DBRS Confirms Nestlé at AA (low) and Releases Report with More Information on Recent Rating Actions

DBRS Limited (DBRS) confirmed the Issuer Rating of Nestlé S.A. (Nestlé) at AA (low) and the Commercial Paper rating of Nestle Capital Canada Ltd. at R-1 (middle), both with Stable trends. DBRS has also released a report that provides further detail on recent rating actions, including the downgrade of Nestle’s ratings on June 30, 2017 (see the DBRS press release “DBRS Downgrades Nestlé S.A. to AA (low) from AA Following Change to Its Capital Structure”).

The confirmation of the ratings incorporates the recent change to Nestlé’s financial policy and capital structure, which resulted in the the downgrade of Nestlé’s Issuer Rating on June 30, 2017, and the Company’s sound operating performance in 2016 and through 9M 2017, despite deflationary pressures on top-line growth, especially in developed markets.

Notes:
All figures are in Swiss francs unless otherwise noted.

The Commercial Paper of Nestlé Capital Canada Ltd. is guaranteed by Nestle S.A.

The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link to the right under Related Research or by contacting us at info@dbrs.com.

The principal methodologies are Rating Companies in the Consumer Products Industry, DBRS Criteria: Commercial Paper Liquidity Support for Non-Bank Issuers and DBRS Criteria: Guarantees and Other Forms of Support, which can be found on dbrs.com under Methodologies.

This rating is endorsed by DBRS Ratings Limited for use in the European Union.

The rated entity or its related entities did participate in the rating process. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities.

The full report providing additional analytical detail is available by clicking on the link under Related Research at the right of the screen or by contacting us at info@dbrs.com.