The coronavirus hasn’t just caused issues for the UFC, but it has also caused a plethora of problems for the UFC’s parent company in Endeavor.
A report from MMA Fighting states that the S&P Global has downgraded Endeavor’s credit rating from a B (highly speculative) to CCC+ (substantial risk). The main factor in the credit rating drop has to do with the fact that the coronavirus pandemic has caused almost all of Endeavor’s revenue streams to be wiped out and the UFC, assuming it runs the forthcoming UFC 249 card on May 9, as the only viable stream for the organization.
Since the credit rating for Endeavor has dropped, it has also shifted the company outlook to negative according to the S&P 500. Interestingly enough, while Endeavor’s credit rating has taken a hit in the S&P 500, no drop has been announced for the UFC’s credit rating (which is a B), which hasn’t changed during the coronavirus pandemic.
Endeavor has also had to lay off a good portion of their staff due to the pandemic, while the UFC has yet to lay off any of their staff at this time.