Portuguese Gas Network Operator Galp Gas Natural Distribuicao 'BBB-' Rating Affirmed; Outlook Stable

Galp Gas Natural Distribuiçao's excellent business risk profile continues to be supported by stable and predictable cash flows generated from fully regulated activities under a three-year regulatory framework until June 2019. Following the issuance of its bond in 2016, we continue to expect stable funds from operations (FFO) generation such that FFO to debt remains above 9% and debt to EBITDA declines toward 6.5x over time. We are affirming our 'BBB-' rating on Galp Gas Natural Distribuiçao. The stable outlook reflects our expectation that stable cash flow generation will see that the financial risk profile remains the same as it is currently, over the medium term. PARIS (S&P Global Ratings) Oct. 25, 2017--S&P Global Ratings today affirmed its 'BBB-' long-term

...+ Galp Gas Natural Distribuitao's excellent business risk profile continues to be supported by stable and predictable cash flows generated from fully regulated activities under a three-year regulatory framework until June 2019. + Following the issuance of its bond in 2016, we continue to expect stable funds from operations (FFO) generation such that FFO to debt remains above 9% and debt to EBITDA declines toward 6.5x over time. + We are affirming our '###-' rating on Galp Gas Natural Distribuitao. + The stable outlook reflects our expectation that stable cash flow generation will see that the financial risk profile remains the same as it is currently, over the medium term. PARIS (S&P Global Ratings) Oct. 25, 2017--S&P Global Ratings today affirmed its '###-' long-term corporate credit rating on Portuguese gas distribution system operator Galp Gas Natural Distribuitao (GGND). The outlook is stable. The rating affirmation follows GGND's sustained financial performance in the first half of...

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