In a unhappy development for Houghton Mifflin Harcourt, the corporate finance agency Moody’s withdrew its credit ratings for the conglomerate publisher’s debt securities.
According to the Irish Times, the move will make it increasingly more difficult for the corporation to get loans and repay the company’s existing $6.7 billion debt. Earlier this year, creditors had eased deadlines for the company’s debt repayment schedule.
Here’s more from the article: “The ratings agency said that about $6.4 billion worth of securities were affected. The classes of security involved include senior secured debt … The withdrawal means that the agency believes that there is a high probability of the company defaulting on its debts.” (Via Sarah Weinman)