Finnish mobile telecoms equipment manufacturer Nokia has announced that it expects significantly lower sales and margins for its Devices and Services segment in second-quarter 2011 and has withdrawn its 2011 outlook for this segment. We now anticipate that Nokia will likely report significantly weaker operating results in 2011 than we had expected. We are lowering our ratings on Nokia to 'BBB+/A-2' and placing them on CreditWatch with negative implications. We aim to resolve the CreditWatch following our review of the company's near-term operational prospects; at this stage, we believe the long-term rating will remain investment-grade. On June 9, 2011, Standard&Poor's Ratings Services lowered its long- and short-term corporate credit ratings on Finland-based mobile telecommunications equipment manufacturer Nokia Corp.
