PG&E shares surge 40 percent on report regulator wants to avoid bankruptcy from wildfire
Source: Reuters
ENVIRONMENT NOVEMBER 15, 2018 / 2:25 PM / UPDATED AN HOUR AGO
PG&E shares surge 40 percent on report regulator wants to avoid bankruptcy from wildfire
Noel Randewich, Nichola Groom
5 MIN READ
SAN FRANCISCO/LOS ANGELES (Reuters) - PG&E Corp shares soared 40 percent in after-hours trade on Thursday following a report that a regulatory official told investors the agency does not want the utility to go into bankruptcy should it be found responsible for this month’s deadly wildfire in northern California.
Bloomberg reported the comment by a California Public Utilities Commission (CPUC) official on a call hosted by Bank of America Corp, citing a person familiar with the matter.
A CPUC spokesman said he could not confirm the remarks and Bank of America declined to comment. CPUC issued a statement emphasizing that state law requires it to consider a utility’s financial health when weighing a request to cover costs associated with wildfires.
“A utility filing bankruptcy is not in the best interest of consumers, but that decision is not the CPUC’s,” a CPUC spokeswoman told Reuters.
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Read more: https://www.reuters.com/article/us-california-wildfires-pg-e/pge-shares-surge-40-percent-on-report-regulator-wants-to-avoid-bankruptcy-from-wildfire-idUSKCN1NK2PX