Tags: Ford | Credit | Asset | Backed | Bond | Sales

Traders: Ford Credit, Others Pull Asset-Backed Bond Sales

Thursday, 22 Jul 2010 01:38 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
At least two issuers, including Ford Motor Credit, have pulled planned asset-backed bond sales from the market this week, as issuance remains paralyzed by a twist in the new financial reforms, traders and fund managers said.

Rating agencies have indicated they will no longer allow their ratings to be used in bond prospectuses for asset-backed securities issues. That's because the regulatory overhaul imposes new liabilities for the agencies if they consent to use of their ratings in public offering documents.

As a result, on Wednesday, Ford Motor Credit indefinitely postponed a potential asset-backed securities issue that could have been between $1 billion and $3 billion in size, market sources said.

The company, part of Ford Motor Co., declined comment.

"We do not comment on funding plans that are not already public," a Ford Motor Credit Co. spokeswoman said.

© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved