April 11, 2013 / 9:36 PM / in 5 years

Divestiture could cost TVA its top debt rating, Moody's says

April 11 (Reuters) - The Tennessee Valley Authority would likely lose its Aaa debt rating if the federal government divested the public power system after a strategic review proposed in President Barack Obama’s budget plan, Moody’s Investors Service said on Thursday.

The Wall Street credit group said in a news release no downgrade or other rating action was needed now because it was far from clear a divestiture would be approved by Congress. In addition, such a move might face political opposition in the seven states served by the power producing authority.

But Moody’s said: “In an event of a divesture, TVA is unlikely to maintain its Aaa rating.”

For details, please see

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below