S&P assigns Infosys higher sovereign rating than India''s

Mumbai: Infosys Technologies Limited (Infosys) announced today that the global credit ratings provider Standard & Poor's has assigned the company a credit rating higher than the agency's sovereign rating on India. Infosys has obtained 'BBB' local currency and 'BBB-' foreign currency rating from Standard & Poor's Ratings Services. The outlook is stable.

Infosys is the first company in India to obtain a credit rating higher than India's sovereign rating (BB+/Stable/B). According to Standard & Poor's, this reflects Infosys' very conservative financial profile and policy, which feature ample liquidity, strong operating cash flow, and a debt-free Balance Sheet. "Infosys' good track record in the industry, its strategy of funding expansion through internal cash resources, and good debt capacity should allow the company to maintain a strong financial profile in the case of more adverse business conditions," said Standard & Poor's credit analyst Greg Pau, director in the 'corporate and infrastructure ratings group'
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"Indian companies are globalising rapidly and a good credit rating is a competitive advantage. This rating proves that the Indian Industry is coming of age globally," said T V Mohandas Pai, member of the board and chief financial officer, Infosys Technologies Limited.

The stable outlook on Infosys' ratings takes into account Standard & Poor's expectation that Infosys will maintain its competitive position and strong financial profile, and that the company will manage the expansion risks inherent in its growing global operations.