Outlook On Japanese General Trading House Sojitz Revised Down To Stable; 'BBB-' Rating Affirmed

The business environment for general trading and investment companies (GTICs) has rapidly deteriorated amid the global slowdown and fall in stock prices triggered by the COVID-19 pandemic. Under the challenging circumstances, Sojitz's profit is likely to remain under very strong pressure in the next one to two years despite its conservative financial policy, leading us to believe that its capital adequacy is unlikely to improve at the speed we had assumed. We are revising the outlook on the company to stable from positive, and affirming the long-term issuer credit rating at 'BBB-'. TOKYO (S&P Global Ratings) July 10, 2020--S&P Global Ratings today said it has revised to stable from positive its outlook on the long-term issuer credit rating on Sojitz

...July 10, 2020 - The business environment for general trading and investment companies (GTICs) has rapidly deteriorated amid the global slowdown and fall in stock prices triggered by the COVID-19 pandemic. - Under the challenging circumstances, Sojitz's profit is likely to remain under very strong pressure in the next one to two years despite its conservative financial policy, leading us to believe that its capital adequacy is unlikely to improve at the speed we had assumed. - We are revising the outlook on the company to stable from positive, and affirming the long-term issuer credit rating at '###-'. TOKYO (S&P Global Ratings) July 10, 2020--S&P Global Ratings today said it has revised to stable from positive its outlook on the long-term issuer credit rating on Sojitz Corp. At the same time, we have affirmed the long-term issuer credit rating on the Japanese GTIC at '###-'. We have revised the outlook because we believe the company's capital adequacy is unlikely to improve at the speed...

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