TEXT-S&P release on Empire District Electric Co

(The following statement was released by the rating agency)

March 12 - Standard & Poor's Ratings Services said today that Empire
District Electric Co.'s (EDE.N: Quote, Profile, Research) (BBB-/Stable/A-3) successful completion of its
previously announced solicitation of consents to amend a covenant in the
company's first mortgage bond indenture does not impact current ratings or
outlook. The consent provides Empire flexibility to pay common dividends in
excess of retained earnings. At the end of 2007, retained earnings were just
$17.2 million. The amendment increases the basket available to pay dividends by
$10.75 million. Less-than-adequate recovery of expenses has weakened Empire's
financial performance. In light of the company's plan to fund part of its heavy
capital program with common equity, this event is viewed favorably.
(New York Ratings Team)