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Pricing Supplement No.3 Dated May 18, 1994
(To Prospectus dated July 20, 1993)
Filed Pursuant to Rule 424(b)(3)
Registration No. 33-49367
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
SECURED MEDIUM-TERM NOTES, SERIES A
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CUSIP Number: 74456Q AC 0 Interest Rate: 8.16%
Principal Amount: $16,500,000 Interest Payment Dates: January 1 and July 1
Price to Public: Maturity Date: May 26, 2009
100% of Principal Amount Trade Date: May 16, 1994 ($16,000,000);
May 17, 1994 ($500,000)
Original Issue Date: May 23, 1994
These Notes are DTC Eligible Net Proceeds to Company : $16,401,000
and will be issued in Agents' Discount or Commission: $99,000
Book-Entry Form Only Interest From: May 23, 1994
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Optional Redemption Provisions:
The Notes will not be subject to redemption prior to maturity either
as a whole or in part at the option of Public Service Electric and Gas
Company ("Company").
Certain Financial Information:
The following documents heretofore filed by the Company with the
Securities and Exchange Commission are incorporated herein by reference:
1. The Company's Annual Report on Form 10-K for the year ended
December 31, 1993, filed pursuant to the Securities Exchange Act of 1934
("1934 Act").
2. The Company's Quarterly Report on Form 10-Q for the quarter ended
March 31, 1994, filed pursuant to the 1934 Act.
3. The Company's Current Report on Form 8-K dated January 21, 1994,
filed pursuant to the 1934 Act.
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Use of Proceeds:
The net proceeds from the sale of the Notes, together with the net
proceeds of the sale of an additional $43,500,000 of the Company's Secured
Medium-Term Notes, Series A expected to have an original issue date of May
23, 1994, will be added to the general funds of the Company and will be
used to finance a portion of the Company's current construction program and
to reimburse its treasury for funds expended to refund and redeem and/or
defease certain debt obligations, including the payment of short-term debt
obligations incurred for such purposes. Short-term debt obligations are
expected to aggregate approximately $471,000,000 at the time the proceeds
of the Notes are received.
The Company is defeasing in substance all of the $122,500,000
principal amount of its First and Refunding Mortgage Bonds, 9 3/4% Series
AA due 2020 by depositing a portfolio of United States Treasury securities
to service and redeem the issue on July 1, 1995.
Agents:
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X Merrill Lynch & Co.
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X Citicorp Securities, Inc.
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Morgan Stanley & Co. Incorporated
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