Moody’s lifts Anglo American, debt

Moody's Investors Service said it upgraded the corporate family and probability of default ratings of Anglo American plc (AAL) to Ba2/Ba2-PD from Ba3/Ba3-PD.

Concurrently, the agency upgraded the rated senior unsecured guaranteed debt instruments at Anglo American Capital plc to Ba2 from Ba3, and the company's national scale ratings to A3.za/P-2.za from Baa2.za/P-3.za.

The outlook remains positive.

"The one notch uplift of Anglo American's ratings to Ba2 recognizes that debt reduction and cost cutting measures executed by the company, as well as a modest increase in the commodity prices, have significantly reduced credit downside risks for investors," Elena Nadtotchi, Moody’s vice president senior credit officer and the lead analyst for Anglo American, said in a news release.

"Our positive outlook reflects the expectation that AAL should now be able to maintain a level of financial flexibility that sustains its strengthened leverage profile as it repositions its portfolio."

© 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.