(Reuters) – S&P Global Ratings and Fitch Ratings on Friday joined fellow credit rating agency Moody’s Investors Service to cut their outlook for Bombardier Inc to negative from stable, a day after the company lowered its 2019 profit and cash flow outlook.
The Canadian plane and train maker warned its 2019 profit would be lower, citing problematic rail contracts, challenges at its business transportation segment and the delayed delivery of its Global 7500 aircraft.
S - P - Bombardier - Outlook - Conviction
S&P said Bombardier’s weak outlook lowered its conviction that the company could generate positive free operating cash flow beyond 2019 which it believes is necessary for reducing debt.
The rating agency said it expects the free cash flow to...
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