FirstEnergy is shielded from generating unit’s bankruptcy

Davis-Besse Nuclear Power Station cooling tower in July 2015 (Credit: Gregory Varnum, Creative Commons).

AKRON — “In another step to distance FirstEnergy Corp. from the financial woes of its bankrupt generating unit, the Ohio utility announced an agreement with creditors that would free it from future claims in the Chapter 11 proceeding.

But FirstEnergy CEO Chuck Jones also said during an earnings call with analysts and investors that while the agreement would mean a clean break from the cash-strapped subsidiary, FirstEnergy Solutions Corp. (FES), he’ll continue to personally lobby to keep the unit’s coal and nuclear plants running.

Jones also said that under the announced agreement with creditors, the utility could benefit financially from any government-mandated payments to support the money-losing power plants.”

— Jeffrey Tomich, E&E News

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