S & P downgrade Dell credit rating to junk level

The reason for this is that the decline in PC demand has had a lasting impact on Dell, and the company may soon be privatized. S & P downgrade to junk-grade Tencent science and technology snow September 12 compiled the standard Poole Rating services company issued a report in Wednesday, downgraded Dell's credit rating from "BBB" to "BB", meaning that Dell's credit rating slipped from the investment level to the junk level. S & P points out that the reason for its downgrade is that the decline in demand for personal computers has had a lasting impact on Dell, and the company may soon be privatized. The report said Dell's credit rating was no longer placed on its "Downgrade watch List" and its rating was "stable" (Stable). Martha Toll-reed, a credit analyst for S & P, says Dell faces increased risks due to persistent pricing pressures and Martha Torre of PC sales. In addition, the privatisation deal, led by Dell's founder Michael Dell, will boost its financial leverage. The company's shareholders are scheduled to vote in Thursday on a total of 24.9 billion dollars in a privatisation deal. If voted, it will allow Michael Dell and his partner Silver Lake fund to privatize the company. Like other personal computer makers, Dell has been struggling in recent years because consumers are moving away from traditional desktops and laptops to buying tablets and other mobile devices. Michael Dell has said he can solve the problems facing the company, but the process takes time and it is best to implement a revival plan after the company has retreated, as it avoids Wall Street's focus on the company. S & P says it expects Dell will use some of its cash to continue to repay its debt, including about $2 billion trillion of debt, once the privatisation deal is completed. In addition, the cost-cutting and restructuring measures being implemented by Dell should largely offset the pricing pressures it faces. On the same day, Dell's shares in the Nasdaq market in the regular transactions in the 13.85 U.S. dollars, and close to Tuesday closed. Over the past 52 weeks, the company's highest stock price was $14.64, with a minimum price of $8.69.