S&P trims Thomson Reuters

S&P said it lowered its long-term issuer credit rating on Thomson Reuters Corp. to BBB from BBB+ and affirmed its A-2 short-term issuer credit rating. The outlook is stable.

S&P also lowered the issue-level ratings on the company's senior unsecured debt to BBB from BBB+ and removed the ratings from CreditWatch negative, where S&P placed them on Jan. 31, 2018, following the company's announcement of the sale of majority stake in its F&R business.

S&P also lowered its Canadian scale preferred share rating to P-3(High) from P-2(Low), lowered its preferred share issue rating to BB+ from BBB- and affirmed the A-2 short-term rating on the company's U.S. commercial paper facility.

“The downgrade reflects the divesture of the F&R business, which accounted for more than half of Thomson Reuters' consolidated revenue and EBITDA in 2017. As a result of this sale, we believe the company is losing the scale and diversification benefits that we previously factored into our rating,” S&P said in a news release.

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