Standard & Poor’s confirms Hapag-Lloyd rating

Standard & Poor’s recently confirmed Hapag-Lloyd’s rating of BB-. With respect to the difficult economic environment for the shipping industry, the outlook was adjusted from “stable” to “negative”.

“I see the rating confirmation as the result of our swift response to the challenges our industry is currently facing. Our solid corporate financing was also supporting,” commented Michael Behrendt, Chairman of the Executive Board of Hapag-Lloyd AG. In the first two quarters of 2011 Hapag-Lloyd reported positive operating earnings, putting the Company well above the average of the sector.

Hapag-Lloyd is not expecting any changes to the terms of its financing as a result of the altered outlook. With equity of EUR 3.26 billion Hapag-Lloyd has a very strong equity base and a high equity ratio for the industry of 53.3% (30 June 2011).

In the first six months of 2011 net debt was also reduced by a further EUR 103 million, taking the latest figure to EUR 1,023 million. At 31.4%, its leverage is below the industry average. Furthermore, Hapag-Lloyd’s access to liquidity, including unused credit lines, is more than sufficient. <Korea Shipping Gazette>