DBRS: Sherritt view to negative

DBRS said it confirmed both the issuer rating and senior unsecured debt rating of Sherritt International Corp. at BB (high) and changed the trends to negative from stable.

The recovery rating for Sherritt's senior unsecured debt under a hypothetical default scenario remains at RR4.

DBRS said the change in the trend to negative from stable on Sherritt's ratings reflects the growing stress of funding the company's 40%-owned Ambatovy project to completion, declining oil production and upcoming contract renewals at its Prairie Coal unit, all in the face of weakening and volatile commodity prices.

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