...- Calgary, Alta.-based MEG Energy Corp. generated stronger-than-expected earnings and cash flows and reduced close to C$500 million of debt over the past 12 months. - We now estimate the company will generate credit metrics that are stronger than our previous expectations, with funds from operations (FFO)-to-debt of 15%-18% for 2020-2021. - As a result, on Jan. 14, 2020, S&P Global Ratings revised its outlook on MEG to stable from negative and affirmed its 'B+' issuer credit rating on the company. - At the same time, we also affirmed our '##' issue-level rating, with a '1' recovery rating, on the company's senior secured debt and '##-' issue-level rating, with a '2' recovery rating, on the company's senior unsecured debt. - The stable outlook reflects our expectation that MEG will continue to actively manage and mitigate its exposure to the Western Canadian Select (WCS) differential, generate FFO-to-debt of 15%-18% over the next two years, with positive free cash flows that could support...
