AppId is over the quota
AppId is over the quota
NEW YORK — Ford and General Motors' new union contracts may qualify them for higher credit ratings.
Moody's Investors Service said Wednesday it's reviewing ratings for Ford.
The Dearborn, Michigan, automaker reached a deal on Tuesday with the United Auto Workers for a new four-year contract.
The automaker's ratings under review include "Ba2" for corporate family and probability of default, and "Ba3" for senior unsecured debt, both of which are so-called junk status. They also include "Baa3" for secured bank debt, the lowest level of investment grade.
An upgrade would return Ford more squarely to investment-grade status, which the automaker has said is one of its top goals. About $55 billion of debt would be affected.
Moody's is already reviewing Detroit-based GM's ratings after its workers ratified a similar contract last week.
Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
0 comments:
Post a Comment