Industry Report Card: Despite Solid Portfolios And Balance Sheets, European Real Estate Companies Are Under Increasing Ratings Pressure Jan 09
Standard & Poors, January 2009
Abstract
Europe's major economies have now entered a recession. Weaker demand and poor financing conditions resulted in a contraction of business investments in the last months of 2008, which deepened the downturn across the continent. In this context of lower investor confidence and a global credit squeeze, Standard & Poor's Ratings Services' analytical focus is more than ever on liquidity. This is particularly significant when it comes to the real estate sector, which has high capital intensity and generally high leverage. In the coming quarters, negative rating actions--including downgrades, outlook revisions and CreditWatch placements--are more likely, mainly driven by the companies' liquidity positions and financial flexibility. Although we do not expect cash flow generation from rental activities to be down much...
Companies mentioned in this report are:
- Unibail-Rodamco
- Klepierre S.A.
- Derwent London PLC
- Cofinimmo S.A./N.V.
- Gecina
- Befimmo S.A.
- Atrium European Real Estate Ltd.
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: Commentary
Criteria articles describe the thought process and methodology Standard & Poor's analysts use in determining ratings. These commentary pieces discuss both the quantitative (economic and financial) and qualitative (business analysis and caliber of management) aspects of the analysis, as well as legal issues.
- Unibail-Rodamco
- Klepierre S.A.
- Derwent London PLC
- Cofinimmo S.A./N.V.
- Gecina
- Befimmo S.A.
- Atrium European Real Estate Ltd.
Customers who bought this item also bought
All rights reserved. © Copyright 2013 Research and Markets WWW5
Terms and Conditions Privacy Policy Publishers Employment Opportunities Site Map Link to us Webmaster Affiliate Network
