Moody's on Sept. 4 upgraded the senior unsecured rating of CenterPoint Energy Resources Corp. to Baa1 from Baa2, after CenterPoint Energy Inc. completed an internal spin of its midstream interests in Enable Midstream Partners and Enable GP LLC to a newly created subsidiary from CenterPoint Energy Resources.
Enable Midstream Partners"[CenterPoint Energy Resources]'s credit quality is enhanced by the elimination of midstream business risk and the reduction of debt associated with its Enable investment, which more than mitigates the loss of distributions received from Enable," Moody's said.
The rating outlook is positive. Moody's also affirmed the CenterPoint Energy Resources' Prime-2 short-term rating for commercial paper.
The rating action affected approximately $3 billion of debt securities.