S&P lowers GS Caltex

Standard & Poor's said it lowered its long-term corporate credit and debt ratings on GS Caltex Corp. (BBB-/stable/A-3) to BBB- from BBB and lowered the short-term corporate credit rating on the company to A-3 from A-2. The outlook on the long-term corporate credit rating is stable.

S&P said the ratings downgrade reflects the agency's expectation that GS Caltex is likely to have a weak financial risk profile for a BBB rating over the next 24 months. S&P expects the ratio of the company's debt to EBITDA to remain close to 4x, exceeding S&P's previous downgrade trigger of 3.5x, over the next 24 months.

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