S&P trims LD Intermediate

S&P said it lowered its corporate credit rating on LD Intermediate Holdings Inc. to B- from B. The outlook is negative.

At the same time, S&P lowered the issue-level rating on the company's first-lien debt to B from B+. The recovery rating remains 2, indicating an expectation of substantial recovery (70%-90%; rounded estimate: 70%) in the event of a payment default.

In addition, S&P said it lowered the issue-level rating on LD Intermediate's second-lien debt to CCC from CCC+. The recovery rating remains 6, indicating an expectation of negligible recovery (0%-10%; rounded estimate: 5%) in the event of a payment default.

The ratings actions reflect LD Intermediate's high adjusted leverage above 9x, weakening liquidity position, S&P’s expectation that operating weakness will continue at least through the second half of 2017, and management turnover, the agency said in a news release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.