Pursuits
Gol's Credit Rating Is Cut by Fitch, Citing Brazil's Economy
- Airline risks default without new capital, service says
- Fitch expects `continued deterioration' in credit profile
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Brazil-based Gol Linhas Aereas Inteligentes SA had its credit grade cut by Fitch Ratings, which cited the effects of the country’s recession and a declining home currency.
The service on Friday lowered the airline’s credit rating to CCC, which indicates a real possibility of default, from B-. Both ratings are below investment grade. Standard & Poor’s put Gol on credit watch with negative implications while leaving the rating at B-. Moody’s Investors Service rates Gol at B3 with a negative outlook.