Paramount Credit Downgrade Expected After Warner Merger, S&P Says
S&P Global Ratings says Paramount’s junk-status debt will be downgraded to BB when its Warner Bros. Discovery merger closes, as the combined group is expected to carry very high leverage (about 7.6x adjusted debt/EBITDA in 2026, not projected below 5x until 2029) and faces integration and regulatory risks; Paramount would assume roughly $30B of WBD net debt on top of its own, with potential $6B in cost synergies that may take time to realize.
