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Latest Business News

Moody's Cuts WaMu Credit Rating

Friday, March 14, 2008 5:37:03 PM
By JESSICA MINTZ

SEATTLE (AP) - Moody's Investors Service cut Washington Mutual Inc.'s credit rating Friday and said the country's largest savings and loan will need at least $4 billion more than it expected to cover bad mortgages in 2008.

Investors sent WaMu's shares down $1.54, or 12.7 percent, to close at $10.59 Friday.

Moody's said its action reflects a "rapid deterioration" of the housing market in the first few months of the year, echoing the rationale behind another rate cut by Standard & Poor's a week ago.


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