S&P decreases Russneft’s rating from “B+” to “B” and leaves it in the list for possible downgrade

The international rating agency S&P has reduced the long-term corporate credit rating of Russneft from “B+” to “B” and maintained it in the list under review for possible downgrade, the agency’s press release reports.

The national rating was decreased to "ruBBB+" from "ruA+".

“The decline reflects our expectations concerning the weaker level of Russneft’s profit and financial rates that are mainly connected with decrease of the company’s assets and diversification level after the recent sale of assets in the Ural region,” – the agency notes. According to S&P, about 30% of the Russneft’s production and almost a half of EBITDA fell on the sold assets.