Moody's rates Korea Midland Power

Moody's Investors Service said it has assigned a senior unsecured debt rating of A3 to Korea Midland Power Co. Ltd.'s proposed Regulation S/Rule 144A U.S. dollar-denominated notes issue.

The outlook is negative, reflecting the negative outlook for Korea's A3 sovereign rating.

Moody's said the company's A3 rating reflects the company's sound financial profile, which is supported by the sustainability of growth in electricity demand in Korea and the company's cost-saving initiatives. The rating also reflects Korea Midland Power's sound operating profile and its diversified portfolio of generation assets, of which about 49% are base load.

Moody's said the rating also considers the supportive regulatory framework and Moody's expectation that the Korean government will manage reform of the power sector in a manner that supports the industry's financial profile, while at the same time encourages operating efficiency through the gradual introduction of competition.

© 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.