SINGAPORE (S&P Global Ratings) April 21, 2020--S&P Global Ratings expects the hit from rental moratoriums and reduced rental income in 2020 stemming from the COVID-19 fallout will mean the ratings headroom will run out for RCS Trust (A-/Watch Neg/--) and CapitaLand Commercial Trust (CCT; BBB+/Watch Pos/--). The ratings on CCT and RCS Trust were first placed on CreditWatch on Jan. 24, 2020, following the announcement of plans for CMT to merge with CCT. That transaction will see CCT become a sub-trust of CMT. We assume that RCS Trust's funds from operations (FFO)-to-debt will decline to 8% in 2020, from almost 11% in 2019, before recovering toward 10% in 2021. RCS Trust's standalone credit profile may weaken if its FFO to
