Research Update: French Property Company Gecina Upgraded To 'BBB/A-2' On Stronger Capital Structure; Outlook Stable Oct 12
- Language: English
- Published: October 2012
- Region: France
On Dec. 5, 2006, Standard & Poor's Ratings Services said that its 'BBB-' long-term and 'A-3' short-term corporate credit ratings on French property company Gecina remain on CreditWatch with negative implications, where they were placed on July 28, 2006. The CreditWatch status reflects a lack of visibility on the group's future strategy and financial and dividend policies, following two recent bids on Gecina's 68.5% owner, Metrovacesa S.A. Based on our assessment of Metrovacesa's creditworthiness, a downgrade could result from: Weak fixed charge coverage at year-end 2006. Although Metrovacesa's leverage has significantly declined, this has mainly been driven by asset revaluations, which has not benefited cash flow metrics. Increasingly aggressive strategies at both Gecina and Metrovacesa, resulting from changes in Metrovacesa's...
Companies mentioned in this report are:
Action: CreditWatch Update
Action: On CreditWatch:Negative
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.
Product Type: Research Update
Research updates complement media releases. They offer more depth and detail than summary analyses by incorporating all information published in the media release. They are more up to date than summaries in that they are published simultaneously with media releases. SHOW LESS READ MORE >