The 'B+' rating on Sierra Pacific Power Co. (SPP), a utility subsidiary of Sierra Pacific Resources (SRP), along with Nevada Power Co. (NPC), reflects the consolidated credit quality of the three companies. The business profile score on all three companies is '6' (average) on a scale of '1' (excellent) to '10' (vulnerable). NPC provides electricity to approximately 738,000 customers in Las Vegas and adjoining areas in southern Nevada and has historically represented about 75% of consolidated cash flows. The rating primarily reflects the weak consolidated financial profile, substantial exposure to the wholesale gas and power markets, and a $3.6 billion multi-year capital expenditure program driven by the dynamic sustained growth in Las Vegas that limits deleveraging potential to the level
