California govenor warns of ‘restructuring’ PG&E

Bloomberg

California Governor Gavin Newsom threatened a state takeover of PG&E Corp unless the beleaguered utility giant makes a swift exit from bankruptcy and improves its operations to reduce the risk of wildfires.
“We are gaming out a backup plan if Pacific Gas and Electric is unable to secure its own fate and future,” Newsom said.
Newsom again blasted PG&E for its handling of a series of intentional mass blackouts intended to keep power lines from igniting fires during high winds. He said that the shutoffs highlighted PG&E’s “culture of ineptitude — a behemoth that was slow to act and resistant to change.” The swiftest way to transform the company is to get it out of bankruptcy quickly, he added.
As a result, Newsom said he would hold a meeting next week with PG&E executives, shareholders, wildfire victims and creditors in an effort to “accelerate a consensual resolution” to the bankruptcy.
“If the parties fail to reach an agreement quickly to begin this process of transformation, the state will not hesitate to step in and restructure utility,” he said.
“We share the governor’s focus on reducing wildfire risk across California and understand that PG&E must play a role in the efforts,” the firm said.