Further downgrading is a possibility, Mr. Rauch added, if the company does not reach an agreement with its banks soon.

On Friday, the company said it failed to comply with agreements reached in October with its banks on a $63 million revolving credit line.

Companies Chrysler has reached a tentative accord with its banks that could give the company a cushion, financial executives say.

Highland Superstores Inc. reached an agreement with its banks to defer half of its $22 million in short-term debt payments.

In early March 2008, Carter & Carter entered into administration after it failed to reach agreement with its banks over a financial restructuring.

The United Artists Entertainment Company said yesterday that it had reached agreements with its banks to refinance $2.8 billion in debt.

Both agencies are debating the extent to which they should publicly disclose all agreements reached with the country's largest banks.

The company also said its "objective is now to reach an agreement with its banks in the next few weeks."

Those offers could help Vivendi reach an agreement with its banks for 2 billion euros ($1.96 billion) in fresh loans, these people said.

Wang, which faced a deadline yesterday for reaching an agreement with its banks on a financial restructuring, said the negotiations had been extended.