Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Strong Credit Rating Underlines Ability

Tuesday 16 April 2002

Strong Credit Rating Underlines Ability To Fund Growth Strategy


Fonterra’s very strong credit rating underlines the company’s ability to fund its acquisition and joint venture strategy from the strength of its balance sheet, Chief Financial Officer Graham Stuart said today.

Mr Stuart was commenting on Fitch Ratings assigning Fonterra a long term rating of AA- and a short-term rating of F-1+, both equivalent to last year’s ratings by Standard & Poor’s of AA- and A-1+ respectively, and meaning that Fonterra has very strong capacity to meet its debt obligations.

It gives Fonterra the same rating as other Fitch clients such as Telstra, BellSouth Telecommunications, IBM, Carrefour, ASDA Group, Tesco, Reuters and Dow Jones.

“This is an excellent result and confirms Fonterra’s underlying credit strength and the confidence of the rating agencies in the business profile and growth strategy,” Mr Stuart said.

Fitch is one of the three leading ratings agencies in the world, along with Moody’s and Standard & Poor’s, and was formed in June 2000 from the merger of New York and London based Fitch IBCA and Chicago’s Duff & Phelps. Fonterra chose Fitch as its credit rating agency after consulting with large investors in Fonterra debt and because of its knowledge of both the Australasian and European debt markets.

END

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Voluntary Administration: Renaissance Brewing Up For Sale

Renaissance Brewing, the first local company to raise capital through equity crowdfunding, is up for sale after cash flow woes and product management issues led to the appointment of voluntary administrators. More>>

Elsewhere:

Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:

Media Mega Merger: Full Steam Ahead For Appeal

New Zealand's two largest news publishers have confirmed they are committed to pursuing their appeal against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>