Re:The horrifying AAA debt-issuance chart
by count on Friday July 15, 2011 @09:11PM
(#2769781)
Companies cannot be rated higher than the country they are in?
I don't understand why that would make sense, especially in a case like the US - congress being unable to extend the debt ceiling shouldn't have that significant of an impact on Microsoft, a globally diversified company, being able to pay back it's debts...but then, the financial world is full of fun, arbitrary rules.
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Microsoft's debt would be issued in dollars.
If the US fails to back the dollar, Microsoft's debt is also worthless, because it's also dollars.
So it would make no sense for MS bonds to be rated higher than the US.