Bangkok--18 Nov--Standard & Poor's
The number of global fallen angels increased by two since our last report to 32 (through Nov. 8), while the number of potential fallen angels remained flat at 40, said an article published today by Standard & Poor's Global Fixed Income Research, titled "Fallen Angels In Emerging And Developed Markets, Including The U.S. And Europe: Total Rises By Two As Potential Fallen Angels Count Remains Flat."
"The 32 fallen angels accounted for US$227.9 (?168.9) billion in rated debt," said Diane Vazza, head of Standard & Poor's Global Fixed Income Research. "But while the number of fallen angels so far this year is 50% higher than the total number last year, the count is still well below the numbers seen in 2007-2009." This total is significantly more than the US$134.1 (?98.7) billion in rated debt attributable to the 29 rising stars (issuers upgraded to investment grade) that have emerged so far this year.
"The global tally of potential fallen angels remained flat at 40 as of Nov. 8," said Ms. Vazza. "These issuers have a total of US$377.2 (?279.6) billion in rated debt." Potential fallen angels are issuers rated 'BBB-' with either negative outlooks or on CreditWatch with negative implications. The last time the potential fall angel count fell below 40 was in May 2008.
We added two entities to the potential fallen angels list: Cassa di Risparmio di Cento SpA and Zenith National Insurance Corp. By region, Europe leads with 17 potential fallen angels thus far this year. By sector, banks lead the list of potential fallen angels with 10 issuers. Five of these banks are based in the Republic of Portugal, which is also on the list of potential fallen angels. Sovereigns represent five of our potential fallen angels but have more than double the amount of banks' rated debts at US$191.2 (?141.87) billion. Portugal remains the largest potential fallen angel this month, with US$115.8 (?85.8) billion in rated debt.
Thirteen of the companies on the potential fallen angels list are constituents of various Standard & Poor's indices.
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Media Contact:
Mimi Barker, New York (1) 212-438-5054,
[email protected]
Analyst Contacts:
Diane Vazza, New York (1) 212-438-2760