Moody's views RealTruck negatively

Moody's Investors Service said it changed the outlook for RealTruck Group, Inc. to negative from stable and affirmed its ratings, including the B3 corporate family rating, the B3-PD probability of default rating, the B2 senior secured rating and the Caa2 senior unsecured rating.

“The change in outlook to negative reflects the decline in volumes from a general pullback in consumer spending on discretionary items. Moody's expects this trend to continue as excess savings from pandemic-related government stimulus subside and inflationary pressures impact household finances.

“The negative outlook also reflects concern for further weakening in margins and cash flow due to the softening demand impact on pricing power, in conjunction with elevated inventory levels. These factors would lead to further deterioration in debt to EBITDA, which was already in excess of 9x at Sept. 30, 2022, inclusive of Moody's standard adjustment,” the agency said in a press release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.