News Column

Fitch Affirms and Withdraws FE's Subsidiary Ratings; Outlook Stable

June 11, 2014

NEW YORK--(BUSINESS WIRE)-- Fitch affirms and withdraws the ratings of FirstEnergy Corporation's (FE; 'BB+'; Rating Outlook Stable) subsidiaries for business reasons. The Rating Outlook for FE's subsidiaries is Stable.

Fitch will continue to rate FE at the parent level. FE's ratings are unaffected by the rating action. The Rating Outlook for FE is Stable.

(For further information please refer to the Fitch Ratings press release 'Fitch Affirms FirstEnergy Corporation &

Subsidiaries; Plans to Withdraw Subs' Ratings' dated May 1, 2014)

Fitch affirms and withdraws the following ratings:

FirstEnergy Solutions Corp.

--IDR at 'BB+';

--Senior unsecured debt at 'BB+';

--Short-term IDR and commercial paper ratings at 'B'.

Allegheny Energy Supply Co., LLC

--IDR at 'BB+';

--Senior unsecured debt and revenue bonds at 'BB+';

--Short-term IDR at 'B'.

Allegheny Generating Co.

--IDR at 'BBB';

--Short-term IDR at 'B'.

Jersey Central Power & Light

--IDR at 'BBB-';

--Senior unsecured debt at 'BBB';

--Short-term IDR and commercial paper at 'B'.

Ohio Edison Company

--IDR at 'BBB-';

--Senior secured debt at 'BBB+';

--Senior unsecured debt and revenue bonds at 'BBB';

--Short-term IDR and commercial paper at 'B'.

Pennsylvania Power Company

--IDR at 'BBB-';

--Senior secured debt at 'BBB+';

--Short-term IDR at 'B'.

Cleveland Electric Illuminating Co.

--IDR at 'BB+';

--Senior secured debt at 'BBB';

--Senior unsecured debt at 'BBB-'.

Toledo Edison Company

--IDR at 'BB+';

--Senior secured debt at 'BBB'.

BVPS II Funding Corp.

--Secured debt at 'BBB'.

Beaver Valley II Funding Corp.

--Secured Debt at 'BBB'.

PNPP II Funding Corp.

--Secured debt at 'BBB-'.

Pennsylvania Electric Company

--IDR at 'BBB-';

--Senior unsecured debt at 'BBB';

--Short-term IDR and commercial paper at 'B'.

Metropolitan Edison Company

--IDR at 'BBB';

--Senior secured at 'A-';

--Senior unsecured at 'BBB+';

--Short-term IDR and commercial paper at 'B'.

Monongahela Power Company

--IDR at 'BBB';

--Senior secured debt at 'A-';

--Secured revenue bonds at 'A-';

--Senior unsecured revenue bonds at 'BBB+';

--Short-term IDR at 'B'.

Potomac Edison Co.

--IDR at 'BBB';

--Senior secured debt at 'A-';

--Secured revenue bonds at 'A-';

--Senior unsecured debt at 'BBB+';

--Short-term IDR at 'B'.

West Penn Power Co.

--IDR at 'BBB';

--Senior Secured Debt at 'A-';

--Short-term IDR at 'B'.

Trans-Allegheny Interstate Line Co.

--IDR at 'BBB';

--Senior unsecured debt at 'BBB+';

--Short-term IDR at 'B'.

American Transmission Systems Inc.

--IDR at 'BBB';

--Senior unsecured debt at 'BBB+';

--Short-term IDR at 'B'.

The Rating Outlook is Stable for all entities.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'Corporate Rating Methodology' (Aug. 5, 2013);

--'Recovery Ratings and Notching Criteria for Utilities' (Nov. 19, 2013);

--'Rating U.S. Utilities, Power, and Gas Companies' (March 11, 2014);

--'Parent and Subsidiary Rating Linkage' (Aug. 8, 2012).

Applicable Criteria and Related Research:

Corporate Rating Methodology: Including Short-Term Ratings and Parent and Subsidiary Linkage

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=715139

Recovery Ratings and Notching Criteria for Equity REITs

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=722363

Rating U.S. Utilities, Power and Gas Companies (Sector Credit Factors)

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=735155

Parent and Subsidiary Rating Linkage

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=685552

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=834191

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.



Fitch Ratings

Primary Analyst

Philip W. Smyth, CFA

Senior Director

+1-212-908-0531

Fitch Ratings, Inc.

33 Whitehall Street

New York, NY 10004

or

Secondary Analysts

Shalini Mahajan, CFA

Senior Director

+1-212-908-0351

or

Committee Chairperson

Glen Grabelsky

Managing Director

+1-212-908-0577

or

Media Relations:

Brian Bertsch, +1-212-908-0549 (New York)

brian.bertsch@fitchratings.com


Source: Fitch Ratings


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