Very supportive regulatory environment; Favorable service territory, with low market penetration providing growth opportunities; Low operating risk gas transmission and distribution operations; Above-average competitive position; and Strong cash flow. Competition from other fuel sources; and Higher risk associated with parent KeySpan's nonregulated businesses. The ratings on KeySpan Energy Delivery Long Island (KED Long Island) remain on CreditWatch with negative implications, pending the sale of its parent, KeySpan Corp. (A/Watch Neg/A-1), to National Grid PLC (A/Watch Neg/A-1) for $7.3 billion (£4.2 billion) plus assumed debt of $4.5 billion (£2.6 billion). The acquisition is part of National Grid's strategy to diversify revenue and earnings outside the U.K. Standard&Poor's Ratings Services anticipates lowering all ratings on National Grid by one notch
