Standard & Poor’s revised its outlook on Heartland Consumers Power District in South Dakota to negative from stable. At the same time, Standard & Poor’s affirmed its A-minus issuer credit rating on Heartland.

The outlook revision reflects the district’s low and uneven coverage of fixed obligations; increasing rate pressures that affect its competitive position and ability to achieve positive margins on surplus energy sales; and the district’s challenges in replacing loads associated with the expected loss of its largest member, coupled with the risks with renewing contracts with remaining members.

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