Standard & Poors cut its rating on Royal Dutch Shell Plc (RDSa.L) by one notch to ‘AA minus’ from ‘AA’, citing a weaker financial risk profile, mainly due to soft oil prices, and continuing substantial capital expenditures.
The rating agency said the outlook on the company is negative reflecting possible adverse effects on credit metrics if the large BG Group Plc (BG.L) acquisition is finalised.
Shell announced in April that it has agreed to buy BG Group Plc for about 47 billion pounds, making it the first oil super-merger in a decade.
The rating agency said the company’s outlook could be revised to stable if the BG acquisition does not proceed further.
“Our rating on Shell does not factor in the BG acquisition at this stage, since the deal is yet to close. We understand that the acquisition is subject to numerous regulatory and shareholder approvals,” the rating agency said on Tuesday.
However, the company’s long-term and short-term ratings, which have been under CreditWatch since April, are removed.
Also, the rating on the company could be lowered further if the BG acquisition is finalised and further effects credit metrics of the company, S&P said in the note.
The rating agency now anticipates a lower ratio of funds from operations to debt over 2015 to 2017 and assess the company’s financial risk profile as “intermediate” instead of “modest.”
(Reporting by Rishika Sadam in Bengaluru) 21 July 2015
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Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
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A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
