Research Update: Conrail Inc. CCR And Other Ratings Lowered To 'BBB-'; Outlook Stable May 07
- ID: 1928224
- May 2007
- Standard & Poors
On May 9, 2007, Standard & Poor's Ratings Services lowered its corporate credit rating on Conrail Inc. and unit Consolidated Rail Corp. to 'BBB-' from 'BBB'. In addition, we lowered our ratings on various equipment trust certificates to 'A-' from 'A'. The outlook is stable. The rating action follows a similar downgrade on CSX Corp. on May 8, 2007, after CSX Corp. increased its share buyback program. Conrail Inc. is jointly owned by freight railroads Norfolk Southern Corp. (BBB+/Stable/A-2) and CSX Corp. (BBB-/Stable/A-3), which own 58% and 42%, respectively, of the company. The corporate credit rating for Conrail is set at the lower of the corporate credit ratings on CSX and Norfolk Southern and the outlook is set at the...
Companies mentioned in this report are: Conrail Inc.,CSX Corp.,Norfolk Southern Corp.,Consolidated Rail Corp.
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Product Type: Research Update
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