Printed from http://www.electronista.com

Moody's cuts Sony rating to just above junk

updated 07:52 pm EST, Fri November 9, 2012

Shrinking demand leads to Sony downgrade

Moody's Investor Service dealt a blow to Sony today, downgrading the Japanese electronics giant's long-term debt rating from Baa2 to Baa3. This is the second downgrade for Sony's debt in as many months, as Moody's expressed little faith in Sony's ability to counteract shrinking demand for its consumer electronics products. Moody's analysis recommends "robust restructuring" for Sony over the next 12 to 18 months.

Another downgrade from Moody's would lower Sony's rating to junk. Such a status would require that some funds offload the company's debt, making it difficult for Sony to raise money in credit markets.

Sony has struggled in recent years to generate interest in its consumer electronics products, which are often in the shadow of offerings from Apple and Samsung in the mobile sector and Nintendo and Microsoft in the gaming sector. The sale of a chemical business the company owned helped stave off massive losses in the past quarter, and the company is rumored to be considering the sale of its New York headquarters.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Epson PowerLite Home Cinema 2030 projector

With high-definition televisions now the standard, 4K televisions becoming the next big thing, and plasma TVs going the way of the din ...

Life n Soul 8 Driver Bluetooth headphones

When it comes to music on the go, consumers generally have some options to consider when looking for the best experience. While Blueto ...

Tesoro Tizona G2N Elite gaming keyboard

The market for gaming keyboards is getting crowded, starting off with some fairly simple keyboards and diverging into the land of modu ...

Sponsor

toggle

Most Commented

 
toggle

Popular News