For the tenth consecutive year, Fitch Ratings has reiterated ENGIE Brasil Energia’s Long Term National Rating at ‘AAA(bra)’, with a stable outlook. Rating is a mechanism  for evaluating the credit worthiness of companies, banks, and countries.

On a global scale, the risk rating agency affirmed the Long-Term IDRs (Issuer Default Ratings) in foreign currency at ‘BB’ and local currency at ‘BBB-‘ (BBB minus), both with a negative outlook due to the limit imposed by sovereign rating, notwithstanding, the company still being one notch higher than Brazil country rating. Fitch has also reaffirmed the ‘AAA (bra)’ rating with stable outlook, assigned to the Company’s unsecured sixth, seventh and nineth debenture issues.

For ENGIE Brasil Energia’s Chief Executive and Investor Relations Officer, Eduardo Sattamini, the classifications obtained reflect the agency’s outlook that the Company will have the capacity to maintain a solid financial profile, even during the crisis arising from the Covid-19 pandemic and a period of higher investment such as has been the case over the past few years in the areas of gas – with the acquisition of TAG –, and with new projects in the area of transmission and generation of renewable energy.

As disclosed in an announcement by Fitch, ENGIE Brasil Energia’s ratings reflect the Company’s important market position as the largest private sector electric energy generator in Brazil with a substantial and diversified portfolio, operational efficiency, and strong cash flow thanks to long-term power purchasing agreements with its clients. The Company’s credit profile also benefits from a financially conservative profile with historically low leverage and strong financial flexibility to meet the financing requirements arising from investments in new projects and acquisitions.