S&P: Romanian companies unaffected

Standard & Poor's said its outlook revision to stable from positive on the Republic of Romania (foreign-currency BBB-/stable/A-3, local-currency BBB/stable/A-3) does not affect its ratings or outlooks on Romanian government-controlled infrastructure companies, including C.N. Transelectrica SA(BB+ with positive outlook), CFR Marfa SA (B with negative outlook), CFR SA (BB with negative outlook), S.C. Hidroelectrica SA (BB-with positive outlook) and S.N.T.G.N. Transgaz SA Medias (BB+ with positive outlook).

The ratings on these companies (except CFR SA) are based on a bottom-up approach and are not linked to those on the sovereign, S&P said. Although the rating on CFR SA is based on a top-down approach, the outlook does not reflect the outlook on the sovereign, due to S&P's concern that continued weak reporting standards will increase information risk and may ultimately put pressure on the rating.

The agency said it will monitor and evaluate any potential implications of the political environment underlying the sovereign outlook revision for the creditworthiness of Romanian infrastructure companies.

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