Fitch upgrades Sony

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

The outlook is positive.

The agency also affirmed the company's short-term foreign- and local-currency issuer default ratings at B.

The positive outlook reflects expectations of higher margins in Sony's non-financial businesses, de-leveraging following restructuring and management's commitment to improve profitability, Fitch said.

The agency said it believes that Sony will be able to regain its investment-grade rating if margins stabilize and leverage remains low.

Downsizing of the weak smartphone and TV businesses and the disposal of the unprofitable battery business will reduce volatility in profits, Fitch added.

© 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.