PG&E Corporation PCG shares are trading higher after the company reported it agreed to a settlement to resolve certain claims on the 2017 Northern California wildfires and the 2018 campfire.
The company agreed in principle with entities representing about 85% of insurance subrogation claims to a $11 billion settlement.
Investigators linked PG&E’s equipment to wildfires that killed dozens of people in recent years.
PG&E says the settlement is subject to definitive documentation and approval of the Bankruptcy Court overseeing PG&E's Chapter 11 case.
"Today's settlement is another step in doing what's right for the communities, businesses, and individuals affected by the devastating wildfires," said Bill Johnson, CEO of PG&E. "As we work to resolve the remaining claims of those who've suffered, we are also focused on safely and reliably delivering energy to our customers, improving our systems and infrastructure, and continuing to support California's clean energy goals. We are committed to becoming the utility our customers deserve.”
PG&E shares were trading up 8.9% at $11 in Friday’s pre-market session. The stock has a 52-week high of $49.42 and a 52-week low of $5.07.
Correction: An earlier version of this story said the settlement resolved "all claims" from the wildfires.
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