Moody's raises debt rating of three Japanese office equipment makers
, 12.15.04, 12:24 PM ET
AFX News Limited
TOKYO (XFN-ASIA) - Moody's Investors Service said it has raised its debt ratings of Japan's three major office equipment makers -- Canon Inc, Konica Minolta Holdings Inc and Ricoh Co Ltd.
The ratings agency raised its senior unsecured debt rating on Japan's largest maker of digital cameras, Canon, to "Aa2" from "Aa3", citing improvement in the company's profitability and financial stability. The outlook is stable.
"Canon has steadily improved its global position in its core business segment of office equipment, such as copiers and printers ... supported by the company's successful shift to digital from analog systems," Moody's said in a statement.
"Canon's camera division has also become a substantial profit generator thanks to the rapid growth of the world digital still camera market," it added.
Moody's raised to A1 from A2 its senior unsecured debt rating on Ricoh, adding that the outlook is stable.
"Thanks to its strategy (which focuses on corporate-use copiers and printers), Ricoh has continuously improved operating profit margin," Moody's said.
"In addition, contribution from its overseas operations -- those in the US and Europe in particular -- have increased, geographically diversifying the company's profit sources," it said.
Moody's raised to Baa2 from Ba1 its senior unsecured debt rating on Konica Minolta, adding that the outlook is now stable.
"Moody's believes that the combination of the two former companies' technologies has strengthened Konica Minolta's position in the global color and high-speed copier areas," it said.
Yasuhiko.Seki@Xfn.com
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