APL Ltd.'s Rtgs Remain on S&PWatch, Negative.NEW YORK--(BUSINESS WIRE)--Standard & Poor's CreditWire 9/12/97-- Standard & Poor's triple-'B'-minus senior unsecured and corporate credit ratings on APL (A Programming Language) A high-level mathematical programming language noted for its brevity and matrix generation capabilities. Developed by Kenneth Iverson in the mid-1960s, it runs on micros to mainframes and is often used to develop mathematical models. Ltd. remain on CreditWatch with negative implications, where they were placed in April 1997 following the announcement that Singapore-based Neptune Orient Lines Neptune Orient Lines Limited SGX: N03, or NOL for short, is a Singapore-based global transport company with core businesses in container shipping and supply chain management. (NOL NOL - Never Offline ) had reached an agreement to acquire APL for $825 million in cash. On Aug. 28, 1997, APL shareholders voted to approve the NOL purchase, which is expected to be funded from NOL's existing credit facilities credit facilities npl → facilidades fpl de crédito credit facilities npl → facilités fpl de paiement credit facilities and internal cash. The CreditWatch listing reflects a possible downgrade due to the negative impact of the debt financed acquisition on the consolidated NOL-APL group, and expectations for continued weak container shipping rates due to excess industry capacity. These negatives are partly offset by operating benefits the combined operation is expected to generate. At least a portion of the debt incurred by NOL to finance the purchase is expected to become an obligation of APL following the closing. APL has indicated that it hopes to complete the transaction this fall, once regulatory approvals are granted. Following the closing, APL will not be subject to public financial reporting requirements. This could lead Standard & Poor's to withdraw its ratings, absent specific arrangements to provide sufficient information to maintain ratings. NOL is a diversified shipping company with tanker and dry bulk operations in addition to its container shipping operations. While NOL's assets exceed APL's, APL's revenue base is greater and, for 1996, NOL reported net income of just $14.7 million compared to APL's $69.5 million. About one-third of NOL's stock is owned by an entity of the government of the Republic of Singapore Noun 1. Republic of Singapore - a country in southeastern Asia on the island of Singapore; achieved independence from Malaysia in 1965 Singapore ASEAN, Association of Southeast Asian Nations - an association of nations dedicated to economic and political (triple-'A'/'A-1'-plus foreign currency ratings). The combination of the two companies is expected to create one of the world's largest shipping companies (around fifth largest based on capacity). However, each company is currently a member of competing alliances, a situation similar to the previously combined P&O-Nedlloyd container shipping operation, so the future mechanics and anticipated benefits of alliance arrangements are likely to be re-evaluated. -- CreditWire CONTACT: Robert Schulz, CFA (Computer Fraud and Abuse Act of 1986) Signed into law in 1986, the CFA was a significant step forward in criminalizing unauthorized access to computer systems and networks. The Act applies to "federal interest computers" that include any system used by the U.S. , New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of (1) 212-208-1979 For more information on criteria or subscriptions: http://www.ratings.standardpoor.com |
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