U.S. Markets open in 5 hrs

Garfield (County of) OK, Industrial Authority -- Moody's downgrades Oklahoma Gas & Electric to A3 and affirms OGE Energy at Baa1; outlooks stable

Moody's Investors Service ("Moody's") today downgraded the ratings of Oklahoma Gas & Electric Company (OG&E) including its senior unsecured and Issuer ratings to A3 from A2, commercial paper rating to P-2 from P-1 and short-term revenue bond rating to VMIG 2 from VMIG 1. At the same time, Moody's affirmed the ratings of OGE Energy Corp. (Baa1 senior unsecured and P-2 commercial paper). "We expect OG&E's financial metrics to remain significantly below historical levels due to higher debt levels and lagging cash flow from tax reform" said Ryan Wobbrock, Vice President -- Senior Credit Officer, "With cash flow to debt ratios now in the low-20% range, OG&E's financial profile is more comparable to A3 integrated utility peers" added Wobbrock.