Reported 2 months ago
JetBlue Airways has been downgraded by S&P and Moody's following its announcement to raise over $3 billion in debt, primarily supported by its TrueBlue loyalty program. The company's stock fell by 19%. S&P downgraded its rating from 'B' to 'B-' due to concerns over financial stability, predicting low operating cash flow ratios through 2025. Moody's lowered JetBlue's corporate family rating to 'B3', estimating significant cash burn in the upcoming years. While Fitch maintained a rating of 'B' with a stable outlook, it cautioned that profitability improvements are essential to avoid further downgrades.
Source: YAHOO