Credit FAQ: How Sovereign Credit Quality Affects Our Ratings On European Toll Road Network Operators Oct 12
- Language: English
- Published: October 2012
- Region: Europe
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This product consists of a Summary Analysis: Bi-annual (at least). An abbreviated analysis containing Standard & Poor's issuer credit ratings as of the time the article was published. The analysis includes a rating rationale - the basis on which the rating was assigned - and an outlook section if the issuer is not on CreditWatch. Financial statistics are not included.
The rating on Holding d'Infrastructures de Transport S.A.S. (HIT), the holding company of French toll road operator Sanef (A/Negative/A-1), is equalized with those on Spain-based infrastructure operator Abertis Infraestructuras S.A. (A/Negative/--), which owns 52.6% of HIT. The rating on Abertis reflects the company's excellent business profile, with strong and stable cash flow generation derived largely from its toll road concession business, a supportive regulatory framework both in Spain and France, and fairly manageable future capital expenditure needs. These strengths are offset by Abertis' weakened financial profile and lack of dividend flexibility, as well as its appetite for additional acquisitions, which could further impair its business and financial profile. It is important to note that without this support, HIT's underlying credit...
Companies mentioned in this report are: Holding d'Infrastructures de Transport S.A.S.,Abertis Infraestructuras S.A.,Sanef
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Holding d'Infrastructures de Transport S.A.S.,Abertis Infraestructuras S.A.,Sanef