This excerpt taken from the PCG 10-K filed Feb 18, 2005.
PG&E Corporation's consolidated cash flows from operating activities consist mainly of billings to the Utility for services rendered and payments for employee compensation and goods and services provided by others to PG&E Corporation. PG&E Corporation also incurs interest costs associated with its debt.
PG&E Corporation's consolidated cash flows from operating activities for 2004, 2003 and 2002 were as follows:
In 2004 the net cash provided by operating activities decreased by $152 million, compared to 2003 due to 2004 payments totaling approximately $85 million for PG&E Corporation's senior executive retention program and $30 million pursuant to a settlement of certain tax-related litigation between PG&E Corporation and NEGT. There were no similar payments in the prior year.
In 2003, PG&E Corporation's consolidated cash flows provided by operating activities increased by approximately $1.7 billion compared to 2002, mainly due to an increase in the Utility's net cash provided from operating activities, partially offset by a decrease in net cash provided from NEGT's operating activities as a result of realized losses generated through July 7, 2003.