A credit rating is an assessment of a company’s ability to fulfill its duties and financial obligations. Scania has credit ratings for long- and short-term borrowing from Standard & Poor’s. Audit meetings are held with management every year, and Scania AB maintains continuous contact with credit analysts. Standard & Poor’s credit reports are published below.
Scania has a Standard & Poor’s Long Term Anchor Rating of A- and a stand-alone credit rating of BBB+ but an issuer credit rating of BBB due to that Standard & Poor’s considers TRATON’s ownership of Scania to be “Core”, which according to their rating methodology dictates that Scania’s issuer credit rating shall be capped to TRATON’s issuer credit rating (currently estimated as currently not rated). Due to the ownership structure TRATON is in turn considered ”Highly Strategic” subsidiary of Volkswagen’s which means that TRATON’s issuer credit rating is limited to the higher of (i) its stand-alone credit rating and (ii) a rating corresponding to one notch lower than Volkswagen’s (currently BBB+). As a result, Scania’s issuer credit rating can never be higher than TRATON’s estimated issuer credit rating.
Rating information (as from May 14, 2020)
|Rating institution||Long term rating||Short term rating||Nordic Regional Scale|
|Standard & Poor’s
||BBB Outlook Stable||A-2||K-2
|Rating institution||Long term National Scale South Africa||Short term National Scale South Africa|
|Standard & Poor’s||zaAAA||zaA-1+|