New York, January 20, 2017 -- Moody's Investors Service, ("Moody's") downgraded Sears Holdings ("Sears") Corporate Family Rating to Caa2 from Caa1. Actions on other rated debt instruments are detailed below. The rating outlook was changed from negative to stable. The downgrade reflects the accelerating negative sales performance of Sears' business with comparable sales falling 12-13% for holiday period compared to the prior year. "Although Sears has been able to fund its continued cash shortfalls through planned asset monetization, and additional financings, a meaningful business turnaround in fiscal 2017 is critical given the continued reduction of its asset base", said Vice President, Christina Boni. "We expect operating cash flow to approach a disappointing loss of $1.5 billion for fiscal 2016"
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