Page 37 - TURKRptAug21

7.3 International ratings
TURKEY - Rating agency
Jun-18
Jul-18
Aug-18
Jun-19
Jul-19
Nov-19
Aug-20
Sep-20
Feb-21
Aug-21
Bond rating: Moody’s
Ba2 (UR)
Ba2 (UR)
Ba3
(N)
B1
(N)
B1 (N)
B1 (N)
B1 (N)
B2
(N)
B2 (N)
B2 (N)
Bond rating: Fitch
BBB- (S)
BB
(N)
BB (N)
BB (N)
BB-
(N)
BB- (S)
BB- (N)
BB- (N)
BB- (S)
BB- (S)
Bond rating: S&P
BB- (S)
BB- (S)
B+
(S)
B+ (S)
B+ (S)
B+ (S)
B+ (S)
B+ (S)
B+ (S)
B+ (S)
Fitch Ratings rates Turkey at BB-/Stable, three notches below investment grade. Moody’s Rating Services rates Turkey at B2/Negative, five notches below investment grade, while Standard & Poor’s has Turkey at B+/Stable, also four notches below investment grade.
Fitch upgraded the National Long-Term Rating of Turkish supermarket chain Migros (MGROS) to 'AAA(tur)' from 'AA(tur)', with a stable outlook.
“Migros fully repaid its foreign-currency bank debt in April 2021, eliminating FX risks that had previously weighed on its credit profile. It has gradually transitioned from hard-currency to local-currency funding over the past four years by prepaying its debt in euro and raising new debt in local currency. Its rents are also fully in Turkish lira as foreign-currency rental contracts are not allowed in Turkey since September 2018. The rating assumes that FX risks will not re-emerge as Migros's funding strategy now is confined to only local-currency borrowings.”
Migros has the same and highest National Rating as boasted by other financially strong, large Turkish companies, such as beer producer Anadolu Efes (AEFES), white goods manufacturer Arcelik (ARCLK) and telecom companies Turk Telekom (TTKOM) and Turkcell (TCELL).
37 TURKEY Country Report August 2021 www.intellinews.com