In a rehearing decision Wednesday, the Illinois Commerce Commission (ICC) reduced the annual base rate revenue increase granted to Nicor Gas to $49.7 million from $54.2 million. Nicor estimates that the shift of certain revenues and credits between base rates and the purchase gas adjustment rider will reduce its annual net revenue increase to about $30.2 million, compared to $34.7 million under a prior order issued last fall. Appeals of the original order have been filed by Nicor and other parties in the state appellate courts.

Moody’s Investors Service on Wednesday cut its ratings on Dominion Resources Inc. and several subsidiaries, citing weaker than expected financial performance, higher than forecast leverage at the end of 2005 and increased business risk compared to a peer group of utility companies. Moody’s cut Dominion’s senior unsecured debt one notch to Baa2, the second-lowest investment grade ranking, from Baa1. The outlook is stable. Ratings on the senior unsecured debt of subsidiaries Virginia Electric and Power Co. and Consolidated Natural Gas Co. were cut one notch to Baa1 from A3.

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