S&P changes Ford Motor view

S&P said it revised its outlook on Ford Motor Co. and its subsidiary Ford Motor Credit Co. LLC to negative from stable and affirmed the BBB ratings on both companies.

The agency also affirmed the BBB issue-level ratings on the rated debt at both entities.

“Our outlook revision reflects meaningful underperformance in Europe and Asia-Pacific relative to our expectations in recent quarters that is heightening pressure on Ford's profitability from softening industry demand in North America,” S&P said in a news release.

“Additionally, significant restructuring actions to address unprofitable segments and/or regions will add execution risks in its path toward improving its profit margins in line with automotive peers by 2020.”

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