Fitch puts Georgia Power, Southern on watch

Fitch Ratings said it placed the A long-term issuer default rating and F1 short-term issuer default rating of Georgia Power Co. on Rating Watch negative following news that Westinghouse Electric Co. and certain of its affiliates have filed for Ch. 11 under the U.S. bankruptcy code.

Westinghouse's bankruptcy filing places the construction of Vogtle 3 and 4 units in jeopardy, Fitch explained.

Fitch also said it placed Southern Co.'s A- long-term issuer default rating on Rating Watch negative given that Georgia Power is the largest subsidiary in the family and accounted for about 47% of consolidated 2016 EBITDA.

The agency also said it placed the BBB long-term issuer default rating of Mississippi Power Co. on Rating Watch negative based on its strong rating linkage and two-notch differential with the parent.

Fitch also said it placed the F1 commercial-paper ratings at Southern Co. Funding Corp. on Rating Watch negative.

The ratings of Alabama Power Co., Gulf Power Co., Southern Power Co., Southern Co. Gas, Southern Co. Gas Capital, Atlanta Gas & Light, Nicor Gas and Southern Electric Generating Co. are unaffected at this time.

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