|
|
 |
|
Viewing report
|
|
|
|
Allegheny Energy Inc. Nov 03
Standard & Poors, Nov 2003
Abstract
Regulated subsidiaries generate stable cash flow. Retail tariffs are among the lowest in the region. Valuable legacy coal-based generation assets. Weak cash flow and constrained liquidity. Execution risk associated with asset sales and capital markets issuance. Inability to provide timely financial disclosure. The ratings on Allegheny Energy Inc. reflect the company's weak, but improving, business risk profile and a vulnerable financial position due to high financial leverage, poor cash flow protection measures, and constrained liquidity. The company has three business lines: the regulated utilities operations, native-load generation business, and merchant and trading operations. Although most of the company's assets are related to its more stable regulated utilities business operations and the native-load generation business, the smaller but more risky merchant...
Companies mentioned in this report are: Allegheny Energy Inc.,Monongahela Power Co.,Potomac Edison Co.,West Penn Power Co.,Allegheny Generating Co.,Allegheny Energy Supply Co. LLC
Action: Review
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: Full Analysis
|
|
|
|
