Moody's: Lecta view to negative

Moody's Investors Service said it changed the outlook on all ratings of Lecta SA to negative from stable.

Lecta's B1 corporate family rating and B1-PD probability of default rating, as well as the B1 rating on the group's senior secured notes, were affirmed.

"The outlook change to negative reflects Lecta's weakened performance in 2012 and our view that the company is likely to find it challenging to turnaround profitability and allow for credit metrics more appropriate for its B1 rating over the coming quarters" Moody's lead analyst for Lecta Anke Rindermann said in a news release.

This also takes into account the weak industry environment in Europe due to structural and cyclical pressures, intense competition and rising input costs, the agency said.

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