: 36pt; font-family: 'Times New Roman'; font-size: 10pt;">In addition, PG&amp;E has separately solicited and negotiated and expects to enter into substantially similar backstop commitment letters (&#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Other Backstop Commitment Letters</font>&#8221;) with other funding sources (&#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Other Backstop Parties</font>&#8221;) pursuant to which such Other Backstop Parties will commit to purchase New HoldCo Common Stock on the Effective Date (such commitments, &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Other Backstop Commitments,</font>&#8221; and together with this Backstop Commitment, the &#8220;<font style="font-size: 10pt; font-family: 'Times New Roman'; font-weight: bold; font-style: italic;">Aggregate

 Backstop Commitments</font>&#8221;).</div>
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 <div style="text-align: justify; text-indent: 36pt;"><font style="font-size: 10pt; font-family: 'Times New Roman';">1.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-size: 10pt; font-family: 'Times New Roman';"><font style="font-size: 10pt; font-family: 'Times New Roman';"><u>Equity Offerings</u></font>.</font></div>
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