Apple Computer Inc has now taken a hit from Moody’s Investors Service Inc, which cut its rating on the senior debt to Ba2 from Baa3 – its junk bond ratings are anything below Baa3, and the agency said it may cut the rating further. Standard & Poor’s Corp already reduced Apple’s senior debt to double-B-minus from triple-B on January 29; its junk ratings are anything below triple-B-minus. Moody’s said the rating action was based on expectations that Apple’s sales, profits, cash flow and liquidity will be under severe pressure for the next 12to 18 months as new management tries to restore profitability and bolster the competitive position.
