Magazine article Editor & Publisher

NYT Co. Downgraded below Investment Grade by S&P

Magazine article Editor & Publisher

NYT Co. Downgraded below Investment Grade by S&P

Article excerpt

New York Times Co. debt is no longer investment grade, Standard & Poor's Ratings Services asserted late Thursday as it lowered the publisher's credit rating three notches.

The downgrade took Times Co. into junk territory with a BB- rating on both its corporate credit rating and its unsecured debt issues. S&P had rated both as BBB-, its minimum investment-grade rating.

S&P also assigned a recovery rate of 4 to Times debt, indicating lenders can expect to recover 30 cents to 50 cents on the dollar in the event of a payment default.

And the ratings firm slapped a negative outlook on the company, suggesting further downgrades are possible.

S&P's action came on the same day that Moody's Investors Services warned that it had put Times Co. unsecured debt on review for a possible downgrade. Moody's ranks Times debt at its lowest investment-grade rating.

Like Moody's, S&P expressed pessimism about the fortunes of a newspaper business given the likelihood of recession. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.