S&P downgrades Imperial Oil to AA+

Standard & Poor's said it lowered its long-term corporate credit rating on Imperial Oil Ltd. to AA+ from AAA following a similar action on its major shareholder, Exxon Mobil Corp.

The outlook is stable.

The agency removed the rating from CreditWatch with negative implications, where it was placed Feb. 2.

At the same time, S&P affirmed its A-1+ short term rating, and A-1+ global scale and A-1(High) Canada scale commercial paper ratings, respectively, on the company.

"We view Imperial Oil as a core holding to ExxonMobil, so rating actions on the latter will also affect Imperial Oil," S&P credit analyst Michelle Dathorne said in a news release.

"We believe Imperial's stand-alone credit profile continues to reflect the debt incurred to complete its oil sands development projects."

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