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Published on 3/21/2012 in the Prospect News Convertibles Daily and Prospect News Investment Grade Daily.

Moody's says Caiman acquisition weakens Williams

Moody's Investors Service said that Williams Partners LP's agreement to acquire Caiman Eastern Midstream, LLC for $2.5 billion weakens the partnership's credit profile, given the large purchase price relative to the assets' current earnings and the accompanying increase in leverage metrics.

The outlook remains stable because of the high proportion of equity funding for the transaction, the agency said.


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