Netherlands-based mail operator PostNL has completed the sale of its stake in TNT Express to FedEx Corp., receiving €643 million of net proceeds as part of the transaction. We understand that PostNL intends to apply the proceeds to reduce debt, thereby improving credit metrics to a level commensurate with a minimal financial risk profile. We project metrics to remain at this level going forward. We are therefore upgrading PostNL to 'BBB+' from 'BBB' and raising the ratings on its senior unsecured notes to 'BBB+' from 'BBB'. The stable outlook reflects our view that PostNL will be able to at least maintain its current credit metrics thanks to ongoing cost-saving initiatives and a prudent financial policy. On June 22, 2016, S&P
