RALEIGH, N.C., Dec. 9, 2010 /PRNewswire-USNewswire/ -- In a challenging economic market, NC Electric Membership Corporation (NCEMC) has been assigned an initial credit rating of A- according to a recent announcement from Fitch Ratings, Inc. An A- rating is an investment grade indicative of a strong, stable company.
"This rating is especially valuable because it enhances NCEMC's ability to access sources of financing beyond our traditional lenders, allowing us to have access to competitive financing alternatives," said Rick Thomas, CEO of the Raleigh-based generation and transmission cooperative. "Our top priority is to serve our member distribution cooperatives by providing affordable power supply resources. This, in turn, will help the distribution cooperatives better serve their member-consumers with the most affordable and reliable service."
Dennis Pidherny, Senior Director with Fitch said, "The assigned rating of 'A-' reflects NCEMC's historical success in supplying reliable and affordable wholesale power to its 25 members pursuant to long-term, take-or-pay contracts that extend through 2046."
Thomas said the rating would result in long-term financial benefits, primarily based on expanded options for future borrowings. "To us, the statement from Fitch is more than a credit rating – it represents their confidence in the strong support of our member cooperatives, our financial management practices, and the economic growth potential for North Carolina, particularly given the difficult economic environment of today."
NCEMC is a generation and transmission cooperative that supplies all or part of the energy needs to 25 electric cooperatives in North Carolina, who provide electricity to almost 1 million members. NCEMC owns generation resources and purchases power from other power suppliers. NCEMC has also been involved in the development of several renewable energy projects in North Carolina, as well as significant energy efficiency initiatives.
SOURCE NC Electric Membership Corporation