Why Bankruptcy Is a Forgone Conclusion for Ford Motor Company
Ford’s credit rating is highly likely to be downgraded in the near future and the company may go belly up even before a recession.
www.ccn.com
- Ford’s credit rating is inches away from being downgraded to ‘junk’ by either S&P or Fitch. This will trigger a covenant in their long-term debt, which will adversely affect its ability to borrow more money.
- After the company committed billions to ambitious restructuring plans, it’s very low on cash and drowning in debt.
- Amid declining sales across all major markets, the company could go belly up much sooner than anticipated.