Moody's confirms Metso

Moody's Investors Service said it confirmed the Baa2 long-term issuer rating for Metso Corp.

This rating action concludes the review for downgrade initiated at Aug. 21, the agency said.

The outlook is negative.

Oliver Giani, senior analyst at Moody's said: "We consider that the pressure for a rating downgrade has been materially relieved following the stabilization of revenues and turnaround of EBITA-margin achieved in Q3.

"As a result, Moody's feels more comfortable in the ability of Metso to meet Moody's expectation for the Baa2 rating by the end of 2010. The negative outlook assigned, however, reflects the very weak order inflow causing low visibility for revenues and the execution risk with regard to the remaining part of cost savings and working capital reduction which could threaten its expectations."

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