Exxon pays more to borrow amid market turmoil

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Exxon pays more to borrow amid market turmoil
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Exxon Mobil Corp paid a big premium to raise $8.5 billion in new debt on Tuesday...

) paid a big premium to raise $8.5 billion in new debt on Tuesday, as a rout in energy prices and stock market jitters fueled by the coronavirus outbreak eroded investor confidence in the largest U.S. oil producer.

Exxon, which is rated Aaa/AA by credit rating agencies, issued its debt at a 60 basis point premium to PepsiCo Inc , which has a lower investment-grade rating of A1/A+. Compounding Exxon’s woes is the coronavirus pandemic, which has infected more than 196,000 people around the world and killed more than 7,800, and caused severe business and travel disruptions across the globe, fueling fears of an economic downturn.

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