Printer Friendly

COMMERCIAL CREDIT COMPANY DEBT RATING RAISED TO 'A+' BY DUFF & PHELPS

 CHICAGO, Nov. 15 /PRNewswire/ -- Duff & Phelps Rating Co. has raised the senior debt rating of Commercial Credit Company to "A+" (Single-A-Plus) from "A" (Single-A). This change affects approximately $3.4 billion of debt securities.
 The rating upgrade reflects a steady improvement in operating performance. Profitability, as measured by returns on equity and assets, has grown steadily each of the last five years. ROE and ROA were an above average 23 percent and 3.1 percent respectively, in 1992. These high profitability levels have been maintained in the first three quarters of 1993. Profitability has been built to levels approaching the best-run consumer finance companies. Operating expenses have been well controlled, and importantly, asset quality measures have been on an improving trend since 1992. Losses as a percent of average receivables have declined from 2.84 percent in 1992 to 2.40 percent annualized in the first nine months of 1993. Leverage remains conservative for a company with Commercial Credit's asset mix. The debt to equity ratio was 5.1:1 at Sept. 30, 1993.
 Commercial Credit is one of the largest consumer finance companies in the United States. Total net receivables of $6.0 billion at Sept. 30, 1993 divided 44 percent real estate secured, 41 percent personal loans, 10 percent credit cards, and 5 percent sales finance and other.
 -0- 11/15/93
 /CONTACT: Daryl R. Leehaug of Duff & Phelps Credit Rating Co., 312-368-3124/


CO: Commercial Credit Company ST: IN: FIN SU: RTG

TW -- NY131 -- 4662 11/15/93 16:41 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 15, 1993
Words:253
Previous Article:LAWSON DEMONSTRATES CLIENT/SERVER SOFTWARE ON WINDOWS NT AT COMDEX
Next Article:SERVICE FRACTURING COMPANY MAKES STATEMENT
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters