Fitch ups Tyson Foods

Fitch Ratings said it upgraded Tyson Foods, Inc.'s long-term issuer default rating to BB+ from BB, asset based loan bank facility to BBB- from BB+, senior unsecured notes due 2011 to BB from BB-, convertible senior notes due 2013 to BB from BB-, senior guaranteed unsecured notes due 2014 to BB+ from BB, senior guaranteed unsecured notes due 2016 to BB+ from BB, senior unsecured notes due 2018 to BB from BB- and senior unsecured notes due 2028 to BB from BB-.

The outlook is positive.

The upgrade is due to Tyson's considerable debt reduction, which reflects the company's change towards a more conservative financial strategy and significantly better than expected operating performance, Fitch said.

The agency said it views the maintenance of low debt levels as critical for commodity protein companies given the magnitude of potential volatility in earnings and cash flow.

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