Tear Sheet: Recent Western Canadian Wildfires Highlight Climate Change-Related Risk For Fortis Inc.

The recent Wildfires in Alberta and British Columbia are causing widespread damage in the area, leading to emergencies being declared in both provinces. Initial estimates from the British Columbia Government suggest at least one fatality, more than 50 structures damaged or destroyed, and more than 1.8 million hectares of land have been burned from wildfires in 2023. Additionally, initial estimates from the Alberta Government suggest at least one fatality, more than 275 structures damaged or destroyed, and more than 1.8 million hectares of land have been burned from wildfires in 2023. Climate change-related risks can negatively impact credit quality. FortisBC Inc. (FBC) and FortisAlberta (FAB), wholly owned subsidiaries of Fortis Inc. (Fortis), operate electricity operations within the affected provinces and

...Foreign currency issuer credit rating A-/Stable/-- Local currency issuer credit rating A-/Stable/-- 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 Satisfactory (no impact) Comparable rating analysis Neutral (no impact) Stand-alone credit profile a-...

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