Fire Victim Trust finalizes sale of remaining shares

December 14, 2023

Sale of final PG&E stock holdings by Fire Victim Trust

The Fire Victim Trust (FVT), established to provide compensation to victims of Northern California fires from 2015 to 2018, announced the completion of its sale of the remaining 67.7 million shares of PG&E stock.

This marks a significant step in the Trust’s ongoing mission to aid fire victims.

The Fire Victim Trust’s journey since its inception

Created in July 2020, the FVT was initially funded with cash and PG&E stock as part of PG&E’s Chapter 11 Plan of Reorganization.

The Trust received 476,995,175 shares of common stock at its inception, with an additional 748,415 shares transferred on August 3, 2020.

The latest transaction signifies the divestment of all PG&E stock holdings by the Trust.

The sale and all associated transactions were conducted under strict guidelines, adhering to U.S. Bankruptcy Court and U.S. Securities and Exchange Commission regulations.

Significant progress in compensating fire victims

As of December 1, 2023, the Fire Victim Trust has made substantial progress in its mission.

It has issued determination notices to 99% of all claimants, successfully paying over $10.8 billion to them.

Remarkably, less than 1% of these claims have been appealed, indicating a high level of effectiveness and efficiency in the Trust’s operations.

FSJA Comment

The recent announcement by the Fire Victim Trust regarding the sale of its remaining PG&E stock marks a crucial milestone in its ongoing efforts to provide aid to victims of the devastating fires in Northern California.

Since its establishment in 2020, the Trust has played a pivotal role in addressing the aftermath of these tragic events.

The disbursement of over $10.8 billion to claimants is both a financial achievement and a testament to the Trust’s commitment to its mission.

This substantial financial aid has undoubtedly been a significant factor in helping the victims rebuild their lives and communities.

The completion of the stock sale also highlights the Trust’s adherence to strict legal and financial guidelines, ensuring transparency and accountability in its operations.

This is particularly important given the complex nature of the claims and the high stakes involved for the affected individuals and communities.

The Trust’s efficient processing of claims and the low rate of appeals further demonstrate its effectiveness in managing and resolving these challenging situations.

Overall, the work of the Fire Victim Trust stands as a crucial example of how structured and well-managed financial mechanisms can provide substantial support in times of crisis.

It underscores the importance of such entities in bridging the gap between large-scale corporate responsibilities and individual needs in the wake of disasters.

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