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163000000 23000000 6000000 221000000 114000000 92000000 211000000 1187000000 131000000 823000000 167000000 30000000 1218000000 581000000 214000000 3404000000 22000000 866000000 630000000 -28000000 7351000000 100000000 91000000 1616000000 1490000000 1616000000 1490000000 100000000 100000000 1269000000 1270000000 239000000 240000000 20000000 21000000 4000000 1000000 -263000000 -313000000 -7000000 -5000000 -6000000 -20000000 560000000 576000000 227000000 242000000 0 -57000000 -227000000 -299000000 0 200000000 1000000 1000000 -1000000 -201000000 332000000 76000000 59000000 135000000 30000000 29000000 29000000 104000000 -16000000 -31000000 <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 1. GENERAL <BR/>Principles of Consolidation<BR/>Sempra Energy<BR/>Sempra Energy's Condensed Consolidated Financial Statements include the accounts of Sempra Energy, a California-based Fortune 500 holding company, its consolidated subsidiaries, and a variable interest entity. Sempra Energy&#8217;s principal subsidiaries are:<BR/><UL><LI>San Diego Gas & Electric Company (SDG&E) and Southern California Gas Company (SoCalGas), which we collectively refer to as the Sempra Utilities; and<BR/></LI><LI>Sempra Global, which is the holding company for Sempra Commodities, Sempra Generation, Sempra Pipelines & Storage, Sempra LNG and other, smaller businesses. <BR/></LI></UL>Sempra Energy uses the equity method to account for investments in affiliated companies over which we have the ability to exercise significant influence, but not control.<BR/>SDG&E<BR/>SDG&E's Condensed Consolidated Financial Statements include its accounts, the accounts of its sole subsidiary, SDG&E Funding LLC, and the accounts of Otay Mesa Energy Center LLC (Otay Mesa VIE), a variable interest entity of which SDG&E is the primary beneficiary, as discussed in Note 5 under "Variable Interest Entities." SDG&E&#8217;s common stock is wholly owned by Enova Corporation, which is a wholly owned subsidiary of Sempra Energy. The activities of SDG&E Funding LLC were substantially complete in 2007, and the entity was dissolved in 2008. <BR/>Pacific Enterprises and SoCalGas<BR/>The Condensed Consolidated Financial Statements of Pacific Enterprises include the accounts of Pacific Enterprises (PE) and its subsidiary, SoCalGas. Sempra Energy owns all of PE&#8217;s common stock and PE owns all of SoCalGas&#8217; common stock. SoCalGas&#8217; Condensed Consolidated Financial Statements include its subsidiaries, which comprise less than one percent of its consolidated financial position and results of operations. <BR/>PE's operations consist solely of those of SoCalGas and additional items (e.g., cash, intercompany accounts and equity) attributable to being a holding company for SoCalGas.</P></FONT></DIV><DIV><FONT size="2"><P>Basis of Presentation<BR/>This is a combined report of Sempra Energy, SDG&E, PE and SoCalGas. We provide separate information for SDG&E, PE and SoCalGas as required. When only information for SoCalGas is provided, it is the same for PE. References in this report to "we," "our" and "Sempra Energy Consolidated" are to Sempra Energy and its consolidated entities, unless otherwise indicated by the context. We have eliminated intercompany accounts and transactions within each set of consolidated financial statements.<BR/>We have prepared the Condensed Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America (GAAP) and in accordance with the interim-period-reporting requirements of Form 10-Q. Results of operations for interim periods are not necessarily indicative of results for the entire year. We evaluated events and transactions that occurred after June 30, 2009 but before the issuance of these financial statements on July 31, 2009, and in the opinion of management, the accompanying statements reflect all adjustments necessary for a fair presentation. These adjustments are only of a normal, recurring nature, except as we discuss below in "Presentation of Preferred Securities" and in Note 2.<BR/>You should read the information in this Quarterly Report in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2008 (the Annual Report) and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2009, which are combined reports for Sempra Energy, SDG&E, PE and SoCalGas.<BR/>Our significant accounting policies are described in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. We follow the same accounting policies for interim reporting purposes, except for the adoption of new accounting standards as we discuss in Note 2.<BR/>The Sempra Utilities account for the economic effects of regulation on utility operations in accordance with Statement of Financial Accounting Standards (SFAS) 71, Accounting for the Effects of Certain Types of Regulation (ASC 980).<BR/>Presentation of Preferred Securities<BR/>In connection with the adoption of SFAS 160, Noncontrolling Interests in Consolidated Financial Statements &#8211; an amendment of ARB No.&#160;51 (SFAS 160) (ASC 810), as we discuss in Note 2, we evaluated the requirements of Emerging Issues Task Force (EITF) Topic No. 98, Classification and Measurement of Redeemable Securities (Topic D-98) (ASC 480), with respect to the presentation of preferred securities. In previously issued financial statements, SDG&E classified certain preferred securities within the shareholders' equity section of the balance sheet. These preferred securities contain a contingent redemption feature that allows the holder to elect a majority of SDG&E's board of directors if dividends are not paid for eight consecutive quarters. Because such a redemption triggering event is not solely within the control of SDG&E, SDG&E has concluded that these preferred securities should have been presented separate from and outside of shareholders' equity in a manner consistent with temporary equity defined in Topic D-98. Although SDG&E believes that the effects are not material to the previously issued balance sheets, SDG&E has corrected the classification of these amounts as of December 31, 2008 for comparability purposes. This change, which affects preferred securities totaling $79 million at both December 31, 2008 and June 30, 2009, affects only the balance sheet presentation of equity accounts and has no impact on earnings or on cash flows for any period presented.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 2. NEW ACCOUNTING STANDARDS <BR/>We describe below recent pronouncements that have had or may have a significant effect on our financial statements. We do not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to our financial condition, results of operations, or disclosures. <BR/>SEMPRA ENERGY, SDG&E, PE AND SOCALGAS <BR/>SFAS 168, "The FASB Accounting Standards CodificationTM and the Hierarchy of Generally Accepted Accounting Principles&#8212;a replacement of FASB Statement No. 162" (SFAS 168): The Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) (the Codification) becomes the official source of GAAP on July 1, 2009, and its use is effective for periods ending after September 15, 2009. For convenience, we have provided references to the Codification throughout this Form 10-Q in addition to the current GAAP source reference.<BR/>SFAS 167, "Amendments to FASB Interpretation No. 46(R)" (SFAS 167): SFAS 167 (ASC 810) amends FASB Interpretation No. 46(R), Consolidation of Variable Interest Entities &#8211; an interpretation of ARB No. 51 (FIN 46(R)) which provides consolidation guidance related to variable interest entities. <BR/>SFAS 167 requires<BR/><UL><LI>a qualitative approach for identifying the primary beneficiary of a variable interest entity based on 1) the power to direct activities that most significantly impact the economic performance of the entity, and 2) the obligation to absorb losses or right to receive benefits that could be significant to the entity<BR/></LI><LI>ongoing reassessments of whether an enterprise is the primary beneficiary of a variable interest entity <BR/></LI><LI>separate disclosure by the primary beneficiary on the face of the balance sheet to identify 1) assets that can only be used to settle obligations of the variable interest entity, and 2) liabilities for which creditors do not have recourse to the primary beneficiary.<BR/></LI></UL>FAS 167 applies to us prospectively for the first quarter of 2010. We are in the process of evaluating the effects of this statement on our financial position and results of operations.<BR/>SFAS 165, "Subsequent Events" (SFAS 165): SFAS 165 (ASC 855) requires management to evaluate events that occur after the balance sheet through the date that the financial statements are issued. The guidance is similar to current audit guidance and does not change the way we assess subsequent events. The statement requires that we disclose the date through which we evaluated subsequent events. <BR/>We adopted SFAS 165 on April 1, 2009 and provide the required disclosure in Note 1. <BR/>SFAS 160, "Noncontrolling Interests in Consolidated Financial Statements &#8211; an amendment of ARB No.&#160;51" (SFAS 160): SFAS 160 (ASC 810) amends Accounting Research Bulletin (ARB) No. 51, Consolidated Financial Statements, to establish accounting and reporting standards for ownership interests in subsidiaries held by parties other than the parent. <BR/>SFAS 160 provides guidance on the following:<BR/><UL><LI>how to report noncontrolling interests in a subsidiary in consolidated financial statements; <BR/></LI><LI>the amount of consolidated net income attributable to the parent and to the noncontrolling interest; and <BR/></LI><LI>changes in a parent&#8217;s ownership interest and the valuation of retained noncontrolling equity investments when a subsidiary is deconsolidated. <BR/></LI></UL>We adopted SFAS 160 on January 1, 2009, and the presentation and disclosure requirements must be applied retrospectively. Accordingly, Sempra Energy&#8217;s, SDG&E&#8217;s and PE's condensed consolidated financial statements at December 31, 2008 and for the six months ended June 30, 2008 have been reclassified to conform to the new presentation. The adoption of SFAS 160 had no impact on SoCalGas&#8217; financial statements. The pronouncement also requires disclosures that clearly identify and distinguish between the interest of the parent and the interests of the noncontrolling owners. We provide the required disclosure in Note 5. <BR/>SFAS 161, "Disclosures about Derivative Instruments and Hedging Activities &#8211; an amendment of FASB Statement No. 133" (SFAS 161): SFAS 161 (ASC 815) expands the disclosure requirements in SFAS 133, Accounting for Derivative Instruments and Hedging Activities (SFAS 133). <BR/>SFAS 161 requires disclosures about the following:<BR/><UL><LI>qualitative objectives and strategies for using derivatives;<BR/></LI><LI>quantitative disclosures of fair value amounts, and gains and losses on derivative instruments and related hedged items; and<BR/></LI><LI>credit-risk-related contingent features in derivative agreements. <BR/></LI></UL>We adopted SFAS 161 prospectively on January 1, 2009. We provide the required disclosure in Note 7. <BR/>FASB Staff Position (FSP) FAS 157-4, "Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That are Not Orderly" (FSP FAS 157-4): FSP FAS 157-4 (ASC 820) concerns the determination of fair values for assets and liabilities when there is no active market or where the prices used might represent distressed sales. Specifically, it reaffirms the need to use judgment to ascertain if a formerly active market has become inactive and in determining fair values when markets have become inactive. The FSP also outlines factors to be used to determine whether there has been a significant decrease in the volume and level of activity for the assets and liabilities when compared with normal market activity. We adopted FSP FAS 157-4 on April 1, 2009, and it did not affect our financial position or results of operations. <BR/>FSP FAS 107-1 and APB 28-1, "Interim Disclosures About Fair Value of Financial Instruments" (FSP FAS 107-1 and APB 28-1): FSP FAS 107-1 and APB 28-1 (ASC 820) requires disclosure about the carrying amount and fair value of financial instruments for interim periods. Prior to the issuance of this FSP, this disclosure was required only for annual periods. We adopted FSP FAS 107-1 and APB 28-1 on April 1, 2009 and provide the required disclosure in Note 8. <BR/>FSP FAS 115-2 and FAS 124-2, "Recognition and Presentation of Other-Than-Temporary Impairments" (FSP FAS 115-2 and FAS 124-2): FSP FAS 115-2 and FAS 124-2 (ASC 320) establishes a new model for determining and recording other-than-temporary impairment for debt securities. The pronouncement also requires disclosure about the fair value of investments for interim periods. Prior to the issue of this FSP, this disclosure was required only for annual periods. We adopted FSP FAS 115-2 and FAS 124-2 on April 1, 2009, and it did not affect our financial position or results of operations. We provide the required disclosure in Note 8.<BR/>FSP FAS 132(R)-1, "Employers&#8217; Disclosures about Postretirement Benefit Plan Assets" (FSP FAS 132(R)-1): FSP FAS 132(R)-1 (ASC 715) requires annual disclosure about the assets held in postretirement benefit plans, including a breakdown by the level of the assets and a reconciliation of any change in Level 3 assets during the year. It requires disclosures about the following:<BR/><UL><LI>valuation inputs, with detailed disclosure required about Level 3 assets<BR/></LI><LI>asset categories, broken down to relevant detail <BR/></LI><LI>concentration of risk in plan assets<BR/></LI></UL>FSP FAS 132(R)-1 applies to us prospectively for fiscal years ending after December 15, 2009. Early application is permitted. We are in the process of evaluating the effect of this statement on our financial statement disclosures and will include the additional disclosure in our 2009 annual financial statements.<BR/>SEMPRA ENERGY<BR/>FSP EITF 03-6-1, "Determining Whether Instruments Granted in Share-Based Payment Transactions Are Participating Securities" (FSP EITF 03-6-1): FSP EITF 03-6-1 (ASC 260) states that unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities. As such, they are required to be included when computing earnings per share (EPS) under the two-class method described in SFAS 128, Earnings per Share. All prior-period EPS data are to be adjusted retrospectively to conform with the provisions of this FSP. We adopted FSP EITF 03-6-1 on January 1, 2009, and it did not have a material effect on our EPS. <BR/>EITF Issue No. 08-6, "Equity Method Investment Accounting Considerations" (EITF 08-6): EITF 08-6 (ASC 323) clarifies accounting and impairment considerations involving equity method investments. We adopted EITF 08-6 on January 1, 2009, and it did not have a material effect on our financial position or results of operations. <BR/>EITF Issue No. 08-5, "Issuer&#8217;s Accounting for Liabilities Measured at Fair Value with a Third-Party Credit Enhancement" (EITF 08-5): EITF 08-5 (ASC 820) provides that an issuer of a liability with a third-party credit enhancement that is inseparable from the liability may not include the effect of the credit enhancement in the fair value measurement of the liability. We adopted EITF 08-5 on January 1, 2009, and it did not affect our financial position or results of operations.<BR/></P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>SEMPRA COMMODITIES<BR/>On April 1, 2008, Sempra Energy and The Royal Bank of Scotland (RBS) completed the formation of RBS Sempra Commodities LLP (RBS Sempra Commodities), a limited liability partnership formed in the United Kingdom to own and operate the commodities-marketing businesses previously operated through wholly owned subsidiaries of Sempra Energy. We account for our investment in RBS Sempra Commodities under the equity method, and our share of partnership earnings is reported in the Sempra Commodities segment. <BR/>For the three months and six months ended June 30, 2009, we had $126 million and $279 million of pretax equity earnings, respectively, from RBS Sempra Commodities. Pretax equity earnings from RBS Sempra Commodities were $146 million for both the three and six months ended June 30, 2008. The partnership income that is distributable to us on an annual basis is computed on the partnership's basis of accounting, International Financial Reporting Standards (IFRS) as adopted by the European Union. For the three months and six months ended June 30, 2009, this distributable income, on an IFRS basis, was $102 million and $216 million, respectively. For both the three and six months ended June 30, 2008, the distributable income, on an IFRS basis, was $165 million. In the first quarter of 2009, we received the remaining distribution of 2008 partnership income of $305 million, and an additional $70 million in the second quarter of 2009 to fund estimated tax payments as provided in the partnership agreement. <BR/>We have indemnified the partnership for certain litigation and tax liabilities related to the businesses purchased by the partnership. We recorded these obligations at a fair value of $5 million on April 1, 2008, the date we formed the partnership, and they are being amortized over 4 years. <BR/>We provide information regarding the Sempra Commodities segment in Note 11. <BR/>The following table shows summarized financial information for RBS Sempra Commodities (on a GAAP basis):</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD width="215" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="174" height="14" align="center"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="215" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT 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Sempra Pipelines & Storage contributed $150 million in the first quarter of 2008. We discuss this investment in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>Sempra Pipelines & Storage owns 43 percent of two Argentine natural gas utility holding companies, Sodigas Pampeana and Sodigas Sur. The Argentine economic decline and government responses (including Argentina&#8217;s unilateral, retroactive abrogation of utility agreements early in 2002) continue to adversely affect the operations of these Argentine utilities. In 2002, Sempra Pipelines & Storage initiated arbitration proceedings at the International Center for the Settlement of Investment Disputes (ICSID) under the 1994 Bilateral Investment Treaty between the United States and Argentina for recovery of the diminution of the value of its investments that has resulted from Argentine governmental actions. In September 2007, the tribunal officially closed the arbitration proceedings and awarded us compensation of $172 million, which includes interest up to the award date. In January 2008, Argentina filed an action at the ICSID seeking to annul the award. On March 5, 2009, the ICSID ordered Argentina to place $75 million in escrow within 120 days, as tangible evidence of its preparedness to comply in good faith, as a condition of a continued stay in the annulment case. Argentina has not complied with the escrow order. Sempra Pipelines & Storage has requested the ICSID to remove the stay. We will not recognize the ICSID award until collectibility is assured. <BR/></P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 3. RECENT EQUITY TRANSACTION<BR/>SEMPRA PIPELINES & STORAGE<BR/>Sempra Midstream, owned by Sempra Pipelines & Storage, owned 60 percent of Mississippi Hub, LLC (Mississippi Hub) at December 31, 2008. 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style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">Debt securities</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;U.S. government issues*</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;133&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;146&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Municipal bonds**</FONT></TD><TD width="22" height="16" 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size="2">Total debt securities</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;207&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;16&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;(7)</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;216&#160;</FONT></TD></TR><TR><TD colspan="2" 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size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;28&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;155&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Municipal bonds</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;69&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(9)</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;61&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">Total debt securities</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;196&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;29&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;(9)</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;216&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left"><FONT size="2">Equity securities</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;251&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;105&#160;</FONT></TD><TD width="22" 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size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;41&#160;</FONT></TD></TR><TR><TD colspan="2" width="318" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total available-for-sale securities</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;487&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;137&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(47)</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;577&#160;</FONT></TD></TR><TR><TD width="33" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>*</I></FONT></TD><TD colspan="9" width="617" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>Maturity dates are 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size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="145" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="145" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Proceeds from sales</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;49&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;38&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;88&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;169&#160;</FONT></TD></TR><TR><TD width="145" height="16" align="left"><FONT size="2">Gross realized gains</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;7&#160;</FONT></TD></TR><TR><TD width="145" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Gross realized losses</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(7)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(24)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(11)</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Net unrealized gains (losses) are included in Regulatory Liabilities Arising from Removal Obligations on the Condensed Consolidated Balance Sheets. We determine the cost of securities in the trusts on the basis of specific identification.<BR/>The fair value of securities in an unrealized loss position as of June 30, 2009 was $142 million. The unrealized losses of $26 million were primarily caused by a negative market environment. We do not consider these investments to be other than temporarily impaired as of June 30, 2009.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 5. OTHER FINANCIAL DATA</P></FONT></DIV><DIV><FONT size="2"><P>VARIABLE INTEREST ENTITIES<BR/>FIN 46(R) (ASC 810) requires an enterprise to consolidate a variable interest entity (VIE), as defined in FIN 46(R), if the company is the primary beneficiary of the VIE&#8217;s activities. Our determination of whether we are the primary beneficiary is based upon qualitative and quantitative analyses, which assess<BR/><UL><LI>the purpose and design of the VIE;<BR/></LI><LI>the nature of the VIE's risks and the risks we absorb; and<BR/></LI><LI>whether the variable interest holders will absorb a majority of the VIE's expected losses or receive a majority of its expected residual returns (or both). <BR/></LI></UL>SDG&E has a 10-year agreement to purchase power to be generated at the Otay Mesa Energy Center (OMEC), a 573-megawatt (MW) generating facility. Commissioning activities commenced in July 2009, and SDG&E expects the facility to be in commercial operation in the fourth quarter of 2009. <BR/>As defined in FIN 46(R), the facility owner, Otay Mesa Energy Center LLC (OMEC LLC), is a VIE (Otay Mesa VIE), of which SDG&E is the primary beneficiary. Accordingly, Sempra Energy and SDG&E have consolidated Otay Mesa VIE. SDG&E has no OMEC LLC voting rights and does not operate OMEC.<BR/>Otay Mesa VIE's equity of $158 million at June 30, 2009 and $128 million at December 31, 2008 is included on the Condensed Consolidated Balance Sheets in Other Noncontrolling Interests for Sempra Energy and in Noncontrolling Interest for SDG&E. We provide additional information about Otay Mesa VIE in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>OMEC LLC has a project finance credit facility with third party lenders, secured by its assets, that provides for up to $377 million for the construction of OMEC. SDG&E is not a party to the credit agreement and does not have any additional implicit or explicit financial responsibility to Otay Mesa VIE. The loan matures in April&#160;2019. Borrowings under the facility bear interest at rates varying with market rates. OMEC LLC had $316 million of outstanding borrowings under this facility at June 30, 2009. In addition, OMEC LLC has entered into interest-rate swap agreements to moderate its exposure to interest-rate changes on this facility. We provide additional information concerning the interest-rate swaps in Note 7.</P></FONT></DIV><DIV><FONT size="2"><P>Contracts under which SDG&E acquires power from generation facilities otherwise unrelated to SDG&E could also result in a requirement for SDG&E to consolidate the entity that owns the facility. In accordance with FIN 46(R), SDG&E continues the process of determining if it has any such situations and, if so, gathering the information that would be needed to perform the consolidation. However, such information has not been made available to us and an evaluation of variable interests has not been completed for these entities that are grandfathered pursuant to FIN 46(R). The effects of any required consolidation are not expected to significantly affect the financial position, results of operations or liquidity of SDG&E.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>PENSION AND OTHER POSTRETIREMENT BENEFITS<BR/>Net Periodic Benefit Cost<BR/>The following three tables provide the components of net periodic benefit cost:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="9" width="598" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>NET PERIODIC BENEFIT COST -- SEMPRA ENERGY CONSOLIDATED</B></FONT></TD></TR><TR><TD colspan="9" width="598" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Pension Benefits</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Other Postretirement Benefits</FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Service cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;7&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;42&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;41&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;13&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(35)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(40)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service cost (credit)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Actuarial loss</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Curtailment</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(13)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(7)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Service cost</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;36&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;13&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;85&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;83&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;29&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;27&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(70)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(80)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(24)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(24)</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service cost (credit)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Actuarial loss</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Curtailment</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(39)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(22)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="250" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;29&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="9" width="598" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>NET PERIODIC BENEFIT COST -- SDG&E</B></FONT></TD></TR><TR><TD colspan="9" width="598" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Pension Benefits</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Other Postretirement Benefits</FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Service cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(8)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(11)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service cost </FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Actuarial loss</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Service cost</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(16)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(23)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(2)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service cost </FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Actuarial loss</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(14)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(4)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="250" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="9" width="598" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>NET PERIODIC BENEFIT COST -- SOCALGAS</B></FONT></TD></TR><TR><TD colspan="9" width="598" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Pension Benefits</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Other Postretirement Benefits</FONT></TD></TR><TR><TD width="250" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Service cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;10&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(22)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(25)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(10)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(11)</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service credit</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Actuarial loss</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(13)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(9)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="250" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-top: 3px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="250" height="14" align="left" style="border-bottom: 1px solid 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solid #000000;"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;9&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Interest cost</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;49&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;49&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;21&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Expected return on assets</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(46)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(51)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(21)</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(22)</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Amortization of:</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Prior service cost (credit)</FONT></TD><TD 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size="2">&#160;-&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="250" height="17" align="left"><FONT size="2">Regulatory adjustment</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(25)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(18)</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD></TR><TR><TD width="250" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total net periodic benefit cost</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;9&#160;</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Future Payments<BR/>The following table shows our year-to-date contributions to our pension and other postretirement benefit plans and the amounts we expect to contribute in 2009:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; 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charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>EARNINGS PER SHARE <BR/>The following table provides the per share computations for our earnings for the three and six months ended June 30, 2009 and 2008. Basic EPS is calculated by dividing earnings attributable to common stock by the weighted-average number of common shares outstanding for the period. 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size="2">$</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;198&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;244&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;514&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;486&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT size="2">Denominator:</FONT></TD><TD width="22" height="16" align="center"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT 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size="2">&#160;247,090&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;249,677&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;246,039&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="right"><FONT size="2">&#160;256,169&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT size="2">Earnings per share:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="75" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="257" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Basic</FONT></TD><TD width="22" 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Under this method, proceeds based on the exercise price plus unearned compensation and windfall tax benefits or tax shortfalls, as defined by SFAS 123 (revised 2004), Share-Based Payment (SFAS 123(R)) (ASC 718), are assumed to be used to repurchase shares on the open market at the average market price for the period. The windfall tax benefits are tax deductions we would receive upon the assumed exercise of stock options in excess of the deferred income taxes we recorded related to the compensation expense on the stock options. Tax shortfalls occur when the assumed tax deductions are less than recorded deferred income taxes. The calculation excludes stock options for which the exercise price for common stock was greater than the average market price during the period. We had 1,506,783 and 801,684 of such stock options outstanding during the three months ended June 30, 2009 and 2008, respectively, and 2,250,061 and 1,485,542 of such stock options outstanding during the six months ended June 30, 2009 and 2008, respectively. <BR/>We had 33,889 and 710,113 stock options outstanding during the three months ended June 30, 2009 and 2008, respectively, that were antidilutive because of the unearned compensation and windfall tax benefits included in the assumed proceeds under the treasury stock method and 862,027 such antidilutive stock options during the six months ended June 30, 2009. We had no such antidilutive stock options outstanding during the six months ended June 30, 2008.<BR/>The dilution from unvested restricted stock awards and units is also based on the treasury stock method. Assumed proceeds equal to the unearned compensation and windfall tax benefits or tax shortfalls related to the awards, as defined by SFAS 123(R), are assumed to be used to repurchase shares on the open market at the average market price for the period. The windfall tax benefits or tax shortfalls are the difference between tax deductions we would receive upon the assumed vesting of restricted stock awards and units and the deferred income taxes we recorded related to the compensation expense on the restricted stock awards and units. We had no antidilutive restricted stock awards and units outstanding during the three months or six months ended June 30, 2009. We had 371,714 and 462,056 restricted stock awards and units outstanding that were antidilutive during the three months and six months ended June 30, 2008, respectively. </P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>SHARE-BASED COMPENSATION<BR/>We discuss our share-based compensation plans in Note 10 of the Notes to Consolidated Financial Statements in the Annual Report. We recorded share-based compensation expense, net of income taxes, of $11 million and $14 million for the six months ended June 30, 2009 and 2008, respectively. Pursuant to our share-based compensation plans, we granted 918,200 non-qualified stock options, 37,200 restricted stock awards and 907,700 restricted stock units during the six months ended June 30, 2009, primarily in January 2009. </P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>CAPITALIZED FINANCING COSTS<BR/>Capitalized financing costs include capitalized interest costs and, at the Sempra Utilities, an allowance for funds used during construction (AFUDC) related to both debt and equity financing of construction projects. The following table shows capitalized financing costs for the three months and six months ended June 30, 2009 and 2008.</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="9" width="577" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>CAPITALIZED FINANCING COSTS</B></FONT></TD></TR><TR><TD colspan="9" width="577" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="229" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="229" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD 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size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;AFUDC related to debt</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" 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size="2">&#160;13&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other capitalized financing costs</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid 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size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;19&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;20&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 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size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;AFUDC related to debt</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;AFUDC related to equity</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total SoCalGas</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2"><B>Sempra Global:</B></FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Capitalized financing costs</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;45&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;48&#160;</FONT></TD></TR><TR><TD width="229" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2"><B>Total Sempra Energy Consolidated</B></FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;35&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;72&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;74&#160;</FONT></TD></TR></TABLE></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>COMPREHENSIVE INCOME<BR/>The following table provides a reconciliation of net income to comprehensive income.</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="14" width="671" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>COMPREHENSIVE INCOME</B></FONT></TD></TR><TR><TD colspan="14" width="671" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="13" width="484" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="28" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD 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colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD><TD width="28" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD></TR><TR><TD width="187" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD 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size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;201&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;189&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;247&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;262&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Foreign currency translation</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;adjustments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;54&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;54&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(88)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(88)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;13&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Available-for-sale securities</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(14)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(14)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;280&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(12)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;268&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;173&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;176&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;71&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;91&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;62&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;77&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="28" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(13)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;72&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;93&#160;</FONT></TD><TD width="28" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;62&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;65&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>PE:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="28" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="28" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;58&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;58&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="28" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;64&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;64&#160;</FONT></TD><TD width="28" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;63&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="28" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;66&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;66&#160;</FONT></TD><TD width="28" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;57&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;57&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="28" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;67&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;67&#160;</FONT></TD><TD width="28" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;62&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;62&#160;</FONT></TD></TR><TR><TD colspan="14" width="671" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>* Shareholders' equity of Sempra Energy Consolidated, SDG&E, PE or SoCalGas as indicated in left margin.</I></FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="14" width="672" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>COMPREHENSIVE INCOME (Continued)</B></FONT></TD></TR><TR><TD colspan="14" width="672" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="13" width="485" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="29" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="29" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD><TD width="29" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD></TR><TR><TD width="187" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD><TD width="29" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;519&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(5)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;514&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;491&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;506&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Foreign currency translation</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;adjustments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;80&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;80&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(15)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(15)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(17)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(10)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Available-for-sale securities</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(12)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;637&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(8)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;629&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;475&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;473&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;171&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;198&#160;</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;137&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;152&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="29" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(17)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(18)</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;174&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;198&#160;</FONT></TD><TD width="29" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;137&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;135&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>PE:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="29" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;122&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;122&#160;</FONT></TD><TD width="29" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;116&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;116&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="29" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;124&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;124&#160;</FONT></TD><TD width="29" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;116&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;116&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="29" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Net income</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;125&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;125&#160;</FONT></TD><TD width="29" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;114&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;114&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="29" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Comprehensive income</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;127&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;127&#160;</FONT></TD><TD width="29" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;114&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;114&#160;</FONT></TD></TR><TR><TD colspan="14" width="672" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>* Shareholders' equity of Sempra Energy Consolidated, SDG&E, PE or SoCalGas as indicated in left margin.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>The amounts for comprehensive income in the tables above are net of income tax expense (benefit) as follows:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="14" width="669" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>INCOME TAX EXPENSE (BENEFIT) ASSOCIATED WITH OTHER COMPREHENSIVE INCOME</B></FONT></TD></TR><TR><TD colspan="14" width="669" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="13" width="482" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="26" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD><TD width="26" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD></TR><TR><TD width="187" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD><TD width="26" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;17&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;29&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left"><FONT size="2">Available-for-sale securities</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(10)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(10)</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;12&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>PE:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD colspan="13" width="482" height="14" align="center" style="border-top: 3px solid #C0C0C0;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="26" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="6" width="228" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Share-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Non-</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD><TD width="26" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">holders'</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD colspan="2" width="76" height="14" align="center"><FONT size="2">Total</FONT></TD></TR><TR><TD width="187" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD><TD width="26" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity*</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD colspan="2" width="76" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD></TR><TR><TD width="187" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">$</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="187" height="17" align="left"><FONT size="2">Available-for-sale securities</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;(10)</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="17" align="right"><FONT size="2">&#160;(10)</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Net actuarial gain</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>PE:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="187" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Financial instruments</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="14" width="669" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>* Shareholders' equity of Sempra Energy Consolidated, SDG&E, PE or SoCalGas as indicated in left margin.</I></FONT></TD></TR></TABLE></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>SHAREHOLDERS&#8217; EQUITY AND NONCONTROLLING INTERESTS<BR/>Sempra Energy, SDG&E and PE account for noncontrolling interests in their Condensed Consolidated Financial Statements under SFAS 160, as discussed in Note 2. The following two tables provide a reconciliation of Sempra Energy and SDG&E shareholders&#8217; equity and noncontrolling interests for the six months ended June 30, 2009 and 2008. There were no changes in the equity of PE's noncontrolling interests in the three- or six-month periods of 2009 or 2008.</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="7" width="564" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS</B></FONT></TD></TR><TR><TD colspan="7" width="564" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="281" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="83" height="14" align="center"><FONT size="2">Sempra </FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="73" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="center"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="281" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="83" height="14" align="center"><FONT size="2">Energy</FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="73" height="14" align="center"><FONT size="2">Non-</FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="center"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="281" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="83" height="14" align="center"><FONT size="2">Shareholders' </FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="73" height="14" align="center"><FONT size="2">controlling</FONT></TD><TD width="22" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="center"><FONT size="2">Total</FONT></TD></TR><TR><TD width="281" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="83" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="73" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Interests</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Equity</FONT></TD></TR><TR><TD width="281" height="16" 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align="right"><FONT size="2">&#160;637&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="73" height="16" align="right"><FONT size="2">&#160;(8)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;629&#160;</FONT></TD></TR><TR><TD width="281" height="16" align="left"><FONT size="2">Purchase of noncontrolling interest in subsidiary</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="83" height="16" align="right"><FONT size="2">&#160;(10)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="73" height="16" align="right"><FONT size="2">&#160;(84)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(94)</FONT></TD></TR><TR><TD width="281" height="17" align="left"><FONT 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size="2">&#160;7,683&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="73" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;309&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;7,992&#160;</FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="7" width="567" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>SHAREHOLDERS' EQUITY AND NONCONTROLLING INTEREST</B></FONT></TD></TR><TR><TD colspan="7" width="567" height="17" align="left"><FONT size="2"><I>(Dollars in 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The balance outstanding was $26 million at June 30, 2009. The loan was due in June 2009 and bears interest at a variable rate of 7.99% as of June 30, 2009. The loan is fully reserved at June 30, 2009, and an extension of the loan term is pending.<BR/>Loans from Unconsolidated Affiliates<BR/>Sempra Pipelines & Storage has a note payable, bearing interest at 6.73%, due to Chilquinta Energ&#237;a Finance Co. LLC, an unconsolidated affiliate. The balance outstanding was $100 million at June 30, 2009. The note is secured by Sempra Pipelines & Storage&#8217;s investments in Chilquinta Energ&#237;a S.A. and Luz del Sur S.A.A., which we discuss in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/></P></FONT></DIV><DIV><FONT size="2"><P>Other Affiliate Transactions<BR/>Sempra Energy, SDG&E and SoCalGas provide certain services to each other, and are charged an allocable share of the cost of such services. Amounts due to/from affiliates are as follows:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="6" width="585" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>AMOUNTS DUE TO AND FROM AFFILIATES AT SDG&E, PE AND SOCALGAS</B></FONT></TD></TR><TR><TD colspan="6" width="585" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="21" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="390" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center"><FONT size="2">June 30,</FONT></TD><TD colspan="2" width="87" height="14" align="center"><FONT size="2">December 31,</FONT></TD></TR><TR><TD colspan="2" width="411" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-bottom: 1px solid 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size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from Sempra Energy</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from SoCalGas</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from various affiliates</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;29&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to various affiliates</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to SoCalGas</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to Sempra Energy</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;49&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;55&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Income taxes due to (from) Sempra Energy*</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;7&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">Noncurrent:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Promissory note due from Sempra Energy, variable rate based on </FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;short-term commercial paper rates (0.22% at June 30, 2009)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2"><B>Pacific Enterprises</B></FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">Current:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from SDG&E</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from various affiliates</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to affiliate</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;84&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;83&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to Sempra Energy</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to SDG&E</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;111&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;106&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Income taxes due to (from) Sempra Energy*</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;(66)</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">Noncurrent:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Promissory note due from Sempra Energy, variable rate based on </FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;short-term commercial paper rates (0.22% at June 30, 2009)</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;517&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;457&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2"><B>SoCalGas</B></FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">Current:</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from SDG&E</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due from various affiliates</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to Sempra Energy</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Due to SDG&E</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="411" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;Income taxes due to Sempra Energy*</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="21" height="52" align="center" style="border-top: 3px solid #000000;"><FONT size="2">*</FONT></TD><TD colspan="5" width="564" height="52" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>SDG&E, PE and SoCalGas are included in the consolidated income tax return of Sempra Energy and are allocated income tax expense from Sempra Energy in an amount equal to that which would result from the companies' having always filed a separate return.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Revenues from unconsolidated affiliates at the Sempra Utilities are as follows:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="9" width="493" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>REVENUES FROM UNCONSOLIDATED AFFILIATES AT THE SEMPRA UTILITIES</B></FONT></TD></TR><TR><TD colspan="9" width="493" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="145" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="174" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="145" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="87" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="145" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">SDG&E</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD width="145" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">SoCalGas</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;16&#160;</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Transactions with RBS Sempra Commodities<BR/>Several of our business units engage in transactions with RBS Sempra Commodities. Amounts in our Condensed Consolidated Financial Statements related to these transactions are as follows:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="10" width="612" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>AMOUNTS RECORDED FOR TRANSACTIONS WITH RBS SEMPRA COMMODITIES</B></FONT></TD></TR><TR><TD colspan="10" width="612" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="21" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="215" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="188" height="14" align="center"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="188" height="14" align="center"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD colspan="2" width="236" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Revenues:</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;SoCalGas</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;(29)</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;(29)</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra LNG*</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total revenues</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(23)</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(23)</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">Cost of natural gas:</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;SoCalGas</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;10&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;14&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total cost of natural gas</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD></TR><TR><TD width="21" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="215" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="236" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center"><FONT size="2">June 30,</FONT></TD><TD colspan="2" width="94" height="14" align="center"><FONT size="2">December 31,</FONT></TD></TR><TR><TD colspan="2" width="236" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="94" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Fixed price contracts and other derivatives - Net Asset (Liability):</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;35&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra LNG</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(44)</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(44)</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(39)</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(9)</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">Due to unconsolidated affiliates:</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;29&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;29&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;31&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;38&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">Due from unconsolidated affiliates:</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;16&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sempra LNG</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Parent and other</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="68" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD colspan="6" width="424" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="26" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="68" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD width="21" height="79" align="center" style="border-top: 3px solid #000000;"><FONT size="2">*</FONT></TD><TD colspan="9" width="591" height="79" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>Includes $4 million loss and $1 million gain for the three months and six months ended June 30, 2009, respectively, and $18 million loss for both the three months and six months ended June 30, 2008, related to a marketing agreement with RBS Sempra Commodities which is subject to mark-to-market accounting. Under this agreement, which extends for five years beginning September 1, 2009, RBS Sempra Commodities will market natural gas that Sempra LNG purchases and does not sell under other contracts.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Revenue from Unconsolidated Affiliates<BR/>For the six months ended June 30, 2008, Sempra Commodities recorded $55 million of revenue from unconsolidated affiliates.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>WRITE-OFF OF LONG-LIVED ASSETS<BR/>In the second quarter of 2009, we recorded a write-off of $132 million related to certain assets at Sempra Pipelines & Storage&#8217;s Liberty Gas Storage natural gas storage facility. We discuss this write-off in Note 10.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>OTHER INCOME, NET<BR/>Other Income, Net on the Condensed Consolidated Statements of Operations consists of the following:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="10" width="648" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>OTHER INCOME, NET</B></FONT></TD></TR><TR><TD colspan="10" width="648" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="31" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="285" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="31" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="285" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008*</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008*</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Allowance for equity funds used during construction</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;16&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Regulatory interest, net</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(6)</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Investment gains**</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;37&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Gain on interest-rate swaps (Otay Mesa VIE)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;30&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Sundry, net***</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;22&#160;</FONT></TD></TR><TR><TD width="31" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;</FONT></TD><TD width="285" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;70&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;32&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;73&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;51&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Allowance for equity funds used during construction</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Regulatory interest, net</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(4)</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Gain on interest-rate swaps (Otay Mesa VIE)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;30&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Sundry, net</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="31" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;</FONT></TD><TD width="285" height="16" 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align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SoCalGas and PE:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Allowance for equity funds used during construction</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;4&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Regulatory interest, net</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Sundry, net</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="31" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="285" height="16" align="left"><FONT size="2">Total at SoCalGas</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;2&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">Additional at PE:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="316" height="16" align="left"><FONT size="2">&#160;&#160;&#160;Sundry, net</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="31" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="285" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total at PE</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="31" height="33" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>*</I></FONT></TD><TD colspan="9" width="617" height="33" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>Amounts for Sempra Energy Consolidated, SDG&E, and PE have been adjusted for the retrospective adoption of SFAS 160 (ASC 810).</I></FONT></TD></TR><TR><TD width="31" height="34" align="left"><FONT size="2"><I>**</I></FONT></TD><TD colspan="9" width="617" height="34" align="left"><FONT size="2"><I>Represents investment gains on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are partially offset by corresponding changes in compensation expense related to the plans.</I></FONT></TD></TR><TR><TD width="31" height="35" align="left"><FONT size="2"><I>***</I></FONT></TD><TD colspan="9" width="617" height="35" align="left"><FONT size="2"><I>The six months ended June 30, 2008 includes a $16 million cash payment received for the early termination of a capacity agreement for the Cameron LNG receipt terminal.</I></FONT></TD></TR></TABLE></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>INCOME TAXES</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="12" width="560" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>INCOME TAX EXPENSE AND EFFECTIVE INCOME TAX RATES</B></FONT></TD></TR><TR><TD colspan="12" width="560" height="17" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="9" width="349" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="167" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="15" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="167" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Income Tax </FONT></TD><TD width="19" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Effective Income</FONT></TD><TD width="20" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="15" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Income Tax </FONT></TD><TD width="19" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Effective Income</FONT></TD><TD width="20" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="17" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Expense</FONT></TD><TD width="19" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Tax Rate</FONT></TD><TD width="20" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="15" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Expense</FONT></TD><TD width="19" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Tax Rate*</FONT></TD><TD width="20" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="195" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Sempra Energy Consolidated</FONT></TD><TD width="16" height="17" align="right" style="border-top: 1px solid 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style="border-top: 1px solid #000000;"><FONT size="2">%</FONT></TD></TR><TR><TD colspan="2" width="195" height="17" align="left"><FONT size="2">SDG&E</FONT></TD><TD width="16" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">88&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">31&#160;</FONT></TD><TD width="20" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="15" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">67&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">31&#160;</FONT></TD><TD width="20" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="195" height="17" align="left"><FONT size="2">PE</FONT></TD><TD width="16" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">76&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">38&#160;</FONT></TD><TD width="20" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="15" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">77&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">40&#160;</FONT></TD><TD width="20" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="195" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">SoCalGas</FONT></TD><TD width="16" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">73&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">37&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="15" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">76&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">40&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="17" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="178" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="16" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="15" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="9" width="349" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="167" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD width="15" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="167" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="17" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="178" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="16" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Income Tax </FONT></TD><TD width="19" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="14" 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size="2">&#160;</FONT></TD><TD width="64" height="17" align="right"><FONT size="2">38&#160;</FONT></TD><TD width="20" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="195" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">SoCalGas</FONT></TD><TD width="16" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">37&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">36&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="15" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">36&#160;</FONT></TD><TD width="19" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="64" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">39&#160;</FONT></TD><TD width="20" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="17" height="35" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>*</I></FONT></TD><TD colspan="11" width="543" height="35" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>Amounts for Sempra Energy Consolidated, SDG&E and PE have been adjusted for the retrospective adoption of SFAS 160 (ASC 810).</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Changes in Effective Income Tax Rates<BR/>Sempra Energy<BR/>The decrease in the effective income tax rate for the first six months of 2009 was due to:<BR/><UL><LI>higher pretax income in countries with lower statutory rates; <BR/></LI><LI>lower income tax expense related to Mexican currency translation and inflation adjustments; and<BR/></LI><LI>the favorable impact of the resolution of prior years' income tax issues.<BR/></LI></UL>The decrease in the effective income tax rate for the three months ended June 30, 2009 was due to:<BR/><UL><LI>lower income tax expense related to Mexican currency translation and inflation adjustments; and<BR/></LI><LI>the favorable impact of the resolution of prior years' income tax issues.<BR/></LI></UL>SDG&E<BR/>The decrease in the effective income tax rate for the three months ended June 30, 2009 was due to $10 million favorable effect from the resolution of prior years' income tax issues in the second quarter of 2009.<BR/>PE and SoCalGas<BR/>The decreases in the effective income tax rates for both PE and SoCalGas for the first six months of 2009 were due to higher deductions for self-developed software costs.<BR/>The decrease in the effective income tax rate for SoCalGas for the three months ended June 30, 2009 was due to higher deductions for self-developed software costs, partially offset by lower deductions allowed for depreciation authorized for ratemaking purposes.<BR/><BR/></P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 6. DEBT AND CREDIT FACILITIES <BR/>Committed Lines of Credit<BR/>At June 30, 2009, Sempra Energy had $4.3 billion in committed lines of credit to provide liquidity and to support commercial paper and variable-rate demand notes, the major components of which are detailed below. Available unused credit on these lines at June 30, 2009 was $3.6 billion. We discuss the terms of our credit agreements in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>These amounts exclude lines of credit associated with Sempra Commodities, some of which we continue to guarantee, as we discuss below in "RBS Sempra Commodities." RBS has replaced Sempra Energy as guarantor on all uncommitted lines of credit associated with Sempra Commodities. To the extent that Sempra Energy's credit support arrangements, including Sempra Commodities' committed facilities, have not been terminated or replaced, RBS has indemnified Sempra Energy for any claims or losses arising in connection with those arrangements. <BR/>Sempra Global<BR/>Sempra Global has a $2.5 billion, three-year syndicated revolving credit agreement expiring in 2011. At June 30, 2009, Sempra Global had letters of credit of $34 million outstanding and no outstanding borrowings under the facility. The facility provides support for $366 million of commercial paper outstanding at June 30, 2009. At June 30, 2009, $200 million of the commercial paper outstanding has been classified as long-term debt based on management&#8217;s intent and ability to maintain this level of borrowing on a long-term basis either supported by this credit facility or by issuing long-term debt.<BR/>Sempra Generation<BR/>Sempra Generation has a $1 billion, three-year syndicated revolving credit agreement expiring in 2011. At June 30, 2009, Sempra Generation had no outstanding borrowings under the facility. <BR/>Sempra Utilities<BR/>SDG&E and SoCalGas have a combined $800 million, three-year syndicated revolving credit agreement expiring in 2011. The agreement permits each utility to individually borrow up to $600 million, subject to a combined limit of $800 million. At June 30, 2009, SDG&E and SoCalGas had no outstanding borrowings under this facility. SDG&E had $25 million of outstanding letters of credit and $237 million of variable-rate demand notes outstanding supported by this facility at June 30, 2009.</P></FONT></DIV><DIV><FONT size="2"><P>WEIGHTED AVERAGE INTEREST RATES<BR/>At June 30, 2009, the weighted average interest rate on the total short-term debt outstanding at Sempra Energy, including commercial paper borrowings classified as long-term, was 1.36 percent. <BR/>LONG-TERM DEBT<BR/>In May 2009, Sempra Energy publicly offered and sold $750 million of 6.50-percent notes, maturing in 2016. Also in May 2009, SDG&E publicly offered and sold $300 million of 6.00-percent first mortgage bonds, maturing in 2039.<BR/>INTEREST-RATE SWAPS<BR/>We discuss our fair value interest-rate swaps and interest-rate swaps to hedge cash flows in Note 7.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>RBS Sempra Commodities<BR/>RBS is obligated to provide RBS Sempra Commodities with all growth capital, working-capital requirements and credit support. However, as a transitional measure, we continue to provide back-up guarantees for a portion of RBS Sempra Commodities&#8217; trading obligations and for certain credit facilities with third party lenders pending novation (legal transfer) of the remaining trading obligations to RBS. Some of these back-up guarantees may continue for a prolonged period of time. RBS, which is controlled by the government of the United Kingdom, has fully indemnified us for any claims or losses in connection with these arrangements. <BR/>RBS Sempra Commodities&#8217; net trading liabilities supported by Sempra Energy&#8217;s guarantees at June 30, 2009 were $790 million, consisting of guaranteed trading obligations net of collateral. The amount of guaranteed net trading liabilities varies from day to day with the value of the trading obligations and related collateral.<BR/>Sempra Energy also has guaranteed $344 million of $1.72 billion of RBS Sempra Commodities' commitments under an additional credit facility expiring September 29, 2010. Extensions of credit under the committed facility, which total $1 billion at June 30, 2009, are limited to and secured by a borrowing base consisting of receivables, inventories and other joint venture assets that are valued at varying percentages of current market value. At June 30, 2009, the gross market value of the borrowing base assets was $2.8 billion. The facility will be reduced and end as the borrowing base assets are transferred to RBS as established by the joint venture agreement. <BR/>OTHER GUARANTEES <BR/>Sempra Energy, Conoco Phillips (Conoco) and Kinder Morgan Energy Partners, L.P. (KMP) currently hold 25 percent, 24 percent and 51 percent ownership interests, respectively, in Rockies Express. Rockies Express is constructing a natural gas pipeline to link natural gas producing areas in the Rocky Mountain region to the upper Midwest and the eastern United States. Rockies Express has a $2 billion, five-year credit facility expiring in 2011 that provides for revolving extensions of credit that are guaranteed by Sempra Energy, Conoco and KMP in proportion to their respective ownership percentages. <BR/>Borrowings under the facility bear interest at rates varying with market rates plus a margin that varies with the credit ratings of the lowest-rated guarantor. The facility requires each guarantor to comply with various financial and other covenants comparable to those contained in its senior unsecured credit facilities. In the case of Sempra Energy, the primary requirement is that we maintain a ratio of total indebtedness to total capitalization (as defined in the facility) of no more than 65 percent at the end of each quarter. Rockies Express had $1.9 billion of outstanding borrowings under this facility at June 30, 2009. In addition, Rockies Express had $600 million of floating rate notes outstanding at June 30, 2009 and maturing in August 2009 that are guaranteed by Sempra Energy, Conoco and KMP in proportion to their respective ownership percentages. The fair value to us of these guarantees is negligible.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 7. DERIVATIVE FINANCIAL INSTRUMENTS<BR/>On January 1, 2009, we adopted SFAS 161 as discussed in Note 2. The adoption of SFAS 161 had no impact on our consolidated financial statements, but requires additional disclosures, which we provide below. Comparative disclosures for periods prior to the date of adoption are not required and we have not provided them. <BR/>We use derivative instruments primarily to manage exposures arising in the normal course of business. These exposures are commodity market risk and benchmark interest rate risk. Our use of derivatives for these risks is integrated into the economic management of our anticipated revenues, anticipated expenses, assets and liabilities. Derivatives may be effective in mitigating these risks that could lead to declines in anticipated revenues or increases in anticipated expenses, or that our asset values may fall or our liabilities increase. Accordingly, our derivative activity summarized below generally represents an impact that is intended to offset associated revenues, expenses, assets or liabilities that are not presented below. <BR/>All derivatives are recorded at fair value on the Condensed Consolidated Balance Sheets. Each derivative is designated as 1) a cash flow hedge, 2) a fair value hedge, or 3) is undesignated.&#160;Depending on the applicability of hedge accounting and, for the Sempra Utilities, the requirement to pass impacts through to customers, the impact of derivative instruments may be offset in other comprehensive income (cash flow hedge), on the balance sheet (fair value hedges and regulatory offsets), or recognized in earnings. <BR/>In certain cases, we apply the normal purchase or sale exception to derivative accounting and have other commodity contracts that are not derivatives. These contracts are not recorded at fair value and are therefore excluded from the disclosures below. </P></FONT></DIV><DIV><FONT size="2"><P>HEDGE ACCOUNTING<BR/>We may designate a derivative as a cash flow hedging instrument if it effectively converts anticipated revenues or expenses to a fixed dollar amount. We may utilize cash flow hedge accounting for derivative commodity instruments and interest-rate instruments. Designating cash flow hedges is dependent on the business context in which the instrument is being used, the effectiveness of the instrument in offsetting the risk that a given future revenue or expense item may vary, and other criteria.<BR/>We may designate an interest-rate derivative as a fair value hedging instrument if it effectively converts our own debt from a fixed interest rate to a variable rate. The combination of the derivative and debt instruments results in fixing that portion of the fair value of the debt that is related to benchmark interest rates. Designating fair value hedges is dependent on the instrument being used, the effectiveness of the instrument in offsetting changes in the fair value of our debt instruments, and other criteria.</P></FONT></DIV><DIV><FONT size="2"><P>ENERGY DERIVATIVES<BR/>Our market risk is primarily related to natural gas and electricity price volatility and the specific physical locations where we transact. We use energy derivatives to manage these risks. The use of energy derivatives in our various businesses depends on the particular energy market, and the operating and regulatory environments applicable to the business.<BR/><UL><LI>The Sempra Utilities use natural gas energy derivatives, on their customers' behalf, with the objective of managing price risk and lowering natural gas costs. These derivatives include fixed price natural gas positions, options and basis risk instruments. These transaction programs are governed by risk management and transacting activity plans that have been filed with and approved by the California Public Utilities Commission (CPUC). Natural gas derivative activities are recorded as commodity costs. Commodity costs are offset by regulatory account balances and are recovered in rates. Net commodity cost impacts on the Condensed Consolidated Statements of Operations are reflected in Cost of Electric Fuel and Purchased Power or in Cost of Natural Gas. <BR/></LI><LI>SDG&E is allocated and may purchase congestion revenue rights (CRRs), which serve to reduce electricity transmission risk on behalf of customers. Unrealized gains and losses do not impact earnings, as they are offset by regulatory account balances. Realized gains and losses associated with CRRs are recorded in Cost of Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. We provide further discussion in Note 8.<BR/></LI><LI>Sempra Generation uses natural gas and electricity instruments to market and optimize the earnings of their power generation fleet. Gains and losses associated with these derivatives are recognized in Sempra Global and Parent Revenues or in Cost of Natural Gas, Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. <BR/></LI><LI>Sempra LNG and Sempra Pipelines & Storage use natural gas derivatives to market and optimize the earnings of the liquefied natural gas (LNG) business and Sempra Pipelines & Storage's natural gas storage and transportation assets. Sempra LNG derivatives are undesignated and their impact on earnings is recorded in Sempra Global and Parent Revenues on the Condensed Consolidated Statements of Operations. Sempra Pipelines & Storage derivatives are either designated as cash flow hedges or are undesignated. The impacts on earnings are recognized in Sempra Global and Parent Revenues or in Cost of Natural Gas, Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations.<BR/></LI></UL>From time to time, our various businesses, including the Sempra Utilities, may use other energy derivatives to hedge exposures such as the price of vehicle fuel. These derivatives are typically accounted for as cash flow hedges.<BR/>We summarize net commodity derivative volumes as of June 30, 2009 as follows:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="3" width="281" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">Business Unit and Commodity</FONT></TD><TD width="124" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Volume</FONT></TD><TD width="37" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="3" width="281" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Sempra Utilities:</FONT></TD><TD width="124" height="17" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="37" height="17" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="255" height="17" align="left"><FONT size="2">SDG&E:</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="236" height="17" align="left"><FONT size="2">Natural gas</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">26 million MMBtu</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">*</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="236" height="17" align="left"><FONT size="2">Congestion revenue rights</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">11 million MWh</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">**</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="255" height="17" align="left"><FONT size="2">SoCalGas - natural gas</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">3 million MMBtu</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="236" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="3" width="281" height="17" align="left"><FONT size="2">Sempra Global:</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="255" height="17" align="left"><FONT size="2">Sempra LNG - natural gas</FONT></TD><TD width="124" height="17" align="right"><FONT size="2">9 million MMBtu</FONT></TD><TD width="37" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="255" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Sempra Generation - electric power</FONT></TD><TD width="124" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">1 million MWh</FONT></TD><TD width="37" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="17" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">*</FONT></TD><TD colspan="3" width="379" height="17" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>Million British thermal units (of natural gas)</I></FONT></TD><TD width="37" height="17" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="26" height="16" align="right"><FONT size="2">**</FONT></TD><TD colspan="3" width="379" height="16" align="left"><FONT size="2"><I>Megawatt hours</I></FONT></TD><TD width="37" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>In addition to the amounts noted above, we frequently use commodity derivatives to manage risks associated with the physical locations of our customers, assets and other contractual obligations, such as natural gas purchases.</P></FONT></DIV><DIV><FONT size="2"><P>INTEREST-RATE DERIVATIVES<BR/>We are exposed to interest-rate changes primarily as a result of our current and expected use of financing. We periodically enter into interest-rate derivative agreements intended to moderate our exposure to interest-rate changes and to lower our overall costs of borrowing. We utilize fixed-to-floating interest-rate swaps, which are typically designated as fair-value hedges, as a means to achieve our targeted level of variable-rate debt as a percent of total debt. In addition, we utilize floating-to-fixed interest-rate derivatives, which are typically designated as cash flow hedges, to lock in interest rates in anticipation of future financings. <BR/>Interest-rate derivatives are utilized by the Sempra Utilities as well as by other Sempra Energy subsidiaries. Although the Sempra Utilities generally recover borrowing costs in rates over time, and the use of interest-rate derivatives is subject to certain regulatory constraints, the impact of interest-rate derivatives may not be recovered from customers as timely as described above with regard to natural gas derivatives. 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size="2">&#160;</FONT></TD><TD width="72" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Deferred</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">credits</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">Current</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">Current</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">and other</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">assets:</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">liabilities:</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">liabilities:</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">Fixed-price</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center"><FONT size="2">Investments</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">Fixed-price</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">Fixed-price</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">contracts</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center"><FONT size="2">and other</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">contracts</FONT></TD><TD width="19" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center"><FONT size="2">contracts</FONT></TD></TR><TR><TD colspan="2" 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align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">derivatives</FONT></TD><TD width="19" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Sundry</FONT></TD><TD width="19" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">derivatives</FONT></TD><TD width="19" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">derivatives</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Interest-rate instruments</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;35&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Commodity contracts not subject to rate recovery</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Associated offsetting commodity contracts</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 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solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Interest-rate instruments</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left"><FONT size="2">Derivatives not designated as hedging instruments</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">under SFAS 133</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Interest-rate instruments*</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;47&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Commodity contracts not subject to rate recovery</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;120&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;52&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;106&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;62&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Associated offsetting commodity contracts</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;(61)</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;(25)</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;(61)</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;(25)</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Commodity contracts subject to rate recovery</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;54&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Associated offsetting commodity contracts</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(47)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(47)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;43&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;54&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;73&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;84&#160;</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SDG&E:</B></FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Interest-rate instruments*</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;34&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Commodity contracts subject to rate recovery</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;48&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Associated offsetting commodity contracts</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(41)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(41)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(26)</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;34&#160;</FONT></TD></TR><TR><TD colspan="2" width="298" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">Commodity contracts subject to rate recovery</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="19" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Associated offsetting commodity contracts</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="80" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="72" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="286" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="80" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="72" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>*</I></FONT></TD><TD colspan="9" width="658" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>Includes Otay Mesa VIE. All of SDG&E's amounts relate to Otay Mesa VIE.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>The effects of derivative instruments designated as hedges under SFAS 133 on the Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2009 were: </P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="8" width="640" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>FAIR VALUE HEDGE IMPACT ON THE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS</B></FONT></TD></TR><TR><TD colspan="8" width="640" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="19" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="195" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30, 2009</FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30, 2009</FONT></TD></TR><TR><TD width="19" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="195" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Gain (loss) on derivative </FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Gain (loss) on derivative </FONT></TD></TR><TR><TD width="19" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="195" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">recognized in earnings</FONT></TD><TD colspan="3" width="213" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">recognized in earnings</FONT></TD></TR><TR><TD colspan="2" width="214" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="134" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Location</FONT></TD><TD width="19" height="14" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Amount</FONT></TD><TD width="134" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Location</FONT></TD><TD width="19" height="14" align="right" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Amount</FONT></TD></TR><TR><TD colspan="2" width="214" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="134" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="134" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="195" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest-rate instruments*</FONT></TD><TD width="134" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Other Income, Net</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="60" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(1)</FONT></TD><TD width="134" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Other Income, Net</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="60" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(7)</FONT></TD></TR><TR><TD colspan="2" width="214" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="134" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="134" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="60" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="195" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest-rate instrument*</FONT></TD><TD width="134" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Other Income, Net</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="60" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="134" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Other Income, Net</FONT></TD><TD width="19" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="60" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="19" height="35" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>* </I></FONT></TD><TD colspan="7" width="621" height="35" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>There has been no hedge ineffectiveness on these swaps. 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size="2">&#160;</FONT></TD><TD width="103" height="14" align="center"><FONT size="2">gain (loss)</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="180" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="79" height="14" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center"><FONT size="2">on derivative</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="280" height="14" align="center"><FONT size="2">Gain (loss) reclassified from AOCI</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD 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align="left"><FONT size="2">&#160;&#160;&#160;&#160;and Parent</FONT></TD><TD width="21" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="79" height="16" align="right"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts not subject</FONT></TD><TD width="21" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left"><FONT size="2">Cost of Natural Gas, Electric</FONT></TD><TD width="21" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="79" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" 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height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="103" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;26&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="79" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(5)</FONT></TD></TR><TR><TD colspan="2" width="213" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><B>SoCalGas:</B></FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="103" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="79" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest-rate instrument</FONT></TD><TD width="21" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="103" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest Expense</FONT></TD><TD width="21" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="79" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(1)</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="103" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="79" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD colspan="5" width="402" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30, 2009</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Amount of pretax</FONT></TD><TD width="19" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="79" height="14" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center"><FONT size="2">gain (loss)</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD width="180" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="79" height="14" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center"><FONT size="2">on derivative</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="280" height="14" align="center"><FONT size="2">Gain (loss) reclassified from AOCI</FONT></TD></TR><TR><TD width="12" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center"><FONT size="2">recognized in OCI</FONT></TD><TD width="19" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="3" width="280" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">into earnings (effective portion)</FONT></TD></TR><TR><TD colspan="2" width="213" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="103" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">(effective portion)</FONT></TD><TD width="19" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="14" align="center" style="border-top: 1px solid 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size="2">&#160;(9)</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="21" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="103" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;30&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="79" height="16" align="right" style="border-top: 1px 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size="2"><B>SoCalGas:</B></FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="103" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="19" height="16" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="21" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="79" height="16" align="right" style="border-top: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="12" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest-rate instrument</FONT></TD><TD width="21" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="103" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="19" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="180" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Interest Expense</FONT></TD><TD width="21" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="79" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(2)</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Sempra Energy expects that losses of $9 million, which are net of income tax benefit, that are currently recorded in Accumulated Other Comprehensive Income (Loss) related to these cash flow hedges will be reclassified into earnings during the next twelve months as the hedged items affect earnings. Actual amounts ultimately reclassified to earnings depend on the commodity prices and interest rates in effect when derivative contracts that are currently outstanding mature. For all forecasted transactions, the maximum term over which we are hedging exposures to the variability of cash flows, excluding interest payments on variable-rate debt, is 36 months at June 30, 2009. <BR/>SDG&E and SoCalGas expect that gains of a negligible amount and losses of $3 million, respectively, which are net of income tax benefit, that are currently recorded in Accumulated Other Comprehensive Income (Loss) related to these cash flow hedges will be reclassified into earnings during the next twelve months as the hedged items affect earnings. <BR/><BR/>The effects of derivative instruments not designated as hedging instruments under SFAS 133 on the Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2009 were:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="7" width="675" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>UNDESIGNATED DERIVATIVE IMPACT ON THE 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width="106" height="44" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30, 2009</FONT></TD></TR><TR><TD colspan="2" width="220" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="234" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Interest-rate instruments*</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Other Income, Net</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;19&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;29&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts not subject</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Revenues: Sempra Global and Parent</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;(9)</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;(25)</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts not subject</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Cost of Natural Gas, Electric</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Fuel and Purchased Power</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;19&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts subject</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Cost of Electric Fuel</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;and Purchased Power</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;43&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;(6)</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts subject</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Cost of Natural Gas</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(3)</FONT></TD></TR><TR><TD width="19" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="234" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="93" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;62&#160;</FONT></TD><TD width="22" 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size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Interest-rate instruments*</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Other Income, Net</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">$</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;30&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">Commodity contracts subject</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">Cost of Electric Fuel</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="201" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;and Purchased Power</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="93" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;43&#160;</FONT></TD><TD width="22" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="84" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD></TR><TR><TD width="19" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="234" height="17" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="93" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="84" height="17" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD></TR><TR><TD colspan="2" width="220" height="17" align="left" style="border-top: 3px solid 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size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="84" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="19" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="201" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;&#160;&#160;&#160;to rate recovery</FONT></TD><TD width="234" height="18" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">Cost of Natural Gas</FONT></TD><TD width="22" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="93" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;(2)</FONT></TD><TD width="22" height="18" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="84" height="18" align="right" style="border-bottom: 3px solid 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Sempra Energy Consolidated also includes additional instruments.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>CONTINGENT FEATURES <BR/>For Sempra Energy and SDG&E, certain of our derivative instruments contain&#160;credit&#160;limits&#160;which vary depending upon our credit rating.&#160; Generally, these provisions, if applicable, may reduce&#160;our credit limit if a&#160;specified&#160;credit rating agency reduces our&#160;rating.&#160;In certain cases, if our&#160;credit rating were to fall below investment grade, the&#160;counterparty to&#160;these&#160;derivative liability&#160;instruments could request immediate payment or demand immediate and ongoing full collateralization.&#160;<BR/>For Sempra Energy, the total fair value of&#160;this group of derivative instruments in a net liability position at June 30, 2009 is $21&#160;million.&#160;The aggregate fair value of assets that are already posted as collateral at June 30, 2009 is $6&#160;million.&#160;As of June 30, 2009, if&#160;both the credit ratings of Sempra Energy and SDG&E were reduced below investment grade, $15&#160;million of additional assets&#160;($8 million by Sempra Energy and $7 million by SDG&E) could be required to be posted as collateral for these derivative contracts.<BR/>For SDG&E, the total fair value of&#160;this group of derivative instruments in a net liability position at June 30, 2009 is $13&#160;million.&#160;The aggregate fair value of assets that are already posted as collateral at June 30, 2009 is $6&#160;million.&#160;As of June 30, 2009, if&#160;SDG&E&#8217;s credit rating were reduced below investment grade, $7&#160;million of additional assets&#160;could be required to be posted as collateral for these derivative contracts.<BR/>For Sempra Energy, SDG&E, PE and SoCalGas, some of our derivative contracts contain a provision that would permit the counterparty, in certain circumstances, to request adequate assurance of our performance under the contract. Such additional assurance, if needed, is&#160;not material and is not included in the amounts above. </P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 8. FAIR VALUE MEASUREMENTS<BR/>Fair Value of Financial Instruments<BR/>The fair values of certain of our financial instruments (cash, temporary investments, accounts and notes receivable, dividends and accounts payable, short-term debt and customer deposits) approximate their carrying amounts. The following table provides the carrying amounts and fair values of the remaining financial instruments at June 30, 2009 and December 31, 2008:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="10" width="655" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>FAIR VALUE OF FINANCIAL INSTRUMENTS</B></FONT></TD></TR><TR><TD colspan="10" width="655" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="38" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="285" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">June 30, 2009</FONT></TD><TD colspan="4" width="166" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">December 31, 2008</FONT></TD></TR><TR><TD width="38" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="285" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Carrying</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Fair</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Carrying</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Fair</FONT></TD></TR><TR><TD width="38" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="285" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Amount</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Value</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Amount</FONT></TD><TD colspan="2" width="83" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Value</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>Sempra Energy Consolidated:</B></FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left"><FONT size="2">Investments in affordable housing partnerships (1)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;54&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" 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size="2">&#160;79&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;71&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;79&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;71&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><B>PE and SoCalGas:</B></FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left"><FONT size="2">Total long-term debt (4)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px 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align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Preferred stock</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;80&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right"><FONT size="2">&#160;61&#160;</FONT></TD><TD width="22" 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size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;19&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-top: 1px solid 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width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="2" width="323" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;&#160;&#160;&#160;Preferred stock</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="61" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;20&#160;</FONT></TD></TR><TR><TD width="38" height="28" align="center" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>(1)</I></FONT></TD><TD colspan="9" width="617" height="28" align="left" style="border-top: 3px solid #C0C0C0;"><FONT size="2"><I>We discuss our investments in affordable housing partnerships in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report.</I></FONT></TD></TR><TR><TD width="38" height="17" align="center"><FONT size="2"><I>(2)</I></FONT></TD><TD colspan="9" width="617" height="17" align="left"><FONT size="2"><I>Before reductions for unamortized discount of $11 million at June 30, 2009 and $8 million at December 31, 2008.</I></FONT></TD></TR><TR><TD width="38" height="17" align="center"><FONT size="2"><I>(3)</I></FONT></TD><TD colspan="9" width="617" height="17" align="left"><FONT size="2"><I>Before reductions for unamortized discount of $4 million at June 30, 2009 and $2 million at December 31, 2008.</I></FONT></TD></TR><TR><TD width="38" height="17" align="center"><FONT size="2"><I>(4)</I></FONT></TD><TD colspan="9" width="617" height="17" align="left"><FONT size="2"><I>Before reductions for unamortized discount of $2 million at June 30, 2009 and $2 million at December 31, 2008.</I></FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Sempra Energy based the fair values of investments in affordable housing partnerships on the present value of estimated future cash flows, discounted at rates available for similar investments. Sempra Energy estimated the fair values of debt incurred to acquire affordable housing partnerships based on the present value of the future cash flows, discounted at rates available for similar notes with comparable maturities.<BR/>All entities based the fair values of the long-term debt and preferred stock on their quoted market prices or quoted market prices for similar securities.</P></FONT></DIV><DIV><FONT size="2"><P>Derivative Positions Net of Cash Collateral<BR/>In accordance with FSP FIN 39-1, Amendment of FASB Interpretation No. 39 (ASC 815), each Condensed Consolidated Balance Sheet reflects the offsetting of net derivative positions with fair value amounts for cash collateral with the same counterparty when management believes a legal right of offset exists. <BR/>The following table provides the amount of fair value of cash collateral receivables and payables that were offset against net derivative positions in the Condensed Consolidated Balance Sheets as of June 30, 2009 and December 31, 2008: <BR/></P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; 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size="2">Netting and</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Nuclear decommissioning trusts*</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;436&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;140&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;576&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Investments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;28&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;87&#160;</FONT></TD><TD width="22" height="16" 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size="2">&#160;71&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;71&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;465&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;298&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(50)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;738&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Liabilities:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;40&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;107&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;(45)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;102&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;68&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;68&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;40&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;175&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(45)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;170&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="10" width="435" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">At fair value as of December 31, 2008</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Netting and</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Nuclear decommissioning trusts*</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;421&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;148&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;569&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Investments</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;176&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;177&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;55&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;76&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;(38)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;120&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;76&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;76&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;477&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;476&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(38)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;942&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Liabilities:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;110&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;(63)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;110&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;130&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;130&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;240&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(63)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;240&#160;</FONT></TD></TR><TR><TD colspan="11" width="644" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>* 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align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Netting and</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Nuclear decommissioning trusts*</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;436&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;140&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;576&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;16&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;41&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;452&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;140&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;617&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Liabilities:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;40&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;(45)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;7&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;48&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;48&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;40&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;60&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(45)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;55&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="10" width="435" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">At fair value as of December 31, 2008</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Netting and</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Nuclear decommissioning trusts*</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;421&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;148&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;569&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;48&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Short-term investments</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;442&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;172&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;641&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Liabilities:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;52&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;(52)</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;24&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;88&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;88&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;52&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;112&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;(52)</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;112&#160;</FONT></TD></TR><TR><TD colspan="11" width="644" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2"><I>* Excludes cash balances.</I></FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="11" width="644" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>RECURRING FAIR VALUE MEASURES -- SOCALGAS</B></FONT></TD></TR><TR><TD colspan="11" width="644" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="10" width="435" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">At fair value as of June 30, 2009</FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Netting and</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="14" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="14" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;11&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;19&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="10" width="435" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">At fair value as of December 31, 2008</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">Netting and</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 1</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 2</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Level 3</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Collateral</FONT></TD><TD width="22" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Total</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Assets:</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="center" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Commodity derivatives</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right"><FONT size="2">&#160;11&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Other derivatives</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Total</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;21&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="209" height="16" align="left"><FONT size="2">Liabilities:</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="65" height="16" 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solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;(11)</FONT></TD><TD width="22" height="16" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="65" height="16" align="right" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>Level 3 Information<BR/>The following table sets forth reconciliations of changes in the fair value of net trading and other derivatives classified as Level 3 in the fair value hierarchy:</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD width="285" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center"><FONT size="2">Sempra 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align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 30,</FONT></TD></TR><TR><TD width="285" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD width="11" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" 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style="border-top: 1px solid #000000;"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;7&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Realized and unrealized losses</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="11" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="26" height="16" 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size="2">&#160;&#160;&#160;&#160;Settlements</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD><TD width="11" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sale of the commodities-marketing businesses</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD 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align="left"><FONT size="2">Balance as of June 30</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">Change in unrealized gains relating to </FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;&#160;&#160;&#160;instruments still held at June 30</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid 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Energy</FONT></TD><TD width="11" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="285" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Consolidated</FONT></TD><TD width="11" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">SDG&E</FONT></TD></TR><TR><TD width="285" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD><TD width="11" height="14" align="center"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="160" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="285" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD><TD width="11" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="2" width="80" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">Balance as of January 1</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;27&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;401&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 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size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Purchases and issuances</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="11" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Settlements</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="11" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(3)</FONT></TD><TD width="26" height="16" align="left"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right"><FONT size="2">&#160;(2)</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">&#160;&#160;&#160;&#160;Sale of the commodities-marketing businesses</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(336)</FONT></TD><TD width="11" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">Balance as of June 30</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left"><FONT size="2">Change in unrealized gains relating to </FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="54" height="16" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="285" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;&#160;&#160;&#160;instruments still held at June 30</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="11" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="26" height="16" align="left" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">$</FONT></TD><TD width="54" height="16" align="right" style="border-bottom: 3px solid #C0C0C0;"><FONT size="2">&#160;-&#160;</FONT></TD></TR></TABLE></DIV><DIV><FONT size="2"><P>There were no transfers in or out of Level 3 during the periods presented.<BR/>Gains and losses (realized and unrealized) for Level 3 recurring items are primarily related to the commodities-marketing businesses and were included in Revenues for Sempra Global and Parent on the Condensed Consolidated Statement of Operations for the three months ended March 31, 2008. With the sale of these businesses on April 1, 2008, Level 3 recurring activity was substantially reduced.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 9. SEMPRA UTILITIES' REGULATORY MATTERS</P></FONT></DIV><DIV><FONT size="2"><P>POWER PROCUREMENT AND RESOURCE PLANNING</P></FONT></DIV><DIV><FONT size="2"><P>Sunrise Powerlink Electric Transmission Line<BR/>In December 2008, the California Public Utilities Commission (CPUC) issued a final decision authorizing SDG&E to construct a 500-kilovolt (kV) electric transmission line between the Imperial Valley and the San Diego region (Sunrise Powerlink). This line is designed to provide 1,000 MW of increased import capability into the San Diego area. The decision allows SDG&E to construct the Sunrise Powerlink along a route that would generally run south of the Anza-Borrego Desert State Park. The decision also approves the environmental impact review conducted jointly by the CPUC and the Bureau of Land Management (BLM) and establishes a total project cost cap of $1.883 billion, including approximately $190 million for environmental mitigation costs. In January 2009, the BLM issued its decision approving the project, route and environmental review. We provided the details of the CPUC's decision in Note 14 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>After the issuance of the CPUC final decision, applications for rehearing before the CPUC were filed by the Utility Consumers Action Network (UCAN) and the Center for Biological Diversity/Sierra Club (CBD). The CPUC issued a final decision in July 2009 denying the requests for rehearing. These parties may still appeal to the California Courts of Appeal and/or to the California Supreme Court on or before August 12, 2009.<BR/>The Sunrise Powerlink route crosses federal land and requires approvals from the BLM and the United States Forest Service (USFS). Three appeals of the BLM decision approving the segment of the route in its jurisdiction were filed by individuals, a community organization, and the Viejas Indian tribe in March 2009. A request to stay the BLM's decision was also filed. The Interior Board of Land Appeals has dismissed the appeal filed by the individuals and issued a ruling in July 2009 denying the request for stay. In addition, the Viejas Indian tribe withdrew its appeal in July 2009. The BLM is still reviewing the one remaining appeal. SDG&E expects the USFS to issue a decision approving the segment of the route in its jurisdiction in 2009. The USFS decision is also subject to administrative and judicial appeals.<BR/>SDG&E commenced procurement activities in the first quarter of 2009, but before construction can begin, additional agency permits, subject to administrative and judicial appeals, must be obtained. The total amount invested by SDG&E in the Sunrise Powerlink project as of June 30, 2009 was $154 million, which is included in Property, Plant and Equipment on the Condensed Consolidated Balance Sheets of Sempra Energy and SDG&E. SDG&E expects the Sunrise Powerlink to be in commercial operation in 2012. </P></FONT></DIV><DIV><FONT size="2"><P>Renewable Energy<BR/>Certain California electric retail sellers, including SDG&E, are required to deliver 20 percent of their 2010 retail demand from renewable energy sources. The rules governing this requirement, administered by both the CPUC and the California Energy Commission, are generally known as the Renewables Portfolio Standard (RPS) Program.<BR/>In February 2008, the CPUC issued a decision defining flexible compliance mechanisms that can be used to defer compliance with or meet the RPS Program mandates in 2010 and beyond. The decision established that a finding by the CPUC of insufficient transmission is a permissible reason to defer compliance with the RPS Program mandates. The CPUC is also expected to implement a renewable energy credits trading system in 2009, which would provide another mechanism to better enable SDG&E to meet its RPS goals. <BR/>SDG&E continues to aggressively secure renewable energy supplies to achieve the RPS Program goals. A substantial number of these supply contracts, however, are contingent upon many factors, including: <BR/><UL><LI>access to electric transmission infrastructure (including SDG&E's Sunrise Powerlink transmission line); <BR/></LI><LI>timely regulatory approval of contracted renewable energy projects; <BR/></LI><LI>the renewable energy project developers' ability to obtain project financing and permitting; and <BR/></LI><LI>successful development and implementation of the renewable energy technologies. <BR/></LI></UL>As previously noted, SDG&E expects the Sunrise Powerlink transmission line to be in operation in 2012. This would be too late to provide transmission capability to meet the RPS Program requirements for 2010 and 2011. However, SDG&E believes it will be able to comply with the RPS Program requirements based on its contracting activity and application of the flexible compliance mechanisms. Without the application of the flexible compliance mechanisms, SDG&E's failure to attain the 20-percent goal in 2010, or any subsequent years' goals, could subject it to CPUC-imposed penalties of 5 cents per kilowatt hour of renewable energy under-delivery up to a maximum penalty of $25 million per year.</P></FONT></DIV><DIV><FONT size="2"><P>Solar Photovoltaic Program<BR/>In July 2008, SDG&E filed an application with the CPUC proposing to install solar photovoltaic panels in the San Diego area. These panels could generate approximately 50 MW of direct current power (approximately equivalent to 35 MW of power to the electric grid). We estimate the cost of the program as filed in the application to be $250 million. SDG&E, UCAN and other interested parties submitted a settlement agreement in March 2009 which, if approved by the CPUC, would, among other provisions, reduce SDG&E's investment in the program to the lesser of $125 million or 26 MW (direct current). The CPUC will decide if hearings on the settlement are necessary and, if so, a CPUC decision is expected in the first quarter of 2010. If approved, we expect the installation of SDG&E's portion of the panels to be completed by 2013.</P></FONT></DIV><DIV><FONT size="2"><P>Utility Incentive Mechanisms <BR/>The CPUC applies performance-based measures and incentive mechanisms to all California utilities. Under such measures or mechanisms, the Sempra Utilities have earnings potential above authorized base margins if they achieve or exceed specific performance and operating goals, rather than relying solely on expanding utility plant to increase earnings. Generally, for performance-based awards, if performance is above or below specific benchmarks, the utility is eligible for financial awards or subject to financial penalties. There are four general areas that operate under an incentive structure: <BR/><UL><LI>employee safety <BR/></LI><LI>energy efficiency programs <BR/></LI><LI>natural gas procurement <BR/></LI><LI>natural gas unbundled storage and system operator hub services<BR/></LI></UL>Incentive awards are included in our earnings when we receive any required CPUC approval of the award. We would record penalties for results below the specified benchmarks in earnings when we believe it is more likely than not that the CPUC would assess a penalty. All award amounts discussed below are on a pretax basis.<BR/>Below are updates to these incentive mechanisms for activity within the first half of 2009. We provide additional information regarding these incentive mechanisms in Note 15 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>Energy Efficiency<BR/>In December 2008, the CPUC approved energy efficiency awards of $10.8 million for SDG&E and $5.2 million for SoCalGas for 2006 and 2007 energy efficiency results, which were net of a holdback of 65%. In May 2009, SDG&E and SoCalGas filed a partial party settlement agreement regarding the appropriate method to determine incentive awards for the 2006 &#8211; 2008 program period. If approved, this settlement would result in 1) awards of $10.7 million for SDG&E and $12.5 million for SoCalGas; and 2) upon conclusion of the CPUC's assessment and audit process, awards of up to $11.6 million for SDG&E and $9.5 million for SoCalGas for the remaining holdback amounts. We expect a CPUC decision regarding the settlement in 2009 and the completion of the CPUC assessment and audit process in 2010. <BR/>Natural Gas Procurement<BR/>In February 2009, the CPUC approved a SoCalGas gas cost incentive mechanism (GCIM) award of $6.5 million for core natural gas procurement activities in the 12-month period ended March 31, 2008, which SoCalGas recorded in the first quarter of 2009. <BR/>In June 2009, SoCalGas filed an application with the CPUC requesting approval of a $12 million GCIM award for its procurement activities in the 12-month period ended March 31, 2009. A decision is expected in the first quarter of 2010.</P></FONT></DIV><DIV><FONT size="2"><P>Cost of Capital<BR/>The cost of capital proceeding determines the Sempra Utilities' authorized capital structure and the authorized rate of return that the Sempra Utilities may earn on their electric and natural gas distribution and electric generation assets. <BR/>In July 2009, the CPUC denied SoCalGas&#8217; petition, which was filed with the CPUC in April 2009, seeking to suspend its cost of capital Market Index Capital Adjustment Mechanism (MICAM) due to the uncertainty of whether the MICAM would trigger an adjustment to SoCalGas&#8217; return on equity. SoCalGas believes that the benchmarks used to determine whether the MICAM is triggered are not indicative of the risks and interest rates associated with the natural gas distribution business. Actions taken by the U.S. Government to halt the collapse of the banking and financial system dramatically reduced U.S. Treasury yields which, at the time, increased the likelihood of causing the MICAM to trigger in 2009. The estimated adverse impact to net income of such an adjustment, assuming the 30-year U.S. Treasury Bond yield metrics as specified in the MICAM were 150 basis points below the benchmark, is $18 million annually. <BR/>While U.S. Treasury yields have recently increased, such that we now believe that it is unlikely that the MICAM will trigger in 2009, the potential of further government intervention to stimulate the economy could result in reductions in U.S. Treasury yields in the future, increasing the likelihood of triggering the MICAM. SoCalGas believes this would be inappropriate given the rising cost of debt in prevailing tight credit markets. Given the CPUC&#8217;s decision and the disconnect between the MICAM benchmarks and the natural gas distribution business risks and associated cost of capital, SoCalGas is planning, along with the other major&#160;investor-owned utilities in the state, to file a cost of capital application with the CPUC in April 2010 which, if approved, would be effective January 2011. This application would reset the benchmarks to a more indicative index associated with the natural gas distribution business.</P></FONT></DIV><DIV><FONT size="2"><P>Advanced Metering Infrastructure <BR/>In April 2007, the CPUC approved SDG&E's request to install advanced meters with integrated two-way communications functionality, including electric remote disconnect and home area network capability. SDG&E estimates expenditures for this project of $572 million (including approximately $500 million in capital investment). This project involves replacing 1.4 million electric meters and 900,000 natural gas meters throughout SDG&E&#8217;s service territory. SDG&E began mass installation of the advanced meters in March 2009, and is on schedule to complete the project by the end of 2011. </P></FONT></DIV><DIV><FONT size="2"><P>2007 wildfires Cost Recovery <BR/>SDG&E filed an application with the CPUC in March 2009 seeking to recover $49.8 million for the incremental cost incurred to replace and repair company facilities under CPUC jurisdiction damaged by the October 2007 wildfires. This application was filed in accordance with the CPUC rules governing incremental costs incurred as a result of a declared emergency or catastrophic event. The Division of Ratepayer Advocates (DRA), a division of the CPUC representing the interests of customers, filed a protest to SDG&E's request for recovery of the incremental costs, requesting that the CPUC stay the proceeding until completion of the fire investigations, which we describe in Note 10.<BR/>SDG&E also incurred $30.1 million of incremental costs for the replacement and repair of company facilities under Federal Energy Regulatory Commission (FERC) jurisdiction, which are currently being recovered in SDG&E's electric transmission rates.<BR/>In regard to the 2007 wildfires litigation discussed in Note 10, if SDG&E's ultimate liability, net of amounts recoverable from other defendants, were to exceed its $1.1 billion recoverable from its insurers, SDG&E would request authorization from the FERC and the CPUC to recover the excess amounts in utility rates. SDG&E is unable to reasonably predict the degree of success it may have in pursuing such requests or the timing of any recovery. </P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 10. COMMITMENTS AND CONTINGENCIES<BR/>Legal Proceedings<BR/>The uncertainties that exist in legal proceedings make it difficult to estimate with reasonable certainty the costs and effects of resolving these matters. Accordingly, actual costs incurred may differ materially from insured or reserved amounts and could materially adversely affect our business, cash flows, results of operations, and financial condition. <BR/>We record reserves for legal proceedings in accordance with SFAS 5, Accounting for Contingencies (SFAS 5) (ASC 450). At June 30, 2009, Sempra Energy's reserves for unresolved legal proceedings, on a consolidated basis, were $289 million. At June 30, 2009, SDG&E and SoCalGas had reserves for unresolved legal proceedings of $269 million and $12 million, respectively. The amounts for Sempra Energy Consolidated and SDG&E include $248 million of expected insurance settlements related to the SDG&E 2007 wildfire litigation discussed below, which we expect would be paid by SDG&E's liability insurers directly to the homeowners' insurers.</P></FONT></DIV><DIV><FONT size="2"><P>SDG&E 2007 Wildfire Litigation <BR/>In October 2007, San Diego County experienced catastrophic wildfires. In July 2008, the California Department of Forestry and Fire Protection (Cal Fire) issued investigation reports stating that two fires (the Witch and Rice fires) were SDG&E "power line caused" and that a third fire (the Guejito fire) occurred when a wire securing a Cox Communications' fiber optic cable came into contact with an SDG&E power line "causing an arc and starting the fire." Cal Fire states that the Rice fire burned approximately 9,500 acres and damaged 206 homes and two commercial properties. The reports indicate that the Witch and Guejito fires merged and eventually burned approximately 198,000 acres, resulted in two fatalities, injured approximately 40 firefighters and destroyed approximately 1,141 homes. Cal Fire is still investigating the perimeters of these two fires to determine the damages associated with each fire. <BR/>In September 2008, the Consumer Protection and Safety Division of the CPUC issued a staff investigative report reaching substantially the same conclusions as the Cal Fire reports. However, the staff report also opines that the power lines involved in the Witch and Rice fires and the lashing wire involved in the Guejito fire were not properly designed, constructed and maintained as required by CPUC rules. In November 2008, the CPUC initiated investigations to determine whether SDG&E and Cox Communications violated any rules or regulations in connection with the fires. Hearings scheduled to commence in June 2009 were suspended pending the finalization of an agreement in principle between SDG&E and the Consumer Protection and Safety Division that, if approved by the CPUC, would resolve the investigations.<BR/>More than 100 lawsuits have been filed against SDG&E and Sempra Energy in San Diego County Superior Court seeking to recover damages in unspecified amounts, including punitive damages and other costs associated with the three fires. The lawsuits assert various bases for recovery, including inverse condemnation based upon a California Court of Appeal decision finding that another California investor-owned utility was subject to strict liability, without regard to foreseeability or negligence, for damages resulting from a wildfire ignited by power lines. SDG&E has filed cross-complaints against Cox Communications seeking indemnification for any liability that SDG&E may incur that relates to the Guejito fire. On June 25, 2009, the trial court ruled that the lawsuits cannot proceed as class actions on behalf of all persons who experienced wildfire damages, but must instead be pursued in individual lawsuits. Any appeal of this ruling must be filed within 60 days.<BR/>By July 2009, insurers representing nearly 99 percent of the total California homeowner insurance market (homeowners' insurers) had paid out and reserved approximately $1.6 billion on more than 19,000 claims relating to the three fires. These include claims for approximately 1,000 of the 1,300 houses, mobile homes, and apartment units identified in public records as having been destroyed by the three fires. The litigation includes additional claims for uninsured and underinsured structures, firefighting costs, business interruption, evacuation expenses, agricultural damage, and personal injuries. <BR/>During 2009, SDG&E and its liability insurers have held a number of settlement discussions with the homeowners' insurers in the litigation. Based on the information provided in these discussions, SDG&E has concluded that its exposure to the homeowners' insurers is reasonably estimable. Accordingly, SDG&E established a reserve of $940 million in 2009 that is recorded as a current liability in the Condensed Consolidated Balance Sheets and is fully offset by a current receivable of $940 million payable from SDG&E's $1.l billion of liability insurance, which we expect would be paid by the liability insurers directly to the homeowners' insurers. As a result, there is no effect on SDG&E's or Sempra Energy's 2009 earnings or cash flows from the recording of the reserve. SDG&E does not have sufficient information under SFAS 5 to reasonably estimate its potential exposure for other wildfire claims and, accordingly, SDG&E has not established a reserve for any wildfire claims other than those of the homeowners' insurers.<BR/>At July 31, 2009, SDG&E and homeowner insurers holding approximately 80% of the insurer plaintiffs' claims had entered into settlement agreements. SDG&E has agreed to pay the settling insurers approximately $740 million (representing 57.5% of their $1.3 billion of paid and reserved claims) to settle all of their claims relating to the three wildfires. The settlements will be entirely funded by SDG&E&#8217;s liability insurance coverage. As part of the settlements, SDG&E will receive an assignment of the settling insurers' claims against Cox Communications. Discussions are continuing with the remaining homeowner insurers for settlements on substantially the same terms. <BR/>In addition to the claims of homeowners' insurers, the wildfire litigation also includes claims of other plaintiffs for uninsured and underinsured structures, firefighting costs, business interruption, evacuation expenses, agricultural damage, and personal injuries. SDG&E does not have sufficient information to reasonably estimate its potential exposure for these additional claims and, accordingly, has not established a reserve for any wildfire claims other than those of the homeowners' insurers.<BR/>In light of the complexity of these matters and the large number of parties involved, the wildfire litigation, including any appeals, could take several years to be resolved. After giving effect to the $740 million settlements, SDG&E's remaining liability insurance coverage for the litigation would be approximately $355 million. If SDG&E's ultimate liability to the remaining homeowners' insurer plaintiffs and the other plaintiffs in the litigation were to exceed its liability insurance coverage and amounts potentially recoverable from Cox Communications and other defendants, SDG&E would request authorization from the FERC and the CPUC to recover the excess amount in utility rates. SDG&E is unable to reasonably predict the degree of success it may have in pursuing such requests or the timing of any recovery.</P></FONT></DIV><DIV><FONT size="2"><P>California Department of Water Resources (DWR) Contract<BR/>In February 2002, the California Energy Oversight Board (CEOB) and the CPUC filed challenges at the FERC to the DWR's contracts with Sempra Generation and other power suppliers. After the FERC upheld the contracts in 2003, the CEOB and CPUC appealed to the U.S. Court of Appeals for the Ninth Circuit (Ninth Circuit Court of Appeals), challenging the FERC's application of the Mobile-Sierra doctrine's "public interest" standard of review to the contracts without having first determined that the contracts met a more rigorous "just and reasonable" standard of review. In June 2008, the United States Supreme Court (Supreme Court) ruled that the FERC was correct to apply the Mobile-Sierra doctrine (which presumes that contract rates are just and reasonable) absent a demonstration that one of the contracting parties engaged in unlawful market manipulation that directly affected contract rates. The Supreme Court ruled that the FERC should clarify its findings on this issue and consider whether the contract rates seriously harm the public interest.<BR/>At various times since the contract's inception, Sempra Generation and the DWR have also had disputes regarding the meaning of terms and performance of their agreement under which Sempra Generation sells electricity to the DWR. In 2002, in a state civil action, the DWR sought to void&#160;its contract with Sempra Generation, seeking damages, injunctive and declaratory relief, and $100 million in punitive damages. The DWR claims that Sempra Generation misrepresented its intention and ability to construct a temporary phase of one power project and, alternatively, breached its contract by failure to construct and deliver power from that phase. In June 2005, the California Court of Appeal reversed a previous summary judgment in favor of Sempra Generation. The Court concluded that the contract language was ambiguous and presented triable issues of material fact that must be addressed by further evidence and proceedings. The case was sent back to the trial court. In January 2007, the DWR added additional claims for fraud and breach of contract. In June 2008, the California Court of Appeal upheld the trial court's denial of Sempra Generation's motion to compel the DWR to arbitrate its new claims. The case was returned to the San Diego Superior Court for further proceedings. The case is scheduled for a jury trial in September 2009.<BR/>In February 2006, the DWR began an additional arbitration against Sempra Generation related to the manner in which Sempra Generation schedules its Mexicali plant. The DWR sought $100 million in damages and an order terminating the contract. Arbitration hearings were held in November 2008 and in January 2009, the arbitration panel issued a decision denying all of the DWR's claims. The panel decision was confirmed by the San Francisco Superior Court in May 2009.<BR/>In September 2008, the DWR initiated another arbitration proceeding against Sempra Generation, alleging that Sempra Generation had breached the parties&#8217; agreement in various operational respects, and violated the order issued by the first arbitration panel relating to the amount refunded to the DWR and the manner in which Sempra Generation operates. The DWR seeks $60 million in damages and an order terminating the contract.</P></FONT></DIV><DIV><FONT size="2"><P>FERC Refund Proceedings<BR/>The FERC is investigating prices charged by various electric suppliers to buyers in the California Power Exchange (PX) and Independent System Operator (ISO) markets. In December 2002, a FERC Administrative Law Judge (ALJ) issued preliminary findings indicating that the PX and ISO owe power suppliers $1.2 billion for the October 2, 2000 through June 20, 2001 period. This amount is the $3.0 billion that the California PX and ISO still owe energy companies less $1.8 billion that the energy companies charged California customers in excess of the preliminarily determined competitive market clearing prices. In March 2003, the FERC adopted its ALJ's findings, but changed the calculation of the refund by basing it on a different benchmark of natural gas prices. This change would increase the refund obligations from $1.8 billion to more than $3 billion for the same time period. <BR/>Various parties, including Sempra Commodities, appealed the FERC's order to the Ninth Circuit Court of Appeals. In August 2006, the Court of Appeals held that the FERC had properly established October 2, 2000 through June 20, 2001 as the refund period and had properly excluded certain short-term bilateral transactions between sellers and the DWR from the refund proceedings. However, the court also held that the FERC erred in excluding certain multi-day transactions from the refund proceedings. Finally, while the court upheld the FERC's decision not to extend the refund proceedings to the summer period (prior to October 2, 2000), it found that the FERC should have considered other remedies for tariff violations that are alleged to have occurred prior to October 2, 2000. In April 2009, the Ninth Circuit Court of Appeals denied requests for rehearing of its August 2006 decision that Sempra Commodities and other entities filed and returned the matter to the FERC for further proceedings. <BR/>In August 2007, the Ninth Circuit Court of Appeals issued a decision reversing and remanding FERC orders declining to provide refunds in a related proceeding regarding short-term bilateral sales up to one month in the Pacific Northwest. The court found that some of the short-term sales between the DWR and various sellers (including Sempra Commodities) that had previously been excluded from the refund proceeding involving sales in the ISO and PX markets in California were within the scope of the Pacific Northwest refund proceeding. In April 2009, the Ninth Circuit Court of Appeals denied requests for rehearing of its August 2007 decision that Sempra Commodities and other entities filed and returned the matter to the FERC for further proceedings. The court's orders could be the subject of further appeals.<BR/>In a separate complaint filed with the FERC in 2002, the California Attorney General challenged the FERC's authority to establish a market-based rate system and also contended that even if such a system were valid, electricity sellers had failed to comply with the FERC's quarterly reporting requirements. The Attorney General requested that the FERC order refunds from suppliers. The FERC dismissed the complaint and instead ordered sellers to restate their reports. After an appeal by the California Attorney General, the Ninth Circuit Court of Appeals upheld the FERC's authority to establish a market-based rate system, but stated that failure to file transaction-specific quarterly reports gave the FERC authority to order refunds with respect to jurisdictional sellers. The FERC is in the process of addressing these issues on remand.<BR/>In May 2009, the California Attorney General filed another complaint at the FERC against various sellers, including Sempra Commodities. In this complaint, the Attorney General seeks to collect for alleged overcharges related to short-term bilateral transactions between sellers and the DWR from January 18, 2001 through June 20, 2001. These transactions also have been the subject of the Ninth Circuit Court of Appeals' orders in the proceedings described above.<BR/>In the cases described above, the FERC could order additional refunds or the disgorgement of profits. RBS Sempra Commodities has reserves for its estimate of the effect of the FERC's revision of the benchmark prices it will use to calculate refunds and other related developments. Pursuant to the agreements related to the formation of RBS Sempra Commodities, we have indemnified RBS related to these proceedings should the liability from the final resolution be greater than the reserves.</P></FONT></DIV><DIV><FONT size="2"><P>FERC Manipulation Investigation<BR/>The FERC has separately investigated whether there was manipulation of short-term energy markets in the western United States that would constitute violations of applicable tariffs and warrant disgorgement of associated profits. In May 2002, the FERC ordered all energy companies engaged in electric energy trading activities to state whether they had engaged in various specific trading activities in violation of the PX and ISO tariffs. <BR/>In June 2003, the FERC ordered a number of entities, including Sempra Commodities, to show why they should not disgorge profits from certain transactions between January 1, 2000 and June 20, 2001 that are asserted to have constituted gaming and/or anomalous market behavior under the California ISO and/or PX tariffs. In October 2003, Sempra Commodities agreed to pay $7.2 million in full resolution of these investigations. That liability was recorded as of December 31, 2003. The Sempra Commodities settlement was approved by the FERC in August 2004. Certain California parties sought rehearing of this order, which the FERC largely denied in November 2008. The California parties have appealed the FERC's orders to the Ninth Circuit Court of Appeals.</P></FONT></DIV><DIV><FONT size="2"><P>Other Litigation<BR/>Sempra Energy and several subsidiaries, along with three oil and natural gas companies, the City of Beverly Hills, and the Beverly Hills Unified School District, are defendants in a toxic tort lawsuit filed in Los Angeles County Superior Court by approximately 1,000 plaintiffs. This lawsuit claims that various emissions resulted in cancer or fear of cancer. We have submitted the case to our insurers, who have reserved their rights with respect to coverage. In November 2006, the court granted the defendants' summary judgment motions based on lack of medical causation for the 12 initial plaintiffs scheduled to go to trial first. The court also granted summary judgment excluding punitive damages. The court has stayed the case as to the remaining plaintiffs pending the appeal of the rulings. <BR/>In 1998, we converted our traditional pension plans (other than the SoCalGas union employee plan) to cash balance plans. In July 2005, a lawsuit was filed against SoCalGas in the U.S. District Court for the Central District of California alleging that the conversion unlawfully discriminated against older employees and failed to provide required disclosure of a possible reduction in benefits. The discrimination claims were subsequently dismissed from the lawsuit. In May 2009, the parties agreed to settle the litigation for a nominal amount and the court preliminarily approved a class action settlement agreement in June 2009. <BR/>RBS Sempra Commodities assumed litigation reserves related to Sempra Commodities, however, we have indemnified RBS should the liabilities from the final resolution of these matters be greater than the reserves.<BR/>We are also defendants in ordinary routine litigation incidental to our businesses, including personal injury, product liability, property damage and other claims. California juries have demonstrated an increasing willingness to grant large awards, including punitive damages, in these cases.</P></FONT></DIV><DIV><FONT size="2"><P>Resolved Matters<BR/>We have accrued liabilities for resolved matters of: <BR/><UL><LI>$1,037 million at Sempra Energy Consolidated<BR/></LI><LI>$725 million at SDG&E<BR/></LI><LI>$66 million at SoCalGas<BR/></LI></UL>These amounts for Sempra Energy Consolidated and SDG&E include $692 million of insurance settlements as of June 30, 2009, related to the SDG&E 2007 wildfire litigation discussed above, which we expect would be paid by SDG&E's liability insurers directly to the homeowners' insurers. The remaining amounts are primarily for settlements related to certain litigation arising out of the 2000 &#8211; 2001 California energy crisis, including the Continental Forge settlement and settlements of natural gas and electricity cases. We discussed the terms of the settlements related to the Continental Forge and natural gas and electricity cases in Note 16 of the Notes to Consolidated Financial Statements in the Annual Report.</P></FONT></DIV><DIV><FONT size="2"><P>Construction and Development Projects <BR/>Sempra Pipelines & Storage<BR/>Liberty Gas Storage (Liberty) is a development project for salt-cavern natural gas storage facilities. Sempra Pipelines & Storage owns 75% of Liberty, and ProLiance Transportation and Storage LLC (ProLiance) owns the remaining 25%. The project was expected to include 17 billion cubic feet (Bcf) of capacity in its north facility (located in Calcasieu Parish, Louisiana), and an additional 17 Bcf of capacity in its south facility (located in Cameron Parish, Louisiana). As described more fully below, we now expect only the south facility to be developed. The Liberty pipeline system is currently connected with several interstate pipelines, including the Cameron Interstate Pipeline operated by Sempra Pipelines & Storage, and will connect area LNG regasification terminals to an interstate natural gas transmission system and storage facilities. We have expended $263 million on this project through June 30, 2009. <BR/>Development of the salt caverns at the north facility has been halted due to subsurface and well-completion problems. Based on testing performed in the second quarter of 2009, we have determined that corrective measures have been unsuccessful. As a result, it is probable that the affected salt caverns will not provide future economic benefit, and accordingly, we recorded a pretax charge of $132 million to write off the caverns and certain related assets. This amount is recorded as "Write-off of Long-Lived Assets" on our Condensed Consolidated Statements of Operations for the three months and six months ended June 30, 2009. ProLiance's 25% of the pretax charge is $33 million, which is included in (Earnings) Losses Attributable to Noncontrolling Interests on our Condensed Consolidated Statements of Operations for the three months and six months ended June 30, 2009. The impact to our net income and to our earnings is $97 million and $64 million, respectively, for both the three months and six months ended June 30, 2009.</P></FONT></DIV><DIV><FONT size="2"><P>Nuclear Insurance<BR/>SDG&E and the other owners of SONGS have insurance to cover claims from nuclear liability incidents arising at SONGS. This insurance provides $300 million in coverage limits, the maximum amount available, including coverage for acts of terrorism. In addition, the Price-Anderson Act provides for up to $12.2 billion of secondary financial protection (SFP). If a nuclear liability loss occurring at any U.S. licensed/commercial reactor exceeds the $300 million insurance limit, all nuclear reactor owners could be required to contribute to the SFP. SDG&E&#8217;s contribution would be up to $47 million. This amount is subject to an annual maximum of $7 million, unless a default occurs by any other SONGS owner. If the SFP is insufficient to cover the liability loss, SDG&E could be subject to an additional assessment. <BR/>The SONGS owners, including SDG&E, also have $2.75 billion of nuclear property, decontamination, and debris removal insurance. In addition, the SONGS owners have up to $490 million insurance coverage for outage expenses and replacement power costs due to accidental property damage. This coverage is limited to $3.5 million per week for the first 52 weeks, then $2.8 million per week for up to 110 additional weeks. There is a 12-week waiting period deductible. These insurance coverages are provided through a mutual insurance company. Insured members are subject to retrospective premium assessments. SDG&E could be assessed up to $8.5&#160;million.<BR/>The nuclear property insurance program includes an industry aggregate loss limit for non-certified acts of terrorism (as defined by the Terrorism Risk Insurance Act). The industry aggregate loss limit for property claims arising from non-certified acts of terrorism is $3.24 billion. This is the maximum amount that will be paid to insured members who suffer losses or damages from these non-certified terrorist acts.</P></FONT></DIV><DIV><FONT size="2"><P>CONTRACTUAL COMMITMENTS<BR/>Sempra Energy<BR/>At June 30, 2009, significant increases to contractual commitments at Sempra Energy include <BR/><UL><LI>the issuance of $750 million of 6.50-percent notes maturing in 2016 at Sempra Energy; <BR/></LI><LI>the issuance of $300 million of 6-percent mortgage bonds maturing in 2039 at SDG&E; <BR/></LI><LI>$406 million new purchased-power contracts at SDG&E;<BR/></LI><LI>$247 million mainly for engineering and construction costs associated with the Sunrise Powerlink project at SDG&E;<BR/></LI><LI>$126 million new commitments for construction and infrastructure improvements for gas transmission and distribution operations at SoCalGas; and<BR/></LI><LI>new construction commitments of $93 million at Sempra Pipelines & Storage and $63 million at Sempra LNG. <BR/></LI></UL>The future payments under these contractual commitments are expected to be $346 million for 2009, $255 million for 2010, $129 million for 2011, $85 million for 2012, $83 million for 2013 and $2 billion thereafter. These amounts include expected interest payments on the notes and mortgage bonds using the stated interest rate.<BR/>Reserves for Sempra Energy and SDG&E wildfire litigation are discussed above in &#8220;SDG&E 2007 Wildfire Litigation.&#8221;<BR/>Decreases to SoCalGas&#8217; natural gas contracts are discussed below.<BR/>SDG&E<BR/>At June 30, 2009, the significant changes to contractual commitments at SDG&E are an increase of $300 million due to the issuance of 6-percent mortgage bonds, $406 million due to new purchased-power contracts and $247 million mainly for the Sunrise Powerlink project, as discussed above. The future payments under these contractual commitments are expected to be $69 million for 2009, $174 million for 2010, $80 million for 2011, $36 million for 2012, $34 million for 2013 and $1.1 billion thereafter. These amounts include expected interest payments on the mortgage bonds using the stated interest rate.<BR/>SoCalGas<BR/>At June 30, 2009, the significant changes to contractual commitments at SoCalGas are an increase of $126 million related to commitments discussed above. The future payments under these contractual commitments are expected to be $96 million for 2009 and $30 million for 2010. <BR/>SoCalGas&#8217; natural gas purchase commitments have decreased by $518 million since December 31, 2008. The decrease was primarily due to a decrease of $780 million based on lower natural gas forward prices, offset by new natural gas contracts of $262 million. Net future payments are therefore expected to decrease by $552 million for 2009, increase by $54 million for 2010, decrease by $17 million for 2011, increase by $1 million for 2012, increase by $1 million for 2013 and decrease by $5 million thereafter.</P></FONT></DIV></BODY></HTML> <HTML><HEAD><META content="text/html; charset=utf-8" /></HEAD><BODY><DIV><FONT size="2"><P>NOTE 11. SEGMENT INFORMATION<BR/>We have five separately managed reportable segments, as follows: <BR/><UL><LI>SDG&E provides electric service in California to San Diego and southern Orange counties and natural gas service to San Diego County.<BR/></LI></UL><BR/><UL><LI>SoCalGas is a natural gas distribution utility, serving customers throughout most of Southern California and part of central California.<BR/></LI></UL><BR/><UL><LI>Sempra Commodities holds our investment in RBS Sempra Commodities, a joint venture with RBS. The partnership was formed on April 1, 2008 from our commodities-marketing businesses previously reported in this segment. The partnership's commodity trading businesses serve customers in natural gas, electricity, petroleum and petroleum products, and base metals.<BR/></LI></UL>Sempra Commodities also includes the operating results of Sempra Rockies Marketing, which holds firm service capacity on the Rockies Express Pipeline.<BR/><BR/><UL><LI>Sempra Generation develops, owns and operates electric power plants in California, Nevada, Arizona and Mexico to serve wholesale electricity markets in North America.<BR/></LI></UL><BR/><UL><LI>Sempra Pipelines & Storage develops, owns and operates, or holds interests in, natural gas pipelines and storage facilities in the United States and Mexico, and companies that provide natural gas or electricity services in Argentina, Chile, Mexico and Peru. We are currently pursuing the sale of our interests in the Argentine utilities, which we discuss further in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report. Sempra Pipelines & Storage also operates a small natural gas distribution utility in Southwest Alabama.<BR/></LI></UL><BR/>We evaluate each segment's performance based on its contribution to Sempra Energy's reported earnings. The Sempra Utilities operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC. The Sempra Utilities' operations are based on rates set by the CPUC and the FERC. We describe the accounting policies of our segments in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report.<BR/>The following tables show selected information by segment from our Condensed Consolidated Statements of Operations and Condensed Consolidated Balance Sheets. <BR/>Amounts labeled as "all other" in the following tables consist primarily of parent organizations and Sempra LNG.</P></FONT></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="17" width="773" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>SEGMENT INFORMATION</B></FONT></TD></TR><TR><TD colspan="17" width="773" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="177" height="14" align="left"><FONT size="2"><B>&#160;</B></FONT></TD><TD colspan="8" width="298" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Three months ended June 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align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SDG&E</FONT></TD><TD width="22" height="17" 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size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;230&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;211&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" 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align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(5)</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Intersegment revenues</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(17)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(1)</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" 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solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;2,503&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;3,797&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5,773&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD></TR><TR><TD width="177" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">INTEREST EXPENSE</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SDG&E</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;46&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;49&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SoCalGas</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;35&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;30&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" 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width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;63&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;124&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;48&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Intercompany eliminations</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(37)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(21)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(72)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(59)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;79&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;38&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;161&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;98&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 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size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SDG&E</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SoCalGas</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;7&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Generation</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;4&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;34&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;67&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;53&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Intercompany eliminations</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(37)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(21)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(72)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(59)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="3" width="260" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">DEPRECIATION AND AMORTIZATION</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SDG&E</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;81&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;43&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;78&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;46&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;158&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;42&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;155&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;45&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SoCalGas</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;75&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;71&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;41&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;147&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;40&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;142&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;41&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;6&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Generation</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;29&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;28&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;19&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;19&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;189&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid 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align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;346&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD></TR><TR><TD colspan="3" width="260" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">INCOME TAX EXPENSE (BENEFIT)</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;SDG&E</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;28&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;35&#160;</FONT></TD><TD width="44" 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size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;46&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;52&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(29)</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(17)</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="17" align="left"><FONT size="2">&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(17)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;5&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(65)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(14)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="177" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;90&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid 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align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;329&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR></TABLE></DIV><DIV><TABLE style="border-collapse: collapse; margin-top: 20px;"><TR><TD colspan="17" width="774" height="19" align="left" style="border-top: 1px solid #000000;"><FONT size="2"><B>SEGMENT INFORMATION (Continued)</B></FONT></TD></TR><TR><TD colspan="17" width="774" height="19" align="left"><FONT size="2"><I>(Dollars in millions)</I></FONT></TD></TR><TR><TD width="184" height="14" align="left"><FONT 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style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;Earnings (losses) recorded</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;before tax:</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;126&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;146&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;279&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;146&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;(6)</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;(6)</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;11&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;12&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;20&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(3)</FONT></TD><TD width="44" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(3)</FONT></TD><TD width="44" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(6)</FONT></TD><TD width="44" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(7)</FONT></TD><TD width="44" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="18" align="left"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="55" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;128&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;155&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;288&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;161&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;Earnings recorded net of tax:</FONT></TD><TD width="22" height="17" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;36&#160;</FONT></TD><TD width="44" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;3&#160;</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="55" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;18&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">EARNINGS (LOSSES)</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="18" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;SDG&E*</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;70&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;35&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;61&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;25&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;169&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;33&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;135&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;28&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">%</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;SoCalGas*</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;65&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;33&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;56&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;124&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;113&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;85&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;43&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;130&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;53&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;199&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;189&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;39&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;33&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;17&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;9&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;76&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;68&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right"><FONT size="2">&#160;(27)</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;(14)</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right"><FONT size="2">&#160;50&#160;</FONT></TD><TD width="44" height="17" align="right"><FONT size="2">&#160;10&#160;</FONT></TD><TD width="22" height="17" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="17" align="left"><FONT size="2">&#160;&#160;&#160;All other</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(28)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(14)</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(50)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(20)</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(64)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(13)</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(69)</FONT></TD><TD width="44" height="17" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;(14)</FONT></TD><TD width="22" height="17" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="18" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="55" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;198&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;244&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;514&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;486&#160;</FONT></TD><TD width="44" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="18" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD></TR><TR><TD width="184" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="55" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="44" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="left"><FONT size="2">&#160;</FONT></TD><TD colspan="8" width="298" height="14" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">Six months ended June 30,</FONT></TD></TR><TR><TD width="184" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="14" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="149" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2009&#160;</FONT></TD><TD colspan="4" width="149" height="14" align="center" style="border-top: 1px solid #000000;border-bottom: 1px solid #000000;"><FONT size="2">2008&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">EXPENDITURES FOR PROPERTY PLANT & EQUIPMENT</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;SDG&E</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;443&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;47&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;428&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;38&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">%</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;SoCalGas</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;227&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;24&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;242&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;22&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;-&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;21&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;2&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Generation</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;8&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;1&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Pipelines & Storage</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;116&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;13&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;152&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;14&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;All other</FONT></TD><TD width="22" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;144&#160;</FONT></TD><TD width="44" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;15&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;258&#160;</FONT></TD><TD width="44" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;23&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left" style="border-bottom: 3px solid #000000;"><FONT size="2">&#160;&#160;&#160;&#160;&#160;&#160;&#160;Total</FONT></TD><TD width="22" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;938&#160;</FONT></TD><TD width="44" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD><TD width="22" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;1,114&#160;</FONT></TD><TD width="44" height="15" align="right" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">&#160;100&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;border-bottom: 3px solid #000000;"><FONT size="2">%</FONT></TD></TR><TR><TD width="184" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="55" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD width="184" height="15" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="143" height="15" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="149" height="15" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD colspan="4" width="149" height="15" align="center" style="border-bottom: 1px solid #000000;"><FONT size="2">June 30, 2009</FONT></TD><TD colspan="4" width="149" height="15" align="center" 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size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;SDG&E</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;10,469&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;37&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">%</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;9,079&#160;</FONT></TD><TD width="44" height="15" align="right"><FONT size="2">&#160;34&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">%</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;SoCalGas</FONT></TD><TD width="22" 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align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-top: 3px solid #000000;"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;Sempra Commodities</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;2,019&#160;</FONT></TD><TD width="44" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">$</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;2,082&#160;</FONT></TD><TD width="44" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT 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size="2">&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="right"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right"><FONT size="2">&#160;796&#160;</FONT></TD><TD width="44" height="15" align="left"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left"><FONT size="2">&#160;</FONT></TD></TR><TR><TD colspan="9" width="476" height="15" align="left"><FONT size="2">&#160;&#160;&#160;All other</FONT></TD><TD width="22" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="61" height="15" align="right" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;26&#160;</FONT></TD><TD width="44" height="15" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD width="22" height="15" align="left" style="border-bottom: 1px solid #000000;"><FONT size="2">&#160;</FONT></TD><TD 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