S&P upgrades Oi to CCC+

S&P said it raised its global scale corporate credit ratings on Oi SA and its subsidiary Telemar Norte Leste SA to CCC+ from D and the national scale ratings to brB from D.

All debt ratings remain at D. The outlook on the corporate credit ratings is positive.

“The upgrade follows the Brazilian judge's approval of Oi's reorganization plan, which allows the company to gradually implement the plan, and makes it compliant with its obligations, including fiscal, labor, and financial liabilities,” S&P said in a news release.

“We're keeping our ratings on Oi's rated debts at D because the loans need foreign jurisdiction approvals (other countries where Oi holds legal contracts must recognize the reorganization) to be exchanged as agreed with creditors. It may take several months to conclude these approvals.”

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