A downgrade in credit rating has pushed company Pope & Talbot deeper into junk status. Moody’s Investors Service ha…
A downgrade in credit rating has pushed company Pope & Talbot deeper into junk status. Moody’s Investors Service has lowered the credit rating on $135 million worth of bonds issued by the company. As a result, the company’s senior unsecured debt was lowered from Ba3 to B1. Moody’s said the move reflected continued downward pressure on Pope & Talbot’s product pricing, higher production costs and the negative impact of its recent $32 million purchase of the Fort St. James Sawmill, a purchase that deepened its debt. At the end of March, the company declared its debt stood at $235.3 million, up $18 million from December 31st, 2004.
Source: American City Business Journals
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