Fitch rates Ameren Energy notes BBB+

Fitch Ratings said it assigned a BBB+ rating to Ameren Energy Generating Co.'s $250 million issue of 6.3% senior notes, series I, due 2020.

The outlook is negative.

Proceeds will be used to repay short-term debt and for other corporate purposes.

The agency said the ratings and negative outlook reflect the merchant price exposure of Ameren Energy's generating portfolio, the unfavorable forward curve of wholesale energy prices over the next several years and the sensitivity of the company's largely coal-fired generating fleet to carbon and other environmental regulations.

Favorably, management recently lowered planned capital expenditures in its merchant generation business by roughly $1 billion over the four-year period of 2010 to 2013 as well as a work force reduction, 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.