A continued focus on capital management during FY2016 has enabled AGL to maintain a strong balance sheet.
During FY2016, Moody’s initiated coverage on AGL, with a public credit rating of Baa2 with a stable outlook (equivalent to the previous rating of BBB by Standard and Poors) assigned in February 2016. In assigning the rating, Moody's indicated that AGL's strong retail market position and the low cost position, scale and operating track record of its generation fleet enables AGL to navigate the challenges presented by the evolving energy marking in Australia.
The retention of AGL’s strong credit rating, along with improved capital efficiency, substantially enhances AGL’s ability to fund future growth, and provides more favourable borrowing margins and access to different funding markets domestically and overseas.
Read more in our FY2016 Sustainability Report.