...Talen Energy Supply, LLC's (Talen; BB¡/Negative) ratings and Outlook reflect its aggressive financial policy, which involves funding a portion of its share buybacks with debt, resulting in EBITDA leverage reaching 3.7x over the medium term under Fitch Ratings' assumptions. The company's reduced geographic diversification and size with the sale of the Electric Reliability Council of Texas (ERCOT) portfolio, its exposure to market prices in a potentially volatile commodity price environment, and its operating risk associated with the nuclear generation assets are additional credit concerns. Fitch could lower the rating of Talen if leverage is above 3.5x starting in 2025....
