S&P cuts Nokia

Standard & Poor's said it lowered the long-term corporate credit rating on Nokia Corp. to A- from A and affirmed the A-1 short-term rating.

S&P removed all ratings from CreditWatch, where they were placed with negative implications on Feb. 1.

The outlook is stable.

The downgrade reflects the revision of S&P's business risk profile assessment on Nokia to satisfactory from strong, primarily because of the expectation that Nokia's smartphone portfolio will make further significant market share losses during 2011 and 2012 until it has completed its adoption of Microsoft's Windows Phone software as its new primary software platform for smartphones, the agency said.

The stable outlook reflects the expectation that Nokia will maintain its current conservative financial policy, including a very strong balance sheet, robust liquidity position and solid free operating cash flow generation during the transition period to Microsoft's Windows Phone software, the agency added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.