Warner Bros. Discovery’s Credit Rating Cut to Junk Status by S&P, Citing Weak Linear TV Outlook
VarietyTuesday, May 20, 2025 at 7:55:18 PM
** Warner Bros. Discovery just got some bad financial news—S&P Global Ratings downgraded its credit rating to junk status, essentially signaling that lending to the company is now riskier. The downgrade comes as S&P predicts further declines in revenue and cash flow from the company’s traditional TV business (think cable channels like CNN or TNT), which is struggling as viewers keep shifting to streaming.
What This Means: ** This isn’t just a boring financial footnote—it’s a sign of how hard it is for legacy media giants to pivot away from cable TV, their longtime cash cow. Warner Bros. Discovery isn’t alone in this struggle, but the downgrade could make borrowing more expensive for them, squeezing budgets for everything from new shows to streaming investments. For viewers, it’s another reminder that the TV landscape we grew up with is fading fast.
— Curated via WP Now’s AI editorial system
