Ypf Sociedad Anonima 6-K, filed May 12, 2020
Ypf Sociedad Anonima (YPF)
About this 6-K
Ypf Sociedad Anonima filed this 6-K on May 12, 2020.
Table of Contents
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of May, 2020
Commission File Number: 001-12102
YPF Sociedad Anónima
(Exact name of registrant as specified in its charter)
Macacha Güemes 515
C1106BKK Buenos Aires, Argentina
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ☐ No ☒
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ☐ No ☒
Table of Contents
YPF Sociedad Anónima
ITEM
1 Translation of letter to the Buenos Aires Stock Exchange dated May 11, 2020.
Table of Contents
TRANSLATION
Autonomous City of Buenos Aires, May 11, 2020
To the
Bolsa de Comercio de Buenos Aires
(Buenos Aires Stock Exchange)
Ref.: Rating of Negotiable Obligations
Dear Sirs:
In accordance with the requirements of the Argentine Securities Commission (the “CNV”) Rules, we inform you that S&P Global Ratings (“S&P”) modified its rating of YPF S.A.’s Senior Unsecured Notes from B- to CCC+ in its global scale. These changes correspond to the downward revision of the Transfer and Convertibility assessment carried out by S&P on Argentina from B- to CCC+.
The modification of the rating made by S&P Global Ratings includes the rating of the Senior Unsecured Notes LII, LIII and LIV issued under the YPF Global Medium-Term Debt Securities Program for a maximum total principal amount in any moment in circulation of US$10,000,000,000 (ten billion US Dollars) or its equivalent in other currencies. Likewise, it includes the classification of the Class I Negotiable Obligations issued under the Simplified Frequent Issuer Regime. S&P’s report is attached hereto.
Yours faithfully,
| Ignacio Rostagno |
| Market Relations Officer |
| YPF S.A. |
Table of Contents
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| YPF Sociedad Anónima | ||||||
| Date: May 11, 2020 | By: | /s/ Ignacio Rostagno | ||||
| Name: | Ignacio Rostagno | |||||
| Title: | Market Relations Officer | |||||
Exhibit 99
Nine Argentine Corporations Downgraded To ’CCC+’ On Higher Transfer And Convertibility Risks, Outlook Still Negative
May 8, 2020
| BUENOS AIRES (S&P Global Ratings) May 8, 2020--S&P Global Ratings lowered its foreign and local currency ratings on the following companies to ‘CCC+’ from ‘B-’. The outlook on these entities remains negative:
• AES Argentina Generacion S.A;
• CAPEX S.A.;
• Compania General de Combustibles S.A. (CGC);
• Telecom Argentina S.A.;
• Transportadora de Gas del Sur S.A. (TGS);
• Pampa Energia S.A.;
• Petroquimica Comodoro Rivadavia S.A. (PCR);
• YPF Energia Electrica S.A.; and
• YPF S.A. |
PRIMARY CREDIT ANALYSTS
Amalia E Bulacios
Buenos Aires (54) 11-4891-2141 amalia.bulacios @spglobal.com
Melisa A Casim
Buenos Aires (54) 11-4891-2178 Melisa.Casim @spglobal.com
Diego H Ocampo
Buenos Aires (54) 114-891-2116 diego.ocampo @spglobal.com
Francisco Gomez Comelli
Buenos Aires
| |
| The downgrades follow the downward revision of our Transfer & Convertibility (T&C) assessment on Argentina to ‘CCC+’ from ‘B-’. The latter reflects the increasing restrictions the sovereign has put in place for corporations and individuals to buy foreign currencies and import goods in order to protect the sovereign’s international reserves. Macroeconomic imbalances have continued to mount and led to depreciation of both official and market foreign exchange rates in recent weeks. Given that the authorities aim to mitigate imbalances with some additional foreign exchange restrictions, we believe the risks to our T&C assessment have risen somewhat. The T&C reflects our perception of the risk of the sovereign interfering with the ability of domestic companies to access, convert, and transfer money abroad, which is essential for the affected companies to service their financial obligations, many of which are denominated in foreign currency, particularly dollars. Our ‘CCC+’ T&C assessment remains much higher than the ‘SD’ foreign currency sovereign credit rating because the government continues to signal that tightened capital controls don’t apply to principal and interest payments for most nonsovereign entities. In recent months, including this week among the tighter restrictions, various entities have accessed foreign exchange at the official rate and made timely debt-service payments. | (54) 114-891-2112 Francisco.Comelli @spglobal.com | |
| www.spglobal.com/ratingsdirect | May 8, 2020 1 |
Nine Argentine Corporations Downgraded To ‘CCC+’ On Higher Transfer And Convertibility Risks, Outlook Still Negative
| The ratings on these entities are capped at Argentina’s T&C level, because we continue to believe that none of them would be able to continue honoring their foreign currency obligations under potential restrictions on access to foreign currency and/or restrictions on the ability to transfer money abroad. | ||
| AES Argentina Generacion, CAPEX, TGS, and Telecom Argentina bear some form of currency mismatch due to their large proportion of debts in dollars while the bulk of their cash flows are generated domestically in Argentine pesos. | ||
| In addition to their domestic focus, CGC, PCR, Pampa Energia, and YPF are suffering from record low demand due to lockdowns imposed to contain the COVID-19 pandemic, and they all have a meaningful portion of their debts in dollars. Additionally, exports wouldn’t be a viable option to these companies because international oil and gas prices are virtually half of those in the domestic markets and barely cover operating costs. | ||
| YPF Energia Electrica is also exposed to Argentina’s T&C risks because it’s expanding its asset base entirely in the country through its $400 million 2026 bond that it issued in July 2019. The outlook on these entities remains negative, reflecting the potential further deterioration in their credit quality because of the worsening business conditions, greater volatility in exchange rate, and the consequences of the sovereign’s debt restructuring on the domestic economy. Furthermore, potential further restrictions to access and/or transfer funds abroad could increase drastically our perception of risk. The latter could result from a deeper recession, along with increasing inflation, which could in turn reduce the companies’ ability to generate enough revenue in domestic currency to convert into the needed funds for servicing the dollar-denominated debt obligations. We could raise the ratings if our perception of the T&C risk diminishes. | ||
| For a complete rationale on our action on Argentina please read “Argentina Transfer And Convertibility Assessment Revised To ‘CCC+’ From ‘B-’”. | ||
| Related Criteria | ||
| • General Criteria: Group Rating Methodology, July 1, 2019 |
||
| • Criteria | Corporates | General: Corporate Methodology: Ratios And Adjustments, April 1, 2019 |
||
| • Criteria | Corporates | General: Reflecting Subordination Risk In Corporate Issue Ratings, March 28, 2018 |
||
| • General Criteria: Rating Government-Related Entities: Methodology And Assumptions, March 25, 2015 |
||
| • Criteria | Corporates | General: Methodology And Assumptions: Liquidity Descriptors For Global Corporate Issuers, Dec. 16, 2014 |
||
| • Criteria | Corporates | Industrials: Key Credit Factors For The Telecommunications And Cable Industry, June 22, 2014 |
||
| • Criteria | Corporates | Industrials: Key Credit Factors For The Midstream Energy Industry, Dec. 19, 2013 |
||
| • Criteria | Corporates | Utilities: Key Credit Factors For The Regulated Utilities Industry, Nov. 19, 2013 |
||
| • Criteria | Corporates | General: Corporate Methodology, Nov. 19, 2013 |
||
| • General Criteria: Country Risk Assessment Methodology And Assumptions, Nov. 19, 2013 |
||
| www.spglobal.com/ratingsdirect | May 8, 2020 2 |
Nine Argentine Corporations Downgraded To ‘CCC+’ On Higher Transfer And Convertibility Risks, Outlook Still Negative
| • General Criteria: Ratings Above The Sovereign - Corporate And Government Ratings: Methodology And Assumptions, Nov. 19, 2013
• General Criteria: Methodology: Industry Risk, Nov. 19, 2013
• General Criteria: Methodology: Management And Governance Credit Factors For Corporate Entities, Nov. 13, 2012
• General Criteria: Criteria For Assigning ‘CCC+’, ‘CCC’, ‘CCC-’, And ‘CC’ Ratings, Oct. 1, 2012
• General Criteria: Stand-Alone Credit Profiles: One Component Of A Rating, Oct. 1, 2010
• General Criteria: Use Of CreditWatch And Outlooks, Sept. 14, 2009 |
Ratings List
| Downgraded | ||||||||
| To | From | |||||||
| CAPEX S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| Transportadora de Gas del Sur S.A. (TGS) |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| Pampa Energia S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| Telecom Argentina S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| AES Argentina Generacion S.A |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| YPF S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| YPF Energia Electrica S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Negative/— | ||||||
| Senior Unsecured |
CCC+ | B- | ||||||
| Downgraded; CreditWatch/Outlook Action |
||||||||
| Compania General de Combustibles S.A. |
||||||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Watch Neg/— | ||||||
| Senior Unsecured |
CCC+ | B-/Watch Neg | ||||||
| www.spglobal.com/ratingsdirect | May 8, 2020 3 |
Nine Argentine Corporations Downgraded To ‘CCC+’ On Higher Transfer And Convertibility Risks, Outlook Still Negative
| Downgraded | ||||
| To | From | |||
| Petroquimica Comodoro Rivadavia S.A. |
||||
| Issuer Credit Rating |
CCC+/Negative/— | B-/Watch Neg/— |
Certain terms used in this report, particularly certain adjectives used to express our view on rating relevant factors, have specific meanings ascribed to them in our criteria, and should therefore be read in conjunction with such criteria. Please see Ratings Criteria at www.standardandpoors.com for further information. Complete ratings information is available to subscribers of RatingsDirect at www.capitaliq.com. All ratings affected by this rating action can be found on S&P Global Ratings’ public website at www.standardandpoors.com. Use the Ratings search box located in the left column.
| www.spglobal.com/ratingsdirect | May 8, 2020 4 |
Nine Argentine Corporations Downgraded To ‘CCC+’ On Higher Transfer And Convertibility Risks, Outlook Still Negative
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| www.spglobal.com/ratingsdirect | May 8, 2020 5 |