S&P affirms Public Power

S&P Global Ratings said it affirmed its CCC- long-term corporate credit rating on Public Power Corp. SA. The outlook remains negative.

S&P affirmed the rating because of the lasting high liquidity risks stemming from macroeconomic conditions in Greece, which S&P forecasts will continue in 2017, and the shrinking funding sources available to Public Power.

“Our CCC- long-term rating on PPC and its liquidity position uniquely depend upon the distressed Greek banking system, in our view. Without timely intervention from the systemic banks, with which PPC is negotiating the funding package of €200 million, we see a high risk that PPC will run out of cash in the second quarter of 2017,” S&P said in a news release.

“We expect the financing to be granted and approved by January 2017, which should allow PPC to extend debt maturities and also provide comfort to bondholders.”

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.