WASHINGTON (dpa-AFX) - MEMC Electronic Materials Inc. (WFR) acknowledges today's debt rating downgrade by Moody's Investors Services.
'While we are disappointed with Moody's decision, we have been proactively planning for this potential rating action in order to minimize its impact on the company,' said Brian Wuebbels, MEMC's Chief Financial Officer.
'At the present time we are comfortable with the company's cash and liquidity position. As a result of the downgrade, we will be limited from making additional borrowings under our North American non-recourse revolving construction facility, but repayment of outstanding borrowings under the facility of approximately $110 million will not be accelerated, 'said Brian Wuebbels.
The company said that cash needs in the second quarter which would have been met with this facility will now instead likely result in a reduction of our cash balance of approximately $15 million to $20 million.
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