S&P rates Praxair notes A

Standard & Poor's said it affirmed the A long-term and A-1 short-term corporate credit ratings on Praxair Inc.

The agency also assigned an A rating to its senior unsecured debt rating to the company's $600 million notes due 2022. The notes are being drawn from an existing shelf registration.

The outlook is stable.

The ratings reflect the company's excellent business profile, the impressive resilience of its cash flows and operating margins, S&P said, and credit metrics that are consistent with expectations.

These strengths, along with the substantial percentage of its revenues that are under long-term contracts, allow Praxair to pursue moderate-size acquisitions and repurchase shares while maintaining credit quality, the agency said.

However, the agency said it believes the capital intensity of the business, numerous investment opportunities and the cyclicality of some key industrial end markets remain tempering factors, S&P 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.