PG&E 2015 Annual Report Download - page 114

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PART II
ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Benefits Payments and Receipts
As of December 31, 2015, the estimated benefits expected to be paid and the estimated federal subsidies expected
to be received in each of the next five fiscal years, and in aggregate for the five fiscal years thereafter, are as follows:
(inmillions) PensionPlan PBOPPlans FederalSubsidy
      ()
   ()
   ()
   ()
   ()
Thereafterinthesucceedingfiveyears   ()
There were no material dierences between the estimated
benefits expected to be paid by PG&E Corporation and
paid by the Utility for the years presented above. There
were also no material dierences between the estimated
subsidies expected to be received by PG&E Corporation
and received by the Utility for the years presented above.
Retirement Savings Plan
PG&E Corporation sponsors a retirement savings plan,
which qualifies as a 401(k) defined contribution benefit plan
under the Internal Revenue Code 1986, as amended. This
plan permits eligible employees to make pre-tax and after-
tax contributions into the plan, and provide for employer
contributions to be made to eligible participants. Total
expenses recognized for defined contribution benefit plans
reflected in PG&E Corporation’s Consolidated Statements
of Income were $89 million, $80 million, and $71 million
in 2015, 2014, and 2013, respectively.
There were no material dierences between the employer
contribution expense for PG&E Corporation and the Utility
for the years presented above.
NOTE 12: Related Party Agreements and Transactions
The Utility and other subsidiaries provide and receive
various services to and from their parent, PG&E Corporation,
and among themselves. The Utility and PG&E Corporation
exchange administrative and professional services in
support of operations. Services provided directly to
PG&E Corporation by the Utility are priced at the higher
of fully loaded cost (i.e., direct cost of good or service
and allocation of overhead costs) or fair market value,
depending on the nature of the services. Services provided
directly to the Utility by PG&E Corporation are generally
priced at the lower of fully loaded cost or fair market value,
depending on the nature and value of the services. PG&E
Corporation also allocates various corporate administrative
and general costs to the Utility and other subsidiaries using
agreed-upon allocation factors, including the number
of employees, operating and maintenance expenses,
total assets, and other cost allocation methodologies.
Management believes that the methods used to allocate
expenses are reasonable and meet the reporting and
accounting requirements of its regulatory agencies.
The Utility’s significant related party transactions were:
YearEndedDecember
(inmillions)   
Utilityrevenuesfrom
AdministrativeservicesprovidedtoPG&ECorporation      
Utilityexpensesfrom
AdministrativeservicesreceivedfromPG&ECorporation      
UtilityemployeebenefitduetoPG&ECorporation   
At December 31, 2015 and 2014, the Utility had receivables
of $22 million and $17 million, respectively, from PG&E
Corporation included in accounts receivable – other and
other noncurrent assets – other on the Utility’s Consolidated
Balance Sheets, and payables of $21 million and $20million,
respectively, to PG&E Corporation included in accounts
payable – other on the Utility’s Consolidated Balance Sheets.