In our view, Fortescue has improved the resilience of its credit metrics to low iron ore prices, and restored the rating buffer to accommodate a moderate fall in iron ore prices. This improvement is due to the company's further cuts in its cost of production and repayment of outstanding debt over the fiscal year. As a result, we are revising the outlook to stable from negative, reflecting our view that Fortescue's credit metrics have sufficient headroom at the current rating level to withstand moderate downside risk in iron ore prices should external pressures intensify. At the same time, we are affirming the 'BB' corporate credit rating on the company and the issue ratings on the company's debt. We consider a
