|
|
 |
|
Viewing report
|
|
|
|
Japan Tobacco Inc.
Standard & Poors
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Full Analysis
Abstract
The rating on Japan Tobacco Inc. reflects the company's dominant position in Japan, the world's third-largest tobacco market in terms of unit sales. The rating also takes into consideration benefits arising from relatively supportive industry regulation, as well as the company's conservative financial policy and strong cash flow generation. Japan Tobacco enjoys strong, predictable earnings from its domestic tobacco business. The company has maintained its dominant position in Japan despite its privatization in 1985 and subsequent liberalization measures opening the market to imported tobacco products. Backed by strong marketing efforts and brand management, the company holds roughly 75% of the domestic market. Demand for tobacco in Japan has been stable, even amid the nation's prolonged economic downturn, supported in part...
Companies mentioned in this report are: Japan Tobacco Inc.
Action: Review
|
|
|
|
