Moody's gives Enbridge notes Baa3

Moody's Investors Service said it assigned a Baa3 rating to the $400 million issuance of a new class of securities, junior subordinated notes, by Enbridge Energy Partners, LP.

The agency said that Enbridge's existing ratings as well as the ratings of its subsidiary, Enbridge Energy Ltd. Partnership, remain unchanged.

The outlook is negative.

The Baa3 rating of Enbridge's note issuance is based on the assumption that the final transaction and financing documents will not differ materially from Moody's current understanding of the transaction based on information provided to us by the company to date.

The rating considers Enbridge's Baa2 senior unsecured rating, the relative claim of the notes within the company's capital structure and certain structural features of the notes such as its long-dated maturity, optional interest deferral and the non-cash cumulative nature of the interest deferral, Moody's said.

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