TEXT-S&P summary: CLP Holdings Ltd.
(The following statement was released by the rating agency)
Sept 28 -
Summary analysis -- CLP Holdings Ltd. ----------------------------- 28-Sep-2012
CREDIT RATING: A-/Stable/A-2 Country: Hong Kong
Primary SIC: Electric Services
Mult. CUSIP6: 18946Q
Credit Rating History:
Local currency Foreign currency
26-Jun-2008 A-/A-2 A-/A-2
26-May-2005 A/A-1 A/A-1
The rating on CLP Holdings Ltd. primarily reflects the strength of the group's main asset, CLP Power Hong Kong Ltd. (A/Stable/A-1; cnAA+/cnA-1), a vertically integrated power company in Hong Kong. CLP Power operates in a stable and favorable regulatory environment, has a de facto monopoly in its service area, and has strong financial flexibility. Nevertheless, CLP Holdings' expanding Asia-Pacific power investments temper the strengths that CLP Power brings to the parent. These investments have increased CLP Holdings' business and operating risks while weakening its credit protection measures.