NEW YORK—  Xerox unsecured debt has been down grades by Moody's to junk bond status from investment grade. It raises investors worries that Xerox could in the future default on it's $4 billion in debt. Interest costs will climb. Xerox's free cash flow has dropped from $ 2 billion to $814 million. Xerox pulled out of a  $6.1 billion deal with Fuji last May . Jeff Jacobson CEO left and the two largest share holders Carl Icahn and Darwin Deason  effectively taken over Xerox. They  appointed 5 new directors and    appointed  John Visentin as CEO. Fujifilm said in a statement it stands by its view that the original planned merger remains the best option for the shareholders of both companies.