Ford Motor’s financing unit has withdrawn its plans to issue new debt, The Wall Street Journal reports. The company cancelled the deal, backed by packages of auto loans, as it was unable to use credit ratings in its offering documents.
The firms including Moody’s Investors Service, Standard & Poor’s and Fitch Ratings denied to be used in bond registration statements. According to a new law, the ratings firms can be held legally liable for the quality of their ratings.
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