PG&E 2015 Annual Report Download - page 57

49
PART II
ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Contractual Commitments
The following table provides information about PG&E Corporation’s and the Utility’s contractual commitments at
December 31, 2015:
 Paymentduebyperiod
(inmillions)
LessThan
Year


-
Years


-
Years


MoreThan
Years



Total
Utility
Long-termdebt()            
Purchaseobligations()
Power purchase agreements:              
Natural gas supply, transportation,
and storage
             
Nuclear fuel agreements              
Pensionandotherbenefits()              
Operatingleases()              
Preferreddividends()           -   
PG&ECorporation          
Long-termdebt()           -   
TotalContractualCommitments              
() IncludesinterestpaymentsoverthetermsofthedebtInterestiscalculatedusingtheapplicableinterestrateatDecember
andoutstandingprincipalforeachinstrumentwiththetermsendingateachinstrument’smaturity(SeeNoteof
theNotestotheConsolidatedFinancialStatementsinItem)
() See“PurchaseCommitments”and“OtherCommitments”inNoteoftheNotestotheConsolidatedFinancialStatementsin
Item
() SeeNoteoftheNotestotheConsolidatedFinancialStatementsinItemPaymentsintothepensionandotherbenefits
plansarebasedonannualcontributionrequirementsAstheseannualrequirementscontinueindefinitelyintothefuturethe
amountshowninthecolumnentitled“morethanyears”representsonlyyearofcontributionsfortheUtility’spensionand
otherbenefitplans
() Basedonhistoricalperformanceitisassumedforpurposesofthetableabovethatdividendsarepayablewithinafixed
periodoffiveyears
The contractual commitments table above excludes
potential payments associated with unrecognized tax
positions. Due to the uncertainty surrounding tax audits,
PG&E Corporation and the Utility cannot make reliable
estimates of the amounts and periods of future payments
to major tax jurisdictions related to unrecognized tax
benefits. Matters relating to tax years that remain subject
to examination are discussed in Note 8 of the Notes to
the Consolidated Financial Statements in Item 8.
O-Balance Sheet Arrangements
PG&E Corporation and the Utility do not have any
o-balance sheet arrangements that have had, or are
reasonably likely to have, a current or future material eect
on their financial condition, changes in financial condition,
revenues or expenses, results of operations, liquidity,
capital expenditures, or capital resources, other than those
discussed in Note 13 of the Notes to the Consolidated
Financial Statements (the Utility’s commodity purchase
agreements) in Item 8.
Enforcement and Litigation Matters
PG&E Corporation and the Utility have significant contingencies arising from their operations, including contingencies
related to the enforcement and litigation matters described in Note 13 of the Notes to the Consolidated Financial
Statements in Item 8. The outcome of these matters, individually or in the aggregate, could have a material eect on
PG&E Corporation’s and the Utility’s future financial results.