Exhibit 1                          

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE BALANCE SHEET
AS OF JULY 31, 2003
(in millions, except share amounts)
			July, 2003
ASSETS
Current Assets
	Cash and cash equivalents		$               4,010
	Accounts receivable:
		Customers (net of allowance for doubtful accounts of $61 million)	1,757
		Related parties	37
		Regulatory balancing accounts	161
	Inventories:
		Gas stored underground and fuel oil	235
		Materials and supplies	123
	Income taxes receivable		-
	Prepaid expenses and other		64
	Assets from price risk management		11
	Total current assets		6,398
Property, Plant, and Equipment
	Electric		20,120
	Gas		8,220
	Construction work in progress		310
	Total property, plant, and equipment (at original cost)		28,650
	Accumulated depreciation and decommissioning		(12,687)
Net property, plant, and equipment			15,963
Other Noncurrent Assets
	Regulatory assets		1,886
	Nuclear decommissioning trust funds		1,414
	Other		1,021
	Total other noncurrent assets		4,321
TOTAL ASSETS			$             26,682
LIABILITIES AND EQUITY
Liabilities
	Accounts payable
		Trade creditors	412
		Related parties	195
		Regulatory Balancing Accounts	174
		Other	317
	Accrued taxes		253
	Rate reduction bonds		1,255
	QUID's		-
	Deferred income taxes		1,520
	Deferred tax credits		134
	Asset retirement obligations		1,403
	Pre-petition secured debt		3,056
	Pre-petition liabilities		3,909
	Pre-petition financing debt		5,639
	Other liabilities		3,208
	Total liabilities		21,475
Preferred Stock With Mandatory Redemption Provisions			137
Stockholders' Equity
	Preferred stock without mandatory redemption provisions
		Nonredeemable--5% to 6%, outstanding 5,784,825 shares	145
		Redeemable--4.36% to 7.04%, outstanding 5,973,456 shares	149
	Common stock, $5 par value, authorized 800,000,000 shares;
		issued 321,314,760 shares	1,606
	Additional paid in capital		1,964
	Reinvested earnings (Accumulated deficit)		1,266
	Accumulated other comprehnsive loss		(60)
	Total stockholders' equity		5,070
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY			$             26,682

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE BALANCE SHEET
AS OF JULY 31, 2003
Notes
1	These unaudited financial statements are prepared for the U.S. Trustee and differ from the requirements of generally accepted accounting principles in that they exclude certain financial statements (statements of cash flows, stockholders equity, and other comprehensive income), relevant footnotes and certain reclassifications.
2	These unaudited financial statements were prepared using certain assumptions and estimates.  These assumptions and estimates are subject to revision.  Further, the amounts shown in this statement, when reported on a quarterly basis, may differ materially due to adjustments in accruals, changes in facts and circumstances, changes in estimates, further analysis, and other factors.
3	Cash and cash equivalents have been reduced for uncleared checks.  On the balance sheet included with the Utility's Annual Report, Form 10-K and 10-Q, uncleared checks are treated as an accounts payable liability.

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE INCOME STATEMENT
FOR THE MONTH ENDED JULY 31, 2003
AND THE TWENTY-EIGHT MONTHS ENDED JULY 31, 2003
(in millions)
		Case to date
	Month	twenty-eight months
	ended	ended
	July 31, 2003	July 31, 2003
OPERATING REVENUES	$                    1,089	$              24,292
OPERATING EXPENSES:
Cost of Electric Energy	222	3,270
Cost of Gas	64	2,772
Operating and Maintenance	233	6,532
Depreciation, Decommissioning, and Amortization	111	2,578
Total Operating Expenses	630	15,152
OPERATING INCOME (LOSS)	459	9,140
Interest Income (Expense)	(70)	(2,059)
Professional Fees	(1)	(72)
Other Income and (Expense)	1	4
PRE-TAX INCOME (LOSS)	389	7,013
Income Taxes	154	2,677
EARNINGS (LOSS)	235	4,336
Preferred Dividend Requirement	2	58
Cumulative Effect of Change in Accounting Principle	-	1
EARNINGS (LOSS) AVAILABLE FOR (ALLOCATED TO) COMMON STOCK	$                    233	$               4,277

PACIFIC GAS AND ELECTRIC COMPANY
U.S.  TRUSTEE INCOME STATEMENT
FOR THE MONTH ENDED JULY 31, 2003
AND THE TWENTY-EIGHT MONTHS ENDED JULY 31, 2003
Notes
1	These unaudited financial statements are prepared for the U.S. Trustee and differ from the requirements of generally accepted accounting principles in that they exclude certain financial statements (statements of cash flows, stockholders equity, and other comprehensive income), relevant footnotes and certain reclassifications.
2	These unaudited financial statements were prepared using certain assumptions and estimates.  These assumptions and estimates are subject to revision.  Further, the amounts shown in this statement, when reported on a quarterly basis, may differ materially due to adjustments in accruals, changes in facts and circumstances, changes in estimates, further analysis, and other factors.
	The results for the month of July 2003 are not indicative of future earnings.  Future earnings could differ materially.
3	These unaudited financial statements were prepared using certain assumptions and estimates, including the estimated amount payable to the California Department of Water Resources (DWR).  The estimated amount recorded is subject to revision and actual results could differ materially.  Revenues collected on behalf of the DWR and the related costs are not reflected in these unaudited financial statements as Pacific Gas and Electric Company is a collection agent for the DWR.
4	Case to date results reflect the entire twenty-eight month period ended July 31, 2003.  The bankruptcy petition date is April 6, 2001.