S&P Global said Monday it may downgrade utility PacifiCorp, owned by Berkshire Hathaway, as liabilities from class action lawsuits stemming from a series of Oregon wildfires increase in 2020.

The warning comes after an Oregon jury on Feb. 25 awarded $305 million, or $19 million per plaintiff, to 16 plaintiffs who blamed PacifiCorp for failing to shut down power lines during the Labor Day weekend windstorm. Plaintiffs were awarded an average of about $5 million in previous trials. S&P said it may cut PacifiCorp’s credit rating to “BBB-minus,” the lowest investment grade, by at least two notches if future awards are around $19 million per defendant and by one notch if the awards are “significant” but small. He said he would closely monitor the rulings in the coming weeks.

A trial in the so-called James class action is scheduled for early 2028, and PacifiCorp’s immediate parent Berkshire Hathaway Energy said the utility faces $48 billion in potential payouts on top of the $1 billion already awarded. PacifiCorp faces about $50 billion in wildfire exposure overall.

In response to S&P’s action, PacifiCorp said it plans to appeal the $305 million ruling, and is focused on “providing certainty” to employees, customers and communities. PacifiCorp is awaiting a decision from the Oregon Court of Appeals on whether the class action was properly certified and whether the plaintiffs can recover damages for emotional distress.

Berkshire Hathaway Energy said the loss of investment-grade status could leave PacifiCorp unable to raise money to support ongoing operations, including paying suppliers and providing power to customers.

“PacifiCorp believes it will have sufficient liquidity to cover its operations and liabilities beyond one year,” the parent added.

Berkshire Hathaway has a high investment-grade credit rating. In his first annual letter to shareholders, Berkshire Chief Executive Greg Abel said Saturday that the Omaha, Nebraska-based conglomerate accepts responsibility when it causes wildfires, but will fight unjustified claims in court.

“PacifiCorp is not an insurance company of last resort and should not be treated as having deep pockets,” he wrote. (Reporting by Jonathan Stempel in New York; Editing by Cynthia Osterman)