Austin, TX Electric Utility System 'AA' Revenue Debt Rating Still On CreditWatch Negative Due To ERCOT Uncertainty

NEW YORK (S&P Global Ratings) May 7, 2021--S&P Global Ratings' 'AA' long-term rating and underlying rating (SPUR) on Austin, Texas' electric utility system revenue debt remain on CreditWatch, where they were placed with negative implications on March 3, 2021. "The 'AA' rating reflects our view of Austin Energy's robust liquidity position that provides significant resilience, strong projected coverage levels, and the performance of its generation fleet during the February 2021 North American winter storm that enabled the utility to generate significant unbudgeted net revenue of $101 million," said S&P Global Ratings credit analyst Scott Sagen. Austin Energy experienced limited generation outages during the storm and its generation output exceeded its customers' demand for energy, enabling it to fully recoup high

...May 7, 2021 NEW YORK (S&P Global Ratings) May 7, 2021--S&P Global Ratings' '##' long-term rating and underlying rating (SPUR) on Austin, Texas' electric utility system revenue debt remain on CreditWatch, where they were placed with negative implications on March 3, 2021. "The '##' rating reflects our view of Austin Energy's robust liquidity position that provides significant resilience, strong projected coverage levels, and the performance of its generation fleet during the February 2021 North American winter storm that enabled the utility to generate significant unbudgeted net revenue of $101 million," said S&P Global Ratings credit analyst Scott Sagen. Austin Energy experienced limited generation outages during the storm and its generation output exceeded its customers' demand for energy, enabling it to fully recoup high natural gas fuel costs it incurred by selling energy into the market. "In our view, Austin Energy's current plans to change its power supply, by closing 405 megawatt...

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