Moody’s Moves to Downgrade Barclays Rating Outlook

Posted July 5th, 2012 at 7:05 am (UTC-5)
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Moody's is moving toward downgrading the credit rating of Britain's Barclays bank, following a scandal that cost the chairman and two top executives their jobs.

The credit rating service on Thursday changed the outlook of the bank's financial stability to “negative” from “stable.”

Moody's says it based its decision on the resignation of Chief Executive Bob Diamond and two other senior bank officials, and uncertainty about the new management team.

Barclays was fined more than $400 million by British and U.S. regulators for making false claims on borrowing cost.