Deals

PG&E Creditors to Boost Restructuring Plan to $45 Billion

  • Committee could present plan to the courts to speed up process
  • California utility filed for bankruptcy amid wildfire claims

A Pacific Gas & Electric Co. (PG&E) employee digs a trench to locate gas lines in Paradise, California, U.S., on Tuesday, Jan. 22, 2019. 

Photographer: David Paul Morris/Bloomberg

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A group of PG&E Corp. creditors could preempt the embattled California utility’s own attempt to claw its way out of bankruptcy by presenting a restructuring plan that could be worth at least $45 billion, according to people familiar with the matter.

The plan builds on a proposal floated earlier this year. The updated plan includes substantially more cash for compensating existing wildfire victims, establishing a new statewide wildfire liability fund and recapitalizing PG&E, said the people, who asked not to be identified because the details are private.