SOUTHERN CALIFORNIA GAS COMPANY (OTCMKTS:SOCGP) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item 5.02 of Form 8-K regarding the effectiveness of Ms. Brown’s replacement of Mr. Lane as President of the Company.
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
Replacement of President
On March 15, 2019, the Board determined the effective date of Ms. Brown’s appointment as President of the Company to be March 23, 2019. As a result of such appointment, Mr. Lane will cease serving as the President of the Company effective March 23, 2019. He will continue serving as the Chief Executive Officer and a director of the Company.
Potential Grant of Long-Term Incentive Awards to President
As previously reported in the Initial Filing, management intends on recommending to the Compensation Committee of Sempra Energy’s Board of Directors that Ms. Brown receive a promotional long-term grant of incentive awards under Sempra Energy’s 2013 Long-Term Incentive Plan generally intended to account for the difference in value between the annual long-term incentive awards that she received on January 2, 2019 and the annual long-term incentive awards that she would have received on January 2, 2019, if her appointment and salary and long-term incentive targets as President of the Company had been effective as of that date. In the case that such awards are approved for Ms. Brown, the Company will file an additional amendment to the Initial Filing to report those awards.
About SOUTHERN CALIFORNIA GAS COMPANY (OTCMKTS:SOCGP)
Southern California Gas Company (SoCalGas) sells, distributes and transports natural gas. SoCalGas purchases and stores natural gas for its customers and San Diego Gas & Electric Company (SDG&E)’s customers on a combined portfolio basis and provides natural gas storage services for others. Its noncore customers at SoCalGas consist primarily of electric generation, wholesale, large commercial and industrial, and oil recovery customers. SoCalGas’ wholesale customers are primarily other investor-owned utilities (IOUs), including SDG&E, or municipally owned natural gas distribution systems. It purchases natural gas under short-term and long-term contracts for the California Utilities’ customers. SoCalGas purchases natural gas from Canada, the United States Rockies and the southwestern United States to meet its and SDG&E’s customer requirements and maintain supply reliability. It purchases some California natural gas production and additional supplies delivered directly to California.