Brunswick stock takes a hit

LAKE FOREST, Ill. – The stock of boating industry giant Brunswick Corp. (NYSE: BC) has taken quite a beating in recent weeks.

Not only did it dip down to $10.55 a share – a low that hasn’t been hit since 1991, according to the Associated Press – before closing the day yesterday at $10.60, it fell to $10.32 shortly after the market opened this morning.

In addition, it was recently taken off the S&P 500, and this week was moved from the Russell 1000 to the Russell 2000 index.

Finally, following Brunswick’s announcement last week that it would resize the company, cutting 1,000 jobs immediately with more likely to come, Standard & Poor’s Rating Services lowered its rating of Brunswick’s long-term corporate credit to "BBB-" – the lowest investment grade rating – from "BBB" and put the ratings on CreditWatch negative, according to an Associated Press report.

"The rating downgrade and CreditWatch placement reflect our concerns about the effects of Brunswick's operating outlook revision on credit quality and, more broadly, conditions in the recreational marine industry," said Standard & Poor's credit analyst Andy Liu in a statement Monday.

  • For more of the latest news, click here.

Leave a Reply

Your email address will not be published. Required fields are marked *