(San Francisco) – GovernanceMetrics International (GMI), a corporate governance research and ratings agency, has named PG&E Corporation (NYSE: PCG) as one of only 34 companies worldwide to receive its highest rating for corporate governance practices. The Corporation received an overall rating of 10.0, reflecting performance in the categories of board accountability, financial disclosure and internal controls, shareholder rights, remuneration, market for control, and corporate behavior. GMI ranks more than 3,200 companies worldwide on corporate governance.

“PG&E has long been, and continues to be, committed to sound corporate governance and disclosure practices,” said Peter A. Darbee, President and CEO. “We continually evaluate our policies to ensure we are complying with changing legal requirements, and where possible, to lead in good corporate governance by going beyond those requirements.”

“PG&E Corporation’s high score signifies that, compared to the global universe, the company has significantly better governance practices than most other companies,” said Gavin Anderson, President and CEO of GovernanceMetrics International.

In addition to getting high marks from GMI, PG&E Corporation also received high corporate governance ratings from Institutional Shareholder Services (ISS), a leading provider of proxy voting and corporate governance services. In November 2004, ISS gave PG&E Corporation an index ranking of 99.6 out of a possible 100, placing it fourth-highest among companies in the Standard & Poor’s 500.