S&P Global Ratings on Dec. 12 upgraded Public Service Electric and Gas Co.'s issuer credit rating to A- from BBB+ and removed the company from "under criteria observation." The outlook is stable.

"The upgrade of PSE&G reflects our assessment of PSE&G's stand-alone credit profile being above parent [Public Service Enterprise Group Inc.]'s group credit profile, our view of the utility as sufficiently separate from its parent, and sufficient regulatory and structural insulating measures in place," the rating agency wrote in a report.

Ratings expects that PSE&G's stand-alone financial measures including funds from operations-to-debt will be 18%-20% over the next three years.

This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings. Descriptions in this news article were not prepared by S&P Global Ratings.