That is a result of measures conducted for improving its liquidity position and especially the execution of a number of medium term standby bank facilities that give the company greater visibility over funding and an ability to sustain an extended period of market closure if this were to occur. HEP's credit portfolio has also benefited from revised regulatory tariff allowances across the electricity supply and heating segments, improved hydrological conditions since Q4 2012, allowing the company to rely better on own generation capacities.Moody's analysts have pointed out that improved business operations are visible in this year's financial results thus allowing HEP, in light of its improved liquidity, to repay most of its short-term loans from cash earned from regular operations. The report sums up by emphasizing that HEP's rating might be improved in case of further stabilization of operating and cash flow profile which may be achieved in time through the ongoing change in the regulatory environment. Among factors adversely affecting HEP's rating, Moody's point out a number of factors beyond the management control, especially precipitation volumes, HRK/EUR exchange rate as well as the price of commodity and electricity in the region. They also indicate the possibility of a significant decrease of a market share resulting from the liberalization of the Croatian market.