Moody�s downgrades Toshiba�s credit rating

AFP, TOKYO: Moody’s downgraded the credit rating of embattled electronics giant Toshiba yesterday days after the conglomerate announced deep mid-year operating losses late last week.
The agency slashed the Japanese company’s rating from Baa2 to Baa3 and also changed Toshiba’s outlook from stable to negative.
“The rating action was prompted by Toshiba’s announcement of its (first six months) results, which indicated that profitability and cash flow generation have both declined materially,” Masako Kuwahara, a Moody’s senior analyst, said in a statement.
“The negative outlook reflects our ongoing concerns over the company’s operations and ability to sustainably reduce its current high leverage as well as restructure its operations in a sustainable and profitable manner,” she said.
The downgrade came after Toshiba on Saturday announced a whopping operating loss of 90 billion yen ($737 million) for six months to September.

Moody�s downgrades Toshiba�s credit rating

AFP, TOKYO: Moodys downgraded the credit rating of embattled electronics giant Toshiba yesterday days after the conglomerate announced deep mid-year operating losses late last week. The agency slashed the Japanese companys rating from Baa2 to Baa3 and also changed Toshibas outlook from stable to negative. The rating action was prompted by Toshibas announcement of its (first six months) results, which indicated that profitability and cash flow generation have both declined materially, Masako Kuwahara, a Moodys senior analyst, said in a statement. The negative outlook reflects our ongoing concerns over the companys operations and ability to sustainably reduce its current high leverage as well as restructure its operations in a sustainable and profitable manner, she said. The downgrade came after Toshiba on Saturday announced a whopping operating loss of 90 billion yen ($737 million) for six months to September.