Governor calls for 75-day extension of PG&E’s exclusivity period

摘要

California’s governor has filed a ‘limited objection” to PG&E Corp.’srequest for a six-month extension of its exclusivity period, which thefederal bankruptcy court in San Francisco is expected to rule onWednesday morning.Governor Gavin Newsom filed on May 15 an objection to the sixmonthextension and told the court he believes the extension shouldbe no longer than 75 days.“A debtor’s exclusive right to file a plan of reorganization is notunfettered; instead, it is a privilege and an extension is warranted onlywhen the delay, after taking into account all of the divergent interestsinvolved, facilitates timely progress towards a fair and equitableresolution of the chapter 11 case,” the Newsom filing said.PG&E and utility subsidiary Pacific Gas and Electric “have notearned the privilege of the six-month extension requested in theExclusivity Motion,” the governor said. He said that a lengthyextension was “not fair or equitable to the many Californiastakeholders negatively impacted” by PG&E’s decision to fileChapter 11 protection.