Moody’s cuts Tata Motors outlook to negative

Moody’s Ratings on Monday revised Tata Motors’ outlook to negative from positive after a cyber attack forced a production halt at its UK-based subsidiary Jaguar Land Rover (JLR). The agency, however, affirmed the auto major’s Ba1 corporate family rating (CFR).

Sweta Patodia, Assistant Vice President and Analyst at Moody’s Ratings, said the change reflects the expectation that a full recovery in Tata Motors’ credit metrics could take several months. She added that the JLR cyber incident highlights customer relations risk under the ESG framework and was the key driver behind the action.

JLR cyber attack triggers production halt

Jaguar Land Rover’s plants have remained shut for the last four weeks following the cyber breach, and production is expected to stay halted until at least October