Fitch Ratings downgraded its credit rating on Nokia to junk status

“Fitch Ratings downgraded its credit rating on Nokia Oyj to junk status and said the outlook remained negative, as the Finnish handset maker’s dwindling market share starts to strain its cash position,” Tarmo Virki reports for Reuters. “Shares in Nokia, which were hit badly this month by a profit warning, fell 2 percent to a new 15-year low of 2.654 euros after the downgrade on Tuesday”
“Fitch cut its rating on Nokia – already downgraded in recent weeks by Standard & Poor’s and Moody’s – to BB+ from BBB – and said this could be lowered further unless the company’s business showed improvements over the second half of 2012 and in 2013,” Virki reports. “‘Given the potential headwinds facing the company, Fitch is currently not convinced that Nokia can attain this over the course of 18 months,’ it said in a statement.”

Virki reports, “Its Chief Executive Stephen Elop bet last year the firm on the new range of Lumia smartphones, which are using Microsoft Corp software, but sales have so far been slow. Last week Nokia reported a steep loss for the first quarter, dropped its sales chief and promised to slash more costs.”

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Film maker. Video game historian. Will put more in here this section soon!
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