Fitch affirms Swire Pacific

Fitch Ratings said it affirmed Hong Kong-based Swire Pacific Ltd.'s long-term foreign currency issuer default rating at A-.

The outlook is stable.

Fitch said Swire's rating is not affected by Cathay Pacific Airways Ltd.'s proposed acquisition of Hong Kong Dragon Airlines Ltd. for a total sum of HK$8.22 billion and the restructuring of the shareholdings in both Cathay and Dragonair.

The agency noted that Swire's credit profile will be moderately enhanced by the cash inflows resulting from this restructuring and from Cathay's improved market position in the Hong Kong - China aviation market, which would offset the negative effect of Swire's reduction in its stake in Cathay.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.