YANKEE ATOMIC COMMERCIAL PAPER RATING TO BE WITHDRAWN BY FITCH -- FITCH FINANCIAL WIRE --
YANKEE ATOMIC COMMERCIAL PAPER RATING TO BE WITHDRAWN BY FITCH
-- FITCH FINANCIAL WIRE --
NEW YORK, Feb. 6 /PRNewswire/ -- Yankee Atomic Electric Co.'s 'F-1' commercial paper rating will be withdrawn effective March 23 by Fitch. The action follows the company's announcement today that it is shutting its Yankee Rowe nuclear plant permanently.
The company informed Fitch that it plans to retire $3 million of outstanding commercial paper maturing on March 23 and does not plan to issue commercial paper for the foreseeable future. The company has sufficient cash to retire the outstanding commercial paper.
Yankee said today that it will permanently shut down the Yankee Rowe nuclear plant because of continued regulatory and economic uncertainty. The plant was voluntarily shut down in October 1991 due to Nuclear Regulatory Commission concerns over the condition of the reactor vessel. Testing and inspecting the plant would cost $23 million. Unresolved regulatory issues make it difficult to estimate the ultimate costs and schedule for plant restart. Significant new power sources and a recession have created a regional power surplus and a competitively priced bulk power market.
/CONTACT: Josephine Zeppieri of Fitch, 212-908-0575/ CO: Yankee Atomic Electric Co. ST: Massachusetts IN: UTI SU: RTG SH -- NY072 -- 2932 02/26/92 15:50 EST