กรุงเทพฯ--3 ธ.ค.--Standard & Poor's
Globally, downgrade risk remains elevated for the past few months, now surpassing the 2006 average, according to an article published today by Standard & Poor's. The report, titled "Downgrade Potential Across Credit Grades And Sectors (Premium)," says that the number of entities at risk of downgrades has steadily increased during the past six months, rising to 660 in November, 10 more than the number reported in October and 26 more than the average reported in the past 12 months.
"Geographically, the U.S. tops the list of potential bond downgrades, in part, because of greater credit volatility but also because of a larger rated population," said Diane Vazza, head of Standard & Poor's Global Fixed Income Research Group. "Of the total number of entities, 68% are based in the U.S., and 17% are in Europe."
Of the leading sectors at risk of deterioration, consumer products and media and entertainment have consistently appeared in our monthly potential downgrade reports since the beginning of the year. Weakness in the consumer discretionary domain is not surprising, given the negative affect of an economic slowdown, the housing decline, and high energy prices.
Ms. Vazza added, "The 'B' rating designation showed the most potential for downgrades, constituting 21% of the total global pool of potential downgrades."
The report is available to RatingsDirect subscribers who have upgraded their package to include the Global Fixed Income Research add-on. RatingsDirect is the real-time Web-based source for Standard & Poor's credit ratings, research, and risk analysis, at www.ratingsdirect.com. If you are not a RatingsDirect subscriber with the Global Fixed Income Research add-on, please contact your local Standard & Poor's representative or SI_Marketing@standardandpoors.com for further information. Ratings information can also be found on Standard & Poor's public Web site at www.standardandpoors.com; under Credit Ratings in the left navigation bar, select Find a Rating, then Credit Ratings Search. Members of the media may request a copy of this report by contacting the media representative provided.
Media Contact:
Mimi Barker, New York (1) 212-438-5054, mimi_barker@standardandpoors.com
Analyst Contact:
Diane Vazza, New York (1) 212-438-2760