Moody's assigns Baa2 rating to Tata Steel

Moody's Investor Services today assigned a Baa2 rating with stable outlook to Tata Iron and Steel Company (Tata Steel), one of the highest ratings for an Indian company.

"The Baa2 fundamental rating for the company is one notch above Moody's current sovereign rating of Baa3 for India," Tata Steel MD B Muthuraman said today.

The rating reflects Moody's opinion on the company's ability to honour its financial obligations as if it had a single class of debt and single consolidated legal entity structure.