We expect weak industry conditions in mining and the debt-financed acquisition of Varel International Energy Services to result in continued weak credit measures for Swedish capital goods manufacturer Sandvik AB. We are removing the one notch of uplift from the anchor that we previously included in the credit rating under our comparable analysis. We are lowering our long-term corporate credit rating on Sandvik AB To 'BBB' from 'BBB+' and our short-term Nordic scale rating to 'K-2' from 'K-1', as well as affirming our A-2' short-term corporate credit rating. The stable outlook reflects our expectation that Sandvik's credit metrics will gradually improve and move to levels commensurate with the rating by 2015. STOCKHOLM (Standard&Poor's) March 17, 2014--Standard&Poor's
