S&P: AmEx on watch

Standard & Poor's said it placed its A+ long-term counterparty credit rating on American Express Co. on Creditwatch with negative implications.

The A-1 short-term counterparty credit rating on AmEx is affirmed and is not on Creditwatch, the agency said, noting that the action follows AmEx's third-quarter earnings release that reported continued asset-quality deterioration and slowing customer spending volumes.

These trends are consistent with its view that consumer-related finance will continue to deteriorate for at least the next several quarters, S&P said, noting that in this context, the agency said it expect to see a further weakening of Amex's asset quality and profitability.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.