Moody’s May Cut GE Capital Grade on Risk
Bloomberg reported that General Electric’s financial unit may be given a debt rating from Moody’s Investors Services lower than the parent company’s grade for the first time in at least two decades because of higher risk.
The Aa2 ratings of GE and GE Capital are both on review for possible downgrade and may “no longer be equalized,” Moody’s said today in a statement. GE said the move was triggered by a shift in Moody’s methodology, not its own creditworthiness.
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