Moody’s Investors Service last week said the Wisconsin Public Power Inc.’s A1 rating would not be affected by its proposal to purchase the electric distribution assets of Menasha’s steam utility plant. The WPPI has $422.7 million of rated debt.

Moody’s has downgraded the city’s combined utility enterprise rating to Baa3 with a negative outlook from A3. “Moody’s believes that the downgrade of the electric utility and the proposed purchase will have minimal impact on WPPI’s overall credit position due to the negligible impact on WPPI’s participants’ weighted average credit quality, its sound liquidity position, the relatively small size of the acquisition, and the satisfactory security provided by the proposed lease agreement with the city,” analysts wrote.

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