S&P assigns A- to Potash bonds

Standard & Poor's said it assigned its A- debt rating to Potash Corp. of Saskatchewan Inc.'s new $500 million senior unsecured bonds due 2015 and $500 million senior unsecured bonds due 2020.

The proceeds are expected to be used to pay down amounts outstanding under the company's credit facilities and for general corporate purposes.

"The A- corporate credit rating and negative outlook on PotashCorp reflect our view of the company's leading market position in potash, its diversification in three fertilizers, low leverage, and history of strong cash flow generation," said S&P credit analyst Jatinder Mall in a news release. "We believe historical volatility in the company's nitrogen and phosphate operations, however, constrains the ratings."

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