Announcement Marks Another Milestone on
PG&E's Journey to Becoming a Safe, Financially Healthy and
Stable Utility
OAKLAND,
Calif., Nov. 28, 2023 /PRNewswire/ -- PG&E
Corporation (NYSE: PCG) today announced the company is declaring a
cash dividend on its common stock for the first time since 2017.
Reinstating the common dividend reflects Pacific Gas and Electric
Company's (PG&E's) substantial progress in becoming a safe and
stable utility that can now attract more long-term investors. The
reinstatement of the common stock dividend does not impact customer
rates or bills.
Declaring a dividend enables PG&E Corporation to attract new
sources of capital from the financial markets, which are critical
to funding PG&E's safety and reliability infrastructure work.
Expanding PG&E's investment appeal opens up access to
lower-cost, stable financing, which translates into more affordable
customer rates in the long term.
"I'm very proud of the progress PG&E has made reducing
operating risk and financial risk. We have reduced wildfire risk
from our equipment by 94%i, and today we operate one of
the safest gas utility systems in America. These safety
improvements are core to our becoming a stable and financially
healthy utility," said PG&E Corporation CEO Patti Poppe.
"Since 2017, we have reinvested the vast majority of our
earnings back into our system and will continue to do so. Our
earnings have gone directly into infrastructure projects focused on
improving safety and reliability for our customers. We're committed
to continuing to build a safe, reliable energy system for the
hometowns we're privileged to serve, as well as offering investors
a stable long-term investment option," Poppe continued.
Details on the Common Stock Dividend
PG&E
Corporation declared a regular quarterly cash dividend on its
common stock of $0.01 per share. The
dividend is payable on January 15,
2024, to shareholders of record as of December 29, 2023. Moving forward, PG&E
Corporation expects to pay a common stock dividend to shareholders
every quarter from its net income.
The significant majority of PG&E Corporation's Non-GAAP Core
Earnings will still be invested back into the safety and
reliability of PG&E's energy system.
The terms of PG&E's emergence from bankruptcy in
July 2020 required that PG&E
Corporation not pay a common stock dividend until the company had
recognized $6.2 billion in Non-GAAP
Core Earnings as described in the Plan of Reorganization. This
eligibility threshold was passed with PG&E Corporation's third
quarter earnings as filed in our Quarterly Report on Form 10-Q on
October 26, 2023.
About PG&E Corporation
PG&E Corporation (NYSE:
PCG) is a holding company headquartered in Oakland, California. It is the parent company
of Pacific Gas and Electric Company, an energy company that serves
16 million Californians across a 70,000-square-mile service area in
Northern and Central California.
For more information, visit http://www.pgecorp.com.
Forward-Looking Statements
This news release contains
forward-looking statements that are not historical facts, including
statements about the beliefs, expectations, estimates, future
plans, and strategies of PG&E Corporation and the Utility,
including but not limited to dividends and the cost of financings.
These statements are based on current expectations and assumptions,
which management believes are reasonable, and on information
currently available to management, but are necessarily subject to
various risks and uncertainties. In addition to the risk that these
assumptions prove to be inaccurate, factors that could cause actual
results to differ materially from those contemplated by the
forward-looking statements include factors disclosed in PG&E
Corporation and the Utility's joint Annual Report on Form 10-K for
the year ended December 31, 2022,
their most recent Quarterly Report on Form 10-Q for the quarter
ended September 30, 2023, and other
reports filed with the SEC, which are available on PG&E
Corporation's website at www.pgecorp.com and on the SEC's
website at www.sec.gov. PG&E Corporation and the Utility
undertake no obligation to publicly update or revise any
forward-looking statements, whether due to new information, future
events or otherwise, except to the extent required by law.
i Based on the methodology established by the
CPUC in the Safety Model Assessment Proceeding and implemented by
PG&E, accordingly.
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SOURCE PG&E Corporation