S&P cuts Lennar to junk

Standard & Poor's said it lowered its corporate credit and senior unsecured debt ratings on Lennar Corp. to BB+ from BBB and its commercial paper rating to B from A-3.

The outlook remains negative.

The downgrades reflect weakened credit measures, Lennar's concentration in highly competitive and oversupplied housing markets and the company's considerable investment in off-balance-sheet joint ventures, the agency said.

Somewhat offsetting these concerns are comparably low levels of on-balance-sheet debt and a currently adequate liquidity position, S&P added.

© 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.