Feb 15, 2006. /Lesprom Network/. Aracruz Celulose announced on Monday that the risk rating agency Moody's Investor Service has assigned a Baa3 indicative rating to the company's foreign currency debt under foreign law. The rating agency has also confirmed the same rating for the global local currency rating. Moody's assigned stable outlook for both ratings. After the rating agency confirmation, Aracruz then becomes one of the few companies in Brazil confirmed as investment grade in foreign currency debt from two of the most important rating agencies in the world, Moody's and Standard & Poor's. "In addition to its solid fundamentals in forestry productivity and long-term relations with its customers, Aracruz now enjoys a risk rating compatible with those of the largest international companies in the sector", said Isac Zagury, Aracruz's chief financial officer, to whom this is a significant achievement for the company. According to Mr. Zagury, the investment grade in foreign currency should help Aracruz to bring down its cost of capital in the medium term, thereby increasing the company's market value. "This recognition strengthens Aracruz global position as the world's leading producer of eucalyptus pulp and one of the leading Brazilian exporters." Aracruz Celulose is the world's leading producer of bleached eucalyptus pulp. The company is responsible for 30% of the global supply of the product, used to manufacture printing and writing, tissue, and high value added specialty papers. Aracruz's forestry operations are situated in the states of Espнrito Santo, Bahia, Minas Gerais and Rio Grande do Sul. They involve some 261 000 hectares of eucalyptus plantations, intermingled with around 139 000 hectares of native forest reserves, which are of fundamental importance for ensuring the balance of the ecosystem.