Moody's assigns SEG B1, notes B2

Moody's Investors Service said it assigned a B1 corporate family rating and B1-PD probability of default rating to SEG Holding, LLC (parent of BI-LO, LLC). Concurrently, Moody's assigned a B2 rating to SEG Holding, LLC's proposed new senior secured notes.

Moody's also upgraded BI-LO’s senior secured term loan to B2 from B3 and upgraded its asset-based lending revolving credit facility to Ba2 from Ba3.

The proceeds will be used to refinance the term loan. Additionally, Moody's will withdraw BI-LO, LLC's corporate family rating and probability of default rating upon closing of the transaction. The outlook for BI-LO is stable.

"BI-LO's better than expected operating performance coupled with its debt reduction has resulted in a significant improvement in credit metrics and we expect metrics to remain strong even after consumer buying patterns return to normal," said Mickey Chadha, a Moody's vice president, in a press release.

The outlook for SEG Holding is stable.

© 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.