DUFF & PHELPS: MISSISSIPPI POWER COMPANY $35 MILLION FIRST MORTGAGE BONDS RATED 'A+'
CHICAGO, Feb. 26 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a rating of A+' (Single-A-Plus) to Mississippi Power Company's proposed issuance of $35 million of first mortgage bonds. The bonds will mature in 1998 and are noncallable. Proceeds will be used to refund higher cost debt. A settlement, announced Feb. 23, with regard to Mississippi Power's performance-based ratemaking plan (PEP) reduces uncertainty. Mississippi Power's PEP was initially approved by the Mississippi Public Service Commission in 1986, and litigation has been pending since that time. The settlement, which will not have a significant impact on the company, concludes all issues relating to the three groups who had contested the legality of the PEP. Construction expenditures are expected to double in the next three years due to a continuation of strong customer growth. Approximately 25 percent of construction expenditures will be for compliance with Clean Air Act requirements. Internal funds should cover a major portion of the construction budget. Mississippi Power is dedicated to controlling costs and strengthening its capital structure. Mississippi Power Company, a subsidiary of Southern Company, provides electric service to over 176,000 customers is Southeast Mississippi. -0- 2/26/93 /CONTACT: John C. Dell of Duff & Phelps Credit Rating Co., 312-368-3161/ (SO)
CO: Mississippi Power Company ST: Mississippi IN: UTI SU: RTG
WB -- NY026 -- 0823 02/26/93 11:45 EST
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|Date:||Feb 26, 1993|
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