OREANDA-NEWS. Fitch Ratings has today downgraded Ukrainian chemical company JSC Stirol's Issuer Default Rating ("IDR") to 'CCC' from 'B-' (B minus) and removed it from Rating Watch Negative ("RWN"). A Stable Outlook is assigned.

The Short-term rating is affirmed at 'B' and removed from RWN.

At the same time, Fitch has downgraded the USD125m notes issued by UkrChem Capital B.V. ('UkrChem') to 'CCC+' from 'B-' and resolved the RWN.

The downgrade reflects several concerns, relating firstly to the fundamental business of Stirol, in particular the rise in gas prices and the significant impact this has had on the company's profitability to date.