GEORGIA POWER COMPANY $160 MILLION 7.95 PERCENT FIRST MORTGAGE BONDS RATED 'A-'
CHICAGO, Jan. 27 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a rating of A-' (Single-A-Minus) to Georgia Power Company's issuance of $160 million of 7.95 percent first mortgage bonds due February 1, 2023. The bonds are nonrefundable for five years. Georgia Power's intensified cost control measures and budget refinements have permitted some strengthening in financial protection measures and cash flow. Such measures will reduce the company's new money needs and result in lower interest expense. The company has been aggressively refinancing higher cost debt. The Georgia Public Service Commission recently certified Georgia Power's investment in six combustion turbines to be put into operation in 1994 and 1995. The certification assures recovery of Georgia Power's investment through rates, assuming normal prudence requirements are met. This is the first certification allowed under a 1991 law setting up the certification and resource planning process. Sales growth is not materializing as fast as originally planned. However, slower growth should allow Georgia Power to scale back construction, reducing new money external financing needs and place Georgia Power in a better financial position when spending needs increase to comply with clean air requirements in the mid-to-late 1990s. Georgia Power Company, a subsidiary of Southern Company, provides electric service to most of Georgia. -0- 1/27/93 /CONTACT: William A. Abrams, CFA of Duff & Phelps, 312-368-3112/ (SO)
CO: Georgia Power Company ST: Georgia IN: UTI SU: RTG
KD -- NY073 -- 9664 01/27/93 12:28 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Jan 27, 1993|
|Previous Article:||THE VARIABLE ANNUITY LIFE INSURANCE COMPANY CLAIMS PAYING ABILITY RATING REAFFIRMED AT 'AAA'|
|Next Article:||BORG-WARNER REDEEMS DEBENTURES; AUTOMOTIVE OPERATIONS BECOME INDEPENDENT|