Westar Energy Ratings Placed on Watch Neg Re: Additional Charges and Restatements Nov 02
- ID: 2041088
- November 2002
- Standard & Poors
NEW YORK (Standard & Poor's) Nov. 5, 2002--Standard & Poor's Ratings Services said today it placed its double-'BB'-plus corporate credit ratings on energy provider Westar Energy Inc. and subsidiary Kansas Gas & Electric Co. on CreditWatch with negative implications. The CreditWatch listing reflects Topeka, Kan.-based Westar's announcement that it will restate its first- and second-quarter 2002 financial statements to reflect an additional goodwill impairment on 88%-owned Protection One Alarm Monitoring Inc. While the charge of $93 million, net of tax, is noncash, is relatively small compared with the $657 million impairment charge already taken this year, and will not affect Westar's liquidity or violate any covenants, Westar's liberally leveraged capital structure cannot withstand additional decimation at the current ratings level....
Companies mentioned in this report are:
- Westar Energy Inc.
- Kansas Gas & Electric Co.
- ONEOK Inc.
- Protection One Alarm Monitoring Inc.
Action: On CreditWatch:Negative
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Research type: News
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