Risk rating changed from B + to BB-. S & P also changed the outlook of Petrobras' note from negative to stable
The international market started to better evaluate Petrobras. On Friday (10), the Standard & Poor's Rating Agency (S & P) changed the risk rating of the company's corporate debt from B + to BB-. The outlook for the company note also improved, from negative to stable.
These rating agencies are responsible for evaluating companies and telling you how safe it is to invest in them and how safe it is to buy part of your debt or lend money to these companies. To make this clearer, they define notes, usually letters, that are part of a scale that can indicate whether the company is too safe or too little.
The better this appraisal, the more resources and investors a company is able to attract. Some international investment funds have strict rules for investing in countries and companies. To put the money of the quotaholders into an investment, managers have to find assets with a good rating from these rating agencies.
In the report on Petrobras, S & P said that the improvement in the state's level of risk reflects the evolution of its liquidity and a robust cash position that confers greater capacity to deal with possible contingencies, that is, it reduced the risks of the company not Honor their commitments.
Change of management at Petrobras
The recovery of the relationship with domestic and international banks and Petrobras' ability to access the capital market was also highlighted by the agency, which considered debt management operations to be positive. Also highlighted was the progress of the Divestment Program and the prospects for reaching the target set for 2017 and 2018.
Standard & Poor's also highlighted the focus on profitability by the company's management, the more balanced capital structure and the commitment to deleveraging, as well as the consistency of the new Price Policy, which allows greater visibility for Petrobras' cash generation.
The agency further reinforced the advances in corporate governance and the measures taken to improve internal controls, supplier relationships and decision-making processes. S & P also reinforced the advances in corporate governance and the measures taken to improve internal controls, supplier relationships and decision-making processes.
Source: Portal Brasil, with information from the Petrobras Agency