Reuters: Global Markets: GE shares off in premarket trade after Moody's cut

Reuters: Global Markets Reuters.com is your source for breaking news, business, financial and investing news, including personal finance and stocks. Reuters is the leading global provider of news, financial information and technology solutions to the world's media, financial institutions, businesses and individuals. // via fulltextrssfeed.com

GE shares off in premarket trade after Moody's cut Apr 4th 2012, 12:50 Wed Apr 4, 2012 8:50am EDT (Reuters) - General Electric Co (GE.N) shares slipped 1.5 percent in premarket trading on Wednesday after Moody's Investors Service cut its rating on the largest U.S. conglomerate and its finance arm by a notch, citing risk to GE Capital's funding model. GE shares were down 30 cents at $19.66 in premarket trading, off a $19.96 close on the New York Stock Exchange. The ratings agency late on Tuesday lowered its rating on GE to Aa3 from Aa2 and its rating on GE Capital to A1 from Aa2 and maintained each entity's short-term credit rating -- key for accessing the commercial paper market -- at P-1. Both entities remain solidly investment grade. The Fairfield, Connecticut-based company once boasted a top-shelf Aaa rating from Moody's and Standard & Poor's but was stripped of that honor in 2009, during the financial crisis, when investors feared trouble at GE Capital could undermine the whole enterprise. The company aims to resume its historic practice of paying a dividend from GE Capital back to the parent company, but needs the approval of its new regulator, the Federal Reserve, to do so.

You are receiving this email because you subscribed to this feed at blogtrottr.com. If you no longer wish to receive these emails, you can unsubscribe from this feed, or manage all your subscriptions