California, Napa Sonoma County, Jimmy discussed on KDWN Programming

Automatic TRANSCRIPT

Pinch announced. They intend to file for bankruptcy within two weeks, basically because of liabilities created by the wildfires that have occurred in California over the last two years. We still don't know the full explanation for the causes of the big wildfires that occurred in Napa Sonoma County in two thousand seventeen and in paradise and twentieth. But it does appear that was a cause. Or at least a partial cause of the fires. And at this point claims from victims exceed thirty billion dollars for the two fires combined the risk of wildfires perceived. Now is so great California. It's not clear that the company could emerge from bankruptcy as a healthy firm. Just because markets bought the bond market and the stock market are looking at PGA is a very risky investment because a fire. Customers are going to be impacted by the bankruptcy. They're going to be impacted even Jimmy doesn't file for bankruptcy, and we can expect to see rates go up because the liabilities of the company have gone up enormously duties wildfires. The company is going to be financially strained for several years. And so you might imagine a smaller workforce as well. And that's also run counter to both the safety goals and the clean energy goals. California has said so I would expect to see more of this in the decades to come. This is kind of an interesting interesting. First example. Climate change driving a human system of institutions and businesses and arrangements to the breaking point. Now.

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