NEW YORK — The stock market plunged Monday, reacting to another partial government shutdown and technical problems delaying trading on the New York Stock Exchange for an hour.
The Dow Jones Industrial Average fell 101.52 points to 5075.21, the largest point loss since Nov. 15, 1991, and Kmart hit another new low for the year. Kmart was the third most active issue, dropping 3/8 to 6 on a turnover of 8.2 million shares.
After the market closed, Standard & Poor’s Ratings Group said it was still reviewing a downgrade of Kmart’s debt ratings and expected to complete the process during the week of Jan. 8, 1996.
In addition to Kmart’s currently outstanding debt, S&P said a rating will be assigned to Kmart’s recently filed $1 billion shelf registration. “In the interim,” S&P said, “it is anticipated that Kmart should be able to address the potential short-term liquidity issue related to its $681 million in putable real estate-related debt.”
However, S&P also will explore Kmart’s liquidity for later in 1996 and those financing options may not be finalized in January. Therefore, pending resolution of these issues, the ratings may remain on CreditWatch after a potential rating change in January.
On Monday, Ann Taylor was down 3/4 to 11; Caldor, 1/4 to 3 3/4; The Gap, 2 to 45 1/4; Intimate Brands, 3/8 to 13 7/8; J.C. Penney, 7/8 to 46 7/8; Sears Roebuck, 1 1/2 to 38 7/8; Wal-Mart, 1/4 to 22 7/8 and Woolworth, 3/8 to 13 3/4. St. John Knits slipped 1 1/2 to 52; Tommy Hilfiger gave up 2 7/8 to 40; Warnaco slipped 7/8 to 24 1/2; Nautica, off 1 5/8 to 41; Gucci, 1 to 34 1/8 and Bernard Chaus, off 1/4 to 3 1/2.

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