DBRS Assigns Rating of A (low), Stable to TransCanada Pipelines Limited’s $1.0 Billion Medium Term Note Debentures

DBRS Limited (DBRS) assigned a rating of A (low) with a Stable trend to TransCanada Pipelines Limited’s (TCPL or the Company) $1.0 billion Medium Term Note Debentures offering (the Notes) comprising $800 million 4.18% Notes due July 2048 and $200 million 3.39% Notes due March 15, 2028. The net proceeds from the offering will be used to repay the Company’s indebtedness and for general corporate purposes.

Calgary-based TCPL’s ratings reflect the relatively stable cash flow generation supported by the Company’s diversified energy infrastructure asset portfolio of natural gas pipelines, liquids pipelines and power generation assets in Canada, the United States and Mexico. A majority of the Company’s operating cash flow is underpinned by rate-regulated assets and long-term contracts with no commodity risk.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The principal methodology is Rating Companies in the Pipeline and Diversified Energy Industry, which can be found on dbrs.com under Methodologies.

The rated entity or its related entities did participate in the rating process for this rating action. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

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