Nevertheless, communications director Antonio Garrido says, "The PPLE is not a religious party.
Such communities would include quilombos, the descendants of runaway slaves (NotiSur, April 15, 2011) who have been constitutionally recognized since 1988, and are a potential support base of the PPLE.
In January 2011, PPLES completed an internal transfer of its international businesses that reduced leverage and bolstered credit metrics.
Internal Reorganization: In January 2011, PPLES completed an internal transfer of its international businesses that reduced leverage and bolstered credit metrics.
Environmental Exposure: PPLES is well positioned to benefit from any price rise associated with environmental compliance costs and associated plant retirements.
In January 2011, PPLES distributed its interests in PPL Global to its direct parent PPL Energy Funding.
Based on recent hedge transactions entered into by PPLES for the years 2010 and 2011, Fitch no longer expects leverage and cash flow measures, which weakened in 2008 and through the first half of 2009, to reach the levels required to support the former rating.
The ratings of PPL are supported by the cash flow and earnings of its two core subsidiaries PPLES and PPLEU, sufficient liquidity and the expected improvement in PPLES' earnings and cash flow.
The ratings of PPLES reflect the company's sound credit profile, the favorable competitive position of it's largely coal and nuclear generating fleet and the improving market fundamental in the PJM region where the majority of PPLES' assets are located.
PPLES will have the opportunity for additional hedges at then prevailing market prices in four upcoming solicitations for power, two per year, to be conducted by PPLEU in 2008 and 2009.
The ratings also consider the additional debt to be incurred by PPLES over the three-year period 2006-2008 to fund a large capital program to install pollution control facilities at the company's primary coal-fired generating stations.
The forecasted capital expenditures, particularly in the 2006-2008 time frame, could pressure financial measures and the ratings of PPL and PPLES if not offset by expected earnings growth from scheduled price increases in existing supply contracts, the re-pricing of expiring supply contracts, and the incremental earnings from planned generation uprates.