S&P rates Comstock notes B-

Standard & Poor's said it assigned its B- issue-level rating to Comstock Resources Inc.'s proposed $250 million senior unsecured note offering due 2020. The agency also assigned a 5 recovery rating, indicating an expectation of negligible recovery in the event of payment default.

The agency said the B- issue rating incorporates an expectation that the company will use the proceeds to partly pay down the $610 million balance under its revolving credit facility, thereby improving its liquidity to adequate from less than adequate.

The B corporate credit rating and negative outlook on Comstock Resources remain unchanged.

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