date:May 19, 2014
on incomes defect for their low-frills offerings. The threat to ratings has pushed up the cost of insuring the debt of Morrison and Tesco against default.
Moodys cut Morrison to two levels above junk following its announcement of price cuts and said the outlook is negative. Tesco, currently three levels above junk with the main ratings companies, was put on review for a possible downgrade by Moodys and Standard Poors last month as lower prices weigh on margins.
Negative Pressure
Discounts at