PG&E Corp. said it lost $1.6 billion in the third quarter compared with a gain of $564 million in the same period last year.
PG&E said it reported the results in accordance with generally accepted accounting principles, with GAAP results including items that its management does not consider part of normal, ongoing operations, which totaled $2.2 billion in the third quarter.
"This was primarily driven by an additional $2.5 billion pre-tax charge for estimated third-party claims related to the 2017 Northern California wildfires and the 2018 Camp Fire," PG&E said in an earnings release. "This additional charge reflects the previously announced agreement with insurance subrogation claimants."
Items that impacted comparisons with the third quarter of last year included a charge for capital disallowances in PG&E's 2019 gas transmission and storage rate case; increased system inspection costs; cleanup and repair costs related to the 2018 Camp fire; legal and other costs related to the 2017 Northern California wildfires and the 2018 Camp Fire; and legal and other costs, partially offset by interest income, related to the parent company's and utility Pacific Gas & Electric's Chapter 11 reorganization.
PG&E said it welcomes the engagement of Gov. Gavin Newsom "toward resolving the Chapter 11 process and defining the future structure of the company."