PG&E to File for Chapter 11 Bankruptcy


In 2017, the victims of a series of wildfires that affected several counties in Northern also blamed PG&E. The wildfires resulted to 44 deaths and $10 billion in damages.

In a statement, PG&E Interim CEO John R. Simon, said, “The people affected by the devastating Northern California wildfires are our customers, our neighbors and our friends, and we understand the profound impact the fires have had on our communities and the need for PG&E to continue enhancing our wildfire mitigation efforts.”

Additionally, Simon said PG&E remains committed to helping wildfire victims through the recovery and rebuilding process. The company believes that a court-supervised bankruptcy process is the best way to resolve its potential liabilities.

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In a filing, PG&E disclosed that its cash and cash equivalents on hand is only around $1.5 billion.

It is engaged in discussions with potential lenders regarding Debtor-In-Possesion (DIP) financing, which will provide sufficient funds for its ongoing operations.  It is expecting to obtain approximately $5.5 billion of committed DIP financing on or about January 29.