S&P gives Electricidad Argentina CCC+

Standard & Poor's said it assigned a CCC+ corporate credit rating to Electricidad Argentina SA (EASA), 51% owner of Empresa Distribuidora y Comercializadora Norte SA (Edenor) (CCC+/stable, following the formal completion of its debt restructuring process through the issuance of two new series of bonds in exchange for its defaulted debt.

The outlook is stable.

At the same time, the agency said it affirmed the CCC- ratings on the new bonds issued by the company.

S&P noted that the CCC+ corporate credit rating on EASA reflects the company's full dependence on fees and dividends from Edenor to honor its financial debt, meaning that its debt repayment capacity strongly depends on Edenor's credit quality.

The CCC- ratings on the new bonds reflect structural subordination of creditors at the holding company level with regard to debt recovery in a liquidation scenario, S&P added.

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