Fitch rates NRG notes BB

Fitch Ratings said it assigned BB/RR2 ratings to NRG Energy, Inc.'s recently priced $800 million of 7 5/8% senior notes due 2019 and $1.2 billion 7 7/8% senior notes due 2021.

The outlook is stable.

The notes are being offered in conjunction with NRG's offer to purchase up to $2.4 billion of its 7 3/8% senior due 2016.

Fitch said it considers the debt restructuring as largely neutral to the credit profile of NRG. While extending the debt maturities, the debt restructuring will provide some covenant relief, which will allow NRG additional capacity to return capital to shareholders.

NRG's ratings reflect the relative strength of its balance sheet, earnings, and cash flow generation despite the challenging competitive generation environment with persistent weakness in wholesale power prices, the agency said.

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