Petroleos de Venezuela S.A. Downgraded To 'CCC' From 'CCC+' On Similar Action On Sovereign; Outlook Is Negative

On Feb. 9, 2015, we lowered our foreign currency rating on Venezuela to 'CCC' from 'CCC+'. Following the downgrade on the sovereign, we are lowering our long-term corporate credit and senior unsecured debt ratings on the national oil and gas company, PDVSA, to 'CCC' from 'CCC+'. The negative outlook on PDVSA mirrors that on the sovereign, reflecting our view of the company's integral link with the government and critical role for the country. Therefore, another downgrade is possible if we further lower the ratings on the sovereign. NEW YORK (Standard&Poor's) Feb. 10, 2015--Standard&Poor's Ratings Services lowered its long-term corporate credit and senior unsecured debt ratings on Petroleos de Venezuela S.A. (PDVSA) to 'CCC' from 'CCC+'. The

...+ On Feb. 9, 2015, we lowered our foreign currency rating on Venezuela to '###' from '###+'. + Following the downgrade on the sovereign, we are lowering our long-term corporate credit and senior unsecured debt ratings on the national oil and gas company, PDVSA, to '###' from '###+'. + The negative outlook on PDVSA mirrors that on the sovereign, reflecting our view of the company's integral link with the government and critical role for the country. Therefore, another downgrade is possible if we further lower the ratings on the sovereign. NEW YORK (Standard & Poor's) Feb. 10, 2015--Standard & Poor's Ratings Services lowered its long-term corporate credit and senior unsecured debt ratings on Petroleos de Venezuela S.A. (PDVSA) to '###' from '###+'. The outlook is negative. The rating action on PDVSA follows the downgrade of Venezuela to '###' from '###+'. We anticipate that higher political risk in Venezuela coupled with lower oil prices results in a higher refinancing risk for PDVSA, since...

Ratings Action