The ratings on AltaLink Investments L.P. (AILP) reflect the strength of its single investment in AltaLink L.P. (A-/Stable/--), an Alberta-based regulated monopoly electricity transmission company; and the support of AILP's ultimate and creditworthy shareholders. Offsetting these strengths are a weak financial risk profile, cash flow restrictions due to a ring-fenced limited partnership structure, and single-asset exposure. Although the ratings on AILP largely reflect its stand-alone credit quality, they remain linked with the ratings on AltaLink. As such, a material deterioration in AltaLink's creditworthiness will directly affect AILP. AILP was established in 2001 to indirectly own or operate electricity transmission assets in and outside Alberta. But AltaLink represents its sole investment. AILP is unlikely anytime soon to meaningfully diversify its holdings
