Moody's: Ameren Energy Generating view stable

Moody's Investors Service said it affirmed Ameren Energy Generating Co.'s (Genco) corporate family and senior unsecured ratings of B3 and changed the outlook to stable from negative.

These actions follow Dynegy Inc.'s (B2 corporate family rating) announcement that it closed the acquisition of Ameren Energy Resources and its subsidiaries, including Genco. Genco's speculative liquidity rating was also raised to SGL-2 from SGL-3.

"Being acquired by Dynegy is a credit positive for Genco which now has an additional $207 million of cash liquidity pursuant to the Sales Agreement portion of this purchase transaction. The stabilization of the outlook reflects Genco"s improved liquidity and highly hedged position for 2014," Moody's vice president and senior analyst Toby Shea said in a news release.

"Despite the better strategic fit for Genco, the market fundamentals remain very challenging and we could change the outlook back to negative at some point in 2015 or 2016 if the market conditions fail to improve."

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