Volkswagen downgraded at Standard & Poor's

Volkswagen AG has been downgraded to BBB+ from A- at Standard & Poor's Ratings Services, which said it expects the automaker to "experience ongoing diverse credit impacts from its manipulation and misrepresentation of engine emissions and fuel consumption levels." In a statement late Tuesday, the ratings services said it sees a "tarnished reputation and brand image," with business prospects reduced, a tougher competitive position and higher costs. S&P said the outlook was negative for Volkswagen, reflecting the possibility of lowering the long-term corporate credit rating on the company by one notch within the next one-to-two years.

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