Anticipates

Although it “anticipates” a successful renewal and restructuring of maturing credit facilities, Fitch Ratings has lowered the debt ratings on Dynegy Inc. and Dynegy Holdings Inc. to “CCC+” from “B” and also has lowered the long-term ratings of affiliates Illinois Power and Illinova Corp. All of the ratings for the corporation and its affiliates remain on Rating Watch Negative.

Although it “anticipates” a successful renewal and restructuring of maturing credit facilities, Fitch Ratings has lowered the debt ratings on Dynegy Inc. and Dynegy Holdings Inc. to “CCC+” from “B” and also has lowered the long-term ratings of affiliates Illinois Power and Illinova Corp. All of the ratings for the corporation and its affiliates remain on Rating Watch Negative.

Algonquin will lift Wednesday a Critical Notice that was posted Jan. 20. It anticipates that operating conditions will allow a limited amount of due-shipper imbalance make-up gas to be scheduled.

Massachusetts Gov. Jane Swift anticipates that Boston Harbor will resume liquefied natural gas (LNG) tanker traffic in the near term, “possibly [in] only a matter of weeks,” said a spokeswoman for the governor.

Sonat said it anticipates storage injections will exceed thedaily capacity of its storage fields this week. The weatherforecast is for a continued warming trend through Friday, andinstead of receipt nominations going down they actually went up forthe gas day of Wednesday, the company said. If Southern does notsee a reduction in receipt nominations for Thursday’s gas day it ishighly likely that it will have to implement an OFO.

KeySpan Corp. said yesterday it anticipates its 2000 earnings,excluding the impact of any transaction or restructuring charges,will be $2.40 per share, significantly ahead of the current FirstCall consensus estimates of $2.28 per share. Strong earnings areexpected to result from solid performances across all businesssegments, especially from the electric, exploration, and productionsegments. In addition, the energy-services business should reportits first annual profit in 2000. “We expect to be able to increaseour earnings in 2001 by 10%, ranging from $2.60 to $2.65 per share,well ahead of the current First Call consensus of $2.48 per share,”said CEO Robert B. Catell. KeySpan has had a record level of gascustomer conversions from oil to natural gas, primarily on LongIsland. In addition, more than 1 MMcf of mainline gas distributionpipe is expected to be installed this year as the system isexpanded to serve new areas. In New England, the company intends toachieve its growth targets resulting from the acquisition ofEastern Enterprises and EnergyNorth. Currently, the companyestimates that the special charges resulting from acquiring EasternEnterprises and EnergyNorth in November will amount to $75 million,which will be reported in the fourth quarter. Including thesecharges, earnings per share for fiscal year 2000 are expected torange from $2.05 to $2.10. KeySpan is the largest gas distributorin the Northeast, with 2.4 million gas customers and more than13,000 employees. KeySpan also is the largest investor-ownedelectric generator in New York State and operates Long Island’selectric system.

Benefiting from the hot summer and increased air conditioningloads in the Southwest, Reliant Energy announced it anticipates itsthird quarter earnings to be “substantially higher” than during thesame period last year. The company expects to exceed FirstCall/Thomson Financial’s projections of $1.07 per share by 25 to30%. Reliant’s adjusted earnings for the third quarter of 1999 were$283 million, or 99 cents a share.

Tennessee anticipates completing repairs of a rupture nearHebron Center in northern Pennsylvania around 9 p.m. EST Wednesdayand will accept Cycle 2 nomination increases then if the repairsare finished. Sunday morning’s rupture on the 300 Line is causingrestrictions through Secondary services downstream of Main LineValve 314.