S&P lowers Tata Motors

S&P said it lowered Tata Motors Ltd.' senior unsecured notes to B+ from BB- and will keep the ratings on CreditWatch negative.

The negative CreditWatch reflects Jaguar Land Rover Automotive's uncertain future amid Brexit, deteriorating Chinese operations, U.S. tariff wars and increasing competitive pressures from a cyclical automotive slowdown, S&P said.

The agency said it intends to resolve the CreditWatch over the next three months as some of these events unfold.

S&P said it expects heightened cash burns and leverage at Jaguar Land Rover over the next 12- to 18-months as it navigates the tough Chinese operating environment and the uncertain future Brexit and U.S. tariffs imply.

On the other hand, Jaguar continues to perform well in the United States and U.K. markets, much ahead of the industry, the agency said.

© 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.