Shares of Hawaiian Electric experienced a significant surge in premarket trading on Monday following the company’s announcement that its power lines were de-energized hours before the devastating Maui wildfire, which tragically claimed the lives of over 100 individuals.
The utility company, based in Honolulu, revealed that their records indicate a power outage of more than six hours along Maui’s west coast. This outage prevented any electricity from flowing through their wires during the outbreak of the fire in the oceanside town of Lahaina.
As a result of the deadly wildfires on the island, Maui County has filed a lawsuit against Hawaiian Electric, alleging that their power lines were responsible.
Hawaiian Electric has reported that an earlier fire, likely caused by fallen power lines, had already been declared “100% contained” and “extinguished” by fire officials who subsequently left the scene.
To support their claims, the company has provided federal investigators from the Bureau of Alcohol, Tobacco, Firearms and Explosives with relevant records for verification.
After facing a decline of nearly 19% in share value on Friday due to the Maui County lawsuit, dividend suspension, and credit-rating downgrade, Hawaiian Electric shares have recently surged approximately 37% to $13.22 in premarket trading.
Leave a Reply