DBRS Removes Enersource Corporation and PowerStream Inc. Ratings from Under Review with Developing Implications, Discontinues All Ratings; Finalizes Alectra Inc. Ratings at “A”, Stable

DBRS Limited (DBRS) has today removed the ratings of Enersource Corporation (Enersource) and PowerStream Inc. (PowerStream) from Under Review with Developing Implications and has confirmed all ratings of Enersource and PowerStream at “A,” with Stable trends. The rating actions follow the completion of the merger between Enersource Holdings Inc., PowerStream Holdings Inc. and Horizon Holdings Inc. on January 31, 2017, to form Alectra Inc. (Alectra).

As the outstanding Senior Unsecured Debentures of PowerStream and Enersource have been assigned to Alectra upon the completion of the merger, DBRS has then consequently discontinued all ratings of PowerStream and Enersource. DBRS has concurrently finalized the provisional Issuer Rating and Senior Unsecured Debentures rating of Alectra at “A,” with Stable trends.

Alectra’s planned purchase of Hydro One Brampton Networks Inc. (rated “A” with a Stable trend by DBRS) remains on track to be completed on February 28, 2017. As noted in the DBRS press release “DBRS Assigns Provisional Ratings to Alectra Inc.,” dated January 23, 2017, Alectra’s credit quality is expected to remain reasonable at “A”, albeit with limited financial flexibility, as overall key financial ratios are expected to be at the lower end of the “A” rating range.

Notes:
The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link to the right under Related Research or by contacting us at info@dbrs.com.

The principal methodology is Rating Companies in the Regulated Electric, Natural Gas and Water Utilities Industry, which can be found on dbrs.com under Methodologies.