Dairy giant Fonterra has taken another ratings downgrade.
Just a week after Standard and Poors cut Fonterra's ratings downgrade, a second agency Fitch has lowered the co-operative's long term rating to A from AA-.
It has also lowered Fonterra's other ratings for short-term debt and subordinated debt. It has put the ratings outlook as stable.
Fitch said Fonterra's business outlook had weakened and the volatility in the global dairy market - and more recently the low dairy prices - have shown how vulnerable Fonterra is to adverse business and conditions.
It also cited Fonterra's debt burden and its investment in China's Beingmate, which have added to its financial strains.
Fonterra said the Fitch downgrade won't affect its payout levels to farmers nor its business strategy.