by Staff Writers
Rome (AFP) Dec 7, 2011
Ratings agency Fitch on Wednesday downgraded the long-term rating of Italian aerospace and defence giant Finmeccanica to BBB- from BBB due to poor company earnings and a disappointing outlook.
Fitch said in a statement that announced restructuring and the ousting of company chairman Pier Francesco Guarguaglini were "likely to lead to a longer than previously anticipated period of financial underperformance".
Fitch also said its outlook was negative, warning "the scale of the task facing management in 2012, coupled with the uncertain fiscal environment in Finmeccanica's key markets" meant the company could struggle to meet targets.
Standard & Poor's had downgraded Finmeccanica's ratings on Tuesday.
The company announced losses of 324 million euros ($434 million) over the first nine months of this year and last month announced a restructuring plan including a one-billion-euro asset sell off by the end of 2012.
Finmeccanica has also been shaken by a series of corruption scandals that led Guarguaglini to resign last Thursday. Chief executive Giuseppe Orsi has taken over the role of chairman.
Aerospace News at SpaceMart.com
|The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement|