Fitch: Anadarko, Kerr-McGee to positive

Fitch Ratings said it revised the outlooks of Anadarko Petroleum Corp. and its subsidiary, Kerr-McGee Corp., to positive from stable following the announcement that Anadarko has settled its Tronox litigation with the plaintiffs for $5.15 billion.

Additionally, the agency affirmed all ratings for Anadarko and Kerr-McGee.

The settlement agreement results in a complete release of all claims asserted by the plaintiffs against Kerr-McGee. The agreement is subject to recommendation by the U.S. bankruptcy court and a U.S. District Court approval, as well as the issuance of an injunction barring similar claims from being asserted by third parties.

This process is expected to be completed by the end of the third quarter and payment is expected soon thereafter from existing cash balances. Additional liquidity is provided by an undrawn $5 billion credit facility.

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