LONDON (Standard&Poor's CreditWire) June 27, 2000--Standard&Poor's raised the local currency issuer credit rating of Eskom--the state-owned electric utility of the Republic of South Africa--to single-'A'-minus from triple-'B'-plus. The outlook is changed to stable from positive. The foreign currency rating is affirmed at triple-'B'-minus with a stable outlook. The rating action reflects Eskom's pivotal role in the electricity industry of South Africa (A-/Stable/A-2 local currency; BBB-/Stable/A-3 foreign currency) where an improving economic environment and ongoing structural reforms have led to a sustainable better long-term sovereign credit position. Standard&Poor's expects these economic benefits to also accrue to Eskom given the company's strategic importance to South Africa, and signals an improvement in the utility's own creditworthiness. Eskom
