This affirmation follows the release of Standard & Poor’s rating criteria for agricultural co-operatives which applies to Fonterra.
Standard & Poor’s has affirmed Fonterra’s long-term rating of A and short-term rating of A-1. The outlook remains stable. Standard & Poor’s has also affirmed the issue ratings on all of Fonterra’s debt, including the subordinated notes which are rated A-.
Chief Financial Officer Lukas Paravicini welcomed Standard & Poor’s affirmation, reflecting their view of Fonterra’s strong business position as a low cost, leading global dairy co-operative with significant financial flexibility.