« Brocade gets $1.225 bln loan to finance Foundry deal
Fidelity to join Treasury’s guarantee program »

Moody’s downgrades Legg Mason to ‘A3′ from ‘A2′

SAN FRANCISCO (MarketWatch) — Moody’s Investors Service on Tuesday lowered Legg Mason Inc.’s senior debt rating to A3 from A2 and indicated that there could be additional downgrades. The move was due to continued pressure on Legg Mason’s business profile and profitability resulting from its financial support of constant net asset value money market funds. “Legg Mason has ample cash for the current cash collateral needs of money market fund support; however, pricing uncertainty and potential future asset sales suggests that Legg Mason could experience a material erosion of its excess cash if such sales occurred at prices significantly below the company’s current marks,” said Matthew Noll, Moody’s vice president. The ratings agency also noted that a further rating cut is possible if additional losses cause the company’s excess liquidity to be substantially depleted and further capital is not raised. The outlook is negative.
Market Pulse Stories are Rapid-fire, short […]

Original post by Forextvblog

This entry was posted on Tuesday, October 7th, 2008 at 2:58 pm and is filed under Daily Forex Analysis. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

3 Responses to “Moody’s downgrades Legg Mason to ‘A3′ from ‘A2′”

  1. Moody’s downgrades Legg Mason to ‘A3′ from ‘A2′ · Forex-Trade.ExplainedOnline.Net Says:
    October 7th, 2008 at 6:22 pm

    […] Original post by [Technorati] Tag results for forex […]

  2. Moody’s downgrades Legg Mason to ‘A3′ from ‘A2′ Says:
    October 7th, 2008 at 6:34 pm

    […] Original post by [Technorati] Tag results for forex […]

  3. Moody’s downgrades Legg Mason to ‘A3′ from ‘A2′ · Forex-Trading.ExplainedOnline.Net Says:
    October 7th, 2008 at 6:52 pm

    […] Original post by ForexForums.org […]

Leave a Reply