Fitch cuts Spansion ratings |
|
|
|
Published
:
Tue, 20 Mar 2007 15:56
|
NEW YORK (AP) - Fitch ratings service said it cut several of its debt ratings on Spansion Inc. because of 'lower recovery prospects' following the flash memory maker's issuance of additional secured debt.Fitch lowered its rating on the company's $225 million 11.25 percent senior unsecured notes due 2016 to 'CC+' from 'B-' and dropped its rating on Spansion's $207 million 2.25 percent convertible senior subordinated debentures due 2016 to 'CCC' from 'CCC+.'The service also established a rating of 'BB-' on the company's $500 million senior secured term loan due 2012.Spansion's ratings outlook remains negative, Fitch said.'While recognizing that Spansion's capital spending is being accelerated to support solid unit growth prospects and needed to meet its longer-term cost reduction objectives, Fitch's concerns center on the potential for even moderate gross margin erosion to stress Spansion's liquidity position,' the ratings service said.Spansion shares fell 9 cents to $11.59in morning trading on the Nasdaq Stock Market.Copyright 2007 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
|
|
|
|
|
|
|
| Stock
Quotes * |
|
NASDAQ
|
|
2792.28 |
22.57 (
0.81 %)
|
| SYMBOL (
2012-01-19 ) |
| LAST |
CHANGE
|
|
CARNIVAL
(
11:35am )
|
|
2017.00 |
46.00 (
2.42 %)
|
|
WHITBREAD
(
11:35am )
|
|
1662.99 |
33.99 (
2.09 %)
|
| SYMBOL (
2012-01-19 )
|
| LAST |
CHANGE
|
|
IBM
(
12:34pm ) |
|
181.50 |
0.43 (
0.24 %)
|
| SYMBOL (
2012-01-19 )
|
| LAST |
CHANGE
|
|
|
Print this Story
Fitch raises Bank of America rating 