Fitch snips Jaguar Land Rover

Fitch Ratings said it downgraded Jaguar Land Rover Automotive plc's long-term issuer default rating and senior unsecured rating to B from B+. Fitch removed both ratings from rating watch negative. The outlook is negative.

Fitch said it revised the company’s standalone credit profile to b from b+, reflecting the risks of the pandemic to both demand in Jaguar Land Rover's end-markets and that disruption to operations has increased following the negative revision to Fitch's global economic outlook.

“Fitch expects significant cash outflow will result from the extension of its plant closures to mid-May 2020, from the original date of April 20, 2020, combined with a sharp reduction in volumes sold, slowing the company's recovery,” the agency said in a press release.

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