Summary: Espirito Santo Centrais Eletricas S.A. Feb 08
- ID: 1810807
- February 2008
- Standard & Poors
The rating on the Brazilian electric utility Espirito Santo Centrais Eletricas S.A. (ESCELSA) reflects the company's challenges to meet relevant debenture amortization from 2009 to 2014; Standard & Poor's Ratings Services' expectation of higher dividends for the holding company; and the company's exposure to an evolving regulatory environment. However, we view the regulatory framework as a positive development to reduce industry risks. These weaknesses are partially offset by improving credit metrics due to company's efforts to improve the debt amortization schedule and to reduce debt cost; the company's adequate operating statistics (average duration of outages of 9.5 hours per customer and average frequency of outages of 7.9 per customer) and a fair level of total energy losses (13%) in the...
Companies mentioned in this report are:
- Espirito Santo Centrais Eletricas S.A.
- EDP - Energias de Portugal S.A.
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