S&P rating increases APA's capacity to fund growth

• S&P affirms APA's BBB (stable) long-term credit rating
• S&P modifies APA's FFO/Debt downside threshold from 9.5% to 8.5%
• The modification provides more than $1 billion in additional funding capacity

APA Group (ASX:APA) has welcomed the announcement by S&P Global Ratings (S&P) that it has affirmed APA's BBB (stable) long-term credit rating and, recognising APA's stable and predictable cash flows, has modified APA's BBB rating downside FFO/Debt threshold from 9.5% to 8.5%. The threshold modification increases APA's debt capacity to fund growth from its existing balance sheet by more than $1 billion. CEO and Managing Director, Adam Watson, said the modification is significant, providing more than $1 billion in additional funding capacity from APA's existing balance sheet. He noted that APA has strong momentum in the delivery of its growth strategy and remains focused on efficient and prudent capital allocation to capture value from the most attractive long-term opportunities for APA securityholders. The ratings modification will provide further funding support for APA's attractive growth projects.