DBRS Releases Report on Xstrata

DBRS has today released a report on Xstrata plc and its related entities (collectively, Xstrata or the Company) that provides further detail on the May 3, 2013, downgrade of the Company’s ratings and related rating changes following the completion of its merger with Glencore International plc to form Glencore Xstrata plc.

The merger enhances the scale and diversity of the Glencore Xstrata group’s operations, resulting in a group with assets of about $169 billion. However, the financial metrics of Glencore Xstrata plc will be weaker than that of Xstrata on a stand-alone basis. The resultant impact of the Glencore merger is expected to increase the credit risk of the existing Xstrata debt rated by DBRS. Accordingly, DBRS has initiated an Issuer Rating for Glencore Xstrata of BBB (high) with a Stable trend.

Today’s report and the May 3, 2013, press release, are available at www.dbrs.com or by contacting us at info@dbrs.com.