The Public Utilities Commission has approved the use of state funds to help get California´s largest utility out of bankruptcy. The PUC decided to let Pacific Gas and Electric use state money to pay the global investment banking firm UBS Warburg. The firm will create a plan to handle the bankruptcy finances of PG&E, so the utility can pay its $13.5 billion debt.
US Bankruptcy Judge Dennis Montali had ruled that PG&E wasn´t liable for the expenses to UBS Warburg. UBS Warburg estimates the partnership will cost $100,000 to $200,000. Montali will decide whether to approve PG&E´s plan for reorganization or the state´s plan at a trial set to begin in November.
This post was last modified on 01/31/2009 5:32 pm