Boeing Outlook Lowered to Negative by S&P Amid 737 Max Probe
- S&P says Boeing’s possible misleading could hurt profitability
- While changing outlook, S&P affirmed Boeing’s rating at A
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S&P Global Ratings lowered the outlook on Boeing Co.’s credit grades to negative, citing the possibility that the planemaker misled the U.S. Federal Aviation Administration amid a probe into the company’s 737 Max airplane.
The possible misleading could further delay the plane’s return to the air, which could hurt the company’s profitability and financial strength, S&P said. The ratings firm affirmed Boeing’s grade at A, or five steps above junk, but revised the outlook on the ratings to negative, indicating that a downgrade over the medium term is more likely than it had been.