Retail defaults to ease, but hurdles ahead for weaker players
Moody's highlighted that four companies make up 71% of the $22.8 billion in outstanding distressed (Caa1 and lower) retail debt: Academy, Neiman Marcus, J. Crew and Petsmart. Three companies represent 59% of rated debt for B3 retail and apparel issuers: J.C. Penney, Rite Aid and Petco Animal Supplies.Looking ahead, the bifurcation between strong and weak retailers will continue to grow, Moody's said, adding that it expects smaller, more leveraged companies to feed defaults...
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