At the same time, Standard & Poor's affirmed its 'BB+' long-term foreign and local currency corporate credit ratings on Tata Power
"The outlook revision reflects concerns on rising debt levels and increased exposure to project completion and stabilization risks," said Standard & Poor's credit analyst Anshukant Taneja. "The ratings on Tata Power are constrained by its high sensitivity to regulatory action in the Mumbai license area, its exposure to riskier investments and increasing competition, and the aggressive expansion plans of the company,"Mr Taneja said.
At the same time, the ratings reflect the regulatory protection available to the company for the Mumbai license, its improved operating efficiency and competitive position, and the acceptable financial profile of its bulk customers
