California’s water conservation could weaken utilities’ credit

Posted by Reuters: Robin Respaut on July 17th, 2014
Reuters: California's strict new regulations for water conservation could have the unintended consequence of hurting the credit quality of water utilities in the drought-stricken state. Regulators on Tuesday passed new measures to limit outdoor water use in an increasingly desperate effort to conserve. On Thursday, Moody's Investor Service warned that a significant drop in water sales could weaken the credit quality of some water utilities, many of them public districts. Increasing rates to offset the loss......

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