S&P: AmBev up to positive

Standard & Poor's said it revised its outlook on Companhia de Bebidas das Americas (AmBev) to positive from stable while it also affirmed the BBB+ long-term corporate credit rating on the company.

"The positive outlook indicates that the agency could raise its ratings on AmBev if the company continues to demonstrate prudent financial practices and cash-flow resilience through economic cycles," said credit analyst Flavia Bedran.

The ratings on AmBev are constrained by country risks in its portfolio, as cash generation comes from potentially more-volatile economies in Latin America, the agency noted.

However, the company has been successful in leveraging on the diversity of its portfolio while adhering to strict financial strategies, and as a consequence, has been able to significantly mitigate country risks, S&P added.

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