9 May 2011
HeidelbergCement upgraded to ‘BB+’ by Fitch
Fitch Ratings raised HeidelbergCement’s long-term Issuer Default Rating (IDR) and the senior unsecured ratings to ‘BB+’ from ‘BB‘. As rationale, Fitch highlighted the company’s improved maturity profile and liquidity as well as the view that the stringent execution of cost-cutting programmes and working capital management should allow HeidelbergCement to improve cash flow from operations (CFO) in both 2011 and 2012.
“We are very happy that the successful implementation of our programmes to improve cash flow and reduce net debt is rewarded with another rating upgrade,” says Dr. Bernd Scheifele, CEO of HeidelbergCement. “Therewith we are well on track to regain our investment grade rating which is one notch away.”
HeidelbergCement is the global market leader in aggregates and a prominent player in the fields of cement, concrete and other downstream activities, making it one of the world’s largest manufacturers of building materials. The company employs some 53,500 people at 2,500 locations in more than 40 countries.