Fitch lowers Hewlett-Packard to BBB+

Fitch Ratings said it downgraded Hewlett-Packard Enterprise Co.’s (HPE), long-term issuer default rating to BBB+ from A-.

The outlook is stable.

The actions affect $20 billion of total debt, including the undrawn $4 billion revolving credit facility.

Fitch said the ratings and outlook reflect its expectations for meaningfully weaker than previously expected operating performance, driven largely by lower demand in core hardware markets.

Hewlett-Packard specifically noted lower demand from one large customer in Industry Standard Servers (ISS) during the quarter ended Jan. 31, 2017, but the agency believes this weakness is more likely structural than transitory.

© 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.