Asia Pulp's rating affirmed

Asia Pulp's rating affirmed

JAKARTA (Dow Jones): Standard & Poor's ratings agency Wednesday affirmed its "triple-C-plus" long-term foreign and local currency rating for Asia Pulp & Paper Co. Ltd., its guaranteed finance subsidiaries and its operating subsidiaries.

It also said it removed the ratings from CreditWatch with negative implications.

S&P said the move reflected APP's "aggressive financial profile." It also said while it had a heavy debt load, this was mitigated by low operating costs, extensive operational integration and a leading market position in Asia.

APP, which is listed in New York, is based in Singapore, but its plants are mostly in Indonesia. It's one of the few companies in Indonesia that can still afford to service its debt on schedule.

The company is controlled by the Widjaja family, which controls the Sinar Mas group.