MUMBAI (Thomson Financial) - Standard & Poor's Ratings Services said it
raised its outlook on the 'B' corporate credit rating of The Nielsen Co. B.V. to
stable from negative.
"The outlook upgrade reflects the company's good operating performance and
progress in its cost-cutting initiatives. However, Nielsen's discretionary cash
flow remains weak, prolonging its highly leveraged status," S&P said.
The ratings on Nielsen reflect the company's highly leveraged capital
structure, track record of frequent acquisitions that have deferred
de-leveraging, the continuing investment required to remain competitive in the
evolving marketing information industry, and ongoing customer pressure on prices
and service levels that underpin the need for an efficient cost base, S&P noted.
But, S&P added Nielsen's satisfactory business risk profile, which reflects
its strong market positions in media measurement and retail marketing
information, and significant recurring revenues partially offset these factors.
TFN.newsdesk@thomsonreuters.com
kbo/ssa
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