NEW YORK, Nov 14 (Reuters) - Moody's Investors Service on Friday affirmed its ratings on Ford Motor Co. and its finance arm, saying the U.S. automaker is laying the groundwork for much stronger operating performance and cash generation in 2005 and beyond.
Moody's said the outlook remains negative, however, indicating a downgrade may be likely over the next 18 months.
Moody's affirmed Ford's long-term rating of "Baa1," its third-lowest investment grade, and Ford Motor Credit Co.'s long-term rating of "A3," roughly one notch higher, and short-term rating of "Prime-2." Moody's also confirmed the "Baa2" long-term and "Prime-2" ratings of Hertz Corp.