S&P rates Sumitomo bonds A-

S&P said it assigned an A- rating to Sumitomo Corp.'s dollar-denominated unsecured straight bonds.

The $500 million bonds have a fixed-coupon rate of 2.5% and are due Sept. 13, 2022.

The rating on the bonds is the same as the long-term corporate credit rating on Sumitomo, the agency said.

This is due to the asset protection for the bonds, S&P said, and the seniority of the bonds' payment among its financial obligations.

The ratings reflect the company's diversified portfolio and strong trading and investment businesses, the agency said.

The negative outlook reflects a view that its profitability might recover more slowly than assumed, given the risk of additional impairment losses from large resource investments, S&P said.

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