NEW YORK (Standard&Poor's) Feb. 12, 2002--Standard&Poor's triple-'B' underlying rating (SPUR) and triple-'B' uninsured rating on Philadelphia Gas Works' (PGW) Ordinance 1975 and 1998 senior bonds, and its triple-'B'-minus SPUR on the 1998 Ordinance subordinated bonds remain on CreditWatch with negative implications where they were placed July 20, 2000. PGW's poor liquidity position has worsened with December 2001 cash balances at $3.8 million (2.5 days' cash) compared to ending cash of about $8.4 million at fiscal year-end August 2000. PGW is filing an emergency rate relief in February 2002 with the Pennsylvania Public Utility Commission (PUC) to address liquidity issues. Without immediate cash flow improvement, ratings will be lowered. PGW's poor liquidity is due, in part, to
