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ResCap Cut By Moody’s, Borrows $468 Million from GMAC 

Apr 24, 2008By

Moody’s Investors Service said late Wednesday that it had again downgraded Residential Capital LLC amid concerns that the money-losing mortgage arm of GMAC LLC was facing an unmanageable debt load. The agency said it had cut ResCap to “Caa1,” its seventh-highest junk grade, and in turn that it had also cut the rating of corporate parent GMAC to “B2,” its fifth-highest junk rating.

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