DBRS Finalizes Rating of BBB (high) with Stable Trend on Vale Overseas New Notes

DBRS has today finalized its rating of BBB (high), with a Stable trend, on Vale Overseas Limited’s (Vale Overseas) $1.0 billion, 4.625% Guaranteed Notes due 2020, and its $750 million, 6.875% Guaranteed Notes due 2039 (collectively, the Guaranteed Notes) following the pricing of the Guaranteed Notes and the filing on September 9, 2010, of a prospectus supplement to the Vale Overseas prospectus dated November 3, 2009, related to the Guaranteed Notes. The Guaranteed Notes issued by Vale Overseas are to be irrevocably and unconditionally guaranteed as to the full and punctual payment of principal, interest, additional amounts and all other amounts that may become due and payable in respect of the Guaranteed Notes by Vale S.A. (Vale).

DBRS provisionally rated the Guaranteed Notes at BBB (high) with Stable trend on September 8, 2010. The offering of the Guaranteed Notes is expected to close on or about September 15, 2010, subject to customary closing conditions. The net proceeds of the issue are expected to be used by Vale for general corporate purposes.

Notes:
All figures are in U.S. dollars unless otherwise noted.

The applicable methodology is Rating Mining, which can be found on our website under Methodologies.