Pacific Gas & Electric Co (PCG)

[GTINSPECTOR]

Today marks a significant milestone in our Chapter 11 process. We have agreed to a settlement to resolve the claims of all individual wildfire claimants.

The settlement agreement is valued at approximately $13.5 billion and fully resolves all claims arising from the 2017 Northern California wildfires, including the Tubbs Fire, as well as the 2018 Camp Fire, the 2015 Butte Fire and the 2016 Ghost Ship building fire. PG&E does not admit fault in the Tubbs Fire or Ghost Ship fire, but claims related to those fires will be resolved as part of this settlement.

You can read the news release we issued here.

We’ve now reached settlements with all major groups of wildfire claimants in our Chapter 11 proceedings. Previously, we announced a $1 billion settlement with cities, counties and other public entities, and an $11 billion settlement to resolve all insurance subrogation claims arising from these fires.

Since filing Chapter 11, getting wildfire victims compensated has been our primary goal. We want to help our customers, neighbors and friends in the impacted areas recover and rebuild after these tragic events.

Today’s development is also another key step toward emerging from Chapter 11. We remain on a path to exit Chapter 11 by the June 30 deadline, which allows PG&E to participate in the state’s go-forward wildfire fund created by Assembly Bill 1054.

I want to take this opportunity to reinforce that we cannot expect to emerge from Chapter 11 doing business as usual. We have heard the calls for change and are committed to doing things differently as we work to re-earn public trust and confidence.

Ultimately, we must deliver safe and reliable gas and electric service to our customers every day, and we must sustain that performance over time.

This includes, among many other things, further reducing the risk of wildfires in our communities, even in the face of a rapidly changing environment. We have made much progress on this, particularly this year, and we must persist in those efforts. None of us wants to see another year of catastrophic fires in the communities we love so much.

As far as next steps in Chapter 11, we intend to amend, finalize and file our Plan of Reorganization with the Bankruptcy Court. As a reminder, this Plan sets forth how we will resolve claims and emerge as a financially viable entity.

We will continue to keep you updated along the way.

Thank you for all you do to serve our customers every day.

Bill