SAS ‘BB’ corporate credit rating put on negative watch - Standard and Poor
01-May-2008 |
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(XFN Asia) Standard & Poor's Ratings stated it placed its 'BB' longterm corporate credit rating on Scandinavian airline group, SAS AB, on negative watch, reflecting deteriorating industry conditions, rising oil price and intensifying competition.
Standard and Poor said “The negative watch placement reflects our concerns that underlying trading conditions are deteriorating. This is adversely affecting the group's performance and could place additional pressure on its financial profile.”
Standard and Poor added that, the rapid rise in oil prices, which is difficult to satisfactorily offset, and intensification of competition in certain markets by budget carriers mean that SAS faces a very challenging business environment, with costs rising and unit revenues coming under pressure.
Date posted: 01-May-08
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SAS ‘BB’ corporate credit rating put on negative watch - Standard and Poor 
