Moody's shifts Spire Missouri view to negative

Moody's Investors Service said it affirmed Spire Missouri Inc.'s A1 senior secured rating and changed the outlook to negative from stable.

The Missouri Public Service Commission's order on Spire’s rate case, which includes provisions that are inconsistent with past rate orders, less transparent on cost recovery timing, and not supportive of the company's credit quality, prompted the outlook revision, the agency said.

"The rate case outcome could signal a potentially less consistent and predictable regulatory environment in Missouri which may lead to a more contentious relationship between Spire Missouri and state regulators," said Jeff Cassella, a Moody's vice president and senior credit officer, in a press release.

"The adverse rate order comes at a time when Spire Missouri's credit metrics were already weak following the impact of higher gas costs driven by market volatility from extreme cold weather during winter storm Uri in February," added Cassella.

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