S&P: AmeriCredit outlook now stable

Standard & Poor's said it revised its outlook on AmeriCredit Corp. to stable from negative and affirmed its ratings, including its B long-term counterparty credit rating, on the company.

S&P said the outlook revision reflects the improvement in the company's financial performance and stabilization of its asset quality measures. Second-quarter fiscal 2004 financial results showed better earnings performance and lower delinquencies and charge-offs.

"The ratings also reflect the company's significant capital base of $1.96 billion, which provides a significant cushion given the high level of charge-offs that the company has been experiencing. The company has also successfully been able to access the securitization market, albeit at higher credit enhancement levels," said S&P credit analyst Lisa J. Archinow.

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