CHICAGO--(BUSINESS WIRE)--Link to Fitch Ratings' Report: Cash Flow Trends in the U.S. Energy Sector (Shareholder Activism Having an Impact)
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=733556
Increased shareholder activism is affecting cash flow trends within the U.S. energy sector, according to a Fitch Ratings report.
On an overall basis, the energy sector continued to be free-cash-flow (FCF) negative over the 12-month period ending Nov. 30, 2013. Across a Fitch-defined sample, FCF for the energy sector was -$45.9 billion, led by midstream (-$20.7 billion), independent E&Ps (-$20.6 billion) and integrated companies (-$5.5 billion), while both refining and drilling and services were modestly positive (+ $0.4 billion each).
Capex edged lower across the total Fitch sample to $219 billion versus $222.4 billion in 2012, although this modest decline masked significant variation among issuers within the group. Fitch expects the trend of capex moderation for independent E&P names to continue in 2014.
The full report 'Cash Flow Trends in U.S. Energy Sector' is available at 'www.fitchratings.com.'
Additional information is available at 'www.fitchratings.com'.
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