Samp;Ps Cuts BHP Billitons Credit Ratings
(RTTNews.com) – BHP Billiton (BHP.AX, BLT.L, BBL, BHP) noted the announcement, 1 February 2016, by Standard amp; Poors that it has lowered the credit ratings of BHP Billiton Limited and BHP Billiton Plc from A+ to A.
The rating on BHP Billitons senior secured notes has been lowered from A+ to A and subordinated notes from A- to BBB+.
Standard amp; Poors noted that it recently lowered its price assumptions for iron ore, oil, and copper, reflecting very challenging market conditions and increased demand uncertainty over the coming years. It now forecasts that global diversified miner BHP Billiton could see its ratio of funds from operations to debt fall to 30%-40% over 2016 and 2017, well below threshold for an A+ rating.