Join Date: Feb 2001
Location: The Hills of North Georgia,USA
US:S&P cuts Ford, Ford Credit deeper into junk status
S&P cuts Ford, Ford Credit deeper into junk status
NEW YORK -- Standard & Poor's on Thursday cut its ratings on Ford Motor Co. deeper into junk territory, citing a slide in market share and doubts about the automaker's ability to turn around its North American auto operations.
S&P also cut its ratings on Ford's finance arm, Ford Motor Credit, deeper into speculative grade. Most of Ford's $142 billion of consolidated debt is issued by Ford Credit.
Ford has seen its profit margins squeezed by fierce competition from foreign rivals and a slowdown in sales of large SUVs due to high gasoline prices. Ford is also highly subject to pricing actions by its competitor General Motors and could suffer from further turmoil at GM, S&P said.
S&P cut its ratings on Ford and Ford Credit by two notches to "BB-minus," the third-highest junk rating, from "BB-plus," The outlook is negative, meaning another downgrade is likely over the next two years.
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
My next Ford.....