S&P downgrades ArcelorMittal

Standard & Poor's said it lowered its long-term corporate credit rating on ArcelorMittal to BBB- from BBB and affirmed the short-term ratings at A-3.

The outlook is stable.

"The downgrade reflects our opinion that the prospects for further improvement in ArcelorMittal's operating results and credit metrics are more uncertain, and in our view, do not appear likely to reach a sustainable level commensurate with the BBB rating," S&P analyst Alex Herbert said in a statement.

Ratings reflect the group's satisfactory business risk profile and intermediate financial risk profile, the agency said.

Supportive factors include the group's leading global market positions, partial supply of own raw materials, and good supply discipline, S&P said.

Constraining factors are industry cyclicality, volatile input costs and substantial adjusted debt, the agency noted.

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