Fitch ups Eletropaulo to B-

Fitch Ratings upgraded the international local and foreign currency ratings of Eletropaulo Metropolitana Eletricidade de Sao Paulo SA to B- from DDD. The long-term national scale corporate rating and the rating of the seventh issue of debentures were also upgraded to BB(bra) from DDD(bra) and BB(bra) from CCC(bra).

Fitch said these rating actions reflect Eletropaulo's completion of its debt restructuring that included approximately Brazil real 2.3 billion of syndicated loans, bi-lateral bank loans and working capital facilities.

The rating also reflects Eletropaulo's improving credit-protection measures, which should strengthen over the next year supported by projected growth in operating income and cash flow and reflecting a much-improved capital structure and increased financial flexibility, according to Fitch.

Through the first quarter of 2004, Eletropaulo reported net revenues and un-adjusted EBITDA of real 1.6 billion and real 253 million. Adjusted EBITDA covered interest expense of real 112 million by 2.6x.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.