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Renault Credit Opinion

In: Business and Management

Submitted By biatkab
Words 626
Pages 3
Renault S.A.
Primary Credit Analyst: Eric Tanguy, Paris (33) 1-4420-6715; eric.tanguy@standardandpoors.com Secondary Contact: Barbara Castellano, Milan (39) 02-72111-253; barbara.castellano@standardandpoors.com Recovery Analyst: Jonathan R Littlefair, London 44207 1763144; jonathan.littlefair@standardandpoors.com

Table Of Contents
Rationale Outlook Standard & Poor's Base-Case Scenario Company Description Business Risk Financial Risk Liquidity Recovery Analysis Reconciliation Related Criteria And Research

www.standardandpoors.com
© Standard & Poor's. All rights reserved. No reprint or dissemination without Standard & Poor’s permission. See Terms of Use/Disclaimer on the last page.

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1152377 | 300642892

Renault S.A.
Corporate Credit Rating Profile Assessments
BUSINESS RISK

BB+/Stable/B

FAIR
Vulnerable Excellent

FINANCIAL RISK

INTERMEDIATE
Highly leveraged Minimal

Rationale
Business Risk: Fair • Very weak profitability of the group's core automotive operations. • Small size by global standards. • Good market positioning in the small car and entry segments. • Potential to improve scale and geographic spread through cooperation with Nissan. Financial Risk: Intermediate • Robust credit ratios for the rating. • Positive free operating cash flow generated in 2012 and expected again this year. • Positive contribution to cash flow from its captive finance arm, RCI Banque and, through dividends, from its equity associate Nissan.

Standard & Poor’s | Research | June 26, 2013
© Standard & Poor's. All rights reserved. No reprint or dissemination without Standard & Poor’s permission. See Terms of Use/Disclaimer on the last page.

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1152377 | 300642892

Renault S.A.

Outlook: Stable The stable outlook on France-incorporated French carmaker Renault S.A. mainly reflects Standard & Poor's Ratings Services' view that Renault's European

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