S&P assigns negative outlook to company that has faced ongoing controversy both in Canada and overseas.
With SNC-Lavalin once again in the news due to the Trudeau PMO Scandal, the beleaguered firm has received even more bad news.
As noted by BNN Bloomberg, the S&P Global Ratings agency has cut SNC-Lavalin to junk status. SNC-Lavalin is now rated at BB+, one notch below ‘investment grade.’
In a statement, S&P analysts said “Weaker-than-expected earnings and cash flow along with uncertainty from various headwinds contribute to our view that SNC’s operating efficiency and financial risk profile have deteriorated to a level that no longer supports an investment-grade rating.”
SNC-Lavalin shares are down over 60% this year, with the company suffering losses in multiple areas, and being tied to the corruption scandal swirling around the Trudeau PMO.