Nokia News Roundup – S&P downgrades, Elop says soon for Windows Phone 8

Nokia appear to be having one of those days where they can’t get much of break from the financial institutions that help determine their fate. S&P has once again downgraded Nokia who now stand with a BB- rating—effectively making them “junk”.

Such a label is an indication to investors that sinking money into Nokia is speculative or high-risk.  What’s more, S&P indicate that further downgrades could be Nokia’s future should things not turn around quickly.

For their part, Nokia quickly put our a press release noting that

"The impact of Standard & Poor's decision on the company is limited. As we continue our transition, we are applying a strong focus on cash conservation while simultaneously reducing our operating costs and making our operating model stronger and more agile.We ended the second quarter 2012 with gross and net cash both higher than a year earlier. With gross cash of EUR 9.4 billion and net cash of EUR 4.2 billion, we have a strong financial position and robust liquidity profile. We also have access to additional liquidity via a revolving credit facility of EUR 1.5 billion. This is entirely undrawn, available to us until March 2016, and comes without any financial covenants."

In short, that means austerity and Nokia is doing all they can to slash and burn to make the company lean again.

None of this is too surprising and it remains to see what the long-term impact will be. If anything, it grabs some headlines as “junk status” just sounds terrible but bigger companies have survived a lot worse and we think Nokia still has a big future.

WP Central

As of this writing, Nokia stock is rading up nearly 2% at $2.54 a share, staying well above the $2 mark now for the last 2 weeks.

In other news, Nokia CEO Stephen Elop strongly hinted at upcoming news for their Windows Phone 8 lineup stating that such devices will be released "relatively near term”. That implication is of course for Nokia World in a few weeks where the Finnish company is expected to reveal up to three new Windows Phones featuring the Apollo operating system.

At least two of those devices may have been partially revealed with the ‘Phi’ and an unnamed device spotted yesterday. The ‘Phi’ is thought to be a Lumia 800/900 type device with a 4.65” screen and dual-core processors while the unnamed phone looks to be more of a mid-range device echoing the Lumia 610/710 design.

Source: Nokia, Reuters, AP

Daniel Rubino

Daniel Rubino is the Editor-in-chief of Windows Central, head reviewer, podcast co-host, and analyst. He has been here covering Microsoft since 2007 when this site was called WMExperts (and later Windows Phone Central). His interests include Windows, Microsoft Surface, laptops, next-gen computing, and for some reason, watches. Before all this tech stuff, he worked on a Ph.D. in linguistics and ran the projectors at movie theaters, which has done absolutely nothing for his career.

  • Man, I SO wish I had capital to invest into Nokia right now. The financial rating companies are just making this easy right now.
  • Hey can I force the tango update on my att lumia 900 yet?
  • yes u can via nokia care suite i could send you the link that helped me do it completely through if youd like
    this video helped me out just know it will flash your phone to factory default clean flash of tango
  • It's not on AT&T's servers, so no.  But you can manually update the OS via the cab method Or use a third party way to flash the OS and firmware This is why we have forums
  • haters gonna hate
  • One question,what stock app is that on the picture?
  • Markets & Me
  • Someone asked that before
  • Nokia card will make me reinstall all apps:( And btw, I'm sure more than I have this question burning the front of their minds :P Maybe a front page model updateability chart/indicator would be useful....
  • when its flashed just used reintaller and go through the list of apps you wanna install you have to start the download for each one by one but at least you dont have to look for them :D
  • Also you can go to the windows phone page and my account has your download history, that's what I did as I forgot all about reinstall app
  • I stopped considering S&P and all other rating companies as they proved to be totally dishonest and care about their speculations only.
  • Usually its better to do exactly the opposite they suggest
  • Exactly
  • I'd love to help Nokia out. I've had my share of Nokia phones. Problem is, Nokia is bound to ATT. That does not do me or them any good. Sure they got the Lumia 710 on Tmo and as a Tmo customer, I'd like to have a hero Nokia phone like everyone else. But no I'm not gonna play run around switching from carrier to carrier wasting time and money just to get that dual core pureview Nokia phone. Sorry, I'll take what super wp8 Tmo gives me if Nokia.
  • Many believe the 900 is a timed exclusive on AT&T. Probably for at least a year.
  • On my advice, a buddy of mine bought Nokia shares during its low and is now up 50% on his investment. I wish I had money to invest too.
  • I can't wait to see how WP8 does in the market. Here are the sales rankings as of yesterday at AT&T (82 phones offered)
    31. Nokia Lumia 900 Black (29. a week ago, 24. a month ago)
    39. Samsung Focus Flash (37. a week ago, 34. a month ago)
    48. Nokia Lumia 900 Cyan (60. a week ago, 53. a month ago)
    52. HTC Titan (68. a week ago, 40. a month ago)
    53. Samsung Focus 2 (48. a week ago, 62. a month ago)
    54. Nokia Lumia 900 White (59. a week ago, 48. a month ago)
    70. Samsung Focus S (69. a week ago, 55. a month ago)
    76. HTC HD7S (76. a week ago, 75. a month ago)
    HTC Titan II is not offered
    Nokia Lumia 900 Pink is not offered T-Mobile (32 phones offered)
    18. Nokia Lumia 710 White (9. a week ago, 20. a month ago)
    19. HTC Radar (18. a week ago, 7. a month ago)
    25. Nokia Lumia 710 Black (17. a week ago, 16. a month ago) Verizon (67 phones offered)
    55. HTC Trophy (49. a week ago, 67. a month ago) Sprint (43 phones offered)
    None offered
  • I dont have nokia and for me I rather just get a new wp8 device and forget tango. :-P
  • Pulled in and out of Nokia stock since July, only invested £2000 through, now up to £6,000 after pulling out two days ago and reinvesting this morning.
  • S&p apparently havs no clues whatsoever. Since Nokia maps and Nokia drive officially were integrated into wp8, they are tightly bonded to Microsoft. Should Nokia fail, Microsoft would be forced to buy them. No matter what crap status s&p puts out.
  • How can i buy nokia's shares??? I am newcomer can anyone help me out plz ......