Research Update: German Integrated Utility RWE 'A/A-1' Ratings On CreditWatch Negative On Adverse Business Outlook Apr 11
- ID: 2043264
- April 2011
- Region: Germany
- Standard & Poors
We believe the business environment for RWE's key electricity generation and gas operations is becoming increasingly challenging. We consider that RWE's profitability could be lower in the coming years and that its financial risk profile is also likely to weaken as a result of high investment levels. We are placing our 'A' long-term and 'A-1' short-term ratings on RWE on CreditWatch with negative implications. We currently believe a potential downgrade would be limited to one notch. On April 8, 2011, Standard & Poor's Ratings Services placed its 'A' long-term and 'A-1' short-term corporate credit ratings on German integrated utility RWE AG and related entities on CreditWatch with negative implications. The rating action reflects the likelihood that we will downgrade the...
Companies mentioned in this report are:
- RWE AG
- RWE Finance B.V.
- Essent N.V.
- Essent Nederland B.V.
Action: On CreditWatch:Negative
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.
Product Type: Research Update
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