patrick.net

PG&E Corporation (PCG) $17.00/sh -1.95 (-10.26%)

https://finance.yahoo.com/news/pg-e-bankruptcy-leave-power-010657028.html

A PG&E Bankruptcy Would Leave Utility in Turmoil for Years

PG&E plunged 22 percent Monday on news that it’s exploring a bankruptcy filing in response to an onslaught of wildfire liabilities that are estimated to be as high as $30 billion -- far exceeding the company’s market value of less than $10 billion. On Tuesday, the company fell as much as 17 percent after S&P Global Ratings downgraded the San Francisco-based company’s long-term credit rating to junk, and said the utility remains on a negative watch. The bonds hit all-time lows.

Obligatory reference to the other similiar thread:
/post/1310914/2017-10-10-fires-in-santa-rosa-and-napa

Anyone here manage to short this stock recently?

https://finance.yahoo.com/news/pg-e-bailout-hopes-crushed-163848465.html

PG&E Bailout Hopes Are Crushed With California Showing Little Interest

Now that PG&E Corp. has said it plans to file for bankruptcy, analysts are seeing little chance that California lawmakers will step in anytime soon with a bailout for the beleaguered power provider.

California’s largest utility, which faces potential liabilities of $30 billion or more from deadly wildfires, said it will file under Chapter 11 of the U.S. bankruptcy code by Jan. 29, according to a Securities and Exchange Commission filing Monday. Governor Gavin Newsom issued a statement signaling he’s willing to let PG&E proceed, saying that at the same time “the company should continue to honor promises made to energy suppliers and to our community.”

A bankruptcy reorganization would, in fact, allow PG&E to operate and keep the lights on. What’s more, it “diversifies the responsibility for what plays out,” said Kit Konolige, a senior analyst with Bloomberg Intelligence. He said he didn’t believe there was much enthusiasm in Sacramento for an immediate rescue plan. “What politician is going to step up and say ‘I want to save PG&E?’ ’’

There are some, including Democratic Assemblyman Chris Holden, who in a statement called a bankruptcy “deeply concerning for the state.”

The pressure is unlikely to be off politicians to eventually act. Newsom covered that ground in his statement: “I will be working with the legislature and all stakeholders on a solution that ensures consumers have access to safe, affordable and reliable service, fire victims are treated fairly, and California can continue to make progress toward our climate goals.”

PG&E employs 20,000 and provides power to more than 15 million people. Its liabilities could grow from wildfires in 2017 and 2018; the state Department of Forestry and Fire Protection has blamed 17 of the 2017 blazes in part on company power lines and other equipment.

Its stock has tanked, and it has little left in the bank -- $1.5 billion in cash and cash equivalents as of Friday. PG&E has said it doesn’t intend to make an interest payment of about $21.6 million due Tuesday on 5.4 percent senior notes due in 2040.

“There isn’t a lot of time left. You’re talking six months until you actually get into a liquidity crunch,” said Guggenheim analyst Shahriar Pourreza.

Even if they wanted to, Newsom and legislators might simply be unable to do anything in time.

“The high degree of controversy and public outcry stemming from wildfire damages and perceived blame assigned to PG&E likely creates headwinds in the legislative process,” the research firm ClearView Energy Partners LLC said in a report Monday. “The 15-day notice offers a very short runway for lawmakers to act.”

PG&E on Sunday started searching for a new chief executive officer after Geisha Williams, 57, quit; General counsel John Simon will take the helm in the meantime.

Williams’s departure came after a catastrophic period for PG&E. Bonds that traded above face value about months ago now fetch around 85 cents on the dollar. The stock fell as much as 50 percent to $8.77 a share as of 11:10 a.m. in New York, its biggest intraday drop ever. Shares are down 82 percent since the Camp fire broke out Nov. 8.

PG&E Corporation (PCG) $9.11/sh -8.48 (-48.20%)

tovarichpeter says

PG&E cause Paradise Fire

You raci....errr....ethnicist!

Hispanic Leader Geisha Williams Named New CEO and President of PG&E Corporation

https://latintrends.com/hispanic-leader-geisha-williams-named-new-ceo-and-president-of-pge-corporation/

Can't be because otherwise Trump was right again!

Btw the problem with shorting pg & e is that they may get bailed out again by Newsom.

Did anyone short PG&E?

Anyone planning to buy now that it is in the 8$ range?

HeadSet says

Did anyone short PG&E?

Anyone planning to buy now that it is in the 8$ range?

Not touching that pile of shit with a 10ft pole either way. Being their customer is more than fucking enough.

DASKAA says

Not touching that pile of shit with a 10ft pole either way. Being their customer is more than fucking enough.

Correction, Being their customer is more than enough of a fucking....

ForcedTQ says

DASKAA says

Not touching that pile of shit with a 10ft pole either way. Being their customer is more than fucking enough.

Correction, Being their customer is more than enough of a fucking....

That too.

PG&E Corporation (PCG) $6.59/sh -1.79 (-21.36%)