Moody's cuts rating on Tata Motors, changes outlook to negative

Rating action comes days after the Tata group flagship reported a quarterly pre-tax loss of Rs 9,313 cr compared to a profit before tax of Rs 1,265 cr a year ago

Moody’s Investors Service has downgraded Tata Motors corporate family rating (CFR) and the company's senior unsecured instruments rating to B1 from Ba3. The outlook on all ratings has been changed to negative from ratings under review, it said in a statement on Thursday. 

The rating agency cited a sustained deterioration in company’s credit profile as the reason for the downgrade.

The action comes days after the Tata Group flagship reported a quarterly pre-tax loss of Rs 9,313 crore compared to a profit before tax of Rs 1,265 crore in the year-ago period. While its UK subsidiary, Jaguar Land Rover Automotive,