California utility company accused of starting LA fire in multiple lawsuits

Published On Jan 14, 2025, 1:14 PM

Southern California Edison, a utility company owned by Edison International, is facing multiple lawsuits claiming it started the Eaton Fire, one of the largest wildfires near Los Angeles, which has burned over 14,000 acres and destroyed thousands of structures. Eyewitness accounts and conditions at the time of the fire suggest that the company's transmission equipment might have been responsible. This situation has led to a drop in Edison International's stock price, which is down approximately 27% since the fires began.

Stock Forecasts

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Negative

The ongoing lawsuits against Southern California Edison threaten to increase operational costs and damage its reputation. The potential financial liabilities from these lawsuits could negatively impact the company's share price moving forward, as seen from the current market reaction with a significant drop.

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Edison International — the parent company of the utility Southern California Edison — has seen its stock remain under pressure as lawsuits begin over its potential role in the fires that have ravaged parts of Southern California.

(Bloomberg) -- As attention turns to the causes of this week’s devastating Los Angeles wildfires, evidence has emerged that power lines close to where one of the deadly conflagrations started weren’t shut off, despite warnings about high winds.Most Read from BloombergWhat Robotaxis Brought San FranciscoA Blueprint for Better Bike LanesNYC Condo Owners May Bear Costs of Landmark Green Building LawAmbitious High-Speed Rail Plans Advance in the Baltic RegionNYC’s Subway Violence Deters Drive to Bri

Edison International stock fell nearly 13% Wednesday after the company shut off power to tens of thousands of customers in Southern California as wildfires blazed through the region.

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