Fitch lowers AES El Salvador's rating

Fitch Ratings has lowered the investment rating of the electical distribution company AES El Salvador from BBB- to BB+.

Friday, June 27, 2008

The ratings company said it downgraded the company because changes in the regulatory system have negatively affected its EBITDA and its profitability.
EBITDA refers to the relationship between debt and cash flow of a company.
El Salvador's four other energy distributors will be similarly affected.

More on this topic

Fitch Downgrades AES El Salvador's Rating

July 2015

After lowering the country's sovereign debt rating, the ratings agency also lowered the rating for the electricity company, anticipating difficulties in collecting payments from the Salvadoran government subsidies.

From the press release by Fitch Ratings:

Fitch Ratings-Monterrey-14 July 2015: Fitch Ratings has downgraded AES El Salvador Trust II's (AES El Salvador) foreign and local currency Issuer Default Ratings (IDRs) to 'B+' from 'BB' and revised the Rating Outlook to Stable from Negative. In addition, Fitch has downgraded the company's USD310 million senior unsecured notes due 2023 to 'B+/RR4' from 'BB'.

Fitch Ratings Affirms Rating of BB + for Guatemala

August 2012

The agency has affirmed the international rating of Guatemala as 'BB +' with Stable Outlook.

From a statement by Fitch Ratings:

Fitch Ratings-New York-31 July 2012: Fitch Ratings has affirmed the issuer default rating (IDR) and the Country Ceiling for Guatemala as follows:

Fitch Downgrades AES El Salvador's Ratings

May 2010

Fitch Ratings has downgraded AES El Salvador Trust's foreign and local currency Issuer Default Ratings (IDRs) to 'BB' from 'BB+'.

The rating action applies to US$300 million of Political Risk Protected (PRP) bond issuance due Feb. 1, 2016. Concurrently, Fitch has downgraded Compania de Alumbrado Electrico de San Salvador, S.A.

Guatemala Faces Four Risks

June 2009

Guatemala´s BB+ sovereign risk rating and stable perspective, which is so close to the desired “Investment Grade,” is facing four threats.

According to an article by C.Véliz and J. Gramajo in Sigloxxi.com, Mauricio Choussy, the director of Fitch Central America, notes that four weaknesses persist in the country: “Low tax revenue, weak social indicators, social instability, and high levels of delinquency.”

 close (x)

Receive more news about Energy

Suscribe FOR FREE to CentralAmericaDATA EXPRESS.
The most important news of Central America, every day.

Type in your e-mail address:

* Al suscribirse, estará aceptando los terminos y condiciones


New house for sale at Costa Rica beach in Punta Leona Resort

Live at the beach in the exclusive Punta Leona Resort, a dream with shaded white sand beach, pools, restaurants, wild life. New affordable, energy efficient home.
The house - possibly the only energy efficient green...

Stock Indexes

(May 23)
Dow Jones
0.21%
S&P 500
0.18%
Nasdaq
0.08%

Commodities

(May 24)
Brent Crude Oil
54.510
Coffee "C"
132.65
Gold
1,251
Silver
16.960