S&P cuts Codelco

S&P said it downgraded Corporacion Nacional del Cobre de Chile (Codelco) to A from A+, saying copper prices are likely to remain weak.

S&P said it sees the government-owned company’s leverage staying above 5x at least through 2022.

“We don't expect the government to inject capital into Codelco in the near term, instead we expect the company to overhaul its investment policy to minimize cash deficits,” said the agency in a press release.

The outlook is stable.

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