Today, Mastiogale issued the results of its annual Natural Gas Pipeline Customer Value Study (www.mastiogale.com ) which measures customers' perceived value of gas pipelines in the United States and Canada. We at CGT feel honored to be ranked by customers as number one in the Western region and number two nationwide.

Each year, CGT studies the feedback that our customers provide in surveys and through interaction with our customer service representatives, looking for opportunities to improve service. This year we are continuing to examine opportunities to improve the OFO process. We are also taking action to make the INSIDEtracc nomination system fully web based and while doing so, add some customer focused enhancements.

As we celebrate the Mastiogale survey results and work on these initiatives in 2007, we reiterate the importance of our commitment to provide excellent service. If you participated in this survey, we thank you for taking time to share your opinions regarding our natural gas transportation service. If you were not surveyed, your feedback to our customer service representatives is always welcome. We at CGT value our relationship with you and we look forward to continuing to serve you

Sincerely,

Bob Howard
VP, PG&E's Gas Transmission and Distribution