The purpose of this study is to examine the relationship between credit rating scales and debt maturity choices. A … debt maturity. Companies with medium ratings have longer debt maturity structure. Liquidity shows a negative association … with longer debt maturity structure. It is evident that at high rating scale with high liquidity, and at lower rating …

creditors losing faith in the long-run prospects of the bank, hence forcing it to shorten its debt maturity. Finally, we build a … model that endogenizes the debt maturity structure and predicts that worse market expectations lead to a maturity shortening …