NEW YORK (S&P Global Ratings) Sept. 21, 2018--S&P Global Ratings today assigned its 'BBB-' issue-level rating to CMS Energy Corp.'s junior subordinated notes due 2078. CMS intends to use the net proceeds from these notes to redeem long-term debt and for general corporate purposes. We classify these notes as hybrid securities with intermediate equity content (50%). We rate the securities two notches below our 'BBB+' long-term issuer credit rating on CMS to reflect their subordination and the company's ability to defer interest payments on the notes. Our intermediate equity treatment is premised on the instrument's permanence, subordination, and deferability features. The security's long-dated nature, along with the company's limited ability and lack of incentives to redeem the issue for a
