Consistent focus on low-risk electricity and natural gas transmission and distribution operations. Predictable revenues and cash flows from regulated activities, which account for over 97% of operating profits. Operating, market, and regulatory diversity in the U.K. and the U.S. Relatively supportive regulatory environments. Proven track record of managing large acquisitions. High consolidated financial leverage as a result of previous acquisitions. Substantial capital expenditures and dividends that will likely result in negative free cash flows over the medium term. Regulatory reset risk in U.K. and in the U.S. Exposure to foreign exchange risk and inflation, which add volatility to adjusted credit measures. Standard&Poor's Ratings Services bases ratings on KeySpan Energy Delivery Long Island (KEDLI; aka KeySpan Gas East Corp
