Fitch affirms Mountaineer Gas

Fitch Ratings said it affirmed Mountaineer Gas Co.'s issuer default rating at BB- and its unsecured debt at BB.

The outlook remains stable.

The agency said the ratings take into consideration regulated cash flows from local gas distribution operations in West Virginia, a predominantly residential customer base with limited exposure to industrials, a West Virginia Public Service Commission-approved gas procurement plan, Mountaineer Gas' manageable capital spending requirements and additions to senior management that Fitch considers well qualified.

Total liquidity is expected to be sufficient to meet working capital needs in the current winter heating season, but the company must extend or replace its maturing external liquidity arrangements this year, Fitch noted.

The debt-to-EBITDA ratio was 5.6 times as of Sept. 30.

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