Utilities

PG&E creditors propose a $35 billion exit plan: Bloomberg

Protesters hold signs as they stage a demonstration inside the lobby of the Pacific Gas and Electric (PG&E) headquarters on December 11, 2018 in San Francisco, California.
Justin Sullivan | Getty Images

Creditors of PG&E, including Elliott Management and Pacific Investment Management Co. (Pimco), are proposing a $35 billion plan for the California power utility to emerge from bankruptcy within a year, Bloomberg reported late on Wednesday.

Pimco, Elliott and David Kempner Capital Management have discussed the proposal with California lawmakers and other stakeholders, Bloomberg reported, citing sources familiar with the matter.

The plan would form a $14 billion cash trust to pay for the claims linked to the wildfires in 2017 and 2018, it said, citing the proposal seen by the news outlet.

Neither of the parties responded to requests for comment outside regular U.S. business hours.

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