WeWork Default Is a Real Possibility, Fitch Ratings Warns

  • Rating agency downgrades WeWork to CCC rating from CCC+
  • Fitch cites pandemic, work-from-home shift as major risks
Photographer: Bing Guan/Bloomberg
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Fitch Ratings downgraded troubled co-working company WeWork and warned that the once high-flying startup could default on its obligations.

On Thursday, the agency said it loweredBloomberg Terminal the company’s long-term issuer default rating to CCC from CCC+. That indicates “substantial credit risk” and suggests “default is a real possibility,” according to Fitch’s rating scale.