PG And E Admits Wrong Money Handling
PG and E Corporation revealed today it might have improperly kept several complex deals off its books. That makes PG and E the latest industry giant to admit to
accounting problems, following the Enron scandal.
The potential problems prompted the parent company of California´s largest public utility, to postpone its scheduled fourth-quarter earnings announcement.
The San Francisco-based company said it may revise its financial statements dating back to 1999. It was stressed the changes won´t have a major impact on its earnings or shareholders´ equity.
PG and E says details of the financial dealings were outlined in its corporate annual report last year, and a Securities Exchange and Commission filing six months ago.
Its subsidiary Pacific Gas and Electric filed last April to federal court bankruptcy protection from its creditors. The utility owes billions of dollars for electricity purchases when it was barred by the state from boosting consumer rates.