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Citi Downgrades Acergy (ACGY) to Sell

February 19, 2009 9:59 AM EST
ACGY Hot Sheet
Rating Summary:
    0 Buy, 3 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
Citi downgrades Acergy (Nasdaq: ACGY) from Hold to Sell.

Citi analyst says, "We believe the company faces multiple challenges. It has yet to clear up the problems in Mexilhao, and it is facing a sharp slowdown in order intake, particularly in the North Sea and Brazil. We also dislike the high degree of lump sum exposure and the reliance on winning awards in Nigeria, which continue to be delayed. We do not view the investment case for Acergy as attractive at present, and believe there are better opportunities elsewhere in the sector."

Acergy S.A. (Acergy) is a seabed-to-surface engineering and construction contractor.

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