S&P Global Ratings has lowered its long-term issuer credit rating on Ukrzaliznytsia to 'CCC' from 'B-', S&P has said in a press release.

"We now view Ukrzaliznytsia's liquidity as weak, because we believe that COVID-19-related challenges could limit its access to capital markets and affect its ability to generate cash flow from operations," S&P said.

At the same time, S&P understands that the company might consider revising the terms of some loans.

"The outlook is negative, reflecting uncertainties regarding potential loan restructuring and the company's ability to accumulate sufficient funds to meet upcoming maturities," S&P said.

S&P said that Ukrzaliznytsia's maturity schedule in the next 12 months amounts to $400 million and includes peak payments of $200 million on the domestic bank loan in July 2020, pressuring its liquidity position.