NEW YORK (Standard&Poor's) March 20, 2008--Standard&Poor's Ratings Services said today it raised its long-term corporate credit rating on integrated electric and natural gas utility Aquila Inc. to 'BB-' from 'B+'. The company remains on CreditWatch with positive implications. The upgrade reflects Aquila's strengthening credit profile due to improving financial measures from asset sales, deleveraging, and increasing cash flow. "As mostly a regulated electric and natural gas utility company, cash flow should begin to be stronger and more stable," said Standard&Poor's credit analyst Gerrit Jepsen. In addition, the ability of the company's Missouri utility to recover fuel and purchased power costs through a fuel-adjustment clause enhances cash flow stability during times of rising purchased power,
