Moodys reviewing Odebrecht liquidity as shares plunge

SOON after Moody’s rating agency announced it will begin a new review of the liquidity of the Brazilian company Odebrecht, which has been linked to the Petrobras bribery scandal, reports have emerged of a United States investigation of the  construction company with the possibility of American citizens linked to bribery, an offence leading to jail time.

Moody’s noted that the review process will focus on the ability of the company to sustain its business and will consider whether it has sufficient liquidity to cover upcoming debt obligations.

After the corruption scandal, the stock price of the company has fallen 50 percent and it has received a downgrade to a negative outlook.