PG&E Shares Hammered As Potential Liabilities From Wildfires Mount
SAN FRANCISCO (CBS SF / AP) — San Francisco-based PG&E, California's largest power company, is getting battered in midday trading on reports that it's considering bankruptcy protection in the face of potentially crippling liability damages from a spate of wildfires.
No cause has been determined for the source of California's Camp Fire, but PG&E reported an outage around the time and place the fire was ignited. Another transmission line malfunctioned a short time later, possibly sparking a second fire.
Reuters, citing anonymous sources, reports that the company has considered seeking financial shelter in bankruptcy court with potential liabilities reaching into the tens of billions.
Shares tumbled 22 percent Monday, the latest severe sell-off for the company since November and the outbreak of the state's deadliest recorded wildfires.
PG&E Corp. did not immediately respond to a request for comment.
© Copyright 2019 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.
