Moody’s: Argentinean gas companies to positive

Moody's Latin America said it affirmed the global scale local currency ratings assigned to local gas distribution companies (LDCs) operating in Argentina and changed their outlooks to positive from negative.

At the same time, the agency upgraded the assigned national scale ratings of those issuers and the companies' stock ratings. The detailed list of issuers and ratings follows:

• Camuzzi Gas Pampeana SA: Corporate family rating affirmed at Caa1, outlook changed to positive from negative; national scale rating upgraded to Baa1.ar from Baa3.ar;

• Gas Natural Ban SA: Corporate family rating affirmed at Caa1, outlook changed to positive from negative; national scale rating upgraded to Baa1.ar from Baa3.ar;

• Distribuidora de Gas Cuyana SA: Corporate family rating affirmed at Caa1, outlook changed to positive from negative; national scale rating upgraded to Baa1.ar from Baa2.ar; and

• Metrogas SA: Corporate family rating and debt program for up to $600 million affirmed at Caa1 and provisional Caa1, respectively, outlook changed to positive from negative; national scale rating upgraded to Baa3.ar from Ba1.ar.

Moody’s said the actions incorporate its expectation of a continuously improving operating environment for LDCs going forward and reflect recent positive industry developments. These include a government announced tariff increase for regulated gas distribution companies that will materially improve the companies' financial position.

Moody's also noted that regulatory authorities have given themselves one year to conduct a comprehensive tariff review, a reasonable time frame that, if effectively conducted, would materially improve LDCs future cash flow predictability.

© 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.