In the wake of the COVID-19 pandemic, S&P Global Ratings downgraded more than 300 companies in hard-hit retail, hotel, transportation and energy sectors with ratings cuts for some in the double digits, the agency said in an April 8 webinar.
“This shock is not across the board, but has severe threats to some,” said Greg Lemos-Stein, S&P Global Ratings managing director of analytics research. The firm has seen more than 10 recent defaults. Oil and gas firms were affected by a big demand slump caused by state shelter-in-place orders, but other decline triggers included an oil-price dispute between Saudi Arabia and Russia, said the ratings firm.