EX-10.24 9 f95893aexv10w24.txt EXHIBIT 10.24 EXHIBIT 10.24 2004 SHORT-TERM INCENTIVE PLAN BACKGROUND At its meeting on December 17, 2003, the Nominating and Compensation Committee reviewed and approved the 2004 Short-Term Incentive Plan (STIP) structure for officers of PG&E Corporation and Pacific Gas and Electric Company. The structure (Attachment A) establishes the weighting of corporate earnings from operations, subsidiary earnings from operations, and other performance factors for officers. ATTACHMENT A 2004 RECOMMENDED OFFICER SHORT-TERM INCENTIVE PLAN STRUCTURE
OFFICER GROUP AWARD COMPONENT WEIGHT PERFORMANCE MEASURES ----------------------------------------------------------------------------------------------------------------- PG&E Corporation Corporate Financial Performance 75% Corporate earnings from operations Utility Plan of Reorganization 25% Progress towards the reorganization of Pacific Gas and Electric Company ----------------------------------------------------------------------------------------------------------------- Pacific Gas and Electric Corporate Financial Performance 25% Corporate earnings from operations Company - Senior Officers (Officer Bands 2-4) Subsidiary Financial Performance 50% Subsidiary contribution to corporate earnings from operations Utility Plan of Reorganization 25% Progress towards the reorganization of Pacific Gas and Electric Company ----------------------------------------------------------------------------------------------------------------- Pacific Gas and Electric Corporate Financial Performance 25% Corporate earnings from operations Company - Officers (Officer Bands 5-6) Subsidiary Financial Performance 25% Subsidiary contribution to corporate earnings from operations Utility Plan of Reorganization 25% Progress towards the reorganization of Pacific Gas and Electric Company Subsidiary Operational Performance 25% Financial, operating, and service measures determined by subsidiary CEO -----------------------------------------------------------------------------------------------------------------