Fitch lowers GM Holdings, loans

Fitch Ratings said it downgraded the rating for General Motors Holdings LLC's revolving credit facilities to BB+ from BBB-.

GM Holdings is a subsidiary of General Motors Co.

The existing issuer default ratings for both GM and GM Holdings are BB+ with positive outlooks.

Fitch previously rated GM Holdings' $11 billion revolving credit facilities at BBB-, one notch above GM Holdings' default rating, due to their collateral backing. Based on recent developments, the facilities' collateral is likely to be released, and Fitch now treats them as unsecured.

As a result, the agency downgraded the credit facilities' rating to the same level as GM Holdings' default rating of BB+. GM's senior unsecured notes are also rated BB+.

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