This report does not constitute a rating action. Overview Key strengths Key risks Low-risk natural gas utility operations. Large capital-spending program that requires balanced funding. Regulatory diversity and sizable scale. Negative discretionary cash flow. Robust economic growth across the service territory. We assess Southwest Gas Holdings Inc.’s (SWX) business risk profile as excellent, reflecting its fully regulated operations. SWX, through its operating subsidiary Southwest Gas Corp. (SWG), is a fully regulated business, deriving 100% of its EBITDA from lower-risk utility operations. SWG generates 100% of its cash flow from geographically diversified regulated operations, which S&P Global Ratings views favorably. SWG operates under the jurisdiction of the Arizona Corp. Commission (ACC; approximately 55% of rate base), the Public Utilities Commission of
