S&P: Midwest Generation positive

Standard & Poor's said it placed its B corporate credit rating on Midwest Generation LLC on CreditWatch with positive implications.

The CreditWatch placement follows S&P's placement Monday of Edison Mission Energy's (B/Watch positive) rating on CreditWatch with positive implications. Midwest Gen is indirectly wholly owned by Edison Mission Energy and relies on payments from Edison Mission Energy promissory notes to meet its debt service obligations.

S&P's B+ ratings on Midwest Gen's $700 million first-lien term loan due 2011 and $200 million first-lien working capital facility due 2009 are also placed on CreditWatch with positive implications, reflecting the placement of Midwest Gen's corporate credit rating on CreditWatch. S&P said it continues to assign its 1 recovery rating to Midwest Gen's term loan and working capital facility.

At the same time, S&P placed its B- rating on Midwest Finance Corp.'s $1 billion in second-lien notes due 2034 on CreditWatch with positive implications. Midwest Gen wholly owns Midwest Finance, an issuing entity, and guarantees Midwest Finance's debt repayment obligations. S&P continues to assign its 3 recovery rating to Midwest Finance's notes.

Additionally, S&P said it placed its B rating on Midwest Gen's $333.5 million pass through certificates due 2009 and $813.5 million pass through certificates due 2016 on CreditWatch with positive implications. Edison Mission Energy guarantees the repayment of these pass-through certificates.

© 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.