Moody's upgrades Century Aluminum

Moody's Investors Service said it upgraded Century Aluminum Co.'s corporate family rating to Ba3 from B1 and upgraded its $250 million senior unsecured guaranteed notes due 2014 and $175 million senior unsecured guaranteed convertible notes due 2024 to Ba3 from B1.

Also, Moody's revised its outlook to stable from positive.

Moody's said the upgrade recognizes the progress Century has made in expanding its operations at Nordural, enhancing its competitive position, managing its cost position and improving its financial metrics. The improved operating profile and greater stability provided by the tolling operations at Nordural are expected to allow Century to exhibit improved metrics on a more sustainable basis.

Century's ratings and outlook continue to reflect its relatively high leverage, exposure to a single commodity-priced product, substantive capital spending plans, higher cost base compared to many of its integrated competitors and concentration of sales among four customers, the agency said.

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