why doesn't the state buy it???
Posted on 10/28/2019 7:05:23 AM PDT by outpostinmass2
Calls to transition the troubled Pacific Gas and Electric Co. into a public utility intensified Sunday, as nearly 1 million customers lost power throughout California and the Kincade Fire blazed through Sonoma County.
A day earlier, Gov. Gavin Newsom told Bloomberg he would encourage Warren Buffett’s Berkshire Hathaway to make a bid for PG&E. “We would love to see that interest materialize, in a more proactive, public effort,” he said Saturday. Berkshire Hathaway’s energy subsidiary is heavily invested in the utility business, in California and elsewhere. It owns multiple solar farms, including a 550-megawatt facility in San Luis Obispo County that is among the world’s largest.
PG&E’s stock price plunged by nearly one third Friday, to $5 a share, after the utility told regulators that a transmission line malfunctioned near where the fire started in Geyserville late Wednesday.
Jared Ellias, a bankruptcy law expert at the UC Hastings College of Law, said the Kincade Fire might scare off either of the two big groups wrestling for control of PG&E.
“Whether it’s turning the power off, or not turning the power off, PG&E can’t do anything right,” he said. “That’s a much riskier investment than any of these guys thought.”
He added Newsom’s hope that Berkshire Hathaway steps in could be wishful thinking.
“It feels a bit like longing for a savior when there isn’t an obvious solution or a cheap solution ... there isn’t a white knight,” Ellias said.
He said it’s crazy to think Berkshire has “hundreds of billions of dollars to invest in safety without raising rates or taxes.”
“The bankruptcy court can’t fix these problems and Warren Buffett can’t fix them either,” he said.
(Excerpt) Read more at sacbee.com ...
He's rolling on the floor laughing.
LNT is interesting, but almost identical to POR in dividend rate (2.7% for both) and P/E (24.88 vs. 25.34). Schwab ranks POR as an A (6% percentile) vs. a D for LNT (81% percentile) possibly because of a lower Beta for POR (0.14 vs. 0.20).
You have to be some kind of stupid to not know that PG&E is a wholly owned subsidiary of the State of California. They can do NOTHING without the blessing of clowns like wonder boy here.
Ask Houston if they feel better off as a result of Katrina.
why doesn't the state buy it???
Thanks outpostinmass2.
CALPERS bought heavily into ENRON stock as well. Did pretty well. For a short time.
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