(The following statement was released by the rating agency)
June 07 -
-- Alfa Laval is a Swedish industrial machinery manufacturer with leading positions in heat transfer, separation, and fluid handling.
-- We are assigning our ‘BBB+’ long-term issuer credit rating to Alfa Laval, reflecting an intermediate business risk profile and a modest finical risk profile.
-- The positive outlook reflects the possibility of an upgrade if Alfa Laval’s financial performance continues to exceed the metrics we consider commensurate with the current rating.
On June 7, 2012, Standard & Poor’s Ratings Services assigned its ‘BBB+’ long-term corporate credit rating to Swedish industrial machinery manufacturer Alfa Laval AB. The outlook is positive.
The rating reflects our view of the company’s “satisfactory” business risk profile and “modest” financial risk profile.
Support for the rating comes from the group’s leading market positions, good cost flexibility, strong profitability, a high share of stable aftermarket sales, and a fairly diverse earnings base. In addition, Alfa Laval enjoys strong and stable cash generation and, in our view, demonstrates good liquidity management.