PG&E 2015 Annual Report Download - page 111

103
PART II
ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Fair Value Measurements
The following tables present the fair value of plan assets for pension and other benefits plans by major asset category
at December 31, 2015 and 2014.
FairValueMeasurements
AtDecember
 
(inmillions) Level Level Level Total Level Level Level Total
PensionPlan
Short-terminvestments      -        -  
Globalequity   -    - 
Absolutereturn - -   - -  
Realassets  -    -  
Fixed-income        
Total               
PBOPPlans
Short-terminvestments    -  -      -  -  
Globalequity   -    - 
Absolutereturn - -   - -  
Realassets  -    -  
Fixed-income   -     
Total                
TOTALPLANASSETSATFAIRVALUE    
In addition to the total plan assets disclosed at fair value in the table above, the trusts had other net assets of $13million
and $24 million at December 31, 2015 and 2014, respectively, comprised primarily of cash, accounts receivable, deferred
taxes, and accounts payable.
Valuation Techniques
The following describes the valuation techniques used to
measure the fair value of the assets and liabilities shown
in the table above. All investments that are valued using
a net asset value per share can be redeemed quarterly
with a notice not to exceed 90 days.
Short-Term Investments
Short-term investments consist primarily of commingled
funds across government, credit, and asset-backed sectors.
These securities are categorized as Level 1 and Level 2 assets.
Global Equity
The global equity category includes investments in common
stock, equity-index futures, and commingled funds comprised
of equity securities spread across multiple industries and
regions of the world. Equity investments in common stock
are actively traded on public exchanges and are therefore
considered Level 1 assets. These equity investments are
generally valued based on unadjusted prices in active markets
for identical securities. Equity-index futures arevalued
based on unadjusted prices in active markets and are Level
1 assets. Commingled equity funds are valued using a net
asset value per share and are maintained by investment
companies for large institutional investors and are not publicly
traded. Commingled equity funds are comprised primarily
of underlying equity securities that are publicly traded on
exchanges, and price quotes for the assets held by these
funds are readily observable and available. Commingled
equity funds are categorized as Level 1 and Level 2 assets.
Absolute Return
The absolute return category includes portfolios of hedge
funds that are valued using a net asset value per share
based on a variety of proprietary and non-proprietary
valuation methods, including unadjusted prices for publicly-
traded securities in active markets. Hedge funds are
considered Level 3 assets.