...The ratings and the Stable Outlook reflect the company's stable credit profile, which is commensurate with a strong `A' rating, despite recent large acquisitions and mergers and continued stress in its energy-related business segments. We expect Siemens AG's credit profile to remain in line with its ratings in the medium term, with funds from operations (FFO) net leverage hovering below 1.5x, backed by moderate free cash flow (FCF) generation, additional cash proceeds coming from the healthcare IPO, and broadly stable profitability in the medium term. Siemens' moderately strong financial profile for the rating features a stable FFO margin, relatively weak FCF generation, and leverage at its industrial operations in line with an `A' rated diversified manufacturing company....
