Moody's cuts Hertz untendered debt to junk status

NEW YORK, Jan 9 (Reuters) - Moody's Investors Service on Monday downgraded to junk status bonds of Hertz Corp. that were not tendered as part of the company's acquisition by a private investor group.

The bonds have been stripped of restrictive covenants, or borrowing agreements, as a result of the tender offer by the company and have less asset protection than new debt issued by Hertz to fund its buyout, Moody's said.

Moody's cut the untendered debt by five notches to ...