Moody's may cut Steel Dynamics

Moody's Investors Service said it placed the ratings of Steel Dynamics Corp. (corporate family rating Ba1) under review for possible downgrade.

The review results from the challenges facing the company as steel industry conditions remain difficult with very weak demand and low capacity utilization levels, the agency said.

In the first quarter of 2009, Moody's said that the company's steel mills operated at roughly 46% of capacity, ferrous metals recycling at around 42% of processing capacity and its fabricating operations at about 45%.

Moody's said it does not expect that these run rates will materially improve in 2009 given weak demand levels.

© 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.