S&P: Kinder Morgan unaffected

Standard & Poor's said Kinder Morgan Energy Partners LP's announcement that it will acquire 100% of Tennessee Gas Pipeline Co. and a 50% interest in El Paso Natural Gas Co. from Kinder Morgan Inc. would not affect ratings at the companies.

The price of the acquisitions is about $6.22 billion, including about $1.8 billion in assumed debt at Tennessee Gas Pipeline and about $560 million of proportional debt at El Paso Natural Gas.

The agency said ratings are not affected because the asset sale, Kinder Morgan's associated financing plans, and Kinder Morgan Inc.'s debt-reduction plans are in line with the expectations that S&P factored into its analysis in May when Kinder Morgan Inc. closed its purchase of El Paso Corp.

The agency said it expects to equalize its ratings on Tennessee Gas Pipeline with those on Kinder Morgan when the sale is complete.

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