Day: March 27, 2020

Moody’s Downgrades Ford Deeper Into Junk

Moody’s sent Ford Motor credit card debt further into junk territory, citing the risk of a serious and prolonged downturn in vehicle marketplaces due to the coronavirus.

The ranking agency on reduced Ford’s company spouse and children and senior unsecured credit card debt scores to Ba2 from Ba1 and set the scores under a downgrade enjoy as it reviews whether or not the enterprise can “reverse a prolonged erosion in running overall performance and competitive placement in all of its critical marketplaces, which are now further burdened by what could be a prolonged time period of weak desire and economic uncertainty.”

Ford’s scores “reflect what is an already-pressured credit rating profile and a extremely long-expression restructuring software,” Moody’s explained in a information release. “The enterprise is now on top of that burdened by the prospect of a serious and prolonged decline in automotive marketplaces precipitated by the coronavirus.”

Moody’s shift

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