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Credit Rating
The creditworthiness of Fisher & Paykel Finance Limited has been rated by Standard & Poor’s Ratings Services, a rating agency approved under section 157J of the Reserve Bank of New Zealand Act 1989.
The local currency (New Zealand dollar) long-term issuer credit rating reaffirmed to Fisher & Paykel Finance Limited on 30 March 2011 is:
BB Outlook Stable
A local currency long-term issuer credit rating is a rating agency’s opinion of an obligor’s overall financial capacity (its creditworthiness) to pay its financial obligations in New Zealand dollars in the long term. Under a long-term issuer credit rating, an obligor rated 'BB' is less vulnerable in the near term than other lower-rated obligors. However, it faces major ongoing uncertainties and exposure to adverse business, financial, or economic conditions which could lead to the obligor's inadequate capacity to meet its financial commitments. See www.standardandpoors.com
The rating Outlook assigned by Standard & Poor’s assesses the potential direction of a long-term issuer credit rating over the intermediate term (typically six months to two years). A Stable Outlook means that a rating is not likely to change, and reflects Standard & Poor’s expectation that Fisher & Paykel Finance’s financial characteristics will remain stable in the medium term.
There have been no other ratings assigned to Fisher & Paykel Finance Limited in the last two years.
Standard and Poor’s long-term issuer credit ratings categories
| AAA |
An obligor rated ‘AAA’ has extremely strong capacity to meet its financial commitments. ‘AAA’ is the highest issuer credit rating assigned by Standard & Poor’s. |
| AA |
An obligor rated ‘AA’ has very strong capacity to meet its financial commitments. It differs from the highest-rated obligors only to a small degree. |
| A |
An obligor rated ‘A’ has strong capacity to meet its financial commitments but is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligors in higher-rated categories. |
| BBB |
An obligor rated ‘BBB’ has adequate capacity to meet its financial commitments. However, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity of the obligor to meet its financial commitments. |
| BB |
An obligor rated ‘BB’ is less vulnerable in the near term than other lower-rated obligors. However, it faces major ongoing uncertainties and exposure to adverse business, financial, or economic conditions which could lead to the obligor’s inadequate capacity to meet its financial commitments. |
| B |
An obligor rated ‘B’ is more vulnerable than the obligors rated ‘BB’, but the obligor currently has the capacity to meet its financial commitments. Adverse business, financial, or economic conditions will likely impair the obligor’s capacity or willingness to meet its financial commitments. |
| CCC |
An obligor rated ‘CCC’ is currently vulnerable, and is dependent upon favourable business, financial, and economic conditions to meet its financial commitments. |
| CC |
An obligor rated ‘CC’ is currently highly vulnerable. |
Plus (+) or minus (-)
The ratings from ‘AA’ to ‘CCC’ may be modified by the addition of a plus (+) or minus (-) sign to show relative standing within the major rating categories.
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