Earning True Assummed

Service Age at Base Pay Annual potential at Retirement Age of Rate of

Start Date Service Start at Vesting increase vesting Age Death inflation
2012 34 $ 163,000 3.50% $200,000 55 95 3.00%

Servi
Unreduced ce Reduced Pension P at
Retirement Retirement Credited Monthly Perio Early Penalty Monthly early
Year Age Service Base Pay Pension d Factor Pension Retirement
2017 39 5 $ 163,000 $1,019 1 30% $713 $124,138
2018 40 6 $168,705 $1,265 1 30% $886 $158,805
2019 41 7 $174,610 $1,528 1 30% $1,069 $197,510
2020 42 8 $180,721 $1,807 1 30% $1,265 $240,635
2021 43 9 $187,046 $2,104 1 30% $1,473 $288,595
2022 44 10 $193,593 $2,420 1 30% $1,694 $341,841
2023 45 11 $200,369 $2,755 1 30% $1,929 $400,861
2024 46 12 $207,382 $3,111 1 30% $2,178 $466,187
2025 47 13 $214,640 $3,488 1 30% $2,442 $538,394
2026 48 14 $222,152 $3,888 1 30% $2,721 $618,105
2027 49 15 $229,928 $4,311 2 26% $3,190 $746,340
2028 50 16 $237,975 $4,760 2 26% $3,522 $848,678
2029 51 17 $246,304 $5,234 2 26% $3,873 $961,279
2030 52 18 $254,925 $5,736 2 26% $4,244 $1,085,052
2031 53 19 $263,847 $6,266 2 26% $4,637 $1,220,982
2032 54 20 $273,082 $6,827 2 26% $5,052 $1,370,135
2033 55 21 $282,640 $7,419 2 26% $5,490 $1,533,664
2034 56 22 $292,532 $8,045 2 22% $6,275 $1,729,789
2035 57 23 $302,771 $8,705 2 18% $7,138 $1,940,704
2036 58 24 $313,368 $9,401 2 14% $8,085 $2,166,699
2037 59 25 $324,336 $10,135 3 9% $9,223 $2,434,752
2038 60 26 $335,687 $10,938 3 6% $10,282 $2,671,570
2039 61 27 $347,436 $11,784 3 3% $11,430 $2,921,354
2040 62 28 $359,597 $12,676 3 0% $12,676 $3,183,974
2041 63 29 $372,183 $13,616 3 0% $13,616 $3,358,433
2042 64 30 $385,209 $14,606 4 0% $14,606 $3,534,544
2043 65 31 $398,691 $15,649 4 0% $15,649 $3,711,689
2044 66 32 $412,645 $16,747 4 0% $16,747 $3,889,169
2045 67 33 $427,088 $17,902 4 0% $17,902 $4,066,189
2046 68 34 $442,036 $19,118 4 0% $19,118 $4,241,855
2047 69 35 $457,507 $20,397 4 0% $20,397 $4,415,159
2048 70 36 $473,520 $21,742 4 0% $21,742 $4,584,974
2049 71 37 $490,093 $23,157 4 0% $23,157 $4,750,040

# Confidential
 2050 72 38 $507,247 $24,644 4 0% $24,644 $4,908,951
2051 73 39 $525,000 $26,206 4 0% $26,206 $5,060,144
2052 74 40 $543,375 $27,848 4 0% $27,848 $5,201,884

Reduced Monthly Pension

$30,000

$25,000

$20,000

$15,000

$10,000

$5,000

$0
35 40 45 50 55 60 65 70 75

$6,000,000

$5,000,000

$4,000,000

$3,000,000

$2,000,000

$1,000,000

$0
35 40 45 50 55 60 65 70 75

# Confidential
$0
35 40 45 50 55 60 65 70 75

# Confidential
Monthly
Pension at
true F*((1+H$3)^-
retirement (55-B7))
$5,490

Earning Earning
potential at potential P Total P at Earning Pension P
early at early early potential P after true Total P at
retirement retirement retirement at PG&E Retirement PG&E
$200,000 $3,222,511 $3,346,649 $2,626,346 $955,728 $3,582,075
$206,000 $3,104,118 $3,262,923 $2,542,137 $984,400 $3,526,537
$212,180 $2,976,791 $3,174,301 $2,449,696 $1,013,932 $3,463,628
$218,545 $2,840,128 $3,080,762 $2,348,577 $1,044,350 $3,392,927
$225,102 $2,693,710 $2,982,305 $2,238,313 $1,075,681 $3,313,994
$231,855 $2,537,103 $2,878,944 $2,118,417 $1,107,951 $3,226,368
$238,810 $2,369,857 $2,770,719 $1,988,376 $1,141,190 $3,129,566
$245,975 $2,191,504 $2,657,691 $1,847,659 $1,175,425 $3,023,084
$253,354 $2,001,558 $2,539,952 $1,695,707 $1,210,688 $2,906,395
$260,955 $1,799,515 $2,417,620 $1,531,938 $1,247,009 $2,778,947
$268,783 $1,584,853 $2,331,193 $1,355,744 $1,284,419 $2,640,163
$276,847 $1,357,028 $2,205,706 $1,166,489 $1,322,952 $2,489,441
$285,152 $1,115,477 $2,076,756 $963,509 $1,362,640 $2,326,149
$293,707 $859,616 $1,944,668 $746,110 $1,403,519 $2,149,629
$302,518 $588,839 $1,809,821 $513,568 $1,445,625 $1,959,193
$311,593 $302,518 $1,672,653 $265,128 $1,488,994 $1,754,122 3215814
$320,941 $0 $1,533,664 $0 $1,533,664 $1,533,664 3183974
$330,570 $0 $1,729,789 $0 $1,729,789 $1,729,789
$340,487 $0 $1,940,704 $0 $1,940,704 $1,940,704
$350,701 $0 $2,166,699 $0 $2,166,699 $2,166,699
$361,222 $0 $2,434,752 $0 $2,434,752 $2,434,752
$372,059 $0 $2,671,570 $0 $2,671,570 $2,671,570
$383,221 $0 $2,921,354 $0 $2,921,354 $2,921,354
$394,717 $0 $3,183,974 $0 $3,183,974 $3,183,974
$406,559 $0 $3,358,433 $0 $3,358,433 $3,358,433
$418,756 $0 $3,534,544 $0 $3,534,544 $3,534,544
$431,318 $0 $3,711,689 $0 $3,711,689 $3,711,689
$444,258 $0 $3,889,169 $0 $3,889,169 $3,889,169
$457,586 $0 $4,066,189 $0 $4,066,189 $4,066,189
$471,313 $0 $4,241,855 $0 $4,241,855 $4,241,855
$485,452 $0 $4,415,159 $0 $4,415,159 $4,415,159
$500,016 $0 $4,584,974 $0 $4,584,974 $4,584,974
$515,017 $0 $4,750,040 $0 $4,750,040 $4,750,040

# Confidential
 $530,467 $0 $4,908,951 $0 $4,908,951 $4,908,951
$546,381 $0 $5,060,144 $0 $5,060,144 $5,060,144
$562,772 $0 $5,201,884 $0 $5,201,884 $5,201,884

1 2 3
28 30% 26% 21%
29 30% 26% 21%
30 30% 26% 21%
31 30% 26% 21%
32 30% 26% 21%
33 30% 26% 21%
Reduced Monthly Pension
34 30% 26% 21%
35 30% 26% 21%
36 30% 26% 21%
37 30% 26% 21%
38 30% 26% 21%
39 30% 26% 21%
40 30% 26% 21%
70 75 41 30% 26% 21%
42 30% 26% 21%
43 30% 26% 21%
44 30% 26% 21%
45 30% 26% 21%
46 30% 26% 21%
47 30% 26% 21%
48 30% 26% 21%
49 30% 26% 21%
50 30% 26% 21%
51 30% 26% 21%
52 30% 26% 21%
Pension P at early Retirement 53 30% 26% 21%
Total P at early retirement 54 30% 26% 21%
Total P at PG&E
55 30% 26% 21%
56 27% 22% 18%
57 24% 18% 15%
58 21% 14% 12%
59 18% 10% 9%
60 15% 6% 6%
61 12% 3% 3%
62 9% 0% 0%
63 6% 0% 0%
64 3% 0% 0%
70 75 65 0% 0% 0%

# Confidential
70 75
66 0% 0% 0%
67 0% 0% 0%
68 0% 0% 0%
69 0% 0% 0%
70 0% 0% 0%
71 0% 0% 0%
72 0% 0% 0%
73 0% 0% 0%
74 0% 0% 0%

# Confidential
 monthly
rate of inflation = 3% inflation = 0.250% retiring salary = $282,640

age of hire = 34 age of retirement = 55 years of service =

age of death = 95 age of spouse death = 95

Age to take Reduction Monthly

benefit factor Benefit n P/A life benefits PRA/FLB PRET/ARET
55 0.26 $5,490.28 480 $1,537,498 $1,537,498 $1,537,498
56 0.22 $5,787.05 468 $1,599,315 $1,552,106 $1,517,298
57 0.18 $6,083.82 456 $1,658,267 $1,561,814 $1,496,485
58 0.14 $6,380.59 444 $1,714,233 $1,566,867 $1,475,038
59 0.09 $6,751.56 432 $1,786,722 $1,584,918 $1,452,939
60 0.06 $6,974.14 420 $1,816,699 $1,563,940 $1,430,167
61 0.03 $7,196.71 408 $1,843,922 $1,540,519 $1,406,704
62 0.00 $7,419.29 396 $1,868,278 $1,514,794 $1,382,526
63 0.00 $7,419.29 384 $1,834,612 $1,443,589 $1,357,613
64 0.00 $7,419.29 372 $1,799,922 $1,374,487 $1,331,942
65 0.00 $7,419.29 360 $1,764,177 $1,307,424 $1,305,491
66 0.00 $7,419.29 348 $1,727,344 $1,242,340 $1,278,235
67 0.00 $7,419.29 336 $1,689,392 $1,179,178 $1,250,150
68 0.00 $7,419.29 324 $1,650,284 $1,117,880 $1,221,211
69 0.00 $7,419.29 312 $1,609,988 $1,058,392 $1,191,391
70 0.00 $7,419.29 300 $1,568,466 $1,000,660 $1,160,664
71 0.00 $7,419.29 288 $1,525,680 $944,631 $1,129,003
72 0.00 $7,419.29 276 $1,481,594 $890,257 $1,096,379
73 0.00 $7,419.29 264 $1,436,166 $837,487 $1,062,763
74 0.00 $7,419.29 252 $1,389,357 $786,276 $1,028,124

# Confidential
 unreduced average market
pension = $7,419 return = 7%

monthly market
years of service = 21 return = 0.583%

FRET/ARET PRET+FRET
$0 $1,537,498
$68,039 $1,585,337
$140,996 $1,637,481
$219,227 $1,694,265
$303,114 $1,756,053
$393,065 $1,823,232
$489,518 $1,896,222
$592,944 $1,975,470
$703,847 $2,061,460
$822,767 $2,154,709
$950,283 $2,255,774
$1,087,018 $2,365,253
$1,233,638 $2,483,787
$1,390,856 $2,612,067
$1,559,440 $2,750,831
$1,740,211 $2,900,875
$1,934,049 $3,063,053
$2,141,901 $3,238,280
$2,364,778 $3,427,541
$2,603,766 $3,631,890

# Confidential
Reduction
Percentage

Reduction in Your Pension if Your Credited Service Is…

Age Less Than 15 to 24 25 to 29 30 Years or
15 Years Years Years More

64 3% — — —
63 6% — — —
62 9% — — —
61 12% 3% 3% —
60 15% 6% 6% —
59 18% 10% 9% —
58 21% 14% 12% —
57 24% 18% 15% —
56 27% 22% 18% —
55 30% 26% 21% —

Note: Reduction factors are based on age in years and months prior to your
normal retirement age (age 65). Although only ages as of your birth date are
shown on this chart, the reduction factors change with each additional month
of age after age 55.

For example, if an employee with less than 15 years of service retired at age
55, the reduction factor would be 30 percent. Each month of age past 55 will
decrease the reduction factor. For example, at age 55 years and four months,
the reduction factor would be 29 percent, and so on. While reduction factors
change for each month of age between birth dates, they do not change for
additional months or years of credited service until you move into a new
service band, as illustrated in the table. For example, if you are age 55 and
four months with 16 years of service, the factors are the same as for someone
at age 55 and four months with 23 years of service.

# Confidential