U.K.-based engineering company Invensys PLC has recently announced that it expects cost overruns in its Operating Management and Rail divisions to dampen its financial 2012 earnings. We believe that Invensys' credit metrics will weaken following the deterioration in earnings. We are therefore revising our outlook on Invensys to negative from stable, and affirming our 'BBB-' corporate credit rating on the company. The negative outlook reflects the potential for a downgrade if the anticipated weakening in Invensys' credit metrics lasts longer than 12 months or is more severe than we forecast. LONDON (Standard & Poor's) Jan. 20, 2012--Standard & Poor's Ratings Services said today that it revised its outlook on U.K.-based engineering company Invensys PLC to negative from stable. At the...
Companies mentioned in this report are: Invensys PLC
Action: Outlook: Negative
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Research type: News
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