California Utilities Near Bankruptcy
California Governor Gray Davis has called a special session, and the utility is hoping that the creditors will wait until the special session ends so that a plan can be worked out.
Also, Pacific Gas & Electric (PG&E) filed a reorganization plan with the bankruptcy court in order to split from its parent. The utility’s creditors are supporting the plan and are allowing the utility to pay all claims in full. This includes $13.2 billion in cash and new debt from refinanced assets. PG&E are hoping to complete the reorganization by the end of the year.
Publication date: 10/08/2001