Fitch affirms TransContainer’s rating at BB+ with Stable Outlook
On 18 March 2016 Fitch Ratings affirmed TransContainer’s Long Term Issuer Default Rating (IDR) at BB+ with Stable Outlook. The rating is one notch below the Russia’s sovereign rating (BBB- with Negative Outlook). .
According to Fitch, the Company’s rating reflects its strong market position – the Company is responsible for 47% of total rail Transportation equipment for shipping cargo via various means of transport. Containers are durable enough for repeated use and can be stacked. Containers are divided into medium-duty (three- and five-tonne), which conform to former Soviet Union standards and are still used for shipments in Russia and the CIS, and ISO (20- and 40-foot) containers, which are used for Russian and international shipments. The universal standard unit TEU (twenty-foot equivalent unit) was introduced to measure transport flow volumes.
container transportation in Russian in 2015; as well as its moderate leverage and diversification in terms of cargoes and customers. The rating also incorporates a parental support from the Company’s ultimate majority shareholder Russian Railways.
Earlier on 14 March 2016, TransContainer’s existing credit rating was also confirmed by Moody’s Investors Service.
Confirmation of Company’s ratings and their stable outlook by both leading international rating agencies reflects the sustainability and reliability of TransContainer’s business amid challenging market environment.