Sharp Corp.

We see an increasing likelihood of Japan-based Sharp Corp. asking its main lender banks for support in a form we define as 'SD' (selective default), such as a debt-for-equity swap, modifications to existing debt, or a debt waiver. The company's liquidity and ability to refinance fully depend on the support of lender banks. Sharp faces intensifying fierce global competition and persistent pressure on prices in its main products, especially in liquid crystal display (LCD) panels and flat-panel TVs. We will review the ratings and resolve the CreditWatch with negative implications placement after examining Sharp's earnings prospects and the support of its lender banks. We may further lower our ratings on Sharp more than a notch if in the next few

...*Unless otherwise noted, all ratings in this report are global scale ratings. Standard & Poor's credit ratings on the global scale are comparable across countries. Standard & Poor's credit ratings on a national scale are relative to obligors or obligations within that specific country. Issue and debt ratings could include debt guaranteed by another entity, and rated debt that an entity guarantees. WWW.STANDARDANDPOORS.COM/RATINGSXPRESS APRIL 7, 2015 5...

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