S&P rates Data Transmission loans B+, B-, lowers view to negative

Standard & Poor's said it revised its outlook on Data Transmission Network Corp. (DTN) to negative from stable.

At the same time, S&P said it affirmed its ratings on the company, including the B+ corporate credit rating.

In addition, the agency added it assigned its B+ ratings and recovery ratings of 3 to DTN's proposed $210 million senior secured first-lien credit facilities, consisting of a $35 million five-year revolving credit facility and $175 million seven-year tranche B term loan.

S&P said it also assigned its B- rating and recovery rating of 5 to the company's proposed $60 million seven and a half-year senior secured second-lien term loan.

The ratings on DTN reflect the company's heavy debt levels and the uncertainties over the continued efforts to stabilize revenues and gradually grow them by increasing sales to the existing subscriber base, the agency added.

© 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.