ExxonMobil: Moody's changes rating outlook to 'negative'

(CercleFinance.com) - Moody's Investors Service has changed its outlook on ExxonMobil's "Aaa" rating to "negative", warning against a material rise in the company's debt levels.


"ExxonMobil's negative outlook reflects the company's substantial negative free cash flow and expected reliance on debt to fund its large growth capital spending program," said Moody's analyst Pete Speer.

Moody's forecasts that ExxonMobil's negative free cash flow will be around 7 billion dollars in 2019, followed by 9 billion dollars in 2020, with negative cash flow likely to continue into 2021.

The stock was down 0.7% on Wednesday after these comments.

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