Current Report No. 48/2014

Date of preparation: 17 December 2014 

Topic: Moody's update of information on ENERGA ‘Baa1’ rating

Legal grounds: Article 56 section 1 item 2 Act on Offerings – current and periodic information

The Management Board of ENERGA SA (‘Company’, ‘ENERGA’) announces that Moody’s Investors Service (‘Agency’, ‘Moody’s’) in their credit opinion of 17 December this year updates information on the ‘Baa1’ rating for ENERGA SA with stable outlook. 

The rating is underpinned by high proportion of Group’s earnings from regulated distribution network activities, improvement in the profitability of conventional generation and current strong financial profile of the Group despite sizeable capex plans. However, Moody’s also admits that the rating is constrained by the higher business risk profile of ENERGA generation and supply business, the short position in generation and the pressures on the cash flows in the generation segment resulting from potential changes in the support mechanism for renewable generation in Poland. The stable rating outlook reflects the Agency’s expectation that ENERGA will manage its financial profile in line with the debt ratio guidance set for the current ratings. 

Full content of the Agency’s announcement is available on the Moody’s website. 

Legal grounds:

§5 section 1 item 26 of the Minister of Finance Decree dated 19 February 2009 on current and periodic information disclosed by issuers of securities and conditions for recognizing as equivalent information required by the laws of a non-member state.