Source Pravda.Ru

Dynergy To Cut Dividend And Sell Assets To Strengthen Credit Rating

Dynegy will cut its dividend by half and sell stakes in a pipeline acquired from Enron Corp., a UK natural gas terminal and other assets to raise as much as two billion dollars to preserve an investment-grade credit rating.

Second quarter profit will fall to around break even, partly because of a slump in energy trading, the groups Chief Operating Officer Steve Bergstrom said on a conference call with investors. Dynegy expects $300 million in costs from its communications unit and $150 million in severance payments and other expenses.

Fitch cut Dynegy's debt to a “BB+” junk rating, and other services are considering downgrades. Shares of Dynegy and its rivals have fallen with energy prices and as Enron's collapse eroded investor confidence in such firms. Dynegy's chief executive quit last month as regulators probed its energy trading and accounting.

Dynegy “is in survival mode,” said Edward Paik, who helps manage seven billion dollars in assets at FleetBoston's Liberty Funds Group, including Williams Cos. and Xcel Energy Inc. “They need to do what they say they'll do as quickly as possible.”

©

&to=http://www.dynegy.com/' target=_blank>DENEGY

&to=http://www.enron.com/corp/' target=_blank>ENRON

Representatives of the North Korean administration issued a statement saying that the United States and its allies have lost the "political and military confrontation" to the DPRK

North Korea declares victory over USA

On December 10, 1948 the Universal Declaration of Human Rights was adopted by the United Nations General Assembly, its thirty articles enshrining basic and fundamental rights guaranteeing dignity of the human person and equality for all, regardless of race, color, creed or gender. A pipe dream?

Human Rights Day: Let us hang our heads in shame
Comments
Why did Donald Trump recognise Jerusalem as the capital of Israel?
Russian athletes announce their decision about 2018 Winter Olympic Games
Putin makes first comment on Trump's Jerusalem decision
Putin makes first comment on Trump's Jerusalem decision
Russian politician says Donald Trump extremely dangerous for Russia
Russia on the eve of another Crimea referendum
Some ideas about North Korea
Russia on the eve of another Crimea referendum
Russia on the eve of another Crimea referendum
Russia on the eve of another Crimea referendum
Russia on the eve of another Crimea referendum
Russian athletes announce their decision about 2018 Winter Olympic Games
Russia works on MiG-41 doomsday fighter jet
The need for a Global Political Agenda 2018
New Russian weapons shocked USA three times
USA looking for reason to see nuclear weapons in action
Russia works on MiG-41 doomsday fighter jet
Putin makes first comment on Trump's Jerusalem decision
Putin makes first comment on Trump's Jerusalem decision
Ukrainian politicians and businessmen aim to visit Crimea
The Myth of the Gene: Genetics, Epigenetics and the Organism-Environment Loop