S&P revises CenterPoint Energy to positive

S&P said it revised its rating on CenterPoint Energy Inc. and subsidiaries, CenterPoint Energy Houston Electric LLC and CenterPoint Energy Resources Corp., to positive from developing.

The agency also affirmed its ratings, including the A- issuer credit ratings, on CenterPoint and its subsidiaries.

S&P said its positive outlook reflects the increased probability of a higher rating, reflecting the sale of CenterPoint's interest in the more volatile Enable, which would improve the company's business risk profile and allow it to preserve consistent financial measures. Specifically, the agency expects the company to use sale proceeds for capital spending, replacing the cash flow loss from the sale of Enable.

“The positive outlook reflects our expectations that CenterPoint will sell its interest in its higher risk midstream business and use the proceeds for capital spending, preserving its cash flow measures,” S&P said in a news release.

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