DBRS Rates Hydro One’s New Issues at A (high)

DBRS has today assigned a rating of A (high) with a Stable trend to the following new debt issues of Hydro One Inc. (Hydro One):

(1) Proposed $250 million 2.95% medium-term notes (MTNs) maturing September 11, 2015.

(2) Proposed $250 million 5.00% MTNs maturing October 19, 2046. This is a re-opening of 5.00% MTNs.

The new debt issues are expected to settle on September 13, 2010.

The MTNs will rank pari passu with all of Hydro One Inc.’s other unsubordinated and unsecured indebtedness and will be issued pursuant to the Short-Form Base Shelf Prospectus dated July 27, 2009, as amended March 2, 2010.

Proceeds from the issue will be used for retiring $200 million in debt maturing in November 2010 and for general corporate purposes.

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

The applicable methodology is Rating North American Energy Utilities (Electric, Natural Gas and Pipelines), which can be found on the DBRS website under Methodologies.