U.S. Markets closed

Solar Star Funding, LLC -- Moody's downgrades Solar Star to Baa2; rating outlook changed to negative

Moody's Investors Service ("Moody's") downgraded to Baa2 from Baa1 the rating assigned to the senior secured debt of Solar Star Funding, LLC (Solar Star) due 2035. Today's rating action is driven entirely by the further weakening of Southern California Edison Company's (SCE) credit profile which was downgraded to Baa2 on March 5, 2019 and has a negative outlook. SCE's credit quality serves as a cap to Solar Star's rating since the project derives all of its revenue and cash flow under a long-term power purchase and sales agreement (PPA) with SCE that expires in July 2035.