S&P lowers Israel Chemicals

S&P said it lowered the long-term corporate credit rating on Israel Chemicals Ltd. to BBB- from BBB.

The agency also said it lowered the rating on the company's senior unsecured debt to BBB- from BBB in line with its corporate credit rating.

The outlook is stable.

S&P also said it removed all of the ratings from CreditWatch with negative implications, where they were placed in June.

The downgrades reflect an expectation that Israel Chemical's leverage will continue to be higher than previous projections, the agency said, and that the company's free operating cash flow will be absorbed by sustained capital expenditures and dividends.

This will lead to neutral to negative discretionary cash flow, S&P added.

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