An elevated number of defaults in Europe has helped boost S&P Global Ratings' 2024 global corporate default tally to 29, its highest year-to-date total since 2009. In February, 15 companies defaulted. See "Elevated European Defaults Help Push Global Corporate Default Tally To Fastest Pace Since 2009," published today.
The climbing defaults in February add to January's already substantial tally of 14 defaults. The year-to-date corporate default tally is now at its highest since 2009.
Although the U.S. leads with 17 defaults, the European defaults have bolstered the increased pace. "With eight defaults so far in 2024, Europe has experienced at least two times the number of defaults as in any other previous year since 2008," said Nicole Serino, S&P Global Ratings.
Given the still-high total of lower-rated companies in the region, we expect European defaults to remain elevated over the near term, adding to a slight rise in defaults rates over the summer. However, we expect the region's default rate to stabilize at around 3.5% by December 2024.
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