PG&E released a statement Sunday thanking Geisha Williams for her service. The board of directors chose John Simon as interim CEO.
"While we are making progress as a company in safety and other areas, the board recognizes the tremendous challenges PG&E continues to face," the company said. "We believe John is the right interim leader for the company while we work to identify a new CEO."
PG&E is in discussions with lenders about a financing package worth up to $5 billion. It would allow the company to continue operating during Chapter 11 bankruptcy proceedings.
Under a new state law, PG&E must tell its employees at least 15 days before a change of control in the company - including a bankruptcy filing, the San Francisco Chronicle reported. That notice may come as soon as Monday.
State fire investigators blamed the utility's power lines for causing a number of California wildfires in October 2017.