AmeriCredit Corp.'s Long-Term Ratings Placed on CreditWatch Negative Jan 03
- ID: 1802064
- January 2003
- Standard & Poors
NEW YORK (Standard & Poor's) Jan. 16, 2003--Standard & Poor's Ratings Services said today that it placed its 'BB-' long-term counterparty credit and senior unsecured debt ratings on AmerCredit Corp. on CreditWatch with negative implications following the company's second-quarter earnings announcement reporting a quarterly net loss of $27.6 million. The net loss included a $46.6 million pretax impairment of its interest-only receivable from prior securitizations, and a $50 million pretax valuation adjustment to shareholder's equity to reverse the earlier build-up of its valuation reserve for residuals. CreditWatch Negative implies that ratings will either stay the same or go lower. "The ratings action follows the company's weaker-than-expected financial performance and write-off of its interest-only receivable due to lower recovery rates in...
Companies mentioned in this report are: General Motors Financial Co. Inc.
Action: On CreditWatch:Negative
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