Fitch upgrades Panasonic

Fitch Ratings said it upgraded Panasonic Corp.'s long-term foreign- and local-currency issuer default ratings and local-currency senior unsecured ratings to BBB from BBB-.

The outlook is stable.

The company’s short-term foreign- and local-currency issuer default ratings also are upgraded to F2.

The upgrades reflect expectations of improved margins and reduced debt, which continue to bolster its credit profile, Fitch said.

Panasonic's strength in its core products, lower exposure to the volatile consumer electronics businesses, streamlined cost structure, lower gross leverage and net cash position make its financial profile more resilient to deteriorating macro conditions, the agency said.

Fitch said it remains cautious about Panasonic's growth initiatives as the plan involves substantial upfront investment and expansion in overseas operations.

© 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.