Strong competition in global crop protection markets, pricing pressure, and depressed fish oil prices will continue to affect the earnings of Nufarm Ltd. over the next 12 months. This will limit the group?s ability to generate meaningful free cash flow to reduce its high debt. Management is cutting costs to boost cash flow generation. However, any material gains will depend on improving market demand and pricing, the timing and magnitude of which remain uncertain. We lowered our long-term issuer credit rating on Nufarm to 'B+' from 'BB-'. We also lowered by one notch our long-term issue ratings on the company's A$210 million senior secured bank facility (recovery rating of '1') to 'BB' from 'BB+', its US$350 million senior unsecured notes
