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PG&E gets subpoena over Dixie fire, expects to take $1.15 billion loss -Breaking

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© Reuters.

(Reuters) – PG&E (NYSE:) Corp said on Monday it had received a subpoena from the U.S. attorney’s office seeking documents from the Californian utility related to the Dixie Fire, and expects to take a loss of $1.15 billion from the blaze this year.

In a regulatory filing the company stated that it had received the subpoena in October 7.

Dixie, the California wildfire that scorched Northern California in early August was ranked second on records. The fire displaced thousands of people and caused power outages.

Investigations into the Dixie fire are ongoing. PG&E had said the blaze may have started when a tree fell onto one of the utility’s power cables.

Last year, the company was saved from bankruptcy. After wildfires that were sparked in 2017 by the utility’s equipment, it sought to protect its creditors. The potential liabilities of the utility soared into the tens of trillions.

On Monday, the San Francisco-based PG&E posted a loss of $1.091 billion, or 50 cents per share, in the third quarter ended Sept. 30, compared to profit of $83 million, or 4 cents per share, a year earlier.

In July, the company announced that 10,000-miles of its power lines would be buried in high risk fire areas. This was after it had caused numerous wildfires and other destructive events over many years.

Shares of PG&E were down as much as 2.97% at $11.255 in morning trading.

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