Fitch gives eustream negative outlook

Fitch Ratings said it affirmed eustream, as' long-term issuer default rating and senior unsecured rating at BBB, removed them from rating watch negative and assigned a negative outlook.

“Fitch's base scenario now incorporates full or near-complete shut off of Russian pipeline gas to Europe and no payments from Gazprom. We now base our analysis on eustream's capacity to carry alternative flows and thus receive capacity bookings to service demand nationally and that from neighboring central and eastern European countries.

The agency noted eustream’s robust liquidity against conservative debt levels and could benefit from parental support of its stronger parent SPP Infrastructure as.

“The negative outlook reflects uncertainties related to the magnitude of alternative transits as well as potential liabilities arising from eustream's hedging,” Fitch said.

© 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.