Moody's ups Wimm-Bill-Dann

Moody's Investors Service said it upgraded Wimm-Bill-Dann Foods OJSC's corporate family and probability-of-default ratings to Ba3 from B1 and $150 million 8½% loan participation notes due 2008 to Ba3 from B1.

The outlook is stable.

The upgrade reflects strong operating performance in fiscal 2006, EBITDA growth and solid credit metrics despite growing debt, with adjusted leverage below 2 times, the agency said. The company's growth benefited from acquisitions, Moody's said.

The ratings remain constrained by dependence on the Russian market, exposure to exchange rate risk and growing cost pressure, the agency said.

The stable outlook reflects Moody's expectation that the company's future growth will be underpinned by stable profit margins combined with acquisition activity and that the company will maintain a conservative financial policy, Moody's said.

© 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.