By Nicholas Bryant
Friday 28th April 2000 |
Text too small? |
In recognition of the company's efforts to reconfigure its core businesses to best reflect changing market conditions the agency has affirmed Carter Holt's rating BBB-/A-3.
Standard & Poor's said the affirmation reflected its moderate cost position, high degree of vertical integration and satisfactory position in several Australasian forest product markets.
S&P sees CHH more positively than its majority shareholder, International Paper.
International Paper has had its BBB+ long-term corporate rating placed on CreditWatch with negative implications following its announcement it will bid for Champion International Corporation.
At the same time International Paper's short-term credit rating was affirmed at A-2.
Standard & Poor's said CHH's importance to International Paper gave the majority shareholder strong incentive to support the company and allow CHH access to its industry and management expertise.
It also outlined what areas would need to succeed before CHH's operating performance and returns reached "satisfactory" levels.
Facing acute competitiveness pressures in the Australasian fibre packaging market, CHH would be relying on the timely boost of its upgraded Kinleith pulp and paper mill and on its Project Genesis performance improvement initiatives, it said.
Carter Holt Harvey shares were trading at $1.74, up 2c, following the announcement.
No comments yet
RAK - FY25 Performance and Focus; Director Retirement
PEB - Medicare LCD Effective; Pacific Edge Seeks Recoverage
MEL - New CFO and Executive Changes
PFI - Upgraded FY25 Earnings Guidance
April 28th Morning Report
Mercury appoints new Chief Sustainability Officer
April 24th Morning Report
VCT - Operational performance for 9 months ended 31 March 2025
April 23rd Morning Report
TWR - Capital Return - ATO Class Ruling Obtained