DBRS Rates Consumers’ Waterheater’s Issue of $240 Million Senior Notes at “A”, Negative Trend

DBRS has today assigned a rating of “A” with a Negative trend to the proposed issue of The Consumers’ Waterheater Operating Trust (CWOT or the Trust) of up to $240 million of 5.25% Series 2010-1 Senior Unsecured Notes (the Senior Notes) due March 15, 2013. The offering is expected to close on February 19, 2010.

The Senior Notes will rank equally with each other and all other present and future unsubordinated and unsecured indebtedness of the Trust. The Senior Notes will be offered under a prospectus supplement to the Trust's short-form base shelf prospectus dated March 19, 2008.

The proceeds from the proposed offering will be used to repay in full amounts owing on CWOT’s bridge credit facility.

For more details on the recent change in trend from Stable to Negative, please see separate DBRS press release dated February 1, 2010.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The applicable methodology is General Rating Methodology for Non-Financial Companies, which can be found on our website under Methodologies.

This is a Corporate (Energy) rating.