Ownership of transmission lines in the SING provides a competitive advantage; Equity stake in Gasoducto Norandino provides Edelnor with a stable cash stream (dividends plus capital reimbursements); Diversified generation base with three main generating units (47% coal, 35% natural gas, and marginally diesel and hydro); and Debt reduction and adequate maturity schedule after Chapter 11 reorganization. Affected by price impact of the significant excess capacity in the SING; Exposed to market risk as approximately 70% of existing contracts mature between 2005 and 2008; and Very limited financial flexibility. Standard&Poor's Ratings Services raised its local and foreign corporate credit ratings on Chilean electric generator Empresa Eléctrica del Norte Grande S.A. (Edelnor) to 'B-' from 'CC', reflecting a more favorable
