S & P lowers rating of Nexans – Le Figaro

The rating agency Standard & Poor’s today lowered a notch note of French manufacturer Nexans cables from BB to BB-, with a stable outlook.

The French group has plunged into the red last year, with a net loss of € 333 million, against a profit of 27 million euros the previous year.

S & P believes that the income Nexans will remain “subject” in comparison to those of its U.S. and European competitors, in a statement.

“We believe that the group will overtake its competitors from 2016, when the full effects of its restructuring plan will be felt, “the agency said.

“Our deterioration also reflects the fact that we expect that Nexans produces a negative free cash flow in 2014-2015,” says S & P. ??

However, the agency notes that it expects a return to “2% or 3% growth in turnover in 2014″ for Nexans.