Credit Ratings Agencies Prepare to Downgrade Electronic Arts to Junk Status
TechnologyElectronic ArtsUpdated 6 hours ago

Credit Ratings Agencies Prepare to Downgrade Electronic Arts to Junk Status

Moody's Ratings has indicated a likely downgrade of Electronic Arts Inc. following a similar action by S&P Global Ratings, which expects to cut the company's credit ratings to junk status. This anticipated downgrade is due to a significant increase in debt from a recent buyout deal, raising concerns about the company's financial stability and investor confidence in the gaming industry.

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Moody’s Says It’s Likely to Cut Electronic Arts, Following S&P
NegativeTechnology
Moody's Ratings has indicated that it is likely to downgrade Electronic Arts Inc. by several notches, following a similar preliminary action by S&P Global Ratings. This news is significant as it reflects concerns about the company's financial stability after it is taken private, which could impact investor confidence and the future of the videogame maker.
S&P Says It Expects To Cut Electronic Arts to Junk Status
NegativeTechnology
S&P Global Ratings has announced that it anticipates downgrading Electronic Arts Inc.'s credit ratings to junk status following the completion of a significant buyout deal. This move is primarily due to the expected increase of around $20 billion in debt resulting from the transaction. This downgrade could impact the company's financial stability and investor confidence, making it a crucial development for stakeholders in the gaming industry.

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