NEW YORK (S&P Global Ratings) May 7, 2020--S&P Global Ratings today assigned its 'BBB' issue-level rating to Detroit-based automaker General Motors Co.'s (GM) proposed issuance of senior unsecured notes and placed the rating on CreditWatch with negative implications. The company is also seeking to secure a new 364-day revolving credit facility, which will be unrated. GM intends to use the net proceeds from the notes for general corporate purposes. We believe this issuance, as well as the company's establishment of a new revolver, will improve its liquidity position and help it navigate the downturn in light-vehicle demand stemming from the government restrictions to contain the spread of the coronavirus and the ongoing uncertainty around when sales will begin to normalize.
