Citadel’s rating cut by S&P

Crain's Chicago Business reports:

Standard & Poor’s cut Citadel Investment Group Inc.’s debt rating one level, to BBB, as the Chicago hedge fund operator weathers its worst year ever.

The reduction reflects losses at Citadel’s two main funds, down 39.5% as of Oct. 31, as a ban on short-selling and market turmoil following the collapse of Lehman Bros. Holdings Inc. hurt bets on convertible bonds, stock derivatives and corporate bonds, the ratings agency said.