Etisalat’s credit rating among sector’s best

ABU DHABI — Emirates Telecommunications Corporation, popularly known as etisalat and one of the leading telecommunications firms in the Middle East and Africa, has been recognised as one of the companies with highest credit ratings in the telecom sector following rigorous evaluations by the top three international credit rating agencies — Standard & Poor’s, Fitch and Moody’s.

During the second quarter of 2011, etisalat management met the three agencies to review the telco’s existing credit rating.

Etisalat’s investment grade ratings are considered among the highest of all globally-rated telecommunications companies. Fitch has rated etisalat its second-highest rated telecom company globally, while it is fourth on S&P and Moody’s rating scales. Excluding East Asia, etisalat is rated number one by the agencies.

“The credit ratings were achieved following an in-depth review of Etisalat’s operations, covering its corporate strategy, regulatory and competitive landscapes, operational performance, and financial position,” etisalat Group Chief Executive Officer Ahmad Abdulkarim Julfar said in reaction to this achievement.

“Maintaining solid ratings from the agencies is a demonstration of Etisalat strong operating performance and prudent financial management during the course of last year. This will help further diversify etisalat’s funding sources and enhance its negotiating position when securing future financing from debt or capital markets,” he added.

“Etisalat’s ratings demonstrate confidence in the company’s profitability levels, strong generation of cash flows, good financial flexibility, sound and conservative financial policy, backed by a portfolio of growing overseas assets, the value of which has increased significantly.” —