Company: SRV
Filing Date: 2025-04-10
Form Type: N-2
Source: 0001398344-25-006954
Chunk: 88

Company: NXG Cushing Midstream Energy Fund
Filing Date: 2025-04-10
Form: N-2
Chunk 88
---
.

Global Short-Term
Rating Scale

P-1Issuers (or supporting
institutions) rated Prime-1 have a superior ability to repay short-term debt obligations.

P-2Issuers (or supporting
institutions) rated Prime-2 have a strong ability to repay short-term debt obligations.

P-3Issuers (or supporting
institutions) rated Prime-3 have an acceptable ability to repay short-term obligations. NPIssuers (or supporting institutions)
rated Not Prime do not fall within any of the Prime rating categories.

Short-Term Obligation Ratings.While the global short-term ‘prime’ rating scale is applied to US municipal tax-exempt commercial paper, these programs
are typically backed by external letters of credit or liquidity facilities and their short-term prime ratings usually map to the long-term
rating of the enhancing bank or financial institution and not the municipality’s rating. Other short-term municipal obligations,
which generally have different funding sources for repayment, are rated using two additional short-term rating scales (i.e., the
MIG and VMIG scales discussed below).

The Municipal Investment Grade
(MIG) scale is used to rate US municipal bond anticipation notes of up to three years maturity. Municipal notes rated on the MIG scale
may be secured by either pledged revenues or proceeds of a take-out financing received prior to note maturity. MIG ratings expire at the
maturity of the obligation, and the issuer’s long-term rating is only one consideration in assigning the MIG rating. MIG ratings
are divided into three levels—MIG1 through MIG3—while speculative grade short-term obligations are designated SG.

MIG 1This designation
denotes superior credit quality. Excellent protection is afforded by established cash flows, highly reliable liquidity support, or demonstrated
broad-based access to the market for refinancing.

MIG 2This designation
denotes strong credit quality. Margins of protection are ample, although not as large as in the preceding group.

MIG 3This designation
denotes acceptable credit quality. Liquidity and cash-flow protection may be narrow, and market access for refinancing is likely to be
less well-established.

SGThis designation denotes
speculative-grade credit quality. Debt instruments in this category may lack sufficient margins of protection.

Demand Obligation Ratings.In the case of variable rate demand obligations (VRDOs), a two-component rating is assigned; a long- or short-term debt rating
and a demand obligation rating. The first element represents Moody’s evaluation of