The ratings for KeySpan Energy Delivery Long Island (KED Long Island) reflect the consolidated business and financial profiles of parent KeySpan Corp.'s regulated and nonregulated businesses, in conjunction with financial restrictions that allow KED Long Island bondholders some measure of protection from KeySpan's nonregulated businesses. KeySpan derives its EBIT from the following business segments: 55% from regulated gas operations that serve a residential, commercial, and industrial customer base throughout New York, Long Island, and New England; 30% from owning and operating electric generating plants in Queens and Long Island, New York, and serving several related functions for the Long Island Power Authority (LIPA) under long-term contracts; and 15% from nonregulated, diversified businesses that include midstream natural gas processing activities and
