S&P downgrades Tenneco, matches Moody's

Standard & Poor's gave auto-parts maker Tenneco Inc. a two- notch ding on Feb. 27 to match the demotion issued in February by Moody's Investors Service. The new S&P corporate rating is B-.

Moody's reacted to what it called the "dramatic deterioration in global automotive production levels." S&P said it expects Tenneco's sales will fall 20 percent this year and there is a "reasonable probability" revenue may drop even more.

Of the company's $5.9 billion in net revenue last year, 24 percent was attributable to North American operations of the Big 3 automakers from Detroit.

Lake Forest-based Tenneco is a provider of exhaust and suspension systems with operations in more than 20 countries. Revenue of $5.9 billion in 2008 resulted in a $415 million net loss.

The Tenneco stock closed Feb. 27 at $1.36, up 1 cent in New York Stock Exchange trading. The closing high during the past two years was $37.16 on Aug. 2, 2007.