LONDON/MOSCOW, Sept. 24 - Fitch Ratings has downgraded Ukraine-based OJSC Naftogaz's Long-term foreign and local currency Issuer Default ratings to 'C' from 'CC.’

Both ratings remain on Rating Watch Negative (RWN). Fitch has simultaneously downgraded the senior unsecured rating on Naftogaz's USD500m eurobond to 'C' from 'CC' and removed it from RWN. The Recovery Rating (RR) on the eurobond is 'RR4'.

The downgrade reflects the recent announcements by Naftogaz and the government of Ukraine regarding their commitment to restructure all of Naftogaz's foreign currency-denominated debt.