The ratings on KeySpan Energy Delivery Long Island (KED Long Island) reflect the consolidated credit profile of its parent, KeySpan Corp., which is determined in conjunction with affiliates KeySpan Energy Delivery New York, KeySpan Generation LLC, Colonial Gas Co., and Boston Gas Co., as well as the Ravenswood merchant-generation operations. The 'A' corporate credit rating on KeySpan reflects a strong business profile ('4') and an improving financial profile. However, the 'A+' corporate credit rating on KED Long Island reflects not only its excellent business risk profile ('1') and above-average financial profile, but also the existence of regulatory restrictions that could provide bondholders with some protection from KeySpan's nonregulated businesses. Parent KeySpan's strong consolidated business risk profile is supported by regulated
