Moody's: Potash view positive

Moody's Investors Service said it affirmed Potash Corp. of Saskatchewan's long-term rating and senior debt rating at Baa1 and changed the outlook to positive from developing following the announcement that BHP Billiton Ltd.'s bid for Potash has been withdrawn.

The agency said the Baa1 rating and positive outlook incorporate its optimistic view on global fertilizer demand in 2011 and beyond as well as the expectation that potash prices will remain elevated over the next several years.

The affirmation also incorporates the recently announced accelerated $2 billion share repurchase program of about 5% of Potash's outstanding shares, Moody's said.

© 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.