Moody’s Ratings is looking at lowering the company’s grades by one notch in the coming months, a review that could bring CVS to just a step above high-yield status. S&P Global Ratings has signaled that a downgrade to the edge of high-grade is possible over about the next two years. The company had about $80 billion of long-term debt, including leases, as of June 30.
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Who's the id--t, the person getting paid for 10 mths to do nothing or the poor slob still hoping and praying cvs will eventually get it right?
The company is being run like the government. Destroying it for takeover.
So much brilliance here! Shut up id--ts.
The second the leverage ratio got to an acceptable level, Karen blasted out 18 billion for money losing companies that will never ever make a dime.
It takes talent to spend on acquisitions with abandon. Signify and Oak Street were a huge mistake. The $90 billion in debt is a heavy load. The master at leveraged buyouts was Ronald Perelman. For the most part, he is old and broke. KL was an accountant. All of the yes men said, sure boss let’s borrow more. What happens when the dividend gets cut? Don’t fight over CVS stock options. They will be under water for a very long time.
The issue is not the Aetna aquisiton. It's oak street an signify without closing down retail space and expensive offices. Couple that with covid, overutization ,the number of senior getting unnecessary treatment, providers
Billing for unnecessarytreatments, and too many plans to select from and here we are. IFP works and is profitable because the scope of plans is limited.
Humana and zunit3d have the same issues...but didn't have a retail store buy their core business.
Makes perfectly good business sense to be locked into leases b these days with this global economy and digital Internet world. Sarcasm 🤣🙄
Yeah, real genius idea
Not saying KL is blame free but the majority of the debt comes from the Aetna acquisition too. Just as we’d started to pay some of it down, we added 2 acquisition. If you see in the past too, CVS has a history of acquisition via long term debts. So while KL had her share of the problems, look at the history too
Karen dug this company into a hole we'll never get out of