PJSC Magnitogorsk Iron and Steel Works: Standard&Poor's assigns MMK 'BBB-' rating

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PJSC Magnitogorsk Iron and Steel Works (MMK) 
PJSC Magnitogorsk Iron and Steel Works: Standard&Poor's assigns MMK 'BBB-' 
rating 
 
10-Dec-2018 / 13:13 CET/CEST 
Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
         Standard&Poor's assigns MMK "BBB-" rating, Outlook Stable 
 
                         10-12-2018, Magnitogorsk 
 
  PJSC Magnitogorsk Iron & Steel Works' (MMK) is pleased to announce that on 
   December 10th, 2018 rating agency S&P Global Ratings assigned the Company 
  'BBB-/A-3' long- and short-term issuer credit ratings with Stable Outlook. 
 
  In a press release S&P notes that its assessment of PJSC Magnitogorsk Iron 
       and Steel Works' (MMK's) creditworthiness incorporates MMK's low-cost 
  production profile, strong operating efficiency, significant share of high 
      value-added products in sales, minimal leverage, and strong liquidity. 
 
          According to S&P only high country risk in Russia and the inherent 
        cyclicality and capital intensity of the steel industry are the main 
                         constraining factors for the rating. 
 
   The stable outlook reflects S&P's view that MMK will have strong positive 
 free operating cash flow generation of about $1 billion in each of the next 
  two years, underpinning strong credit metrics of debt to EBITDA below 1.5x 
                         and funds from operations to debt over 60%. 
 
                         About MMK 
 
     MMK is one of the world's largest steel producers and a leading Russian 
          metals company. The company's operations in Russia include a large 
  steel-producing complex encompassing the entire production chain, from the 
 preparation of iron ore to downstream processing of rolled steel. MMK turns 
             out a broad range of steel products with a predominant share of 
high-value-added products. In 2017, the company produced 12.9 million tonnes 
    of crude steel and 11.6 million tonnes of commercial steel products. MMK 
        Group had sales in 2017 of USD 7,546 million and EBITDA of USD 2,032 
                         million. 
 
Investor contacts: 
 
Andrey Serov 
 
tel.: [phone] 
 
E-mail: [e-mail] 
 
Media contacts: 
 
Dmitry Kuchumov            Dmitry Bulin 
 
tel.: [phone]   tel.: [phone] 
 
E-mail: [e-mail] E-mail: [e-mail] 
 
ISIN:          US5591892048 
Category Code: MSCH 
TIDM:          MMK 
LEI Code:      253400XSJ4C01YMCXG44 
Sequence No.:  6818 
EQS News ID:   755863 
 
End of Announcement EQS News Service 
 
 

(END) Dow Jones Newswires

December 10, 2018 07:14 ET (12:14 GMT)