Fitch Ratings Changed STLC’s Outlook to Positive from Stable

19.12.2017

On 19 December 2017 Fitch Ratings affirmed STLC’s issuer default ratings (IDRs) in foreign and local currencies at ‘BB’ and revised outlook to positive from stable. The Company’s senior unsecured debt rating was also affirmed at ‘BB’.

The revision of the Outlooks on STLC's Long-Term IDRs reflects Fitch's expectation of strengthening of the government's ability to provide support, as reflected in the positive outlook on the Russia’s sovereign ratings.

Fitch Ratings stressed it its press release the role of STLC as the government tool for implementing government policy to support modernization in the transport sector of the Russian Federation and ongoing state support through capital injections. STLC’s long-term IDRs could be upgraded if Russia's sovereign ratings are upgraded.

 “Outlook change to positive on STLC’s long-term credit ratings followed by a similar rating action on Russia’s sovereign ratings confirms the increasing role of the Company in implementation of state programmes and government policy aimed at further development of the transport sector of the Russian Federation”, stated STLC’s First Deputy CEO Anton Borisevich.