The ratings on Korean-based Hynix Semiconductor Inc. (Hynix) and its subsidiary Hynix Semiconductor Manufacturing America Inc. (HSMA) were lowered on Sept. 10, 2001. The ratings remain on CreditWatch, where they were placed with negative implications on Aug. 21, 2001. The downgrades reflect an increased likelihood that a financial assistance package under discussion by Hynix's creditors will include a debt-for-equity swap. Should the possible support package include a debt-for-equity swap, or any other terms detrimental to some classes of creditors, the issuer credit ratings on Hynix and HSMA will be lowered to 'SD' (selective default).
