S&P lifts Albaugh debt to BB

Standard & Poor's said it raised its issue-level rating on Albaugh Inc.'s first-lien debt to BB from BB-.

The recovery rating was revised to 1 from 2, indicating an expectation for very high (90%-100%) recovery in the event of a payment default.

All other ratings on the company, including the B+ corporate credit rating, remain unchanged.

The outlook is stable.

S&P said the ratings reflect Albaugh’s relatively limited product diversification, susceptibility to the vagaries of weather patterns, relatively low EBITDA margins, and the volatility of pricing in the company's products. Somewhat offsetting this is the company's satisfactory geographic diversity. The agency characterizes Albaugh's business risk profile as "weak" and its financial risk profile as "aggressive."

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