On Oct. 4, 2002, Standard&Poor's Ratings Services assigned its triple-'B'-plus long-term and 'A-2' short-term corporate credit ratings to Finland-based energy company Fortum Oyj (Fortum). At the same time, Standard&Poor's removed from CreditWatch and affirmed all ratings on Fortum's wholly owned subsidiary, Sweden-based utility Birka Energi AB (Birka; now renamed Fortum Power&Heat AB). The outlook on both companies is stable. The ratings on Fortum reflect the group's position as the second-largest Nordic energy utility, controlling competitive and flexible generation assets and stable utility monopoly operations, and operating a complex oil refining business. These strengths are balanced by exposure to volatile market conditions both in electricity generation and supply, prices for crude oil and refining margins,
