Fitch affirms Ek-Chai

Fitch Ratings said it affirmed Ek-Chai Distribution System Co. Ltd.'s debentures due 2013 and 2015, guaranteed by Tesco plc, at AA+(tha).

The outlook is stable.

The ratings are based on the full and irrevocable guarantee provided by Tesco, which has a long-term issuer default rating of A- and a stable view, Fitch said.

The risks are captured by the sovereign's BBB+ country ceiling, which reflects transfer and convertibility (T&C) risk, the agency said, and sovereign intervention.

The debentures' national ratings take into account the capping of the guarantor's rating by the Thai country ceiling, which is a notch lower than Thailand's A- long-term local-currency issuer default rating, Fitch said.

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