Fitch: Norilsk Nickel unchanged

Fitch Ratings said that OJSC MMC Norilsk Nickel's long-term issuer default rating and senior unsecured rating of BBB- and its short-term issuer default rating of F3 are not affected by the decision of Norilsk Nickel's board of directors to buy-back up to 4.17% of the company's capital stock.

The outlook for the long-term issuer default rating remains stable.

The agency said that Norilsk Nickel will purchase up to 7,947,000 of its own shares at a price of about $254 per share.

Management has announced that the goal of the buy-back is to support the company's securities prices, which have recently declined, Fitch added, stating that in the last three years Norilsk Nickel has generated very strong free cash flows and maintained very conservative credit metrics, even compared to its Russian peer group.

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