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In this Thursday, July 19, 2012, photo, dresses are on display in the Saks Fifth Avenue flagship store's window in New York.
In this Thursday, July 19, 2012, photo, dresses are on display in the Saks Fifth Avenue flagship store's window in New York.
(Mary Altaffer/AP)

DAVID PARKINSON

Moody’s fears HBC is stretching debt too far with Saks deal

ROB Insight is a premium commentary product offering rapid analysis of business and economic news, corporate strategy and policy, published throughout the business day. Visit the ROB Insight homepage for analysis available only to subscribers.

Moody’s is comfortable with Hudson’s Bay Co.’s planned acquisition of Saks Inc. from a business standpoint. But corporate debt is Moody’s main concern – and from that perspective, the deal makes the credit-rating giant a little uneasy.