We believe Brazil-based telecom operator Oi will maintain weaker credit metrics for longer than previously forecasted, mainly due to lower revenue in its fixed segment. On Sept. 12, 2019, S&P Global Ratings affirmed its global scale 'B' issuer credit and issue-level ratings and revised the outlook to negative from stable. At the same time, we lowered our national scale rating to 'brA-' from 'brA' and assigned a negative outlook. The negative outlook on both scales reflects the cash flow constraints and execution challenges in the capex plan, which could limit the company's ability to reverse the revenue decline while weakening its profitability. The outlook change reflects the challenges Oi has been facing in its efforts to resume growth and to
