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U.K. Regulator's Proposals For The Water Sector In 2010-2015 Are Likely To Squeeze Rating Headroom Aug 09

  • ID: 1872427
  • August 2009
  • Region: United Kingdom, Great Britain
  • Standard & Poors
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  • Affinity Water Ltd.
  • Northumbrian Water Ltd.
  • Severn Trent PLC
  • Severn Trent Water Ltd.
  • South East Water Ltd.
  • South Staffordshire PLC
  • MORE

Standard & Poor's Ratings Services believes the draft determination by the Office of Water Services (Ofwat) on July 23, 2009, proposes a relatively challenging set of allowances and targets for water utilities in England and Wales over the next price control period, which starts in April 2010. We believe that for the majority of issuers, the regulator's final determination in November 2009 is likely to be ratings neutral if it is similar to the draft determination in terms of targets and assumptions. Nevertheless, we believe that ratings headroom (tolerance within a rating category for an issuer's changed circumstances) for the majority of issuers will shrink. Moreover, for a minority of issuers, we believe that headroom at the current rating level...

Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.

Research Type: Commentary
Criteria articles describe the thought process and methodology Standard & Poor's analysts use in determining ratings. These commentary pieces discuss both the quantitative (economic and financial) and qualitative (business analysis and caliber of management) aspects of the analysis, as well as legal issues.

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- United Utilities PLC
- Northumbrian Services Ltd.
- Thames Water Utilities Finance Ltd.
- Thames Water Utilities Ltd.
- Northumbrian Water Ltd.
- YW Services Ltd.
- United Utilities Water Ltd
- Southern Water Services Ltd.
- South East Water Ltd.
- Wessex Water Services Ltd.
- Wessex Water Ltd.
- Wessex Water Services Finance PLC
- Veolia Environnement S.A.
- Severn Trent PLC
- Severn Trent Water Ltd.
- Sutton and East Surrey Water PLC
- Dwr Cymru (Financing) Ltd.
- Northumbrian Water Finance PLC
- Anglian Water Services Financing PLC
- South Staffordshire Water PLC
- Southern Water Services (Finance) Ltd.
- South Staffordshire PLC
- South East Water (Finance) Ltd.
- Thames Water Utilities Cayman Finance Ltd.
- Severn Trent European Placement S.A.
- Yorkshire Water Services Bradford Finance Ltd.
- Affinity Water Ltd.
- Severn Trent Utilities Finance PLC
- Yorkshire Water Services Finance Ltd.

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Note: Product cover images may vary from those shown