Us Govt. Threatens To Sue Berkshire Subsidiary Over 2020 Wildfires

The U.S. government is threatening to sue PacifiCorp, a unit of Warren Buffett's Berkshire Hathaway, to recover nearly $1 billion of costs related to the 2020 wildfires in southern Oregon and northern California. The potential lawsuits were disclosed in an annual report filed Monday by PacifiCorp's parent company, Berkshire Hathaway Energy, two days after Buffett lamented the disappointing results at the conglomerate's utility division in his annual letter to Berkshire Hathaway shareholders. This new liability comes after the utility already agreed to pay hundreds of millions of dollars in lawsuits related to the fires. In the report, Berkshire Hathaway Energy says the U.S. Justice Department told the company it is seeking $625 million in firefighting and cleanup costs related to the Archie Creek and Susan Creek fires and the U.S. Forest Service has asked PacfiCorp to pay $356 million for firefighting costs and damages related to the Slater Fire that started in California but also crossed into Oregon.