(Reuters) – Credit rating agency Fitch on Tuesday downgraded Casino’s long-term currency issuance default rating from “CC” to “RD”, saying in a statement it made the move after the deadline expired. one-month grace period for the payment of a bond coupon of 400 million euros.
This announcement comes as the heavily indebted Saint-Etienne distributor reached an agreement in principle with its main creditors at the end of July on the restructuring of its debt after, in parallel with the acceptance of a rescue plan carried by the man of businessman Daniel Kretinsky to avoid bankruptcy.
The objective is to achieve the opening of an accelerated safeguard procedure in October and, in the first quarter of 2024, the effective completion of all the restructuring operations.
In its press release, Fitch points out that Casino declared publicly on August 25 that the president of the Paris Commercial Court would rule in September on requests for grace periods for the payment of bond coupons.
The rating agency says it “understands that the competent court has temporarily suspended scheduled payments for a number of financial obligations”, including the quoted coupon.
Earlier this month, S&P Global had downgraded Casino’s credit rating from “CCC-” to “CC”, saying it expected default imminent.
(Written by Jean Terzian)
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