-- We raised power producer NRG Energy's corporate credit rating (CCR) to 'BB-' from 'B+', reflective of our view of standalone credit quality without reflecting any possible impact of the Exelon acquisition offer. We also raised the ratings on secured debt to 'BB+' from 'BB' and unsecured debt to 'BB-' from 'B' based on a better recovery valuation. -- The upgrade is unusually timed amidst sharply lower gas prices, but reflects expected strong and stable cash flows for several years due to the hedged nature of NRG's fleet, as well as a recognition that management's superior execution of its hedge strategy has allowed NRG distinguished itself in the independent power producer (IPP) sector. -- We see NRG being free-cash-flow positive
