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Monday
Mar092009

Free Standard and Poor’s Company Credit Ratings

If you need to screen a supplier for financial viability Standard and Poor’s offers free company credit ratings on their website. Standard & Poor's operates as a financial services company. Its products and services include credit ratings, equity research, S&P indices, funds ratings, risk solutions, governance services, evaluations and data services.

The credit ratings like credit score for businesses. Standard and Poor’s ratings range from AAA to R. For example right now GE is rated AAA while General Motors rating is CCC.

I’m sure there is a significant amount of detail on rating definitions, but here is a  brief summary:

Secure Range:

AAA Superior financial security. Highest safety.
AA Excellent financial security. Highly safe.
A Good financial security. More susceptible to economic change than highly rated companies.
BBB Adequate financial security. More vulnerable to economic changes than highly rated companies.

Vulnerable Range:

BB Financial security may be adequate, but capacity to meet long-term policies is vulnerable.
B Vulnerable financial security.
CCC Extremely vulnerable financial security. Questionable ability to meet obligations unless favorable conditions prevail
R Regulatory action. Placed under an order of rehabilitation and liquidation.

 

Here is the link to access this free information: Standard and Poor's Credit Ratings


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