Moody’s cut the credit rating of Countrywide (CFC) to "D" for default, over worries about liquidty.
According to Reuters "The downgrade does not reflect Countrywide’s planned acquisition by Bank of America (BAC)." It does raise, once again, the issue of what BAC is getting.
"However, the downgrade of the bank financial strength rating provides insight into the severity of the Countrywide ratings transition that would likely take place if the proposed Bank of America acquisition would be terminated," Moody’s said according to the Reuters report.
Douglas A. McIntyre