Moody’s lifts Electricidade dos Acores

Moody’s Investors Service said it upgraded the corporate family rating for Electricidade dos Acores, SA to Ba1 from Ba2 and changed the outlook to stable from positive.

Concurrently, Moody's upgraded the company's standalone baseline credit assessment to ba1 from ba2.

The agency said it expects that key credit metrics will reach a level consistent with guidance for the ba1 BCA with funds from operations/debt in the high-teens in percentage terms.

“Financial performance will likely weaken in 2020-21, as a result of lower electricity demand and a potential increase in trade receivables following the coronavirus outbreak,” the agency said in a news release.

“However, the company benefits from the fully regulated nature of its activities and the difference between actual and allowed revenues under its regulatory framework will be recovered, albeit with a two-year lag.”

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.