Overview Key strengths Key risks Low-risk utility operations across U.S., Canada, and the Caribbean. Large capital spending program over our forecast period. Large scale with geographic and regulatory diversity. Negative discretionary cash flows over our forecast period indicate external funding needs. The company and its subsidiaries have a consistent track record of service reliability. Exposure to physical risk, including wildfire, storms, hurricanes, and flooding Effective regulatory risk management. Managing energy transition risk at subsidiary Tucson Electric Power Co. (TEP). Minimal cushion in financial measures, largely due to elevated capital spending that we expect to persist. These include funding its large capital spending programs in a credit-supportive manner, maintaining its effective regulatory risk management across its many jurisdictions, and managing energy
