Fitch follows suit in cutting Fonterra credit rating as falling dairy prices stretch balance sheet

Wed, 21 Oct 2015

By Paul McBeth Oct. 22 (BusinessDesk) - Fonterra Cooperative Group's long-term credit rating has been cut by Fitch Ratings, the second global rating agency to do so in as many weeks, as falling dairy prices and a volatile market stretch the dairy exporter's balance sheet. The Auckland-based company's long-term foreign currency issuer default rating (IDR) was lowered to A from AA- while its short-term IDR was reduced to F1 from F1+. The outlook was stable. Recent volatility in global dairy markets and the slump in prices through much of...

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