Research Update: Dutch Finance Vehicle ABB Finance B.V. Rated 'A/A-1' In Line With Parent ABB Ltd.; Outlook Stable Dec 11
- Language: English
- Published: December 2011
- Region: Holland, Netherlands
The ratings on Switzerland-based engineering services group ABB Ltd. reflect the group's strong business risk profile, with leading global positions, strong technology bases, and good earnings diversification in its core businesses. They also reflect the group's modest financial risk profile, including strong debt-protection measures, sound free operating cash flow generation and liquidity positions, and the expectation that the group will maintain a conservative financial policy. ABB's adjusted group debt was about $1.9 billion at June 30, 2007 (including a total of $2.5 billion of estimated leasing, postretirement, and other debt adjustments, and the deduction of about $3.2 billion in excess cash). The automation industry is fragmented and competitive. Demand cyclicality is mitigated by stable component and aftermarket sales. The power...
Companies mentioned in this report are: ABB Ltd.
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