Astrazeneca ratings cut to 'AA-' on financial policy clarification - Fitch

Date : 07/27/2007 @ 5:08AM
Source : TFN
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Astrazeneca ratings cut to 'AA-' on financial policy clarification - Fitch

        MUMBAI (Thomson Financial) - Fitch Ratings downgraded UK-based
pharmaceuticals company AstraZeneca PLC's senior unsecured and issuer default
ratings to 'AA-' from 'AA'.
    A stable outlook is assigned, while the short-term IDR is affirmed at 'F1+'. 
    The action follows AstraZeneca's clarification of its financial policy in
the wake of its 15.3 bln usd debt-financed acquisition of US biotechnology
company MedImmune Inc, the agency said. 
    "Although the group said it is committed to reducing its gross debt (15.4
bln usd at the end of the first half of 2007) over the next three to four years
to permanent debt, net of cash, of 6-7 bln usd, Fitch deems this level
inconsistent with an 'AA' rating given the company's business profile. 
   
TFN.newsdesk@thomson.com
jro

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