Credit OutlookConfidence in the outlook is lower than typical for a regulated utility.
Legislative UncertaintyCrucial legislation establishing a wildfire fund, securitization, and a liability cap remains a gating item, preventing a more constructive outlook as many questions linger.
Wildfire LiabilityPotential shareholder contributions to a wildfire fund, likely settlement financing via additional equity, ongoing material underearning issues, and potential future wildfires present offsetting risks and limit upside.