Toronto-based Dominion Bond Rating Service (DBRS) has awarded General Motors a debt upgrade to investment grade status, marking the company’s first investment-grade rating since 2005. A small victory, but more acclaimed and large-scale rating agencies like Moody’s or Standard & Poor’s (S&P) have yet to follow. No clues as to when that may happen, but with the slow restructuring of GM’s European operations, it might be later rather than sooner.
If more agencies give GM the grace of investment-grade, however, expect the increased possibility of the an increasing in stock price while furnishing The General with the ability to borrow at a low rate.
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For a moment I hoped those were ingots of silver…then I realized they are “just” volt batteries