S&P lifts Tucson Electric view to positive

Standard & Poor's said it revised the outlook on Tucson Electric Power Co. to positive from stable.

The agency also said it affirmed the BB+ corporate credit rating on the company and the BBB- rating on the company's senior unsecured notes. The recovery rating for the senior unsecured notes remains at 2.

The positive outlook reflects the potential for a modest upgrade based on an expectation that the company's credit measures will likely rebound in 2013 and beyond as a result of a pending rate case, which appears to be credit supportive based on the terms of a tentative settlement that includes a rate increase and lost fixed-cost recovery mechanism, S&P said.

The agency said it expects the company will maintain a balanced capital structure and will continue to capably manage its regulatory relationships in Arizona.

© 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.