...Introduction: Fitch Ratings presents its third U.S. Utilities, Power & Gas handbook publication, which provides an overview of the competitive power generation landscape in the U.S. and profiles the generation companies (gencos) in Fitch's rated universe. Each company report in this handbook includes rating rationales and rating drivers, along with debt structures and financial summary information. Ratings Disparity Amongst Gencos: The genco sector comprises both affiliates of regulated utilities (affiliated gencos) and independent power producers (IPPs). The affiliated gencos typically operate within a larger holding company structure and generally boast strong investment-grade credit metrics, such as PSEG Power LLC (BBB+), Southern Power Co. (BBB+), and Exelon Generation Co. LLC (Exgen, BBB). IPPs such as Calpine Corporation (Calpine, B+) are viewed as riskier and typically rated below investment grade. Negative Sector Outlook: Fitch continues to have a negative outlook for the competitive...
