Fitch affirms Laclede

Fitch Ratings said it affirmed Laclede Group, Inc. and its regulated gas utility subsidiary Laclede Gas Co.'s A- issuer default ratings.

Fitch said it also affirmed Laclede Gas's A+ first mortgage bonds, F1 short-term issuer default and F1 commercial paper ratings.

The outlook is stable.

The ratings reflect the low business risk and solid financial profile of its core regulated gas distribution business, which accounted for over 80% of operating EBITDA in 2010, as well as the risk profile of its gas marketing subsidiary, Laclede Energy Resources, and the expectation that this business will generally be less than a third of operating income, the agency said.

The ratings are supported by the utility's stable, primarily residential customer base, diverse gas supply, substantial storage capacity, and manageable capital spending and external funding requirements, the agency said.

The debt-to-EBITDA ratio is 4.3 times.

© 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.