S&P Global Ratings affirmed its 'A-' long-term rating and underlying rating (SPUR) on Cleveland's existing public power system revenue debt issued for Cleveland Public Power (CPP). The outlook is stable. The system's electric net revenue pledge secures the bonds. CPP had $189 million in total debt outstanding as of Dec. 31, 2021. We believe bond provisions are credit neutral with a rate covenant equal to 1.25x annual debt service and an additional bonds test equal to 1.25x maximum annual debt service (MADS). CPP is unique compared to almost all of the public power utilities S&P Global Ratings rates because the utility does not benefit from having a captive customer base. It engages in door-to-door competition for customers with its principal
