DUFF & PHELPS: DUKE POWER CO. FI ?AND REFUNDING MORTGAGE BONDS AND FIRST AND REFUNDING MORTGAGE BONDS, MEDIUM-TERM NOTE SERIES RATED 'AA-'
CHICAGO, March 31 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a rating of `AA-' (Double-A-Minus) to Duke Power Company's shelf registration for $750 million of first and refunding mortgage bonds. A rating of `AA-' (Double-A-Minus) also has been assigned to Duke Power Company's shelf registration for $165 million of medium-term notes (a series of first and refunding mortgage bonds). Combined with previous filings, $250 million of notes are available for sale. Proceeds will be used for construction, acquisition of nuclear fuel, and redemption of outstanding debt. The ratings on Duke Power Company's outstanding fixed income securities are reaffirmed as follows: first and refunding mortgage bonds, secured medium-term notes, and collateralized pollution control revenue bonds `AA-' (Double-A-Minus); preferred stock `A+' (Single-A- Plus); and convertible preference stock `A' (Single-A). Duke Power has a low-cost supply of nuclear and coal-fired power. Overall credit fundamentals are strong. Ongoing sales growth and productivity improvements should reflect positively on future earnings. The company's large fixed costs under its take-or-pay contract for power from the Catawba nuclear plant are scheduled to decline and accumulated deferred costs to be recovered. Duke Power continues to emphasize demand-side management programs to help defer the need for additional capacity. Capital expenditures will increase for the accelerated replacement of steam generators at three of Duke Power's nuclear units. Duke Power Company serves approximately 1.7 million customers in a growing service territory covering 20,000 square miles in North Carolina and South Carolina. -0- 3/31/93 /CONTACT: John C. Dell of Duff & Phelps Credit Rating Co. 312-368-3161/ (DUK)
CO: Duke Power Company ST: North Carolina IN: UTI SU: RTG
LD -- NY077 -- 1716 03/31/93 17:15 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Mar 31, 1993|
|Previous Article:||DUFF & PHELPS: SOUTHWESTERN BELL TELEPHONE $200 MILLION 6 3/8 PERCENT NOTES DUE 2001 RATED 'A+'|
|Next Article:||DUFF & PHELPS: IDAHO POWER COMPANY|