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Stock impact report

Former M&S chief's motor leasing giant faces debt crunch [Yahoo! Finance]

Moody's Corporation (MCO) 
Last moody's corporation earnings: 4/30 07:00 am Check Earnings Report
US:NYSE Investor Relations: ir.moodys.com/home/default.aspx
Company Research Source: Yahoo! Finance
Zenith Automotive, which is owned by private equity giant Bridgepoint, has been put on debt downgrade watch by the ratings agency Moody's owing to concerns over its finances. The Leeds-based group is one of Britain's largest independent fleet managers, owning and managing more than 170,000 cars including electric vehicles (EVs) for companies such as Travis Perkins. The recent plunge in EV prices has spooked Zenith's bondholders over fears the group's portfolio of vehicles will be worth less in future. Second-hand EV prices have declined in recent months as manufacturers including Tesla cut prices and ex-lease and rental vehicles flood the market. Although the decline in prices is good for drivers, the fall is bad for companies that lease EVs because they likely paid higher prices and so could recoup less of their investments. According to figures from Auto Trader last year, a used electric car costing £50,000 is expected to lose £24,000 of its value over three years. Petrol Show less Read more
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