Ericsson Outlook Revised To Negative On Lower Profitability And Uncertainty About ST-Ericsson; 'BBB+' Rating Affirmed Jan 13
- Language: English
- Published: January 2013
PARIS (Standard & Poor's) Nov. 27, 2007--Standard & Poor's Ratings Services said today that it has revised to negative from stable its outlook on Swedish telecommunications equipment supplier Ericsson (Telefonaktiebolaget L.M.). The 'BBB+' long-term and 'A-2' short-term corporate credit ratings were affirmed. The outlook revision follows Ericsson's announcement that fourth-quarter 2007 revenues will likely be in the low end of its very broad expectation range of Swedish krona (SEK)53 billion-SEK60 billion. This follows significantly weaker-than-expected profits and cash flows for third-quarter 2007, the announcement of low fourth-quarter profits in October, and the ensuing departure of the company's chief financial officer. "Although we expect Ericsson's performance to pick up by second-half 2008, the negative outlook reflects the possibility of a one-notch...
Companies mentioned in this report are: Ericsson (Telefonaktiebolaget L.M.)
Action: Outlook: 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.
Research type: News
This product is a is a brief one-page announcement of no more than 500 words with a quote from the analyst. It is media and investor focused with no accompanying commentary article.
SHOW LESS READ MORE >
Ericsson (Telefonaktiebolaget L.M.)