NEW YORK (AP) -- Fitch Ratings says General Motors Corp.'s credit rating is moving deeper into junk status because of the automaker's diminishing liquidity and lack of access to capital.
The credit ratings agency said Monday that it cut GM's issuer default rating one notch to "CCC" from "B-." Both ratings are non-investment, or junk, grade.
Fitch says it expects GM to reach "minimum required levels" of capital in the next 12 months without access to external capital. It says the automaker's situation is exacerbated by weakening overseas sales and the impact of the credit crisis.
Fitch adds that external sources of capital for GM remain limited. On Friday, the automaker said it was drawing down the last $3.5 billion of a $4.5 billion secured revolving credit facility to fund its restructuring costs during "uncertain times in the capital markets."