Fitch, S&P Affirm Pasadena Water and Power ‘AA’ Electric Revenue Bond Rating

PASADENA, Calif.— Pasadena Water and Power (“PWP”) received a ‘AA’ rating with a stable outlook from Fitch Ratings (Fitch) and S&P Global (S&P) for the electric revenue and refunding bonds series issued by the City of Pasadena on behalf of PWP. In addition, Fitch assessed PWP’s standalone credit profile at ‘AA’.

According to Fitch’s Rating Action Commentaries, “The 'AA' rating reflects PWP's very strong financial profile maintained over the past five years with continued stable operating performance, supported by PWP's very strong revenue defensibility assessment and midrange operating risk.” Fitch also referenced PWP’s very strong revenue defensibility, rate flexibility, and strong service territory characteristics.

S&P points to PWP’s competitive rates and the future flexibility to meet environmental requirements without negatively influencing the utility's market position. S&P confirmed the utility’s well-embedded management practices resulted in a stable operational and financial risk profile, and believe the utility has strong management, robust liquidity, and rate flexibility.

“While some utilities have seen their ratings decline or outlook lowered, PWP successfully maintained its credit ratings,” said David Reyes, General Manager of Pasadena Water and Power. “This rating reflects Pasadena’s sound business practices, and our dedication to ensuring customers can rely on PWP to deliver high-quality services at competitive rates.”

Fitch and S&P are nationally recognized statistical rating organizations designated by the U.S. Securities and Exchange Commission. These organizations provide credit ratings, commentary, research, and analysis for organizations nationwide.

 

About Pasadena Water and Power
PWP provides electricity to more than 65,000 customers within Pasadena. PWP delivers water to nearly 38,000 households and businesses in Pasadena and adjacent communities in the San Gabriel Valley. As a community-owned utility, PWP is a not-for-profit public service owned and operated by the City of Pasadena for the benefit of its customers and the community. Its priorities are reliability, responsiveness to customers, competitive rates, and environmental stewardship.

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