Standard & Poor’s affirms rating – changes outlook

22 May 2013

Standard & Poor’s Ratings Services has affirmed the corporate credit and related debt rating for New Zealand Post Ltd at ‘A+/A-1’ but revised the long-term outlook from stable to negative.

The change in outlook is passed through to New Zealand Post’s wholly owned subsidiary Kiwibank Ltd,  while its issuer credit rating is also affirmed at ‘A+/A-1’.

Standard & Poor’s rationale for the change in outlook is based on the view of potential rising economic risks in the New Zealand economy which may impact the banking sector.

New Zealand Post Group Chief Financial Officer Mark Yeoman said the amended outlook was disappointing and noted that it reflected the ratings agency’s view on broader external factors rather than organisational specific issues.

Mr Yeoman said New Zealand Post is confident in its strategies to enhance earnings from its businesses across the Group.