Dive Summary:

• Moody’s Investors Service will not downgrade the credit ratings of Public Service Electric & Gas and Jersey Central Power & Light despite the risings costs of repairs associated with Hurricane Sandy.
• The rate lock is important because as restoration costs continue to rise, the utilities might be forced to borrow money to complete their tasks.
• New York’s Consolidated Edison and Connecticut Light & Power also had their credit ratings upheld by Moody’s.

From the article:

The worst storm ever to hit New Jersey has caused enormous headaches for its two biggest electric utilities, as well as millions of their customers, but will not result in lower credit ratings, according to Moody’s Investors Service.

In a report issued yesterday, Moody's said that despite the devastation, it will not downgrade the utilities’ credit ratings. The agency made its call even though restoration costs are likely to reach into the billions of dollars when two other utilities in New York and Connecticut are factored in. ...