Moody's changes Wenner view to positive

Moody's Investors Service said it affirmed Wenner Media LLC's B3 corporate family rating and Caa1-PD probability of default rating, and revised the outlook to positive from stable.

In connection with this action, the agency assigned a B3 rating to the senior secured credit facilities, which will be amended with new maturity dates.

Wenner's credit facilities, consisting of a $144 million term loan B outstanding as of March 31 and $15 million revolving credit facility, will be amended to reduce borrowing costs and extend maturities. The company expects about $6 million in annual interest expense savings as a result of the lower pricing on the term loan B.

Moody's said the positive outlook reflects its view that the U.S. economy will continue to grow modestly, and that Wenner will aggressively manage costs and use its free cash flow to reduce debt such that debt-to-EBITDA leverage is maintained in the 2.5x-3x range (Moody's adjusted) over the next 12-18 months.

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