The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Yukos slides as trial looms

The noose tightened around oil company Yukos?s neck last month and bankruptcy loomed large only weeks before the trial of its former CEO Mikhail Khodorkovsky was due to start.

Standard & Poor?s struck the first blow by dramatically cutting Yukos?s credit rating five notches from BB?, one of Russia?s highest corporate ratings, to CCC. Moody?s followed suit the same day, cutting the company?s senior implied rating three notches from Ba1 to B1.

Yukos CFO Bruce Misamore admitted at a conference a week later that creditors were becoming increasingly nervous and that the company had received a ?Potential Event of Default? notice from a syndicate of banks that have lent it $1 billion.

Although the notice has no immediate impact on the company?s operation it shook already unsettled investors. The notice allows members of the syndicate to exercise rights over various bank accounts Yukos offered as security on its loan or sell on their commitment.

The market reacted, pushing Yukos shares down 9.4% the day after the publication of the notice to $11.10 a share, its lowest level in months.

?The spectre of a bankrupt Yukos is beginning to loom realistically large and speculation over the possibility has graduated from conspiracy theory towards mainstream belief,? says Roland Nash, vice-president of Renaissance Capital.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree