STANDARD & POOR'S UPGRADES SISTEMA TO 'BB+' RATING
Moscow, Russia – July 15, 2014 – Sistema JSFC (“Sistema”, the “Group” or the “Company”) (LSE:SSA), the largest publicly-traded diversified holding company in Russia and the CIS, today announces that Standard & Poor's Ratings Services (“S&P”) has upgraded Sistema’s corporate credit rating to ‘BB+’ from ‘BB’ with stable outlook.
In its report, S&P highlighted that Sistema's financial risk profile has strengthened, with solid dividend inflows from key subsidiaries and relatively low debt on its own balance sheet. S&P also noted improvements in the Company’s management and governance practices.
Vsevolod Rozanov, Senior Vice President, Chief Financial Officer of Sistema, commented: “S&P’s rating upgrade reflects improvements in Sistema’s financial and investment profiles. The rating increasing by one notch to ‘BB+’ brings us one step closer to investment grade, and we will continue working hard on strengthening our corporate governance and developing our business further to help us achieve this status.”
For further information, please visit www.sistema.com or contact:
Tel.: +7 (495) 692 1100
Tel.: +7 (495) 228 15 36
Sistema is the largest publicly-traded diversified holding company in Russia and the CIS, which invests in and is a major shareholder of companies serving over 100 million customers in the sectors of telecommunications, high technology, oil and energy, radars and aerospace, banking, retail, mass-media, tourism and healthcare services. Founded in 1993, the Company reported revenues of US$ 8.2 billion for the first quarter of 2014, and total assets of US$ 41.5 billion as at March 31, 2014. Sistema’s global depository receipts are listed under the symbol “SSA” on the London Stock Exchange. Sistema’s ordinary shares are listed under the symbol “AFKS” on the Moscow Exchange. Sistema was ranked number 308 in the 2013 edition of the Fortune Global 500 list. Website: www.sistema.com
The Company is not an investment company, and is not and will not be registered as such, under the U.S. Investment Company Act of 1940.
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Sistema. You can identify forward looking statements by terms such as “expect,” “believe,” “anticipate,” “estimate,” “intend,” “will,” “could,” “may” or “might” the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to Sistema and its operations.
This document does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares or other securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies, nor shall any part of it nor the fact of its distribution form part of or be relied on in connection with any contract or investment decision relating thereto, nor does it constitute a recommendation regarding the shares or securities of JSFC Sistema and/or any of its subsidiaries and affiliated companies.