Fitch: Iberdrola outlook positive

Fitch Ratings said it has affirmed Iberdrola USA Inc.'s long-term issuer default rating of BBB following the announcement of a definitive agreement to acquire UIL Holdings Corp.

The outlook remains positive.

According to Fitch, the agreement is subject to approval by the majority of UIL shareholders and the admission to trading of Iberdrola’s shares on the New York stock Exchange, in addition to the state and federal regulatory approvals.

In Fitch's view the UIL acquisition improves the company’s credit profile given the regulated nature of UIL's businesses and the predominant use of equity and cash to finance the acquisition.

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