German Auto Supplier Schaeffler Upgraded To 'BB+' On Further Deleveraging At Schaeffler AG; Outlook Stable

The Germany-based automotive component and systems and industrial bearings manufacturer Schaeffler AG has announced that it will reduce debt by €1.7 billion. We expect credit ratios to further improve in 2016 and 2017. We are therefore raising our long-term corporate credit rating on the Schaeffler group to 'BB+' from 'BB' and the issue ratings to 'BB+' and 'BB-'. The stable outlook reflects our opinion that Schaeffler group will maintain funds from operations to debt of about 25% and debt to EBITDA below 3.0x, on the back of strong operating performance and mid-single-digit revenue growth in 2016-2017. FRANKFURT (S&P Global Ratings) Sept. 21, 2016--S&P Global Ratings today raised its long-term corporate credit ratings to 'BB+' from 'BB' on Schaeffler AG and

...+ The Germany-based automotive component and systems and industrial bearings manufacturer Schaeffler AG has announced that it will reduce debt by 1.7 billion. + We expect credit ratios to further improve in 2016 and 2017. + We are therefore raising our long-term corporate credit rating on the Schaeffler group to '##+' from '##' and the issue ratings to '##+' and '##-'. + The stable outlook reflects our opinion that Schaeffler group will maintain funds from operations to debt of about 25% and debt to EBITDA below 3.0x, on the back of strong operating performance and mid-single-digit revenue growth in 2016-2017. FRANKFURT (S&P Global Ratings) Sept. 21, 2016--S&P Global Ratings today raised its long-term corporate credit ratings to '##+' from '##' on Schaeffler AG and Schaeffler Verwaltung Zwei GmbH (SVZ; to be renamed IHO Verwaltungs GmbH), members of the Germany-based automotive component and systems and industrial bearings manufacturing group, Schaeffler. The outlook is stable. At the same...

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