SAN FRANCISCO, Calif. - PG&E Corporation and Pacific Gas and Electric Company (together, "PG&E") today shared the following statements of continued support for its settlement agreement with wildfire victims and the company's Plan of Reorganization ("the Plan"). PG&E's Plan treats all victims fairly, protects customers, and will enable PG&E to emerge from Chapter 11 as a financially sound utility positioned to pay victims as soon as possible and support California for the long term.
In December 2019, PG&E reached the settlement that provides for approximately $13.5 billion to be transferred to a trust to pay the victims from wildfires in 2015, 2017, and 2018 pursuant to the terms of PG&E's Plan. That settlement was supported by the Official Committee of Tort Claimants and firms representing wildfire victims holding approximately 70 % of more than 70,000 wildfire claims filed.
PG&E previously reached settlements with two other major groups of wildfire claim holders that are provided for in the Plan -- a $1 billion settlement with certain cities, counties, and other public entities, with over $500 million of that amount to go to Butte County agencies, and an $11 billion settlement with insurance companies and other entities that have already paid insurance coverage for claims relating to the 2017 and 2018 wildfires.
The demonstrations of support for the settlement with wildfire victims and PG&E's Plan of Reorganization include:
"Since PG&E settled with victims, the company has won broad support for its plan of reorganization, including from the Governor. Now all that's standing between victims and the payment they've waited so long for is approval of the plan. The settlement PG&E reached with victims in December is the best option for getting victims paid fairly and quickly. The best way forward for victims is to support confirmation of PG&E's Plan," said Erin Brockovich, consumer advocate.
"The settlement we reached with PG&E remains the best option for getting victims paid as soon as possible. This compensation is long deserved. Withholding support for the plan of reorganization would only delay payments even further, and I urge victims to support the settlement and the plan," said Joseph Earley, fire victim and attorney representing 11,000 other victims.
"We support PG&E's plan of reorganization, which will do the right things and pay survivors of the catastrophic and tragic wildfires. The plan has the support of the Governor and a host of other stakeholders. Victims' support is critical to getting court approval of the plan, releasing the payments these deserving Californians have been waiting for," said Noreen Evans, attorney and former State Senator.
"PG&E's restructuring plan has cleared many hurdles, most recently from the Governor's office. Derailing the process now will not serve victims who have been waiting for compensation to help them rebuild their lives. We urge all claimants to support confirmation of PG&E's plan," said Roy Miller, victims' attorney.
PG&E's Plan remains subject to approval by the California Public Utilities Commission and the Bankruptcy Court. The Bankruptcy Court is scheduled to hold a hearing on the confirmation of PG&E's Plan on May 27, 2020, following a vote solicitation process for relevant parties that is now underway.
A copy of the Bankruptcy Court-approved disclosure statement with respect to the Plan can be accessed here. All parties are encouraged to review the disclosure statement.
About PG&E Corporation
PG&E Corporation (NYSE: PCG) is a holding company headquartered in San Francisco. It is the parent company of Pacific Gas and Electric Company, an energy company that serves 16 million Californians across a 70,000-square-mile service area in Northern and Central California. Each of PG&E Corporation and Pacific Gas and Electric Company is a separate entity, with distinct creditors and claimants, and is subject to separate laws, rules and regulations. For more information, visit http://www.pgecorp.com.
Cautionary Statement Concerning Forward-Looking Statements
This news release includes forward-looking statements that are not historical facts, including statements about the beliefs, expectations, estimates, future plans and strategies of PG&E Corporation and Pacific Gas and Electric Company. These statements are based on current expectations and assumptions, which management believes are reasonable, and on information currently available to management, but are necessarily subject to various risks and uncertainties. In addition to the risk that these assumptions prove to be inaccurate, factors that could cause actual results to differ materially from those contemplated by the forward-looking statements include factors disclosed in PG&E Corporation and Pacific Gas and Electric Company's annual report on Form 10-K for the year ended December 31, 2019, and their subsequent reports filed with the Securities and Exchange Commission (the "SEC"), which are available on PG&E Corporation's website at www.pgecorp.com and on the SEC website at www.sec.gov. Additional factors include, but are not limited to, those associated with the Chapter 11 cases of PG&E Corporation and Pacific Gas and Electric Company that commenced on January 29, 2019. PG&E Corporation and Pacific Gas and Electric Company undertake no obligation to publicly update or revise any forward-looking statements, whether due to new information, future events or otherwise, except to the extent required by law.