Summary: Veresen Inc. May 11
- ID: 1770838
- May 2011
- Standard & Poors
The ratings on Calgary, Alta.-based Veresen Inc. (formerly Fort Chicago Energy Partners L.P.) reflect Standard & Poor's Ratings Services' opinion of the company's strong business risk and significant financial risk profiles. In our view, major supporting elements of the business risk profile include the favorable market position and cash flow stability of the Alliance Pipeline L.P. (senior secured debt rating: BBB+/Stable) system and Alberta Ethane Gathering System (AEGS), which operate in the natural gas and ethane transportation businesses, respectively. We believe that customers' diversity and high credit quality also bolster business fundamentals. In our view, weaker consolidated financial ratios, the fluctuating performance of subsidiary Aux Sable Liquid Products Inc., and the uncertainty surrounding the future of Alliance's main service contract...
Companies mentioned in this report are: Veresen Inc.
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