Ence Energia y Celulosa's operational performance has weakened beyond our previous base-case scenario due to an adverse change in energy regulation and weakening pulp prices. We are lowering the long-term credit rating to 'BB-' from 'BB'. The outlook is negative, indicating that we could lower the rating by one notch if Ence's credit metrics do not recover significantly in 2015. On Nov. 20, 2014, Standard&Poor's Ratings Services lowered its long-term corporate credit rating on Spanish pulp and electricity producer Ence Energia y Celulosa (Ence) to 'BB-' from 'BB'. The outlook is negative. In addition, we lowered the issue rating on Ence's €250 million senior secured notes. We have also revised the recovery rating on the senior secured debt
