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News Summary: Moody's cuts Co-op Bank again

The Associated Press

ANOTHER CUT: Moody's has downgraded its ratings on Co-operative Bank for the second time this year on Tuesday — another blow to the troubled lender.

THE DETAILS: It said it had reduced the bank's debt and deposit ratings from Ba3 to Caa1. The move pushes the Co-op's ratings further into junk status, which could make it more expensive for the bank to raise money.

THE BACKGROUND: A day earlier, Co-operative Group, Britain's biggest mutual business, announced a rescue plan for its bank. It pledged to fill a 1.5 billion pound ($2.3 billion) hole in its balance sheet by converting some bonds into shares.