Eircom, Ireland's largest telco, was hit with a damaging credit downgrade last night by Standard & Poor's, which said the company didn't seem to have "any specific measures'' in place with deal with its €3.5bn debt pile. A breach of its loan conditions could occur next year, warned the agency.Eircom's various parent companies were downgraded from stable to negative, although the company kept its B- credit rating for now.
"The rating action reflects the absence, to our knowledge, of any specific measures taken to date to remove likely future covenant pressure,'' said Standard & Poor's credit analyst Xavier Buffon, referring to the danger Eircom may breach its loan covenants. Full Story
