The risks posed by human-caused climate change were apparently alarming enough to prompt seven California municipalities last year to sue ExxonMobil, but not serious enough to disclose in full to their investors.
In a Monday filing in Texas state court, ExxonMobil accused the localities of exaggerating the climate-change threat in court documents, arguing that they failed to raise red flags about climate-driven disasters such as drought, wildfires and ocean acidification in their earlier bond offerings.
“Notwithstanding their claims of imminent, allegedly near-certain harm, none of the municipalities disclosed to investors such risks in their respective bond offerings, which collectively netted over $8 billion for these local governments over the last 27 years,” said ExxonMobil in its petition in Texas District Court.