Moody's rates Asciano notes Baa2

Moody's Investors Service said it assigned a provisional Baa2 rating to Asciano Finance Pty Ltd.'s inaugural A$3 billion medium-term note program.

Issuances under the program are to be guaranteed by Asciano Ltd. and certain subsidiaries.

Notes issued under the medium-term note program rank pari passu with all the other senior unsecured debt of Asciano Finance. Asciano intends to use the proceeds for general corporate purposes.

The outlook is stable.

"The primary driver of Asciano's Baa2 rating is the visibility and stability of its revenue stream and operating cash flows, which allow it to manage materially higher financial leverage than a similarly rated industrial company," Moody's vice president and senior credit officer Arnon Musiker said in a news release.

"These features are derived from its strong business and operating profile, with its assets and operations forming essential components of the Australian transport and logistics network."

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