DUFF & PHELPS: BALTIMORE GAS AND ELECTRIC COMPANY $350 MILLION FIRST REFUNDING MORTGAGE BONDS (SHELF) RATED 'AA-'
CHICAGO, Feb. 25 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a rating of AA-' (Double-A-Minus) to Baltimore Gas and Electric Company's shelf registration for $350 million of first refunding mortgage bonds. Proceeds will be used to meet capital requirements and for other corporate purposes. Baltimore Gas and Electric has maintained strong long-term credit fundamentals. The company benefits from an economically diversified service territory, reasonable regulation, and a well balanced fuel mix. Issuances of common equity in 1992, totaling $310 million, helped to bolster the capital structure. The 1650 mw Calvert Cliffs Nuclear Plant is now running well, allowing the company to reduce its power purchases and improve cash flow. The company was able to reduce the electric fuel rate several times in 1992, due in part, to increased generation from the Calvert Cliffs units. A further reduction was recently filed. A decision from the Maryland Public Service Commission to allow recovery through rates of the replacement power costs associated with the 1989-91 Calvert Cliffs outages is pending. In September 1992, Baltimore Gas and Electric filed for an 8.6 percent ($163.8 million) electric base rate increase and a 1.5 percent ($5.6 million) gas rate increase. A final decision is expected in April 1993. Baltimore Gas and Electric provides electric and gas service to the city of Baltimore and the surrounding area in central Maryland. Diversified fuel sources include coal, nuclear, oil, gas, and hydro. -0- 2/25/93 /CONTACT: William A. Abrams, CFA of Duff & Phelps Credit Rating Co., 312-368-3112/ (BGE)
CO: Baltimore Gas and Electric Company ST: Maryland IN: UTI SU: RTG
WB -- NY076 -- 0507 02/25/93 15:36 EST
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|Date:||Feb 25, 1993|
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