Credit Ratings, Creditworthiness, Debt Servicing Capacity, and Willingness to Pay

The table below was prepared to assist my students in comparing, in both numerical and conceptual terms, the letter-grade ratings issued by the principal credit rating agencies. Incorporating CDS spreads (credit default swap spreads) into the same framework might have been more informative; however, CDS data were omitted in order to keep the table concise. I should note that a follow-up analysis in the CDS context is planned. (You may click on the table to enlarge it.)