Fitch: Vale notes AAA(bra)

Fitch Ratings said it assigned an expected rating of AAA (bra) to Vale SA's proposed R$750 million debentures.

The proceeds from these debentures, which could be issued in four series, are expected to be used to fund the Ramal Ferroviario Sudeste do Para project, Fitch said.

The ratings are supported by the company's solid business position as a result of being the world's leading producer of iron ore, the agency said.

During 2012, the company had a market share of about 24% in the seaborne market, Fitch said.

Vale's position in the market is enhanced by its cost position, which is estimated to be in the lowest quartile, the agency said.

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