The board evaluated secured-debt arrangements and other forms of capital, but decided they weren’t the best alternatives to address billions of dollars in potential wildfire liabilities, according to one of the people, who asked not to be identified because the information isn’t public…
Archive for Bankruptcy
Jan
31
Puerto Rico Rebound Lures Mutual Funds Back to Island’s Bonds
Posted by: | Comments-
Pimco, AllianceBernstein have boosted holdings since hurricane
- Once big buyers, mutual funds sold when fiscal crisis worsened
Traditional bond buyers are going back to Puerto Rico.
After shunning the U.S. territory for much of the past six years, municipal-bond mutual funds are again buying the government’s debt as it recovers from the 2017 hurricane and inches closer to winning a potential court approval to restructure more than $17 billion of sales-tax-backed debt, a major step in its record-setting bankruptcy…
Puerto Rico Rebound Lures Mutual Funds Back to Island’s Bonds
Jan
29
PG&E Unveils Details of $5.5 Billion Bankruptcy Loan
Posted by: | CommentsFinancing designed to fund prolonged stay in chapter 11
Jan
29
PG&E Bankruptcy Hits Green Energy Suppliers
Posted by: | CommentsMany electricity producers, such as Topaz Solar Farms, rely completely on sales to PG&E
PG&E Corp. quickly took steps after filing for bankruptcy protection Tuesday to renegotiate power deals with green energy projects that rely on the California utility for most or all of their revenues.
The utility filed papers in the U.S. Bankruptcy Court in San Francisco requesting authority to shed up to $42 billion in power purchase agreements with roughly 350 different suppliers, the majority for solar, wind and other green energy…
PG&E Bankruptcy Hits Green Energy Suppliers
Jan
29
PG&E Had Rescue Options. Here’s Why It Chose Bankruptcy Instead
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Utility giant’s assets top liabilities, but big costs loom
- Financing packages seen unlikely to address long-term issues
PG&E Corp.’s descent into bankruptcy came even though the company isn’t broke.
Its Pacific Gas & Electric utility serves 16 million people — more than 40 percent of California’s population — and pulls in $17 billion in revenue per year. The steady flow of monthly customer payments, plus a regulated rate of return on its power lines and poles, gives PG&E the kind of stable, predictable income many businesses can only envy. It has about $240 million in cash on hand, though that number has been quickly falling…
Jan
28
PG&E Still Plans Bankruptcy Despite Investor Proposal
Posted by: | CommentsPG&E Corp. still expects to file for Chapter 11 protection as soon as Tuesday, despite last-minute proposals by investors to keep the utility out of bankruptcy, people familiar with the situation said.
PG&E Still Plans Bankruptcy Despite Investor Proposal
Jan
22
Why a PG&E Bankruptcy Could Change Climate Calculus
Posted by: | CommentsThe plan by PG&E Corp., owner of California’s largest electric utility, to file for bankruptcy protection won’t be felt just by its ratepayers, employees and suppliers. It will have an effect on whether residents of areas devastated by wildfires will receive the compensation they’re expecting, and whether California can live up to its ambitious goals on climate change. But the decision also represents a shock to investors who just two months ago were paying above par for PG&E’s bonds. Most broadly, it points to the danger that global warming could pose for many companies. Those risks aren’t always obvious, and assessments of them are often buried deep within securities disclosure. Is it time for them to move from the fine print to become an active market concern?…
Jan
22
IHeartMedia Nears Bankruptcy Exit With Court Approval of Plan
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Radio broadcaster receives confirmation of Chapter 11 plan
- Aims to exit bankruptcy within the first half of the year
iHeartMedia Inc. gained court approval for a plan that would cut about $10 billion of debt and allow it to emerge from bankruptcy within the first half of this year.
The biggest U.S. radio broadcaster got confirmation in the U.S. Bankruptcy Court for the Southern District of Texas for a creditor-supported plan that reduces its debt to $5.75 billion from $16.1 billion and spins out Clear Channel Outdoor Holdings Inc. into a separate company, according to a statement. That could position both companies as takeover targets…
Jan
15
How Fiat Chrysler Sped From Laggard to Leader in Detroit
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“We went from survival mode in 2009 to a level of stability with a balance sheet and resources that we have never enjoyed in the past,” Mike Manley, chief executive of Fiat Chrysler, told reporters on Monday at the North American International Auto Show in Detroit.CreditCreditBrendan Mcdermid/Reuters
DETROIT — A decade ago, Chrysler was the weakest of the three Detroit automakers and staved off collapse with the help of a government-backed bankruptcy. Today, Fiat Chrysler Automobiles appears to be the sturdiest by many measures, in large part because it stopped making sedans well before its competitors.
Jan
15
Who Could Get Hurt by PG&E’s Fire-Driven Bankruptcy: QuickTake
Posted by: | CommentsPG&E Corp., owner of California’s largest electric utility, warned Monday that it plans to file for bankruptcy protection on Jan. 29, pushed to the brink by wildfire lawsuits that could cost the company $30 billion. It’s the latest fallout from two years of massive blazes that have killed more than 130 Californians and destroyed tens of thousands of properties. The move could trigger big changes for PG&E, its 20,000 employees and the roughly 16 million people it serves. It raises the question of whether people who blame PG&E for burning down their homes will receive the compensation they want. And could bankruptcy derail California’s fight against global warming?