Following Standard & Poor’s downgrade en masse of the Eurozone’s more vulnerable and fiscally-troubled states, a new announcement from S&P confirms investors and analysts’ fears: the Eurozone’s bailout facility will be detrimentally affected. According to the Sovereign Debt Committee Chairman at S&P, John Chambers, the downgrades of France, Austria (to AA+), Italy (to BBB+) and a whole host of other Eurozone states will require a modification to the credit rating of the European Financial Stability Facility (EFSF). The EFSF’s credit rating is based upon the guarantees of the member states, primarily, those AAA rated. Read more
