S&P: Nissan view to stable

Standard & Poor's said it revised to stable from negative the outlook on Nissan Motor Co. Ltd. and related entities, including Nissan Motor Acceptance Corp.

The outlook revision is based on an expectation that Nissan is likely to maintain its satisfactory profitability and improved financial profile for the next few years, given that it has made a faster recovery in production and there is a reduced risk of erosion in its competitive position, S&P said.

The agency also said it affirmed the company's BBB+ long-term corporate credit and debt ratings, along with its A-2 short-term corporate credit rating.

Shortages of parts following the March earthquake in Japan had less effect on Nissan than it had on most of its Japanese rivals because Nissan had relatively large parts inventories at hand in anticipation of strong sales and higher levels of planned production in fiscal 2011, S&P said.

Nissan's production in May exceeded levels seen in the same month of 2010, recovering more quickly than anticipated in late April, the agency added.

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