Yes Hutch and we are all going to be making a beehive for the C dollar pretty soon? It has less risk right? I don't know which dollar Hutch but perhaps all business climates and hence dollars are in for a down turn. Rue to those that are pumping at this time.
From: Grace A. Zaccardi Monday, Jul 16, 2001 3:14 PM
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US put on credit 'watch list'
Monday, 16 July 2001 12:08 (ET)
US put on credit 'watch list'
WASHINGTON, July 16 (UPI) -- French credit insurer Coface Group has placed
the United States on a "watch list" for possible credit downgrade, based on
the increasing number of companies that have defaulted on payment, although
the group still gives the overall credit of the U.S. an A1 rating
The business-to-business trade credit insurer, the approximate equivalent
of the U.S. Eximbank, said the "number of company bankruptcies, which had
been falling for three years, is no longer declining. Moreover, it could
begin to rise considering the Federal Reserve's recent message of caution to
banks and the unfavorable payment experience already recorded by Coface."
Coface said that the group will downgrade the credit rating of the United
State if bankruptcies and lack of payments rise further and if the U.S.
economy continues to decline.
The group's country risk-rating service measures the average corporate
payment default risk in 140 countries.
In a review published at the end of last week, Coface placed the United
States, Japan, Taiwan and Brazil on a watch list with "negative
implications," while Israel, Argentina and Turkey were all downgraded.
Coface added in its review statement that the payment risks were highest
for those dealing with U.S. companies in the technology and
telecommunications sectors.
The group also said, however, that "the distribution sector and
traditional manufacturing industries (steel, textile, stationery) are also
vulnerable to bankruptcies, especially as their restructuring is not yet
complete."
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