Printer Friendly

DUFF & PHELPS LOWERS HAWAIIAN ELECTRIC INDUSTRIES, INC. MEDIUM-TERM NOTES TO 'BBB+'

 CHICAGO, Feb. 26 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has lowered the rating of Hawaiian Electric Industries, Inc.'s (HEI) medium-term notes to BBB+' (Triple-B-Plus) from A-' (Single-A-Minus) and removed the securities from Rating Watch -- Unfavorable. HEI's commercial paper rating of Duff 1- (One-Minus) is reaffirmed.
 The downgrade action stems from the increasing uncertainty surrounding HEI and its decision to cease operations at its insurance subsidiary Hawaiian Insurance & Guaranty Company, Limited (HIG) in December 1992. The extent of additional financial responsibility ultimately required, if any, is unknown. However, the pending situation adds new risk, not reflected in the prior rating.
 The ratings of HEI's primary subsidiary Hawaiian Electric Company (HECO) are reaffirmed. Duff & Phelps assumes that the distinct separation between utility and nonutility businesses will continue. Therefore, the insurance related risks faced by HEI do not transfer to HECO. HECO has maintained a good balance sheet structure. The regulatory environment is improving, albeit it slowly. The Hawaii Public Utilities Commission has recognized HECO's purchased power obligations. Supportive regulation must continue for HECO to attract the capital necessary for its large construction program.
 Hawaiian Electric Industries is the holding company for subsidiaries engaged in the electric utility, financial service, freight transportation, and real estate development businesses. The utility business, represented by Hawaiian Electric Company and subsidiaries Maui Electric Company, Limited and Hawaii Electric Light Company, Inc. provides three-fourths of consolidated operating income. The major non-utility subsidiary is American Savings Bank which has performed well.
 -0- 2/26/93
 /CONTACT: William A. Abrams, CFA of Duff & Phelps Credit Rating Co., 312-368-3112/
 (HE)


CO: Hawaiian Electric Industries, Inc. ST: Hawaii IN: UTI SU: RTG

TS -- NY059 -- 1012 02/26/93 16:51 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Feb 26, 1993
Words:280
Previous Article:MANAGEMENT TECHNOLOGIES, INC. TO BE RELISTED; EXERCISE PRICE OF WARRANTS
Next Article:DUFF & PHELPS UPGRADES BOSTON EDISON COMPANY DEBENTURES/MEDIUM-TERM NOTES TO 'BBB+'
Topics:


Related Articles
HAWAIIAN ELECTRIC INDUSTRIES, INC. $110 MILLION MEDIUM-TERM NOTES (SHELF) RATED 'BBB+' BY DUFF & PHELPS
DUFF & PHELPS CREDIT RATING CO. UPGRADES NORTHERN INDIANA PUBLIC SERVICE COMPANY
DUFF & PHELPS UPGRADES NIPSCO INDUSTRIES
DCR UPGRADES THE CREDIT RATINGS OF CINERGY'S OPERATING SUBSIDIARIES CINCINNATI GAS & ELECTRIC CO. & PSI ENERGY, INC. TO 'A-'
DCR REAFFIRMS UTILICORP UNITED INC.'S CREDIT RATINGS FOLLOWING ANNOUNCED PLAN TO ACQUIRE A 49.9 PERCENT STAKE IN AUSTRALIAN ELECTRIC UTILITY
DCR RATES HAWAIIAN ELECTRIC INDUSTRIES' $30 MILLION 6.66 PERCENT MEDIUM-TERM NOTES 'BBB+'
DCR UPGRADES HOUSTON INDUSTRIES INC.'S NOTES AND SENIOR DEBENTURES TO 'BBB+' AND REAFFIRMS THE RATINGS OF HOUSTON LIGHTING & POWER CO.
DCR Reaffirms the Ratings of Hawaiian Electric Industries, Inc. and Hawaiian Electric Company
DCR Assigns Credit Rating to Cinergy Corp. and Reaffirms Cinergy Subsidiaries' Credit Ratings
DCR Rates Hawaiian Electric Industries, Inc.'s $200 Million Commercial Paper Program 'D-2'

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters