OREANDA-NEWS. Standard & Poor's Ratings Services said today that it raised its long-term debt rating to 'B+' from 'B' on the senior unsecured debt issued by Sistema Capital S.A. and OJSC Sistema Finance Investments, and on the senior secured debt issued by Sistema Finance S.A.

All three companies are financing vehicles for Russian telecommunications and industrials holding group Sistema (JSFC) (BB-/Stable/--), which guarantees the debt.

The revision follows our review of the structural subordination of Sistema's debt with respect to that of its key operating subsidiary, Mobile TeleSystems (OJSC) (MTS).

The one-notch upgrade reflects the improvement in recent quarters in the position of Sistema's creditors with respect to that of MTS' creditors.