Sears downgraded after announcing $1.3bn distressed debt exchange

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Sears downgraded after announcing $1.3bn distressed debt exchange

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US retailer Sears announced its intention on Tuesday to swap unsecured and senior secured debt into new payment-in-kind notes that could be converted into common stock. Seeing this as a distressed debt exchange, Fitch Ratings quickly downgraded the retailer to C.

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