Fitch Downgrades Long-Term GMAC IDR

The long-term issuer default ratings of GMAC LLC and related subsidiaries have been downgraded from BB-plus to BB by Fitch Ratings and removed from Rating Watch Negative. Fitch also affirmed the short-term IDRs at B and assigned a rating outlook of negative to all the ratings. The downgrade of GMAC's long-term IDR "reflects in part the company's financial support for its wholly owned subsidiary ResCap [see item below], which generated considerable losses in 2007," the rating agency said. "In addition, the downgrade reflects Fitch's view that some of the operating momentum, in the form of increased business diversification from General Motors, that was expected from GMAC's separation from GM has lessened due to the broad challenges the company is facing."