MOODY´S DOWNGRADED ELISA?S CREDIT RATING
ELISA COMMUNICATIONS CORPORATION STOCK EXCHANGE RELEASE
13 MARCH 2003 AT 5.30pm
MOODY´S DOWNGRADED ELISAS CREDIT RATING
On 13 March 2003 rating agency Moody´s Investor Services downgraded
Elisas long term credit rating from A3 (review for downgrade) to
Baa2 (Stable). Moody´s explains its decision by tough competition
and price erosion in Elisa´s home market, difficult business
environment and losses in German business, difficulties to
re-arrange non-core businesses because of challenging market
situation and risks, which might relate to acquisitions.
According to Elisas CFO Vesa-Pekka Silaskivi, the decision will
not increase Elisas financing costs of the existing loan
arrangements. It increases financing costs of the future
arrangements. Because of minor financing needs the influence
will not be significant. Both the reduction in Elisa´s net
debt and its stable positive cash flow is encouraging. As a
consequence of these measures, the companys financial position
is stable. The change of the rating will not change
Elisa´s strategy and goals. In 2003, the cash flow will remain
positive and the net debt will continue to decrease,ö emphasises
Silaskivi.
Today Moody´s published its own release on Elisas credit rating.
ELISA COMMUNICATIONS CORPORATION
Jyrki Antikainen
Vice President, Corporate Communications
For further information, please contact:
Mr. Vesa-Pekka Silaskivi, CFO
Tel. +358 10 262 2606 or +358 050 329 9900
Mr. Juha Kervinen, Group Treasurer
Tel. +358 10 262 3625 or +358 50 555 3625
Distribution
Helsinki Exchanges
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