This excerpt taken from the PCG DEF 14A filed Apr 2, 2008.
What Were the Compensation Committee's 2007 Officer Compensation Program Objectives?
The Committee seeks to design competitive performance-based compensation programs that meet the Committee's stated objectives and align with shareholders' interests. Although the Committee considers the potential impact on PG&E Corporation's compensation programs of the tax deductibility limitations imposed by Section 162(m) of the U.S. Internal Revenue Code, the Committee does not limit compensation to those levels or types of compensation that will be deductible.
The Committee established officer compensation programs for 2007 to meet three primary goals:
In addition, the Committee defined specific objectives for officer compensation relative to these goals as follows:
These goals and objectives were unchanged from 2006.