Capital Power Corporation: Rating Report

On April 7, 2021, DBRS Limited (DBRS Morningstar) confirmed the Issuer Rating and Senior Unsecured Debt rating of Capital Power Corporation (CPC or the Company) at BBB (low) with Stable trends. This confirmation reflects CPC’s relatively stable long-term business risk and financial profile. DBRS Morningstar also confirmed the Company’s Preferred Shares rating at Pfd-3 (low) with a Stable trend. The ratings reflect CPC’s (1) contracted and hedged capacity, (2) high plant availability, and (3) reasonable financial profile with good liquidity. The strengths are offset by (1) Alberta’s volatile wholesale pricing environment, (2) Alberta concentration risk, and (3) operational risk.