NEW YORK--(BUSINESS WIRE)--The potential default of Caesars Entertainment Operating Company would push the trailing 12-month (TTM) U.S. high yield default rate to 3.3%, according to Fitch Ratings 'U.S. High Yield Default Insight.' This report updates a comment that Fitch published on Nov. 7.
The TTM U.S. high yield default rate ended October at 2.4%, its lowest level since April, when Energy Future Holdings' (EFH) large bankruptcy first propelled the rate above 2%. Since then, there have been 17 issuer defaults on $7.8 billion in bonds, compared with 19 and $11.5 billion over the same period in 2013.
The TTM U.S. leveraged loan default rate ended October at 3.1%, and is 0.9% excluding the bankruptcy of EFH.
The full report 'U.S. High Yield Default Insight' is available at 'www.fitchratings.com.'
Additional information is available at 'www.fitchratings.com'.
Applicable Criteria and Related Research: Fitch U.S. High Yield Default Insight (Imminent Caesars - Default Adds Nearly 90 Basis Points to Rate)