Talen Energy Supply, the owner of the Susquehanna nuclear plant in Salem Twp., has filed for Chapter 11 bankruptcy.
The Woodlands, Texas-based company, a unit of Talen Energy Corp. which operates 18 power-generating facilities, filed for Chapter 11 protection in U.S. Bankruptcy Court for the Southern District of Texas on Monday night in a bid to cut its $4.5 billion significantly. according to national reports.
It will not affect employees’ jobs, according to a statement from Talen Energy Supply.
“Talen Energy Supply expects to run its day-to-day operations in the normal course,” the statement said. “Talen Energy Supply has filed and received approval for the usual ‘day one’ motions with the court to ensure there is no disruption to employee wages, health care and other benefits, as well as the ability to conduct day-to-day business with suppliers and other business partners.”
About 900 people work at the Susquehanna nuclear plant, Talen Energy spokeswoman Taryne Williams said.
Talen Energy factories, including Salem Twp. near Berwick, will continue to produce “the electricity needed for the markets it serves”, according to the company’s statement.
In a press release, officials from Talen Energy Corp. said the “transformative recapitalization” is expected to significantly strengthen Talen Energy Supply’s financial position and is part of a plan to strengthen its balance sheet.
The transaction includes a new equity investment of up to $1.65 billion. In a press release, company officials said the investment will accelerate Talen Energy Supply’s “clean energy transformation, advance carbon-free data center growth initiatives, and maximize value for customers.” stakeholders”.