S&P ups WPP

Standard & Poor's said that it revised the outlook to stable from negative on WPP plc, raised the group's short-term corporate credit rating to A-2 from A-3 and affirmed its BBB long-term corporate credit rating.

The outlook revision and upgrade of the short-term rating reflect WPP's significantly better than expected 2010 results on the back of a strong global advertising market recovery in the second half of the year, S&P said.

As a result, the group's credit metrics, which were still weak in the 12 months ended June 30, 2010, materially improved to levels fully in line with the current ratings as of Dec. 31, the agency said.

The stable outlook reflects the expectations that WPP's credit metrics will remain commensurate with the current ratings and that the group's revenue and EBITDA growth should grow by low- to mid-single digits in 2011, the agency 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.