THY downgraded; critics question SriLankan-PIA lease deal

Moodys has downgraded Turkish Airlines’ (also known as Turk Hava Yollari Anonim Ortakligi or THY) corporate family rating to Ba3 from Ba2 and its probability of default rating (PDR) to Ba3-PD from Ba2-PD. Moody’s also downgraded Turkish Airlines’ Enhanced Equipment Trust Certificates (EETCs) to Baa1 from A3 (Bosphorus Pass Through Trust 2015-1A), to Baa1 from A3 (Anatolia Pass Through Trust 2015-1: Class A) and to Ba1 from Baa3 (Anatolia Pass Through Trust 2015-1: Class B). The outlook on the corporate and EETC ratings of Turkish Airlines is negative. Moody’s states that the downgrade of the corporate rating reflects its downward