Financial services company Standard & Poor's has further downgraded its corporate credit rating for Sony following third quarter losses from the company.
Last November,
Standard & Poor's put Sony on a negative credit watch and placed its 'A-' long-term corporate credit and senior unsecured debt rating on the company, as Sony was due to post significant annual losses.
Now the financial company has downgraded that rating even further, as a result of
Sony posting a notable decline in revenue and a swing to losses for its third quarter earlier this month.
Placing a 'BBB+' rating on Sony, Standard & Poor's said in a statement, "The likelihood of a strong recovery in Sony's earnings is low, due to a massive erosion of prices, falling demand, and harsh competition in Sony's mainstay businesses."
It also noted, "We could lower the ratings further if we see no meaningful sign of recovery in Sony's earnings within six to 12 months."
