Fortescue Rating Review Due To Iron Ore Slump

Bloomberg reported Fortescue Metals Group Ltd. (ASX:FMG) is being reviewed by Moody’s Investors Service for a possible cut to its credit score because of a slump in iron ore prices.

As quoted in the market news:

Moody’s may lower the Perth-based company’s Ba3 rating, the third-highest junk grade, the ratings firm said in a statement dated yesterday, after iron ore prices fell 24 percent this month. A downgrade would affect about $7.6 billion of debt securities, it said.

Click here to read the full Bloomberg report.