Fitch rates Wisconsin Energy notes BBB+

Fitch Ratings said it assigned a BBB+ rating to Wisconsin Energy Corp.'s $300 million 1.65% senior notes due 2018, $400 million 2.45% senior notes due 2020 and $500 million 3.55% senior notes due 2025. The outlook is stable.

Proceeds will be used to finance the cash consideration of Wisconsin Energy's proposed acquisition of Integrys Energy Group, Inc.

As previously reported, Fitch downgraded Wisconsin Energy's ratings on June 2. It attributed the downgrade to increased parent-level debt and the integration risk of combining two relatively large utility holding companies.

At the same time, the agency said the proposed acquisition will further diversify consolidated earnings and cash flows, and in Fitch's opinion, the merger terms imposed by the Wisconsin and Michigan commissions are relatively favorable to utility credit quality, including the absence of any base rate freeze provisions.

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