Printer Friendly

LOUISIANA LAND & EXPLORATION 'BBB+' SENIOR DEBT, 'F-2' COMMERCIAL PAPER AFFIRMED BY FITCH -- FITCH FINANCIAL WIRE

 NEW YORK, April 7 /PRNewswire/ -- The Louisiana Land and Exploration Co.'s (LL&E) `BBB+' senior debt and `F-2' commercial paper ratings are affirmed by Fitch. Rated senior debt totals $100 million, and $200 million is available under a shelf registration. Commercial paper outstanding totals approximately $50 million. The credit trend is stable.
 Rating maintenance is based on LL&E's strong cash flows and the company's ability to replace its production under difficult industry conditions. LL&E is poised for earnings and cash flow improvement, even if industry conditions and prices show little or no recovery. Rising production, rather than prices, will drive cash flow, generating funds for reserve replacement. Organic growth could be accelerated by acquisitions, with major ones financed so as not to distort debt leverage.
 LL&E's debt leverage has remained steady in the mid-40 percent range, ending 1992 at 45.2 percent, as the company kept spending within cash generation. Cash flow debt coverage has been well-maintained, with 47.4 percent for 1992. Creditors also benefit from asset market values which well exceed debt, and from a strong current common share price. The company is using offerings under its shelf registration primarily to refinance scheduled debt maturities, but may use some or all of the proceeds for acquisitions and working capital requirements.
 LL&E, based in New Orleans, is a major independent oil and gas producer.
 -0- 4/7/93
 /CONTACT: Mary Anne Sudol of Fitch, 212-908-0562/
 (LLX)


CO: Louisiana Land and Exploration Co. ST: Louisiana IN: SU: RTG

SM -- NY042 -- 3798 04/07/93 13:07 EDT
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:Apr 7, 1993
Words:262
Previous Article:BOSTON REAL ESTATE DEVELOPER SENTENCED ON BANK FRAUD CHARGES
Next Article:CARS IN CHICAGO SOON WILL BE EQUIPPED WITH TWO HORNS -- AND THAT'S NO BULL
Topics:


Related Articles
ENSERCH SENIOR DEBT LOWERED TO 'BBB' BY FITCH, COMMERCIAL PAPER AFFIRMED -- FITCH FINANCIAL WIRE --
TWO ENSERCH NOTE ISSUES RATED 'BBB' BY FITCH -- FITCH FINANCIAL WIRE --
LL&E $100 MIL. 8.25. PERCENT NOTES DUE 2002 RATED 'BBB+' BY FITCH --FITCH FINANCIAL WIRE (FFW)--
OCCIDENTAL PETROLEUM $150 MILLION TWO-YEAR MEDIUM TERM NOTES RATED 'BBB' BY FITCH -- FITCH FINANCIAL WIRE --
LOUISIANA L&E 'BBB+' SR. DEBT, 'F-2' CP AFFIRMED BY FITCH -- FITCH FINANCIAL WIRE --
LOUISIANA LAND & EXPLORATION 'BBB+' SENIOR DEBT, 'F-2' COMMERCIAL PAPER AFFIRMED BY FITCH -- FITCH FINANCIAL WIRE --
LOUISIANA LAND & EXPLORATION $200 MILLION DEBENTURES 'BBB+' BY FITCH -- FITCH FINANCIAL WIRE --
ENSERCH Debt On FitchAlert Evolving; TXU Ratings Affirmed -- FITCH FINANCIAL WIRE --
Louisiana Land 'BBB+' Senior Debt On FitchAlert Positive - Fitch Financial Wire -
MCN Energy Affirmed; MCNIC Debt Shelf Rated 'BBB+' by Fitch IBCA -- Fitch IBCA Financial Wire --

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters