Fitch Lowers Ratings On Kraft

Fitch lowered its ratings on Kraft (NYSE: KFT) following the company's $19.5 billion purchase of rival Cadbury (NYSE: CBY). Fitch lowered Kraft's issuer default rating, senior unsecured debt and credit facility rating to ''BBB-'' from ''BBB,'' citing the increased leverage of the combined company.

Fitch removed a negative outlook that it had placed on Kraft in September. Kraft had total debt of $20.7 billion as of September 30, 2009. Moody's Investor Service said yesterday it was likely to keep its ratings on Kraft, a Dow component, at investment grade.