Tear Sheet: Legislation Signed In Missouri Supportive To Evergy Inc.'s Credit Quality

This report does not constitute a rating action. On April 9, 2025, Missouri Senate Bill 4 was signed into law by Governor Mike Kehoe. Below are some of the key highlights impacting Evergy Inc.?s Missouri utilities (Evergy Missouri West Inc. and Evergy Metro, Inc): Construction Work in Progress (CWIP): The law permits Evergy?s Missouri utilities to include CWIP for new natural gas-generating units. Traditionally, Missouri?s electric utilities were prohibited from charging customers for the construction costs of facilities before they became fully operational, resulting in a regulatory lag in cash flows. With the passage of this new law, we expect Evergy to be able to recover construction costs associated with new natural gas generating units in a timely manner, thereby

...Rating Component Scores Foreign currency issuer credit rating ###+/Stable/A-2 Local currency issuer credit rating ###+/Stable/A-2 Business risk Excellent Country risk Very Low Industry risk Very Low Competitive position Strong Financial risk Significant Cash flow/leverage Significant Anchor a- Diversification/portfolio effect Neutral (no impact) Capital structure Neutral (no impact) Financial policy Neutral (no impact) Liquidity Adequate (no impact) Management and governance Neutral (no impact) Comparable rating analysis Negative (-1 notch) Stand-alone credit profile ###+...

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