S&P cuts France rating by one notch to 'AA'

LOS ANGELES (MarketWatch)
Standard & Poor's on Friday cut France's sovereign rating, citing concerns about the country's growth prospects as reason for the move
The long-term ratings were downgraded by one notch, to AA from AA+, with S&P saying it believes the French government's reforms to taxation, as well to labor and other markets, won't substantially raise the country's medium-term growth prospects
S&P also said ongoing high unemployment is hurting support for further fiscal and structural policy measures
"Furthermore, we believe lower economic growth is constraining the government's ability to consolidate public finances," S&P said in a statement
The agency's outlook on France is stable, reflecting its view that the probability it will raise or lower France's rating over the next two years "is less than one-in-three."