Moody's confirms United Rentals

Moody's Investors Service said it confirmed the ratings of United Rentals North America Inc. and its related entities, including the Corporate family rating at B2 and speculative-grade liquidity rating at SGL-3.

The outlook is negative.

Moody's said the confirmation concludes a review for possible downgrade that was initiated on July 14 related to risks associated with ongoing accounting investigations at the company.

The B2 rating is positioned to reflect Moody's belief that despite risks to the company's capital structure and liquidity profile posed by issues related to the accounting investigations, United Rentals' overall business profile remains sound.

Nevertheless, the company's inability to file financial statements could have permitted bondholders to declare technical defaults and potentially accelerate the debt. Moody's believes that the consent solicitation brings important stability to the company's capital structure and liquidity profile as it works to resolve the internal accounting matters, the agency added.

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