Fitch: Klabin outlooks are stable

Fitch Ratings said it affirmed the ratings for Klabin SA’s long-term foreign and local currency issuer default ratings at BBB- and long-term national scale rating at AA(bra), and Klabin Finance SA’s $500 million senior notes due in 2024 at BBB-.

The outlook for Klabin's international issuer default ratings was revised to stable from negative. The outlook for its national scale rating remains stable.

Fitch said the outlook revision is a result of the recently announced sales agreement between the company and Fibria Celulose SA, which reduces sales risk from the new pulp mill. The stable outlook also reflects a positive revision to the company's future cash flows post startup of the mill due to a weaker Brazilian real, the agency said.

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