The merger between U.S. utility companies Duke Energy Corp. and Progress Energy Inc. was completed on July 2, 2012. We are placing our 'A-' corporate credit and issue ratings on Duke Energy and its subsidiaries on CreditWatch with negative implications in response to the abrupt change in executive leadership disclosed after the merger with Progress Energy. We are placing the issue rating on Duke Energy and its subsidiaries on CreditWatch negative. We are revising the CreditWatch implications on our 'BBB+' corporate credit rating on Progress Energy and its subsidiaries to developing from positive. We are revising the CreditWatch implications on the companies' issue ratings to developing from positive. The CreditWatch listings reflect unresolved issues on corporate governance, merger integration execution,
