S&P ups Pinnacle Foods

Standard & Poor’s said it raised its corporate credit rating on Pinnacle Foods Inc. to BB- from B+. Concurrently, S&P raised the senior secured issue level-ratings one notch to BB+ from BB. The recovery ratings remain 1, indicating expectations for very high (90% to 100%) recovery in the event of a payment default.

S&P also raised the issue-level ratings on the company’s senior unsecured notes to B from B-. The recovery ratings remain 6, indicating expectations for negligible (0% to 10%) recovery in the event of a payment default. The outlook is stable.

“The upgrade reflects Pinnacle’s continued debt reduction and our belief that its financial policy will be less aggressive given that the company is no longer majority owned by a financial sponsor,” said S&P credit analyst Bea Chiem 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.