On Feb. 2, 2007, Standard&Poor's Ratings Services affirmed its 'B' rating on oil and gas exploration and production (E&P) company Hilcorp Energy I L.P.'s senior unsecured notes due 2015, which the company proposes to increase by $175 million, to a total of $475 million. The corporate credit rating on Hilcorp is 'B+'. The outlook is stable. Houston, Texas.-based Hilcorp had $576 million of balance sheet debt as of Sept. 30, 2006. We expect Hilcorp to use the proceeds to repay borrowings under the company's credit facility, tender for the remaining $150 million of senior notes due in 2010, and for general corporate purposes, including acquisitions. The affirmation reflects our expectation that acquisitions will focus on oil and gas
