Moody’s Labels Nokia Junk
Moody’s Investors Service Friday downgraded Nokia Corp.’s credit rating, saying the cellphone company is facing more pressure on its earnings and higher cash burn than it had previously thought.
The downgrade of the ailing handset maker’s credit to Ba1 from Baa3—Moody’s second downgrade of the company within three months—means Nokia’s credit now carries junk status by all the three major credit rating agencies. Nokia’s credit was downgraded to junk by Fitch Ratings and Standard & Poor’s in April.
