SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2020

The net periodic benefit costs reflected in PG&E Corporation’s Condensed Consolidated Financial Statements for the three and six months ended June 30, 2020 and 2019 were as follows:


	Pension Benefits						Other Benefits
	Three Months Ended June 30,
(in millions)	2020		2019		2020		2019
Service cost for benefits earned⁽¹⁾	$	132	$	111	$	16	$	14
Interest cost	179		190		15		19
Expected return on plan assets	(261)		(226)		(35)		(30)
Amortization of prior service cost	(2)		(2)		4		3
Amortization of net actuarial loss	1		—		(5)		(1)
Net periodic benefit cost	49		73		(5)		5
Regulatory account transfer⁽²⁾	34		10		—		—
Total	$	83	$	83	$	(5)	$	5

⁽¹⁾A portion of service costs are capitalized pursuant to GAAP.

⁽²⁾The Utility recorded these amounts to a regulatory account since they are probable of recovery from, or refund to, customers in future rates.


	Pension Benefits						Other Benefits
	Six Months Ended June 30,
(in millions)	2020		2019		2020		2019
Service cost for benefits earned⁽¹⁾	$	264	$	222	$	31	$	28
Interest cost	357		379		31		38
Expected return on plan assets	(522)		(453)		(69)		(61)
Amortization of prior service cost	(3)		(3)		7		7
Amortization of net actuarial loss	2		1		(10)		(2)
Net periodic benefit cost	98		146		(10)		10
Regulatory account transfer⁽²⁾	68		21		—		—
Total	$	166	$	167	$	(10)	$	10

⁽¹⁾A portion of service costs are capitalized pursuant to GAAP.

⁽²⁾The Utility recorded these amounts to a regulatory account since they are probable of recovery from, or refund to, customers in future rates.

Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (Loss)

The changes, net of income tax, in PG&E Corporation’s accumulated other comprehensive income (loss) consisted of the following:


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Three Months Ended June 30, 2020
Beginning balance	$	(22)	$	17	$	(5)
Amounts reclassified from other comprehensive income:⁽¹⁾
Amortization of prior service cost (net of taxes of $1 and $1, respectively)	(1)		3		2
Amortization of net actuarial loss (net of taxes of $1 and $1, respectively)	—		(4)		(4)
Regulatory account transfer (net of taxes of $0 and $0, respectively)	1		1		2
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(22)	$	17	$	(5)

⁽¹⁾These components are included in the computation of net periodic pension and other post-retirement benefit costs. (See the “Pension and Other Post-Retirement Benefits” table above for additional details.)


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Three Months Ended June 30, 2019
Beginning balance	$	(21)	$	17	$	(4)
Amounts reclassified from other comprehensive income:⁽¹⁾
Amortization of prior service cost (net of taxes of $1 and $1, respectively)	(1)		2		1
Amortization of net actuarial loss (net of taxes of $0, and $1, respectively)	—		—		—
Regulatory account transfer (net of taxes of $1 and $0, respectively)	1		(2)		(1)
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(21)	$	17	$	(4)


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Six Months Ended June 30, 2020
Beginning balance	$	(22)	$	17	$	(5)
Amounts reclassified from other comprehensive income:⁽¹⁾
Amortization of prior service cost (net of taxes of $1 and $2, respectively)	(2)		5		3
Amortization of net actuarial loss (net of taxes of $1 and $3, respectively)	1		(7)		(6)
Regulatory account transfer (net of taxes of $0 and $1, respectively)	1		2		3
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(22)	$	17	$	(5)


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Six Months Ended June 30, 2019
Beginning balance	$	(21)	$	17	$	(4)
Amounts reclassified from other comprehensive income:⁽¹⁾
Amortization of prior service cost (net of taxes of $1 and $2, respectively)	(2)		5		3
Amortization of net actuarial loss (net of taxes of $0 and $1, respectively)	1		(1)		—
Regulatory account transfer (net of taxes of $1 and $1, respectively)	1		(4)		(3)
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(21)	$	17	$	(4)

Summary of Revenues Disaggregated by Type of Customer

The following table presents the Utility’s revenues disaggregated by type of customer:


	Three Months Ended June 30,						Six Months Ended June 30,
(in millions)	2020		2019		2020		2019
Electric
Revenue from contracts with customers
Residential	$	987	$	994	$	2,230	$	2,282
Commercial	1,075		1,135		2,082		2,088
Industrial	342		326		682		619
Agricultural	368		261		491		347
Public street and highway lighting	17		16		34		33
Other⁽¹⁾	269		—		203		(309)
Total revenue from contracts with customers - electric	3,058		2,732		5,722		5,060
Regulatory balancing accounts⁽²⁾	377		214		753		678
Total electric operating revenue	$	3,435	$	2,946	$	6,475	$	5,738

Natural gas
Revenue from contracts with customers
Residential	$	426	$	343	$	1,492	$	1,515
Commercial	110		129		344		369
Transportation service only	296		304		643		686
Other⁽¹⁾	(159)		(129)		(180)		(205)
Total revenue from contracts with customers - gas	673		647		2,299		2,365
Regulatory balancing accounts ⁽²⁾	425		350		65		(149)
Total natural gas operating revenue	1,098		997		2,364		2,216
Total operating revenues	$	4,533	$	3,943	$	8,839	$	7,954

⁽¹⁾This activity is primarily related to the change in unbilled revenue and amounts subject to refund, partially offset by other miscellaneous revenue items.

⁽²⁾These amounts represent revenues authorized to be billed or refunded to customers.