The ratings on Finland-based mobile telecommunications equipment manufacturer Nokia Corp. reflect its dominant position in the mobile handset market, with an estimated 38% global market share in the third quarter of 2008. Nokia has industry-leading profitability, owing to its strong product portfolio and large scale. The company's free operating cash flow (FOCF) generation was strong at €5.3 billion in the 12 months to Sept. 30, 2008, and it maintains a conservative balance sheet. These factors are partly offset by the still weak profitability of the network business due to a very challenging market environment, the very competitive nature of the mobile handset business that requires rapid technological advances to satisfy fast-changing customer demands, and Nokia's weak handset market positions in
