...Robust Operational Cash Generation: Tractebel Energia S.A.'s (Tractebel) ratings reflect the expectation that the company will be able to sustain its solid consolidated credit profile in a challenging macroeconomic environment that will lead to lower energy consumption in 2016. Tractebel benefits from a solid financial profile with low leverage, a robust liquidity position and a manageable debt maturity schedule. Fitch Ratings expects its EBITDA margin will recover to 50%¡55% in 2016 due to a reduced thermal dispatch and fewer effects from hydrology issues. FCF to Turn Negative: Fitch expects negative FCF for Tractebel in the next three years as a result of higher capex. Nevertheless, the agency considers the flexibility the company has demonstrated in reducing its dividends distribution as a way to preserve cash and credit metrics when necessary to be positive. Cash flow from operations (CFFO) has improved to BRL2.8 billion in the LTM March 31, 2016, and was sufficient to cover higher...
