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  • Standard & Poor’s affirms Fortum’s BBB long-term rating, with a negative outlook

Standard & Poor’s affirms Fortum’s BBB long-term rating, with a negative outlook

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Today Standard & Poor’s has resolved its CreditWatch Negative placement for Fortum by affirming its current BBB long-term rating, with a negative outlook. As previously stated, Fortum’s key objective is to have a solid investment-grade rating of at least BBB to preserve financial flexibility and good access to capital markets. Standard & Poor’s assessment is in line with Fortum’s objective.

The resolution on the rating by Standard and Poor’s follows the completion of all regulatory steps allowing Fortum to close the acquisition of shares in Uniper of at least 20.5 %, held by funds managed by Elliott Management Corporation and its affiliates and Knight Vinke Energy Advisors Limited and its affiliates, in two tranches. The purchase price, amounting up to a maximum of EUR 2.6 billion for the overall transactions is fully financed through existing cash resources and committed credit facilities. Post-closing of the transactions, Fortum will retain substantial undrawn committed credit facilities of approximately EUR 4.5 billion, with medium-term maturities in 2022-23 (including extension options), in addition to currently existing cash reserves of approximately EUR 2.5 billion.

Fortum will continue to focus on maintaining strong operational cash flows and on prioritising capital expenditures, which is even more important today given the prevailing macro and economic uncertainty brought by COVID-19. Fortum continues its ongoing strategic review of district heating businesses in Poland, in the Baltics, and in Järvenpää, Finland as announced in February. Fortum already completed the divestment of district heating assets in Joensuu, Finland, for EUR 530 million, as well as secured capital release proceeds of EUR 250 million through the introduction of a new owner into its Nordic wind portfolio, thereby realising significant value potential to further enhance financial flexibility.

Fortum Corporation
Ingela Ulfves, VP, IR and Financial Communications

Further information:

Investors & analysts:
Ingela Ulfves, VP, IR and Financial Communications, tel. +358 40 5151 531
Måns Holmberg, IR Manager, IR and Financial Communications, tel. +358 44 518 1518

Jouni Huttunen, VP, Treasury, tel. +358 50 452 4649

Pauliina Vuosio, VP, Executive Communications, tel. +358 50 453 2383


Fortum is a leading clean-energy company that provides its customers with electricity, heating and cooling as well as smart solutions to improve resource efficiency. We want to engage our customers and society to join the change for a cleaner world. We employ more than 8,000 professionals in the Nordic and Baltic countries, Russia, Poland and India. In 2019, our sales were EUR 5.4 billion and 59% of our electricity generation was CO2 free. Fortum's share is listed on Nasdaq Helsinki. www.fortum.com