The rating on DPL Inc. reflects the company's high debt leverage, weak cash flow coverage measures, adequate liquidity, and the satisfactory business risk profile of the consolidated enterprise, which includes its utility subsidiary, Dayton Power&Light Co. (DP&L), as well as its nonregulated peaking plants and remaining interest in its investment portfolio. DPL's stated objective is to remain a stand-alone company, with the intent to emphasize its regulated transmission and distribution operations and nonregulated power generation and the self-liquidation of its investment portfolio, which should result in continued improvement in its overall business risk. These above-mentioned credits risks and weaknesses are partially offset by DP&L's regulated operations, which provide a significant amount of consolidated operating income and have a
