The ratings on Finland-based telecoms company Nokia Corp. reflect its position as the world's largest supplier of mobile handsets, its significant cash generation, and a very conservative capital structure. Nokia is the world's largest supplier of mobile handsets based on the ease of use and brand attractiveness of its handsets, a broad product range across different segments, vast economies of scale supported by its estimated 33% market share (at March 31, 2005), design expertise, product development capabilities, and efficient logistics. The ratings are constrained, however, by very intense competition from a number of players, including Motorola Inc. (BBB/Positive/A-2), Samsung Electronics Co. Ltd. (A-/Stable/A-2), Siemens AG (AA-/Stable/A-1+), LG Electronics Inc. (BBB-/Stable/--), and SonyEricsson. The ratings are also constrained by the continuing
