The ratings on United Waterworks reflect its relationship with ultimate parent, French company Suez S.A. On Aug. 10, 2005, Standard&Poor's Ratings Services affirmed its ratings on Suez following its €11.2 billion cash and share offer for the remaining 49.9% interest in Belgian electric utility Electrabel. The outlook is stable. The affirmation reflects the expected increase in Suez's proportion of earnings from low-risk activities. Although Electrabel focuses on power generation and supply, its business profile is solid thanks to a vertically integrated generation and supply position, performing and balanced generation assets, and a dominant market position in the Benelux (Belgium, the Netherlands, and Luxembourg) region. Furthermore, the acquisition does not entail execution risks, as Suez was already controlling and
