S&P cuts Express Energy to D

Standard & Poor's said it lowered the corporate credit rating on Express Energy Services Operating LP to D from CCC and on the senior secured debt to D from CCC and revised the recovery rating to 4 from 3.

"The rating actions reflect Express' failure to make its principal and interest payments on June 30," S&P analyst Amy Eddy said in a statement.

The recovery rating change reflects concerns regarding the company's EBITDA and likely valuation given the severe downward pressure on revenue and profitability, the agency said.

It also considers the significant uncertainty about when the low activity and pricing pressures that are buffeting the North American oilfield services industry will abate, S&P said.

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