Fitch lowers Central Hudson short-term debt

Fitch Ratings said it affirmed the A- long-term issuer default rating of Central Hudson Gas & Electric, along with its senior unsecured debt at A and preferred stock at BBB+.

The agency also said it lowered the company's short-term debt to F2 from F1.

The downgrade of the short-term debt reflects the traditional linkage of long-term and short-term debt ratings, Fitch said.

The outlook remains stable.

The ratings reflect the low business risk and predictable cash flows generated by the company's regulated transmission and distribution businesses, which bear no commodity price risk, Fitch said.

Its cash flows are supported by a revenue decoupling mechanism that insulates the company from changes in sales volume due to weather, customer demand and energy conservation and efficiency, the agency said.

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